[Special Article] confront greenwashing 2, Brands Who Chose Greenwashing and Irony
For a long time, greenwashing has been one of the marketing strategies that improves the company’s image which is directly linked to the profit of a company. Subsequently, those companies should be censured not only for disrupting the eco-friendly market and adversely affecting the environment, but also for treachery of deceiving and taking advantage of the pure intentions behind those who pursue eco-friendly consumption, which is morality bankrupt.
Regardless of its size, companies greenwash their product and by surprise, it is not hard to see these cases among global companies. Companies always announce eco-friendliness plans every year, and the year before, and the year before that, and many years before that as well. And there is a high chance of announcing it again for next year and the year after, and so on. Announcing future plans without apparent consequences but consistently launching events and campaigns to delude consumers and benefit from influencing the industry is a clear act of greenwashing.
Greenwashing, threatening widespread from brand to country
Many think that we only encounter greenwashing in consumer goods but greenwashing is happening in unexpected areas, such as airline companies, banks, petrochemical companies, online retailers and even counties. Today, we will take a look at some cases to dig deeper.
Saudi Arabia ㆍ A Fantastic Project to Planting 50 Billion Trees by 2060
Saudi Arabia is ranked at the top as the highest per capita carbon dioxide emission among the G20 countries. To vindicate its dishonor, Saudi Arabia’s crown prince Mohammed bin Salman has announced a plan to plant 50 billion trees to achieve zero greenhouse gas emissions by 2060. For this matter, Assaad Razzouk, the chief executive of Gurīn Energy, tweeted, “Greenwashing Joke of the Day, courtesy of the number 2 top oil-producing country, which apparently wants to plant 10 billion trees even though it doesn’t have a single river.”
It may sound like a joke to announce such a plan without any concrete details other than planting 50 billion trees to build an artificial reforestation when the estimated number of trees in Korea national forest is around 7.2 billion, according to the data from Korea National Institute of Forest Science as of 2020.
ALLIANCE TO END PLASTIC WASTE ㆍThe Irony of The Environmental Solidarity Producing More Plastic Wastes
Launched in 2019, Singapore-based non-profit organization, ‘AEPW: Alliance to End Plastic Waste’ for the purpose of cleaning up plastic waste in developing countries and spent $1.5 billion which was sponsored by big oil and chemical companies such as Shell, ExxonMobil, and Dow. Unfortunately, it was criticized for the failure of a plastic waste clean up project at Indian Ganges River, banning plastic production, and opposing alternatives.
In this regard, a non-profit financial environmental think tank Planet Tracker said in its report that compared to 40% of the entire budget was spent on this project, AEPW only achieved 0.04% of their initial goal. Planet Tracker also condemned AEPW for being ‘a sophisticated form of greenwashing or greencrowding where global corporations hide behind high-profile environmental groups to justify their business.’
THE METALS COMPANY ㆍIf Surface Mining is Dangerous, is Deep Sea Mining Safe?
An issue rose above when a promotional video posted from The Metals Company, a Canadian mining startup, on LinkIn about how explosions caused by metal mining, which is the main source of energy, on land-based mines make nature disappear and humans suffer. The alternative the company suggested was deep-sea mining, which they believe can dramatically reduce the impact on the environment and the entire earth.
Saudi Arabia is ranked at the top as the highest per capita carbon dioxide emission among the G20 countries. To vindicate its dishonor, Saudi Arabia’s crown prince Mohammed bin Salman has announced a plan to plant 50 billion trees to achieve zero greenhouse gas emissions by 2060. For this matter, Assaad Razzouk, the chief executive of Gurīn Energy, tweeted, “Greenwashing Joke of the Day, courtesy of the number 2 top oil-producing country, which apparently wants to plant 10 billion trees even though it doesn’t have a single river.”
It may sound like a joke to announce such a plan without any concrete details other than planting 50 billion trees to build an artificial reforestation when the estimated number of trees in Korea national forest is around 7.2 billion, according to the data from Korea National Institute of Forest Science as of 2020.
ALLIANCE TO END PLASTIC WASTE ㆍThe Irony of The Environmental Solidarity Producing More Plastic Wastes
Launched in 2019, Singapore-based non-profit organization, ‘AEPW: Alliance to End Plastic Waste’ for the purpose of cleaning up plastic waste in developing countries and spent $1.5 billion which was sponsored by big oil and chemical companies such as Shell, ExxonMobil, and Dow. Unfortunately, it was criticized for the failure of a plastic waste clean up project at Indian Ganges River, banning plastic production, and opposing alternatives.
In this regard, a non-profit financial environmental think tank Planet Tracker said in its report that compared to 40% of the entire budget was spent on this project, AEPW only achieved 0.04% of their initial goal. Planet Tracker also condemned AEPW for being ‘a sophisticated form of greenwashing or greencrowding where global corporations hide behind high-profile environmental groups to justify their business.’
<businesseventsafrica.com / The Metals Company>
An issue rose above when a promotional video posted from The Metals Company, a Canadian mining startup, on LinkIn about how explosions caused by metal mining, which is the main source of energy, on land-based mines make nature disappear and humans suffer. The alternative the company suggested was deep-sea mining, which they believe can dramatically reduce the impact on the environment and the entire earth.
As a result, criticism of this has piled up like mine and raised various issues and questions such as ‘If ground-level mining makes nature and humans suffer, is deep-sea mining harmless? Is it environmentally safe to search through ecology that is less known than the surface of the moon to find a place to mine?’ Because of these issues, agreements to ban deep-sea mining and environmental impact assessments are underway.
Innisfree ㆍA Tragedy of A Plastic Bottle Disguised as Paper
The case of Korean cosmetics brand Innisfree’s face serum where it said ‘Hello, I’m paper bottle’ on the packaging is too obvious that it is the talk of the century as a representative example of greenwashing. It is 100% agreeable with the buyer who said ‘I felt betrayed when finding out that the paper bottle product was a plastic bottle’ and brought up a question of this disaster where it had a 180 degrees different result than the intention. Could this be a mistake of the marketer who did not grasp consumer’s consciousness and sensitivity? This has led to a catastrophic outcome that made the brand’s efforts and reputation as environmentally conscious company.
Shell ㆍIt Must Be a Joke to Think Buying Sufficient Carbon Offsets Means Green Product
A court case was filed last March by the district court of The Hague in Netherlands related to banning Royal Dutch Shell to use the phrase “If you are looking to do features on how one can take a step forward in the mission towards a more sustainable future and lead an eco-friendly lifestyle, we feel that Shell’s carbon neutral Helix Ultra lubricants will be a good addition” when promoting the its product, Helix Ultra car oil.
The court stated, since paying for the offsetting cost of carbon reduction and producing zero-carbon products are two separate stories that it was a false advertisement of Shell’s product as a green product.
Adidas STAN SMITH, FOREVER ㆍLost Confidence of a Beloved Brand
Adidas is one of the leading global eco-friendly brands that is favored among conscious consumers, even if they are a little pricey. Adidas produced sustainable products with the business strategy of ‘Own the game,’ and has launched a project for global ocean conservation collaborating with Parley for the Oceans, a non-profit environmental organization that focuses on protection of the oceans, collecting 7,000 tons of waste in
However, last September, France’s Advertising Ethnic Jury found Adidas guilty of greenwashing and false sustainability claims.
In response to claims that the classic STAN SMITH sneakers are '50% recycled’, the ethics committee found it ambiguous and hazy whether the advertisement is ‘half of the materials used to make the sneakers are recycled or that they can be recycled after use?’ Besides, regarding the logo of ‘End plastic waste’ is also obscure because purchasing the sneakers would not bring plastic pollution to the end. Because of these accusations, it raised a concern of possible greenwashing with misleading phrases.
Santos, An Oil Producer ㆍ Clean Fuel Relying on Unfinished Technology Controversy
Australian oil major Santos was taken to court over engaging in misleading or deceptive conduct relating to its ‘clean energy’ claims and its net zero plan by 2040 using unproven carbon capture technology. A shareholder activist group ACCR (Australasian Centre for Corporate Responsibility) accused Santos for greenwashing when Santos misrepresented natural fossil fuels as “clean fuel” in a sustainability report.
beWater ㆍIs Aluminum Cans Greener Than Plastic?
Its aluminum industry's desire to make consumers believe that ‘aluminum is greener than plastic.’ Ball Corporation’s Ever & Ever partnered with BeWater product and claimed that aluminum is “infinitely recyclable,” hence aluminum is “environmentally friendly, socially sustainable, and convenient alternative to plastic-bottled water.”
About this claim, Stephan Ulrich, regional program manager of the International Labour Organisation in Vietnam, criticized that this claim is “pure fantasy” and “not in line with facts.” Aluminum may be highly recyclable, but there are not enough recycled materials to meet demand and most importantly, mining the materials to produce aluminum consumes an extreme amount of water and energy. Ulrich asserted, “from a carbon and pollution perspective, there could be no worse materials to make a single-use container from than aluminum.”
Innisfree ㆍA Tragedy of A Plastic Bottle Disguised as Paper
The case of Korean cosmetics brand Innisfree’s face serum where it said ‘Hello, I’m paper bottle’ on the packaging is too obvious that it is the talk of the century as a representative example of greenwashing. It is 100% agreeable with the buyer who said ‘I felt betrayed when finding out that the paper bottle product was a plastic bottle’ and brought up a question of this disaster where it had a 180 degrees different result than the intention. Could this be a mistake of the marketer who did not grasp consumer’s consciousness and sensitivity? This has led to a catastrophic outcome that made the brand’s efforts and reputation as environmentally conscious company.
<Facebook Page ‘Living without plastic??’>
Shell ㆍIt Must Be a Joke to Think Buying Sufficient Carbon Offsets Means Green Product
A court case was filed last March by the district court of The Hague in Netherlands related to banning Royal Dutch Shell to use the phrase “If you are looking to do features on how one can take a step forward in the mission towards a more sustainable future and lead an eco-friendly lifestyle, we feel that Shell’s carbon neutral Helix Ultra lubricants will be a good addition” when promoting the its product, Helix Ultra car oil.
The court stated, since paying for the offsetting cost of carbon reduction and producing zero-carbon products are two separate stories that it was a false advertisement of Shell’s product as a green product.
Adidas STAN SMITH, FOREVER ㆍLost Confidence of a Beloved Brand
Adidas is one of the leading global eco-friendly brands that is favored among conscious consumers, even if they are a little pricey. Adidas produced sustainable products with the business strategy of ‘Own the game,’ and has launched a project for global ocean conservation collaborating with Parley for the Oceans, a non-profit environmental organization that focuses on protection of the oceans, collecting 7,000 tons of waste in
However, last September, France’s Advertising Ethnic Jury found Adidas guilty of greenwashing and false sustainability claims.
In response to claims that the classic STAN SMITH sneakers are '50% recycled’, the ethics committee found it ambiguous and hazy whether the advertisement is ‘half of the materials used to make the sneakers are recycled or that they can be recycled after use?’ Besides, regarding the logo of ‘End plastic waste’ is also obscure because purchasing the sneakers would not bring plastic pollution to the end. Because of these accusations, it raised a concern of possible greenwashing with misleading phrases.
<Adidas>
Santos, An Oil Producer ㆍ Clean Fuel Relying on Unfinished Technology Controversy
Australian oil major Santos was taken to court over engaging in misleading or deceptive conduct relating to its ‘clean energy’ claims and its net zero plan by 2040 using unproven carbon capture technology. A shareholder activist group ACCR (Australasian Centre for Corporate Responsibility) accused Santos for greenwashing when Santos misrepresented natural fossil fuels as “clean fuel” in a sustainability report.
beWater ㆍIs Aluminum Cans Greener Than Plastic?
Its aluminum industry's desire to make consumers believe that ‘aluminum is greener than plastic.’ Ball Corporation’s Ever & Ever partnered with BeWater product and claimed that aluminum is “infinitely recyclable,” hence aluminum is “environmentally friendly, socially sustainable, and convenient alternative to plastic-bottled water.”
About this claim, Stephan Ulrich, regional program manager of the International Labour Organisation in Vietnam, criticized that this claim is “pure fantasy” and “not in line with facts.” Aluminum may be highly recyclable, but there are not enough recycled materials to meet demand and most importantly, mining the materials to produce aluminum consumes an extreme amount of water and energy. Ulrich asserted, “from a carbon and pollution perspective, there could be no worse materials to make a single-use container from than aluminum.”
<bewatertoo.com>
National Australia Bank (NAB)ㆍSustainable Loan For Coal Port?
Australia, along with Indonesia, is one of the world's largest coal exporters. Last June, National Australia Bank (NAB) was granted a sustainability-linked loan of $374 millions for the world’s largest coal export terminal, Port of Newcastle in New South Wales.
Getting a loan approved for the high-carbon industry is very arduous. A controversy of greenwashing was raised when the bank approved sustainability-linked loans to the facility that exports 95% of the thermal coal.
Yet, claims like these are constantly happening. In fact, according to bank reports related to the climate crisis, in the five years since the Paris Agreement, 60 banks around the world have invested in fossil fuels and of those 60 banks analyzed in 2016-2020, JP Morgan Chase, Citi, Wells Fargo, and Bank of America account for financing more than 25% of the total fossil fuel.
<Article Source: eco-business>
Greenwashing, the basics
Now, we have seen cases where greenwashing is not simply determined by the ingredients of the product or the contents of the service. To not repeat the same mistake, objective data with detailed and candid explanations for the environmental layout and resource circulability material selection is needed. Moreover, investment intention and accountability for the process and consequences of capital flows should be considered, indeed.
In other words, as the number of lawsuits between companies and consumer class-action rises related to greenwashing, companies must carefully review the true facts of sustainability on promotional statements and reports, as well as cautiously find a way on how to approach consumers.
If a company still uses eco-friendly, sustainable, or resource circulating without any proof, as before, it is highly likely to be censured for greenwashing.
Earth is now our only shareholder
It is hypocritical where corporate decision-makers, governments, politicians and even environmental activist groups are holding forums, supporting environmental groups and campaigning, but actually, they are still trying to undermine the environment and ecosystem only for their own benefit. However, there was an article in the New York Times that shone a light in the midst of a world of mass desires intertwined with lies and greed of greenwashing.
The founder of a global outdoor apparel company Patagonia that ironically and famously discourages consumers from buying its product on their advertisement saying “Don’t Buy This Jacket,” Yvon Chouinard and his wife along with their two adult children, have transferred their ownership of the company, valued at $3 billion, to a specially designed trust and a nonprofit organization related to fight climate change.
Mr. Chouinard said, “Now I could die tomorrow and the company is going to continue doing the right thing for the next 50 years. I feel a big relief that I’ve put my life in order. Hopefully this will influence a new form of capitalism that doesn’t end up with a few rich people and a bunch of poor people.”
He also added, “Earth is now our only shareholder.”
In the next greenwashing series, we will take a look at greenwashing in the packaging.
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