Unveiling the Truth: Plastic Recycling Initiatives – “Greenwashing vs. Sustainable Impact”

Article written by the Sustainable Consumption and Food Production team at ThirdWay Partners.

In this era of heightened environmental consciousness, plastic bottle recycling initiatives have become ubiquitous. Yet, beneath the surface, do they truly live up to their promises? Join us as we delve into this subject, navigating the fine line between greenwashed marketing stunts and genuine sustainability endeavors.

The Challenge at Hand

Plastic pollution looms as a global crisis, prompting numerous companies to embrace plastic recycling initiatives. While many are genuine in their endeavors, some have succumbed to the allure of "greenwashing" – either unwittingly or by donning the cloak of environmental responsibility to mask the ecological footprint of their economic pursuits. Our goal is to equip sustainability managers in Fast-Moving Consumer Goods (FMCG) companies with the discernment to distinguish between mere lip service and a resolute commitment to circularity, driving initiatives that usher in lasting, positive change.

Navigating the Greenwashing Maze

Greenwashing, the effort of peddling exaggerated or false claims about the eco-friendliness of products or initiatives, is a marketing strategy rather than a genuine sustainability commitment. Discerning it within the FMCG industry can be challenging, but we have pinpointed telltale signs:

  • Exaggerated Claims: Savvy sustainability experts scrutinize claims that extend beyond the evidence. Companies proudly touting "100% recyclable materials" must substantiate such declarations with clear data on the recycling process's efficacy and results.

  • Vague Terminology: Seasoned industry professionals steer clear of vague terms like "eco-friendly," "natural," or "green" when these lack concrete details. They recognize that these terms, often shaped by marketing teams, can obscure a company's true efforts.

  • Lack of Transparency: In the world of sustainability, transparency is key. A deficiency in accessible, granular and verifiable information regarding material traceability, sourcing, processes, and overall impact on communities and the environment can serve as a red flag for greenwashing.

To illustrate the chasm between greenwashing and genuine sustainability practices, we turn to a pressing environmental issue: plastic waste management. Examining initiatives by two companies reveals what's at play when assessing the authenticity of sustainability claims within the same industry.

Initiative 1: The Plastic Bottle Recycling Green Revolution Campaign by Company #1

Greenwashing: Company #1's flashy campaign promised to "save the planet" through plastic bottle recycling.

Reality: Despite the campaign, Company #1 continued to churn out single-use plastic bottles en masse, exacerbating plastic pollution. Their recycling program primarily converted bottles into lower-grade plastics for single-use items, perpetuating the very problem they claimed to solve.

Leading the Charge in Sustainable Practices

Now, let's shift our attention to initiatives that genuinely drive change and which ThirdWay Partners has contributed to in terms of impact advisory, implementation support and overall project management to help the company attain its sustainability goals.

Initiative 2: A New Dawn in Plastic Bottle Recycling by Company #2

Genuine Sustainability: Company #2, with years of experience, crafted a comprehensive ESG  strategy that addressed identified issues. Their initiatives spanned multiple pillars, each with well-defined targets. Furthermore, Company 2 is researching innovative new packaging technologies and materials, leveraging partnerships with NGOs, and other businesses to proactively establish recycling ecosystems, which go beyond their own products, all while contributing to establishing a more closed loop recycling ecosystem. The company not only reduced the production of single-use virgin plastic bottles but also introduced solar-powered distributors and plastic waste collection schemes in communities where they operate. One key example of this is the financial and technical support that Company 2 has offered to help formalize the work of hundreds of informal waste pickers through the creation of multiple cooperatives in several cities, which helped them securea legal structure to operate,  better revenues, and improved working conditions. Being transparent about their progress, Company 2 regularly communicates their progress towards sustainability goals via detailed annual ESG reports.

Measuring Impact: The Environmental Footprint Assessment

To ascertain a company's dedication to sustainability, consider the environmental footprint assessment. This comprehensive evaluation analyzes resource consumption, waste generation, and carbon emissions.

At the Core of Sustainability

Companies genuinely committed to sustainability embrace these practices:

  • Reduction: Sustainability isn't just about recycling; it's about reducing environmental footprints. These companies prioritize lessening virgin plastic production and consumption throughout the supply chain, enhancing industrial processes to reduce resource consumption.

  • Innovation: Investment in sustainable alternatives, like biodegradable materials or reusable packaging, is a priority. Research into sustainable packaging designs is part of the roadmap to a less plastic-dependent future.

  • Transparency: They openly share detailed information about supply chains, materials, and processes. Accountability for past and current environmental impact is a hallmark, often involving collaborations with reputable sustainability institutions.

In conclusion, plastic bottle recycling initiatives are vital in our battle against pollution. Differentiating between greenwashing and genuine sustainability is paramount for companies, investors, and advisors venturing into sustainability journeys or evaluating market players. By delving deeper into the sustainability practices of firms, we empower ourselves to reward companies genuinely committed to reducing their environmental footprint and contributing to a cleaner and greener world for all, today and for future generations.

Kone Eburajolo