Sustainability Communication in 2024 – Green or Greenwashed?

Stricter Rules for Sustainability Communication

During this year's Arendalsuka, an engaging debate was held on the theme "Green or Greenwashed," organized by Kruse Larsen and Posten Bring. The discussion centered around the challenges of communicating sustainability responsibly in the face of increasingly stringent regulations. The EU has recently introduced a greenwashing directive that tightens the requirements for how sustainability can be communicated and bans certain techniques that were previously common. This includes the use of vague and general claims like "environmentally friendly" and "organic" without sufficient documentation.

This directive is a response to growing concerns that many companies are trying to embellish their sustainability efforts to attract increasingly environmentally conscious consumers. Companies must now be much more precise in their communication and be able to prove their sustainability claims. This has put pressure on businesses to adapt quickly and ensure that their marketing is compliant with the new requirements.

Challenges with Sustainability Goals and Communication

Another key topic in the debate was the challenges of setting and communicating ambitious sustainability goals. Siri Nordhagen, Head of Sustainability at IKEA Norway, shared experiences from IKEA's journey towards becoming 100% climate-positive and circular by 2030. While these goals were set with the best intentions, they later realized that the language used to describe these goals was imprecise and sometimes confusing for consumers. This has led to a shift where IKEA now uses more specific and scientifically grounded language to communicate its sustainability initiatives.

This realization highlights an important point: even the largest and most resource-rich companies can make mistakes in their sustainability communication. It’s not just about having the right goals but also about how these goals are conveyed to the public. IKEA has chosen to adjust its approach by verifying its targets with Science Based Targets, which provides a more precise and credible framework for sustainability communication.

Collaboration and Value Creation in Sustainability Work

Camilla Gramstad from Elkjøp Nordvik emphasized how internal training and collaboration with suppliers are crucial for avoiding greenwashing. Elkjøp has developed internal guidelines based on the greenwashing charter, which has helped employees identify and avoid misleading sustainability communication. At the same time, they have worked closely with their suppliers to ensure that their marketing materials comply with the new EU regulations. This collaboration has made Elkjøp a trusted advisor for its suppliers, and they have even been contacted by suppliers seeking advice on how to avoid greenwashing.

Markus Adaktusson from Telenor Group discussed sustainability from a value creation perspective. He pointed out that sustainability is not just about meeting regulatory requirements but also about creating value for both the company and society. By linking sustainability initiatives to concrete economic benefits, such as lower energy costs through long-term green power agreements, Telenor shows how sustainability can be integrated into the company's value creation. This approach reflects a broader trend in the business world where sustainability is no longer seen as a cost but as an investment in the future.

Conclusion

The debate on sustainability communication at Arendalsuka 2024 illustrates how complex and important this issue has become. With stricter regulations from the EU and increasing demands from consumers, companies must adapt quickly to avoid greenwashing and ensure that their sustainability efforts are both genuine and credible. By being precise in their communication, working closely with suppliers, and focusing on value creation, companies can navigate this challenging landscape and positively contribute to society.