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Sustainability ESG

Greenwashing: How to Avoid Misleading Environmental Claims

Xander van Baarsen
Xander van Baarsen |

Greenwashing and Its Impact: How to Avoid Misleading Environmental Claims

Greenwashing is a growing concern in today’s society, as more companies make false or misleading claims about the environmental benefits of their products and services. This practice deceives consumers who aim to make environmentally conscious choices and damages the reputation of truly sustainable companies.

Build Trust with Clarity and Transparency

One way companies can ensure they are not greenwashing is by regularly measuring and tracking their utility usage. Setting clear and measurable targets for reducing consumption and tracking progress toward those goals demonstrates a business’s commitment to environmental sustainability. By providing evidence to support environmental claims, businesses can build trust with stakeholders.

Additionally, third-party certifications such as Energy Star, LEED, or ISO 14001 validate environmental performance and reassure consumers. A company like Rhino can help avoid common mistakes while monitoring utility consumption.

Read our blog: 5 Mistakes to Avoid When Monitoring Energy Consumption in Your Business

Leverage Utility Data for Meaningful Improvements

Utility consumption data enables companies to identify areas for improvement and make more sustainable choices. For instance, if a company finds a significant portion of its energy usage stems from lighting, investing in LED technology can significantly reduce consumption. Regular monitoring and analysis ensure environmental claims are grounded in real-world performance.

Empower Consumers to Support Transparency

While companies must strive for transparency, consumers also play a crucial role. By being vigilant and informed about the products they purchase, consumers can:

  • Look for certifications from trusted organizations.

  • Read product labels carefully.

  • Research companies’ environmental policies.

Supporting businesses that are transparent about their environmental performance sends a strong message and encourages more companies to adopt genuine sustainable practices.

Avoid Vague and Misleading Terms

Companies should steer clear of using vague or undefined terms like “natural” or “eco-friendly” without substantiating claims. These terms often create the illusion of sustainability without evidence. The Federal Trade Commission (FTC) provides guidelines for environmental marketing claims, defining terms and offering examples of misleading practices. Adhering to these guidelines ensures companies communicate their environmental benefits responsibly.

Take the First Step Toward Sustainability

Greenwashing is a serious issue, but it’s one that companies can avoid through actionable steps. By regularly measuring and tracking energy and resource usage, setting clear targets, and utilizing third-party certifications, businesses can ensure their environmental claims are accurate and credible. Consumers, in turn, can support transparency by making informed purchasing decisions.

By measuring energy, water, and gas consumption, organizations gain valuable insights into their emissions and opportunities for improvement. Take the first step toward genuine sustainability by contacting sales@rhino.energy to start monitoring your utility consumption today.

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