The greenwashing crackdown is coming: is your data ready?

Sustainability can’t be claimed, it has to be proven

Describing your business as ‘sustainable’ or ‘net zero’ used to be enough. Now, it can expose you to regulatory fines, investor scepticism, and reputational damage. With global scrutiny intensifying, greenwashing has become a legal risk, not just a PR issue.

From inflated offsetting claims to misleading product labels, the era of vague environmental marketing is ending. Today, only verifiable, auditable data will stand up to the pressure.

Why the greenwashing crackdown is accelerating

1. The EU Green claims directive: a new standard

   The EU Green Claims Directive is expected to be enforced by 2026. It will prohibit companies from making environmental claims, like ‘climate neutral’ or ‘eco-friendly’, without scientific evidence and independent verification.

   It affects most businesses operating within the EU single market, including SMEs. It also applies to non-EU businesses that advertise or trade in the EU. This means sustainability claims on packaging, websites, or investor materials will require traceable and defensible data, including Scope 3 emissions.

2. CSRD: Reporting obligations just got bigger

   The Corporate Sustainability Reporting Directive (CSRD) is already reshaping the reporting landscape. It expands mandatory ESG disclosure to tens of thousands of companies, including non-EU firms with significant business in Europe.

   CSRD now applies to companies that meet two out of three of the following thresholds:

   • More than 250 employees
   • Over €40 million in turnover
   • Over €20 million in total assets

   Non-EU companies generating more than €150 million in turnover in the EU must also report, if they have a branch or subsidiary there.

   Reporting must cover Scope 1, 2, and 3 emissions and be included in audited annual reports. This introduces a new era of financial-grade climate disclosure.

3. Global alignment: from the SEC to investors

   In the United States, the US Securities and Exchange Commission (SEC) introduced new climate disclosure rules in 2024, which require publicly listed companies to provide emissions data and climate-related risk insights in their filings.

   At the same time, investor and shareholder pressure is increasing globally. Financial institutions, pension funds, and corporate clients are demanding evidence of credible carbon strategies, not marketing fluff. These expectations now extend across supply chains, meaning mid-sized B2B companies are no longer out of scope.

4. Political pushback doesn’t change the direction

   Recent proposals, such as the European People’s Party (EPP) draft on the sustainability omnibus, have suggested weakening some of these rules. These include raising thresholds to 3,000 employees and removing requirements for climate transition plans.

   While discussions are ongoing before the amendment deadline on 26 June 2025, businesses should not count on these being rolled back. Many member states are implementing tougher standards domestically, and the private market is already rewarding those with robust carbon transparency.

Your carbon data is your defence

With these regulations taking hold, carbon data is no longer optional, it’s your insurance policy.

Accountability now means:

• Measuring emissions across your entire value chain
• Engaging suppliers to collect accurate and timely data
• Preparing audit-ready reports that can withstand investor or regulatory scrutiny
• Moving from manual spreadsheets to automated, integrated systems

Scope 3 emissions, which often account for more than 70% of a company’s total emissions, are especially vulnerable to underreporting. But under CSRD and the Green Claims Directive, ignoring Scope 3 is not an option.

How eco-shaper helps you stay ahead

At eco-shaper, we help mid-sized companies meet these new standards with clarity and confidence.

Our platform enables you to:

• Automatically track emissions across Scope 1, 2, and 3
• Collect and verify supplier and employee data
• Generate ESG-aligned, audit-ready reports
• Keep all sustainability data traceable, consistent, and ready for compliance reviews

We believe data should empower, not overwhelm. That’s why we make carbon reporting a strategic tool, not just a reporting task.

Looking ahead: compliance, credibility, and competitive advantage

The companies that thrive in 2025 and beyond will be the ones who start preparing now. As enforcement begins, there will be no time to build systems from scratch or scramble for supplier data.

Transparency is no longer optional. It’s your path to trust, resilience, and leadership.

Take control of your carbon data before someone else does

If your sustainability claims were challenged today, could you defend them?

Book a free demo with eco-shaper and discover how we help you go from guesswork to real impact, with data you can trust.