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Home » EU’s Largest Party Calls to Scrap Anti-Greenwashing Law Over Business Burden Concerns
ESG & Sustainability

EU’s Largest Party Calls to Scrap Anti-Greenwashing Law Over Business Burden Concerns

omc_adminBy omc_adminJune 19, 2025No Comments3 Mins Read
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The EPP Group formally opposes the Green Claims Directive, citing excessive complexity and regulatory burden.

Lawmakers argue the directive lacks a proper cost-benefit analysis and fails to justify its impact on businesses.

A key point of contention is the pre-approval mechanism for environmental claims, deemed inconsistent with EU market norms.

In a formal letter to Commissioner Jessika Roswall, the European People’s Party (EPP) has called for the complete withdrawal of the EU’s proposed Green Claims Directive (GCD), citing significant concerns over administrative burden, legal coherence, and lack of regulatory justification.

The EPP, the largest political group in the European Parliament, emphasized that it does support efforts to curb greenwashing and empower consumers to make informed environmental choices. However, it stated unequivocally:
“It is the carefully considered position of the EPP Group that we will not support any trilogue outcome.”

At issue is the GCD’s perceived failure to meet the EU’s Better Regulation standards. The directive, introduced by the European Commission in March 2023, aims to ensure businesses substantiate environmental claims with scientific evidence and third-party verification. Yet the EPP warns that these requirements could backfire.
“The GCD risks unduly hindering sustainability communication through procedures that are overly complex, administratively burdensome, and costly,” wrote MEPs Arba Kokalari and Danuše Nerudová.

RELATED ARTICLE: EU Greenhouse Gas Emissions Fall 3% in First Quarter while Economy Grew

The lawmakers criticize the absence of a proper impact assessment, stating the Commission has not demonstrated that the benefits of the directive outweigh its costs.
“There is, quite simply, no dedicated cost-benefit analysis or supporting data underpinning the ambitious system proposed by the GCD,” they argued.

One of the most controversial provisions is the proposed pre-approval requirement for environmental claims, which the EPP deems both unprecedented and problematic.
“Pre-approval of claims is not a standard mechanism in the internal market and is not applied across sectors,” the letter states. “It may set a precedent that is difficult to reconcile with our broader objectives of regulatory coherence, competitiveness and administrative simplification.”

Despite backing the Directive on Empowering Consumers for the Green Transition earlier this year, the EPP now views the GCD as inconsistent with EU goals on regulatory efficiency. With trilogue negotiations imminent, the directive’s fate may hinge on whether EU institutions can address the EPP’s concerns—or risk losing vital parliamentary support.

Nebojím se ozvat. Se švédskou kolegyní @ArbaKokalari jsme jako stínové zpravodajky za EPP požádaly Evropskou komisi o stažení návrhu směrnice o ekologických tvrzeních (Green Claims). Navrhovaná verze je příliš složitá, nákladná a chybí jí dopadové studie.

Přitom právě méně… pic.twitter.com/PW3VJrh1Mr

— Danuše Nerudová (@danusenerudova) June 18, 2025

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