The EU’s directive on Empowering Consumers for the Green Transition (ECGT), explained.

Quick Read 2min

The short version

The EU has had enough vague green promises.

The Directive on Empowering Consumers for the Green Transition (ECGT) is Europe’s latest move to clean up sustainability claims, restore trust, and make sure that when something is marketed as “green”, it actually is.

This is not a feel-good policy. It is a legal shift that changes what companies can say, how they say it, and what they must be able to prove.

And while it officially targets consumer protection, its ripple effects reach deep into product design, data, and internal operations.

Let’s unpack what it really means, why it matters, and why this is bigger than just banning the word “eco”.

What is the ECGT, really?

At its core, the ECGT is about truth, clarity, and accountability.

Formally, it amends two existing EU laws:

  • The Unfair Commercial Practices Directive
  • The Consumer Rights Directive

Practically, it does three big things:

  • Cracks down on greenwashing
  • Forces clarity around durability and repairability
  • Shifts the burden of proof onto companies, not consumers

For years, sustainability marketing has lived in a grey zone. Words like “green”, “sustainable”, or “climate neutral” were used freely, often without evidence. The EU’s own research found that over half of environmental claims on the market were vague, misleading, or unfounded.

The ECGT is the EU saying: that era is over.

"eco friendly cups" washed up on the beach.

Why this directive exists (and why now)

Consumers are confused.
Good companies are being undercut by bad claims.
And sustainability has become a marketing arms race instead of a measurable reality.

The ECGT is designed to reset that system.

It aims to ensure that:

  • Consumers can make genuinely informed choices

  • Sustainable products are not drowned out by empty claims

  • Environmental impact is treated as something you prove, not something you spin

Zooming out, this directive also fits into a much bigger EU ambition: moving from a throwaway economy to a circular one, where products last longer, can be repaired, and are designed with their full lifecycle in mind.

What the ECGT actually bans

This is where things get concrete.

The ECGT works on a “blacklist” principle. If a practice is on the list, it is illegal. Regulators do not need to prove intent or consumer harm.

Some of the most important bans include:

1. Generic green claims without proof

You can no longer use broad terms like:

  • “Green”
  • “Eco-friendly”
  • “Environmentally friendly”
  • “Climate friendly”

Unless you can demonstrate recognised excellent environmental performance, usually via an approved certification scheme.

Being “better than average” is no longer enough.

2. Self-made sustainability labels

Those reassuring little green icons brands invent for themselves? Not allowed.

Any sustainability label must:

  • Be based on a recognised certification scheme
  • Be independently verified
  • Meet clear transparency and governance standards

If a label looks official, it has to be official.

3. “Climate neutral” claims based on offsetting

This is a big one.

You can no longer claim a product is “carbon neutral” or “climate positive” if that claim relies on carbon offsetting alone.

Paying someone else to reduce emissions does not make your product neutral. Under the ECGT, only real, measurable reductions in your own value chain count.

4. Misleading claims about durability, repair, and software updates

You cannot:

  • Claim a product lasts longer than it does
  • Suggest a product is repairable if it is not
  • Hide software updates that reduce performance or lifespan

Planned obsolescence is not fully banned (more on that gap later), but misleading people about it is.

re-usable water bottles and sustainability

What the ECGT requires instead

The directive does not just say “don’t lie”. It also nudges companies toward better behaviour.

Key requirements include:

  • Clear information on product lifespan and durability
  • Transparency around repairability and spare parts, where information exists
  • Honest communication about software updates and functionality
  • Specific, verifiable environmental claims instead of vague promises

In short, say less, but say it better. And be ready to prove it.

What the ECGT does not do (yet)

This is important, and often glossed over.

The ECGT improves access to information, but it does not:

  • Force products to be more durable
  • Ban early obsolescence outright
  • Mandate better product design standards

Why? Because it is a consumer law. It targets sellers and marketing practices more than manufacturers and design choices.

This is where other regulations, like Ecodesign for Sustainable Products, are expected to do the heavier lifting. The ECGT closes the communication gap, not the entire system.

Still, that communication gap is where a lot of damage has been done.

Who needs to care about this

A common misconception is that this only affects EU companies. It does not.

If you sell to EU consumers, you are in scope. Full stop.

That includes:

  • Non-EU brands selling online into Europe
  • Global manufacturers supplying EU retailers
  • Marketplaces hosting non-compliant product claims

And even if you are strictly B2B, the pressure will reach you. Retailers will demand proof from suppliers because they carry the legal risk.

This is how consumer law quietly reshapes entire supply chains. If you'd like more on ECGT what you need to do, we'd be happy to offer you a free consultation call to discuss how this will affect your business and your practices. In the form notes please mention "ECGT article" contact us here.

When this becomes real

The timeline matters.

  • March 2024: The directive entered into force
  • March 2026: Member States must transpose it into national law
  • September 2026: Full application and enforcement begins

Any product, website, label, or campaign visible to EU consumers after that point must comply.

For organisations with complex products and data gaps, 2026 is here!

Why this is bigger than compliance

Yes, there are fines. Potentially up to 4 percent of turnover in a Member State. Yes, there is legal risk and reputational damage.

But zooming out, the ECGT represents something more fundamental.

It marks a shift from:

  • Sustainability as storytelling
    to
  • Sustainability as infrastructure

From marketing-led narratives to data-led reality.

For companies that have already invested in understanding their impact, this levels the playing field. For those that have relied on loose language, it is a wake-up call.

Where this leaves us

The ECGT is not perfect. It leaves gaps around early obsolescence and product design. But it is a meaningful step toward restoring trust in sustainability claims and giving both consumers and responsible businesses a fairer system.

In future posts, we will break this down further:

  • What this means in practice for businesses
  • What this changes for consumers making everyday choices
  • How to prepare without turning sustainability into a compliance nightmare

For now, one thing is clear.

If sustainability is part of how you show up in the world, it is no longer enough to mean well. You have to be able to show your workings.

If you'd like more on ECGT what you need to do, and have made it this far in the article we'd be happy to offer you a free consultation call to discuss how this will affect your business and your practices. In the form notes please mention "ECGT article" contact us here.