Partnerblog
Greenwashing has emerged as a major challenge in public procurement. While the European Union is tightening regulations with Directive 2024/825 on unfair commercial practices and preparing new legislation to regulate explicit environmental claims (the Green Claims Directive), public procurement is becoming both a fertile ground for misleading practices and a key arena for challenging them.
Although greenwashing – the practice of presenting a product or service as more environmentally friendly than it actually is – affects both the private sector and public procurement, the latter has a dual nature: it serves as both an enabler of greenwashing and a battleground for its contestation.
In private B2B or B2C relations, greenwashing is primarily sanctioned through oversight by the Federal Public Service (FPS) Economy or via complaints from competitors under unfair commercial practice rules. However, this approach has its limitations: regulatory authorities cannot monitor everything, and it is not always easy to determine what an enterprise is promising in its commercial dealings with clients. In contrast, public procurement processes impose transparency through the requirement for a reasoned award decision, granting each bidder more direct access to competitors’ commitments. As a result, any bidder can challenge a contract award if they believe the winning offer is based on unrealistic or exaggerated environmental claims.
Moreover, contracting authorities themselves have a duty to verify the legitimacy of the claims made in bids, particularly regarding environmental criteria that may result in additional points being awarded. This obligation for due diligence places public authorities at the forefront of the fight against greenwashing in public procurement.
Europe tightens the rules
The European Directive 2024/825 marked a significant step forward by banning certain greenwashing practices and imposing stricter transparency requirements for environmental claims. However, the European Union is not stopping there: new legislation is being prepared to more rigorously regulate the use of environmental labels and ensure that ecological claims are supported by objective and verifiable evidence.
Fewer promises, more proof
To mitigate the risks of greenwashing, contracting authorities can adopt several strategies. Rather than multiplying environmental criteria, it may be more effective to require a limited number of quantified, verifiable, and strictly monitored minimum environmental specifications. For example, instead of simply asking bidders to “minimise their environmental impact,” it is preferable to set precise targets, such as a minimum percentage of recycled materials used, the provision of recognised environmental certifications, or the submission of a carbon footprint report compliant with ISO standards.
From the business perspective, caution is also necessary. Companies must ensure that they highlight only genuine, demonstrable environmental benefits that go beyond the minimum legal requirements.
Rewarding authenticity, not superficial greenwashing
In conclusion, while public procurement operates within a more formal and transparent framework than private commercial relations, it remains vulnerable to greenwashing risks. This increased transparency is an asset in identifying and challenging misleading practices. By incorporating clear, measurable, and verifiable environmental criteria, public procurement can become a powerful tool for ecological transition – avoiding the pitfalls of greenwashing and rewarding companies that are genuinely committed to sustainability.
Authors:
Maxime Vanderstreaten & Simon Heijmans, NautaDutilh
