The danger of green sheen

We all know that combatting climate change begins at the individual level. But if global sustainability goals are to be achieved, businesses must pivot towards becoming truly sustainable at all levels of their operations, from the ingredients and materials in their products to how they are packaged and distributed.

According to a report carried out by Accenture earlier this year called “The Sustainable Consumer: Bridging the Gap Between Aspiration and Action”, 80 per cent of people want to live more sustainably. Yet people feel they are unable to match their actions to their ambitions, with 75 per cent saying it is too hard and 92 per cent feeling that businesses should do more to help consumers be more eco-friendly.

The ways Irish people expect businesses to be more sustainable include making a conscious effort to reduce waste (52 per cent), reducing their carbon footprint (28 per cent) and committing to ethical work practices (20 per cent). Consumers are voting with their feet on this - the report also found that 40 per cent of people have deliberately stopped purchasing from a brand that they felt wasn’t eco-friendly.

Research also consistently finds that consumers across all generations are willing to pay more for sustainable products than retailers had expected.

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Yet with this shift in attitudes comes the danger of the “green sheen” - the veneer of sustainability that the use of phrases such as “eco-friendly” and “sustainably-sourced” can suggest. Critics warn that brands who highlight token initiatives in order to look like a more ethical choice will soon be forced to adhere to strict regulations in this area.

According to Stephen Prendiville, EY Ireland Head of Sustainability, most companies are initially focusing on the low-hanging fruit when it comes to being more sustainable.

“The majority of clients are currently considering their packaging and distribution approaches first before considering redesign or choosing different materials in their products,” he says. “This is in part a function of what is being targeted immediately by regulation, i.e. packaging, versus what is to be encouraged over the medium term by decarbonisation goals, which is product transformation.”

Prendiville admits that many businesses with a “sustainable” or “green” product have a “blind spot” for their own operations; “only to find this out when they approach the finance market, for example”. Meanwhile, looking at the supply chain is for many the next major step in their sustainability journeys but he notes that few organisations have reviewed their supply chains recently for sustainability - instead they have been focused on resilience and robustness post-pandemic.

Prendiville is careful to stress that product “miles” are only one part of the product carbon footprint. “What is important is not to knee-jerk into a situation where we are pursuing a ‘minimal miles’ mentality but actually the carbon footprint of the product is higher than an overseas alternative,” he says. “That is not to say that miles should not be considered critically - such as using air vs sea for distribution - but it is important that the carbon footprint is fully understood for decision making.”

Ultimately, the shift towards a circular economy and decarbonisation will demand a new relationship to consumables and products, one that will ultimately result in fewer products being created from virgin material, Prendiville says. “This is the critical item – the right to repair will be enshrined through European legislation in the coming months. Retailers’ net zero and sustainability strategies can be anticipated to promote more sustainable products on their shelves over the medium term. But today, this is a regulation-driven agenda item.”

Kieran Campbell is the market lead for Polestar Ireland, which manufactures electric cars. He believes that environmentally-conscious motorists are keen to make the move to EVs, declaring: “With zero carbon emissions from EVs, we know that being an EV owner is much better for the planet and our environment.” While critics have pointed out that the electricity that powers an EV most likely comes from fossil fuels, this argument becomes increasingly redundant as more clean energy, such as wind and solar, is used to power grids.

Polestar is aiming to do even better by building a climate-neutral car by 2030, says Campbell. “We intend to reach our goal by focusing on climate neutrality, circularity, transparency and inclusion.” To this end, they are exploring ways of improving EV battery sustainability via repair, refurbishment and repurposing and they are also using blockchain to trace risk minerals and promote an ethical and transparent supply chain. Employees must also walk the walk - quite literally, as each one wears vegan shoes.

“In Polestar, each employee is facing the same direction, working as one global organisation to make real what we talk about,” says Campbell. “It’s critical that we make the change together for our collective future.”