Singapore Cracks Down on Greenwashing with New Corporate Guidelines

Singapore has released new guidance to help companies steer clear of greenwashing: misleading or exaggerated environmental claims that can deceive consumers. Issued by the Competition and Consumer Commission of Singapore (CCCS), the guidelines respond to growing concerns about vague and unsubstantiated sustainability messaging in advertising.

A 2022 review by the CCCS found that over half of the environmental claims made online lacked clarity or sufficient evidence. Many relied on technical terms or ambiguous language that the average consumer would struggle to understand. The updated guidance aims to promote greater transparency and accountability among businesses making environmental or sustainability-related claims.

The guidance outlines five core principles for companies to follow:

1. Truth and accuracy: Claims must be truthful, verifiable, and subject to regular review. Misleading or outdated assertions should be avoided.
2. Clarity and comprehensibility: Language must be clear and easy for the average consumer to understand. Avoid jargon, vague terms, or complicated phrasing.
3. Meaningfulness: Claims should highlight significant environmental benefits, not trivial or standard features. Comparisons should be fair, substantiated, and relevant.
4. Inclusion of material information: Any limitations, conditions, or assumptions behind a claim must be clearly disclosed, along with access to supporting information.
5. Evidence-based support: Claims must be backed by credible, up-to-date evidence. Companies must be able to demonstrate the feasibility of any stated goals or targets.

The CCCS emphasized that these principles are intended to foster consumer trust and promote fair competition. Accurate and transparent green claims enable consumers to make informed choices and support businesses genuinely committed to sustainability.

This move signals Singapore’s increasing regulatory focus on greenwashing and the integrity of environmental marketing. Businesses looking to promote their sustainability credentials in the Singapore market should now ensure their claims are not just compelling but also compliant, verifiable, and clearly communicated. The guidance serves as both a compliance roadmap and a warning: green claims must be backed by real action, not just clever branding.

Source :

https://www.esgtoday.com/singapore-releases-anti-greenwashing-guidance-for-companies/