1% for the Planet and the Empowering Consumers for the Green Transition (ECGT) Directive

‍Empowering Consumers for a Healthier Planet 

The European Union's Empowering Consumers for the Green Transition (ECGT) Directive (Directive (EU) 2024/825) is a significant and necessary step toward ensuring that consumers have access to trustworthy, verified information about the environmental commitments of businesses. This legislation, which is fully applicable by September 27, 2026, is explicitly designed to combat greenwashing by setting stringent standards for the transparency and independent monitoring of all sustainability labels. This Directive applies to all companies—regardless of their location—that market products or services to consumers within the EU. 

At 1% for the Planet, accountability and transparency have been our core commitment for over two decades. We welcome the ECGT Directive and are prepared to ensure our certification continues to be a trusted, verifiable symbol for consumers who want to support businesses that are genuinely committed to environmental impact. Our model is already a powerful fit for compliance, positioning our members ahead of the curve globally.

How 1% for the Planet is Aligning with the ECGT

For more than 20 years, our mission has been to accelerate smart environmental solutions and prevent greenwashing—a core objective of the EU's new Directive. The ECGT sets a necessary standard for integrity, and we are proactively strengthening our model not just to comply, but to define industry best practice.

The foundation of our model is already well-aligned, but we are currently undertaking a comprehensive, expert-led review to ensure all processes meet the ECGT’s stringent requirements for sustainability labels.

  • Verified, Actionable Commitment: Our membership requires a mandatory annual commitment to contribute at least 1% of annual sales directly to environmental solutions. To date, we’ve certified over $823 million in impact—a measurable, unambiguous commitment that stands in direct contrast to vague "green" claims prohibited by the ECGT.
  • Elevating Certification Rigor for ECGT Standards: The Directive mandates that any sustainability label be backed by a system in which compliance is monitored by a third-party independent from the scheme owner, and that the scheme's requirements are developed with expert stakeholder input. We are diligently reviewing the requirements to ensure we align with the below:
    • Independent Third-Party Certification Review: Our legal and operational teams are conducting a detailed review of the ECGT's requirements for third-party independence in our certification process and we are vetting external, accredited auditors for final compliance verification.
    • Vetted Network and Standards Development: The ECGT requires that certification standards (like our partner-vetting methodology) are developed with transparency and expert input. We are reviewing our processes to ensure that our 20 years of robust partner vetting is formally validated by external experts. 
    • Logo Use and Communication: We are reviewing the ECGT's specific rules concerning the proper display and communication of sustainability labels (our logo) in consumer-facing materials. We will update our member guidelines and share findings as soon as our legal review is complete.
  • Clear and Consistent Standard: The "1% of annual sales" requirement provides a clear, universally understood figure, which the ECGT favors over generic, unsubstantiated claims.
  • Credibility and Trust: By proactively engaging with the ECGT’s most stringent requirements, we are securing the credibility of our members and mitigating the risk of greenwashing, demonstrating that 1% for the Planet is ahead of the curve in the global fight for transparency.

Strengthened Credibility and Resources

As the ECGT takes full effect, consumers will become increasingly vigilant, actively seeking trusted labels backed by independence and proof. 1% for the Planet membership will stand out as a clear, independently verifiable symbol of your commitment and genuine action. By meeting our high standards, our members take a critical step to protect their own brand reputation and significantly reduce their individual risk of being penalized in the EU for greenwashing. Under the new Directive, it is the member business that faces substantial fines if its environmental claims are found to be misleading.

Guidance: Avoid Generic Environmental Claims

The ECGT specifically prohibits businesses from using broad, non-specific claims about environmental benefits that cannot be scientifically proven across the entire product or company. Since the 1% for the Planet certification verifies a financial commitment—not the product's environmental footprint—it is crucial that members adhere to the following marketing best practices:

  • Avoid Prohibited Claims: Do not use vague, sweeping terms without separate, detailed and verifiable evidence. These are often generic and are explicitly prohibited under the ECGT.
  • Focus on Action and Specificity: When communicating your commitment, be precise. Always use language that highlights the verified financial action and its destination:
    • USE: "This product supports our commitment to contribute 1% of annual sales to verified environmental solutions, as certified by 1% for the Planet."
    • AVOID: "This sustainable, eco-friendly product supports our 1% contribution."

Access to EU Resources

We will be providing members with updated brand guidelines and messaging to help communicate the 1% commitment in a way that is fully compliant with the new regulations, specifically addressing the prohibition of generic "green" claims. We expect to have these detailed guidelines available in February 2026.

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