EU's Circular Economy Plan Pushes Businesses Towards Sustainable Practices and Verified Green Claims

December 23, 2024
EU's Circular Economy Plan Pushes Businesses Towards Sustainable Practices and Verified Green Claims
  • The European Union has been actively promoting a circular economy model, notably through Ursula von der Leyen's New Circular Economy Action Plan adopted in 2020.

  • Since 2020, new legislation has introduced requirements for companies in the EU to transition from the traditional linear economic model of make, take, and dispose.

  • Businesses are increasingly pressured to adopt circular economy practices to enhance sustainability and reduce waste.

  • Companies must adapt to evolving regulations and consumer expectations regarding sustainability, with the EU's Green Claims Directive requiring verified claims.

  • Key legislative frameworks include directives on waste shipments, sustainable batteries, clothing, construction products, and green claims to prevent misleading environmental claims.

  • Despite the push for sustainability, only 9% of all plastics produced had been recycled by 2015, underscoring the urgent need for improved recycling systems.

  • Plastics are a central focus in the circular economy strategy, which aims to reduce their usage and enhance recycling efforts rather than imposing outright bans.

  • Third-party certification schemes like ISCC Plus provide companies with a means to validate their sustainability claims, enhancing consumer trust and potentially opening new market opportunities.

  • The ISCC Plus certification helps trace the lifecycle of materials, ensuring sustainability and reducing reliance on finite resources.

  • The ISCC EU scheme verifies the sustainability of biofuels, while the new Packaging and Packaging Waste Directive mandates sustainable packaging practices.

  • Non-mandatory certifications can serve as effective marketing tools, attracting environmentally-conscious consumers and improving access to funding for sustainable initiatives.

  • The Ellen MacArthur Foundation collaborates with ISCC to address the ecological impact of plastic, promoting circular solutions that could significantly lower CO2 emissions and save costs across various sectors by 2030.

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