The Green Claims Directive (GCD) aims to make green claims reliable, comparable, and verifiable across the world. This directive addresses the need for consistency and transparency in the way businesses communicate their environmental claims to consumers.
* Reliability: The GCD ensures that green claims made by businesses are based on accurate and substantiated information, preventing misleading claims.
* Comparability: By standardizing the criteria and methodologies for green claims, the GCD enables consumers to compare the environmental benefits of different products and services effectively.
* Verifiability: The directive requires that green claims be verifiable, meaning that businesses must provide evidence and undergo scrutiny to support their claims, enhancing trust and accountability.
References:
* MSCI ESG Ratings Methodology (2022) - Discusses the importance of reliability, comparability, and verifiability in ESG disclosures and claims.
* ESG-Ratings-Methodology-Exec-Summary (2022) - Highlights the role of regulatory frameworks like the GCD in ensuring transparent and trustworthy green claims.