Do brands actually care about the environment or is it a marketing tactic?

Climate change has become an urgent global issue and, as one of the most vulnerable countries in the world, Pakistan faces significant risks, some of which have already manifested in the form of super floods, torrential rains and intense heat waves. Pakistan’s Ministry of Climate Change has been implementing a national policy on climate change since 2012 and has agreed to contribute to global efforts to reduce emissions, in line with the 2015 Paris Climate Agreement. In this fight against change climate, private sector companies bear a great responsibility and several brands have launched initiatives in this direction. However, the question remains: are brands actually doing enough to raise awareness and take necessary action, or are they only making superficial commitments?

Is sustainability simply a CSR initiative?

While most brands have taken positive initiatives, many have done so as part of their CSR efforts – and perhaps primarily to highlight those efforts in their annual reports. This is not to say that these efforts are insincere, but it does raise the question of why these brands have not integrated sustainable business practices as part of their operations, rather than limiting these initiatives to CSR. By adopting sustainable practices, their CSR efforts will have more weight and reinforce their commitments. For example, the Green Office Project, an initiative of WWF-Pakistan, certifies companies that follow sustainable practices and measures them against specific criteria. K-Electric, Engro, Fatima Fertilizers, PTCL and Gul Ahmed are among the brands participating in this project.

How much is enough?

Even though some companies’ operations depend on practices that are not always environmentally friendly, there are steps that can be taken to mitigate the negative effects. In 2021, approximately 44% of consumers worldwide said they were more likely to purchase from brands committed to sustainability. Nestlé has taken a series of impactful initiatives in this area. In 2023, the company invested two billion rupees to establish a 2.5 MW solar power plant at its Kabirwala factory – a move expected to reduce greenhouse gas emissions by around 1,800 tonnes per year. The company also engages in promoting drip irrigation systems and water management initiatives. On the consumer side, Nestlé now uses paper straws. Unilever has also made a significant commitment to tackling plastic waste, aiming to achieve 100% plastic neutrality by next year, and is currently claiming 50% plastic neutrality.

While these are steps in the right direction, many companies often face significant criticism for their environmental practices in their business operations. Imagine a fashion brand that launches an “eco-friendly” clothing line, a good initiative, but continues to use unsustainable production practices. The main point is simply missed. In this regard, the Break Free from Plastic Coalition’s Global Brand Audit Report for 2023 named several large companies as the biggest polluters, including Coca-Cola, Nestlé, Unilever, PepsiCo, P&G and British American Tobacco. The report highlights that although these companies have reported efforts to improve plastic recycling, the reality is that less than 10% of plastics are recycled.

The dangers of “greenwashing”

As sustainability becomes a consumer preference, brands are looking for ways to strengthen their commitment to the cause. However, there is always a risk of greenwashing: when a company appears to be following green practices but fails to do so, creating a potential credibility gap. For example, earlier this year, the Competition Commission of Pakistan (CCP) took action against 12 beauty companies for advertising their products as ‘organic’, ‘chemical-free’ and ‘natural’. , without providing any scientific evidence to support this decision. these demands. Companies that engage in such practices only take these risks when constraints and pressures from consumers are weak. Unlike markets in Europe and North America, Pakistani consumers do not demand strict sustainability practices from the brands they purchase. This allows brands to escape scrutiny and make superficial environmental claims without substantive follow-up. Furthermore, although climate policies are in place, their enforcement within the business world remains weak.

Small businesses, big steps

Several start-ups and local businesses have made sustainable practices a central part of their operations. They include EcoPak, CodeGreen PK, Aabshar, MyWater and Breathe IO. TrashIt, a sustainability-focused startup, offers on-site composting consultations and alternatives to incineration. In conclusion, even though many companies are taking initiatives in favor of sustainable development, a large majority still do not prioritize concrete actions to combat climate change. A real difference can only be made when all companies move beyond superficial claims and integrate real long-term sustainability efforts into their operations – at least partially, if not completely.

-In association with ANN