Sustainability claims on packaging, websites and advertising are under scrutiny. From September 2026, new EU rules make it illegal to use vague, unsubstantiated or misleading environmental claims when communicating with consumers. The Empowering Consumers Directive, formally known as EU Directive 2024/825 or the EmpCo Directive, sets clear boundaries on what companies can and cannot say about the sustainability of their products and services.
We help organisations understand what the directive requires, assess where their current claims and labels stand, and build the internal processes needed to communicate sustainability in a way that is credible, compliant and future-proof.
What is the Empowering Consumers Directive?
The Empowering Consumers Directive (EU 2024/825) is a piece of EU legislation designed to protect consumers from misleading environmental and sustainability claims. It entered into force on 26 March 2024 and will become enforceable across all EU member states from 27 September 2026.
The directive does not create an entirely new legal framework. Instead, it strengthens two existing laws: the Unfair Commercial Practices Directive (UCPD), which sets rules on misleading commercial practices, and the Consumer Rights Directive (CRD), which governs the information consumers receive before making a purchase.
The European Commission found that more than half of all environmental claims made in the EU are vague, misleading or unsubstantiated. The EmpCo Directive responds to this by introducing binding rules on how companies may make environmental, social and circularity claims. It applies to all consumer-facing communications, product packaging, advertising, websites, social media and point-of-sale materials.
The directive is part of the broader European Green Deal, the EU's strategy to make the European economy more sustainable. It sits alongside other regulations such as the Ecodesign for Sustainable Products Regulation (ESPR) and the proposed Green Claims Directive.
What does EmpCo prohibit?
The directive expands the list of prohibited commercial practices under the Unfair Commercial Practices Directive. It introduces specific rules for environmental, social and circularity claims. The following practices are prohibited in all cases.
Generic environmental claims
Terms such as "eco-friendly", "green", "sustainable", "nature's friend" or "environmentally conscious" are no longer permitted unless the company can demonstrate recognised excellent environmental performance relevant to that specific claim. Vague colour-coding or imagery that implies sustainability without evidence is treated the same way.
Offset-based neutrality claims
Claiming that a product is "carbon neutral" or has a "reduced environmental impact" based on the offsetting of greenhouse gas emissions is prohibited. Offset-based claims are only allowed if the scope and methodology are fully transparent, clearly explained to consumers, and independently verified.
Sustainability labels without certification
Sustainability labels, trust marks and certification seals may only be displayed if they are based on a publicly recognised certification scheme or established by public authorities. The scheme must be independently verified by a third party, transparent in its requirements, and open to all traders willing to comply. Private labels that do not meet these criteria can no longer be used.
Future performance claims without a plan
Forward-looking statements such as "we will be carbon neutral by 2030" or "our packaging will be fully recyclable by 2027" are prohibited unless they are backed by a concrete, publicly available implementation plan. That plan must include measurable and time-bound targets and be regularly verified by an independent third party.
The directive also prohibits planned obsolescence, designing products to fail prematurely or restricting the use of compatible spare parts. Advertising a legal requirement as a unique product benefit is also explicitly banned. For example, promoting a standard two-year warranty as a special feature, when it is required by EU law for all products, is considered misleading.
What does EmpCo require?
Beyond what is prohibited, the directive introduces positive obligations on how companies must communicate with consumers.
Every sustainability claim must be specific, evidence-based and traceable. Where a claim relates to a specific part of a product, it must be clearly scoped, not presented as applying to the whole product. Comparative claims, such as "30% less carbon than the previous version", must disclose the comparison method, the products compared and how the information is kept up to date.
Under the amended Consumer Rights Directive, traders must provide consumers with clear information before the point of sale about product durability, repairability, spare parts availability and software update periods. A harmonised EU label for commercial durability guarantees will also be introduced for products that offer more than the standard two-year legal warranty.
These requirements apply across all consumer-facing communications. A company does not need to be headquartered in the EU to be affected. If it sells to or communicates with EU consumers, the directive applies.
Who does EmpCo apply to?
The directive applies to all companies that market products or services to consumers in the EU, regardless of size or country of establishment. It primarily governs business-to-consumer (B2C) communications, covering any claim made in advertising, on packaging, on websites, in social media or at the point of sale.
Some EU member states, including Germany, may extend certain provisions to business-to-business (B2B) contexts under national law. It is therefore important to assess compliance obligations country by country for organisations operating across multiple European markets.
Non-compliance can result in fines of up to four percent of annual turnover in the relevant EU member state, or a minimum of two million euros where turnover data is unavailable. Greenwashing violations also carry significant reputational risk, as enforcement actions and consumer complaints become more visible.
EmpCo timeline
28 February 2024 — Directive adopted by the European Parliament and Council. 26 March 2024 — Directive enters into force. 27 September 2025 — European Commission specifies the design of the harmonised durability notice and label. 27 March 2026 — Deadline for all EU member states to transpose the directive into national law. 27 September 2026 — Directive becomes enforceable. All rules apply to companies operating in the EU. 27 September 2031 — European Commission reviews the application of the directive.
EmpCo and the broader EU regulatory landscape
The Empowering Consumers Directive does not stand alone. It is part of a wider set of EU regulations reshaping how companies design, produce and communicate about their products.
The Ecodesign for Sustainable Products Regulation (ESPR) sets requirements for how products are designed and how their environmental performance must be documented. The EmpCo Directive governs how that performance is communicated to consumers. The two regulations are complementary: what ESPR requires companies to measure and prove, EmpCo requires them to communicate accurately.
The Digital Product Passport (DPP), introduced under ESPR, will make detailed product sustainability data available in a standardised format. This creates both an obligation and an opportunity: companies with well-documented product data will find it easier to substantiate consumer-facing claims under EmpCo.
The proposed Green Claims Directive is a separate piece of legislation that would introduce more detailed scientific substantiation requirements for environmental claims and stricter governance rules for labelling schemes. It is currently under negotiation at EU level and its final form remains uncertain. The EmpCo Directive is already adopted and will apply from September 2026 regardless of the outcome of those negotiations.
For companies also working towards the Corporate Sustainability Reporting Directive (CSRD), B Corp certification or Cradle to Cradle (C2C) certification, EmpCo compliance connects naturally to work already underway. The evidence base built for sustainability reporting and product certification provides a strong foundation for substantiating consumer-facing claims.
Our approach to EmpCo compliance
EmpCo compliance is not a marketing adjustment. It requires a structured response that spans sustainability, legal, communications, product development and procurement teams. Many organisations will find that their current sustainability claims were developed without a formal evidence base, that some labels in use do not meet the new certification criteria, or that forward-looking commitments lack the documented implementation plans the directive now requires.
We work with organisations to navigate EmpCo in a structured and manageable way, starting from where they are today.
The first step is mapping the full landscape of existing sustainability claims and labels. This includes product packaging, advertising materials, websites, social media, annual reports and any other consumer-facing communication. This inventory forms the basis for a gap and risk analysis, assessing which claims are well-substantiated, which carry compliance risk, and which labels meet the new certification scheme requirements.
From there, we support organisations in building the evidence base and governance processes needed to support their claims. This includes aligning with relevant certification schemes, establishing documentation standards, clarifying internal responsibilities and defining processes for the ongoing monitoring and updating of claims.
Where forward-looking commitments are part of the communication strategy, we help develop the implementation plans and third-party verification processes the directive requires. We also work with organisations that want to go further, using EmpCo as a starting point for a more integrated approach to sustainability communication, connecting the credibility of their claims to the underlying performance of their products, operations and value chain.
Partner with us for EmpCo readiness
Sustenuto is a team of sustainability experts working at the management level of organisations across Europe. We combine deep knowledge of EU sustainability regulation with a practical, collaborative approach, working closely with your teams to translate regulatory requirements into workable steps.
We see the Empowering Consumers Directive not as an isolated compliance exercise, but as part of the broader transition towards sustainability communication that is grounded in real performance. Organisations that build this foundation now will be better positioned for the regulatory and market expectations that follow.
Frequently asked questions
What is the EmpCo Directive?
The Empowering Consumers Directive (EU 2024/825) is an EU directive that amends existing consumer protection law to address misleading environmental claims and unreliable sustainability labels. It entered into force in March 2024 and becomes enforceable across all EU member states from 27 September 2026.
What is the difference between EmpCo and the Green Claims Directive?
The Empowering Consumers Directive is already adopted and amends existing consumer protection law. It bans specific misleading practices and sets rules for sustainability labels and forward-looking claims. The Green Claims Directive is a separate, still-pending proposal that would introduce more detailed scientific substantiation requirements. EmpCo applies from September 2026 regardless of the outcome of the Green Claims Directive negotiations.
Which companies does EmpCo apply to?
The directive applies to all companies that market products or services to consumers in the EU, regardless of where the company is based. It covers all consumer-facing communications, including packaging, advertising, websites and social media. Non-EU companies that sell to EU consumers are also in scope.
What claims are no longer allowed under EmpCo?
Generic terms such as "eco-friendly", "green" or "sustainable" without evidence of excellent environmental performance are prohibited. Offset-based neutrality claims, unverified sustainability labels, and forward-looking environmental commitments without a documented and independently verified implementation plan are all restricted or banned.
What are the penalties for non-compliance?
Member states are required to set maximum fines of at least four percent of a company's annual turnover in the relevant EU member state for violations of the Unfair Commercial Practices Directive, which the EmpCo Directive amends. Where turnover data is unavailable, fines of at least two million euros apply.
How does EmpCo relate to B Corp and C2C certification?
Sustainability certifications such as B Corp and Cradle to Cradle (C2C) are based on independent third-party verification and meet the core criteria of a recognised certification scheme under EmpCo. Companies holding these certifications are in a strong position to use them in consumer-facing communications. We can help assess how your existing certifications align with the directive's requirements and where additional substantiation may be needed.
