“…(T)here are many ways that firms might inadvertently or intentionally greenwash carbon-utilizing products. There are also many different questions that stakeholders can ask to help uncover these strategies and understand if the firms have taken the proper steps to assert their environmental claims. While equipping customers, investors, employees, non-governmental organizations, and business partners with the appropriate tools and knowledge may help mitigate greenwashing, there is still an open question surrounding how to incentivize firms to avoid greenwashing before they ever engage in it.”
Identifying and Mitigating Greenwashing of Carbon Utilization Products
This new study by Grant Faber and Volker Sick explores strategies for identifying and mitigating greenwashing of carbon capture and utilization (CCU) technologies. A literature review was conducted to determine the most common forms of greenwashing, and the ‘seven sins’ (hidden trade-off, no proof, vagueness, worshiping false labels, irrelevance, lesser of two evils, and fibbing) along with the notion of executional greenwashing are explored in the context of CCU. A list of questions is provided to help stakeholders such as consumers, investors, non-governmental organizations, and employees uncover potential instances of greenwashing. The article concludes by exploring ways to disincentivize greenwashing of CCU products along with future areas of research.