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REPORT (COM(2023)0166 – C90116/2023 – 2023/0085(COD))

On the proposal for a directive of the European Parliament and of the Council on substantiation and communication of explicit environmental claims (Green Claims Directive)

A-9-2024-0056

Committee on the Environment, Public Health and Food Safety Committee on the Internal Market and Consumer Protection (Joint committee procedure – Rule 58 of the Rules of Procedure) · Rapporteur: Cyrus Engerer, Andrus Ansip

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Written by a language model from the full text only; every figure comes from the text. The paragraph links open the paragraph a statement rests on — check the text itself before relying on it.

Parliament's amended version of the Commission proposal for a Green Claims Directive requires traders to substantiate and communicate explicit environmental claims, and to have them verified before publication. It bans claims that a product is neutral, reduced or positive based on carbon credits, and allows carbon credits only for a trader's residual emissions under the Union carbon removals certification framework. It sets governance rules for environmental labelling schemes, requires approval of new schemes, and lets existing schemes continue if they comply. It requires Member States to support micro, small and medium-sized enterprises, and exempts microenterprises from substantiation unless they seek a certificate of conformity. It empowers the Commission to adopt delegated acts on substantiation and communication, and to set up a consultation forum and a simplified verification system.

Committee position. The committees propose to strengthen the Commission proposal by keeping ex-ante verification, banning claims based on offsets, allowing carbon credits only for residual emissions, setting governance rules for labelling schemes, and adding support for small and medium-sized enterprises.

Key points

  1. Traders must substantiate explicit environmental claims with independent, peer-reviewed, robust and verifiable scientific evidence, using accurate information and relevant Union or international standards.
  2. Substantiation must cover the life cycle, identify negative trade-offs, and separate carbon credits from greenhouse gas emissions as additional information.
  3. Claims that a product has a neutral, reduced or positive environmental impact based on carbon credits are prohibited.
  4. Climate-related compensation and emission reduction claims based on carbon credits may only be used for a trader's residual emissions, and fossil emissions only with permanent removals.
  5. The Commission may recognise other carbon credit schemes with equivalent requirements, and must report on environmental claims for products containing harmful substances.
  6. Claims on cumulative environmental impacts based on an aggregated indicator may only be made on environmental labels complying with Article 7, and the calculation rules must be communicated to consumers.
  7. Information on the product or trader and on the substantiation must be made publicly available with the claim, including underlying studies, methods and calculations unless they are trade secrets.
  8. Environmental labelling schemes must meet governance criteria, including transparency, independence, proportionate fees, stakeholder consultation, and monitoring and evaluation systems.
  9. New environmental labelling schemes by public authorities in Member States or third countries require Commission approval, and new private schemes require Member State approval if they offer added value.
  10. Member States must set up verification procedures, and verifiers must check claims before they are made public; certificates of conformity are recognised across the Union.
  11. Member States, in cooperation with the Commission, must help micro, small and medium-sized enterprises comply, including through guidelines, training, financial support and single points of contact.
  12. The Commission must establish a simplified verification system and a database of recognised standards and methods, and set up a consultation forum.

Who is affected

  • Traders making explicit environmental claims in business-to-consumer practices must substantiate, communicate and verify their claims.
  • Micro, small and medium-sized enterprises receive support and some exemptions, but microenterprises are exempt from substantiation unless they seek a certificate.
  • Operators of environmental labelling schemes must comply with governance criteria and seek approval for new schemes.
  • Verifiers must meet requirements, act independently, and can be held accountable for negligent assessments.
  • Member States must designate competent authorities, set up verification procedures, and provide support to enterprises.

Figures and deadlines

  • Claims must be reviewed and updated at least every 5 years.
  • Verification of claims must be completed within 30 days, extendable in justified cases.
  • Corrective action for non-compliant claims must be taken within 30 days, with one possible extension.
  • Competent authorities must inform complainants of their decision within 30 days.
  • The Commission must publish a working plan on claims to be supplemented within 1 year of entry into force, updated at least every 3 years.
  • The Commission must adopt guidelines on Article 3(1)(b) within 1 year of entry into force.
  • The Commission must provide a report on environmental claims for products with harmful substances within 18 months of entry into force.
  • The Directive applies to small enterprises by 42 months after entry into force.

Legal basis: Article 294(2) and Article 114 of the Treaty on the Functioning of the European Union