Greenwashing

Why in the News?

UN Secretary-General Antonio Guterres acknowledged ‘greenwashing’ at the ongoing COP27 climate meeting in Sharm el-Shaikh, Egypt.

Key Points:

About Greenwashing

• Greenwashing is an unsubstantiated claim to deceive consumers into believing that a company’s products are environmentally friendly.
•  It presents a false picture of the progress being made on the climate change front.
• Example:

• • Volkswagen Diesel gate scandal

Ethical Issue Involved

• Misleads investors and consumers that are genuinely seeking environmentally friendly companies or products.

Impact of Greenwashing:

• Boost carbon-emitting business.
• Brand degradation.
• Promote bad practices.