Greenwashing 2026: Environmental Claims, Legal Risks and the ECGT Directive

Quick answer. From September 27, 2026, the ECGT Directive (EU 2024/825) bans unsubstantiated generic environmental claims ("carbon neutral", "eco-friendly"). French Climate and Resilience Law (2021) has required written justification for any carbon-neutrality claim since April 2022. Breaches carry up to two years' imprisonment and a €300,000 fine, which can rise to 80% of the advertising spend in question when that spend relies on environmental claims (Consumer Code, art. L.132-2).

Three legal frameworks now overlap and mutually reinforce French and EU law against greenwashing in 2026:

1. French Climate and Resilience Law (n° 2021-1104, 22 August 2021) — already in force. Since April 2022 (Décret n° 2022-539), claiming "carbon neutrality" for a product or service without precise documentation is prohibited: a full lifecycle carbon inventory, an annualised reduction trajectory, and a justification of residual offsets according to the minimum standards described.

2. French Consumer Code (articles L.121-2 to L.121-5) — deceptive commercial practices. Any inaccurate environmental claim, or one likely to mislead consumers, falls under deceptive commercial practices, punishable by two years' imprisonment and a €300,000 fine (enhanced to 10% of turnover or 50% of advertising spend).

3. EU Directive 2024/825 (ECGT — Empowering Consumers for the Green Transition) — to be transposed into national law by 27 March 2026, applicable from 27 September 2026. Unlike a regulation (directly applicable), a directive must be transposed by each member state; once transposed, it bans generic environmental claims (carbon neutrality, carbon compensation, "eco") that lack recognised excellent environmental performance. It also requires independent third-party verification for claims about future environmental performance and for sustainability labels.

Greenwashing (écoblanchiment) is misleading communication about the environmental performance of a product, service, or company. Common examples: "100% eco-responsible" without substantiation, "carbon neutral" based solely on carbon credits without prior reductions, "eco-packaging" without proof, "green product" without legal compliance.

The DGCCRF (France's competition, consumer affairs and fraud prevention authority) has significantly stepped up scrutiny. According to its 2023-2024 activity report, more than 3,000 businesses were inspected (textiles, cosmetics, furniture, hospitality, services), and more than 15% of those checked showed serious breaches: more than 430 compliance orders and more than 70 administrative fines and criminal proceedings. Fashion and mass retail are among the most exposed sectors.

The reason for the tightening: executives and marketing teams underestimate the legal risk, believing that regulatory ambiguity protects them. The opposite is true. Every environmental claim is now subject to a presumption of liability: the burden of proof lies with the advertiser.

1. Inventory of All Current Claims#

Go through your website, brochures, social media, packaging, and paid advertising. List every environmental statement — including imagery, green colour palettes, partial certifications, and ecological metaphors. Example: "eco-range" = an implicit claim.

2. Risk Classification#

For each claim, ask:

• Does it reference an externally recognised certification (EU Ecolabel, PEFC, AB Bio, Fairtrade)? → Green (low risk, provided the certification is current and documented).
• Is it specific and measurable ("30% lower emissions vs. 2020 baseline")? → Yellow (medium risk, requires solid evidence).
• Is it generic ("green", "responsible", "sustainable", "eco") or based on offsets alone? → Red (prohibited from September 2026).

3. Correction and Evidence Archive#

• Red claims: remove or replace with a certified claim.
• Yellow claims: gather documentary proof (third-party GHG audit, annualised reductions, product environmental declaration complying with ISO 14040–44, independent verifier report).
• Evidence: build a dossier per claim (PDFs, public URLs) available to the authorities in the event of a DGCCRF inspection.

Reminder: claiming "100% offset" without proving reductions first has been illegal since April 2022 in France and is prohibited from September 2026 across the EU.

Micro-enterprises and SMEs (< 250 employees)#

You are not exempt from the ECGT Directive or the Climate Law. There is no size-based derogation. That said:

• If you use no environmental claims → minimal risk.
• If you state a claim, even as "green marketing" on social media → you face the same criminal sanctions (€300,000 fine, 10% of turnover).
• Practical advice: restrict claims to third-party certifications (EU Ecolabel, AB Bio) rather than building complex internal proof.

Food and Cosmetics#

The most heavily audited sectors by the DGCCRF (15% of serious breaches detected here). Common prohibited claims:

• "Pesticide-free" (only permitted if AB certified).
• "Natural" (ISO 16128 provides the naturality-index calculation method; the 95% threshold often cited comes from labels such as COSMOS, not from the standard itself).
• "Biodegradable" (EN 13432 standard mandatory).
• "Cruelty-free" or "vegan" (recognised certifications only: PETA, Leaping Bunny).

Textiles and Furniture#

• "Organic cotton" → GOTS or OCS 100 certification required.
• "Recycled polyester" → ISO 14020 or third-party certification (Oeko-Tex, GOTS).
• "Sustainably made" → prohibited, too vague; replace with "audited supply chain" plus justification.

Real Estate and Services (Hospitality, Transport, Finance)#

Emerging sectors in DGCCRF inspections. Four- and five-star hotels frequently display "green establishment" or "carbon neutral by 2025" without detailed justification.

• New obligation: if your hotel, agency, or service business displays a carbon-reduction claim → third-party verification mandatory from September 2026.
• Estimated cost: €3,000–€8,000 for a GHG audit plus external certification (depending on size).

Trap 1 — Confusing the Withdrawn Green Claims Directive with the ECGT#

The original Green Claims Directive (COM(2023)166, proposed March 2023) was withdrawn in June 2025 following pressure from the European Parliament. However, the ECGT Directive (EU 2024/825, adopted February 2024) enters force on 27 September 2026 and strengthens the bans on generic claims and mandates independent third-party verification. Do not confuse them: ECGT = law in force, original Green Claims Directive = withdrawn.

Trap 2 — Assuming "Not False" Equals "Legal"#

A claim can be technically true ("this product emits 2 tonnes of CO₂") without being legal in marketing communications (failing to disclose the reference scenario, committed reductions, or the amortisation period). The DGCCRF does not only sanction outright falsehood; it sanctions the absence of comparative and contextual transparency.

Trap 3 — Missing the September 2026 Deadline#

If you are planning an advertising campaign or packaging change, build in removal of all generic claims before September 2026. After that date, you risk an immediate fine for every commercial exposure (a website = continuous exposure).

Trap 4 — Relying on an Unaccredited Certification#

Some in-house certifications ("Green Enterprise Label") are not recognised by the EU. Before displaying any certification, check that it appears on the DGCCRF approved list or the EU Ecolabel Directory.

Trap 5 — Overlooking Social Media and Digital Advertising#

Green claims on Instagram, TikTok, LinkedIn, and Google Ads are monitored just as closely as those on a corporate website. A post reading "Happy Earth Day — our products are 100% green 🌍" without substantiation = a deceptive commercial practice. Train your marketing teams accordingly.

As chartered accountants (experts-comptables) registered with the Ordre des experts-comptables and ESG advisers to SMEs, we regularly see this risk materialise. Recently, a 60-employee agro-industrial SME came to us after receiving a DGCCRF inspection notice. Its website displayed "100% carbon-neutral range". On review, we found: a two-year-old carbon inventory (out of date), no documented reductions, and offset credits whose quality had not been verified. The breach was clear-cut.

Immediate cost: full website audit (three days of work), reconstruction of the evidence file (€2,000), updated GHG audit (€4,500). The DGCCRF allowed three months to comply without a fine (compliance order).

Lesson for you: do not paralyse your ESG communication. An SME can state the following with confidence:

1. Specific, quantified data ("–15% emissions since 2023").
2. Recognisable certifications (EU Ecolabel, PEFC, ISO 50001).
3. Dated commitments ("50% reduction by 2030, Scopes 1–2").
4. Transparency about the approach ("reductions first, residual offset").

This framework provides legal protection and builds credibility with customers and investors. That is the right balance.

Hayot Expertise advice. Before any new communications campaign or packaging change, audit your environmental claims against a legal checklist. Contact us for a one-hour review to validate your wording, identify DGCCRF risk, and build a compliance dossier. €500 of preventive audit is far preferable to a €300,000 fine and DGCCRF litigation.

• Three legal frameworks stack in 2026: Climate Law (2021, already in force), Consumer Code (deceptive practices), ECGT Directive (27 September 2026).
• 15% of DGCCRF inspections reveal serious breaches; sanctions range from €300,000 to 10% of turnover, and up to 80% of advertising spend for environmental claims.
• Generic claims prohibited: "green", "eco-friendly", "natural", "sustainable", "carbon neutral" (without exhaustive proof).
• New mandatory requirement from September 2026: independent third-party verification for any claim based on an external label or standard.
• Secure approach: real reductions (priority 1) → compensation of residual (priority 2) → third-party certification (mandatory) → documented transparency.
• SMEs fully included: no size exemption; even a micro-enterprise risks a fine for displaying an unsubstantiated green claim.

Sources: Légifrance — Loi Climat et résilience n° 2021-1104 · Légifrance — Décret 2022-539 · EUR-Lex — Directive 2024/825 (ECGT) · economie.gouv.fr — DGCCRF · Légifrance — Consumer Code arts. L.121-2 to L.121-5

Article reviewed by Samuel Hayot, expert-comptable inscrit à l'Ordre. Last updated: June 2026. This article is for information purposes only; it does not replace a case-specific review of your communications materials and applicable law.