Slovakia - Sustainability claims and greenwashing
What are the top three developments in Slovakia concerning green claims and the associated risk of greenwashing?
There are currently different types of greenwashing claims in Slovakia, instances of which are becoming more and more common in light of an increased demand for green products. The established forms of greenwashing include making false or misleading claims, including in relation to labelling. In general, companies should comply with the code of ethics applicable to traders operating in Slovakia, or otherwise targeting Slovakian consumers. In addition, according to Slovak law, advertisements must not be misleading or deceptive, which is also applicable to instances of greenwashing in advertisements.
We set out below three key trends to be aware of when using green claims to market products or services to Slovak consumers.
1. Consumer Protection Regulations govern misleading green advertising claims
Pursuant to Act No. 147/2001 Coll. on Advertising, which lays down minimum qualitative requirements for advertising, and contains regulation of the competence of supervisory bodies over compliance with the provisions of this Act, each advertisement must comply with the requirements and rules laid down in this Act. If this Act is breached, sanctions take various forms including the prohibition of the particular advertisement in concern, the imposition of a financial penalty, or the issuing of a request for evidence to support the factual data in the advertisement.
As greenwashing is considered to represent a deliberate misleading of consumers, the problems associated with greenwashing can also be partially addressed through the Slovak Act No. 250/2007 Coll. on Consumer Protection which defines and further regulates unfair commercial practices.
In relation to entrepreneurs, the general legal regulation can also be found in provisions on unfair competition contained in the Slovak Commercial Code. In order to fulfil the essence of unfair competition, the cumulative satisfaction of various elements as defined by the Slovak Commercial Code is required. Assuming that the use of greenwashing fulfils the elements of unfair competition, parties who may be affected may demand against the infringer to refrain from such a conduct, to provide a remedy, and may also demand appropriate relief, indemnities and the surrender of any unjustified benefits.
On 22 March 2023, a Commission´s „Green Claims Directive“ adopted proposal was published. The proposal seeks to regulate environmental claims and labels and promote transparent communication to consumers. The adopted proposal for the Green Claims Directive will now be submitted for approval by the European Parliament and the Council through an ordinary legislative procedure.
2. The prevalence of Ecolabelling is increasing
Ecolabelling is a voluntary environmental policy tool that promotes the production and consumption of products that are more environmentally friendly throughout their life cycle. Eco-labels provide consumers with accurate, non-misleading and scientifically based information on the environmental impact of products. The conditions and procedure for the award and use of the national ecolabel are regulated by the Slovak Act No. 469/2002 Coll. on Environmental Labelling of Products. This label can offer guidance to consumers when purchasing a product, and may affect consumers’ purchasing decisions.
Since Slovakia became a member of the European Union in 2004, Slovak applicants have also been able to obtain the ‘EU Eco-Label’. The award of the European Eco-Label is carried out according to Regulation (EC) No 66/2010.
3. Self-regulation of advertising plays a key role in Slovakia
The aim of self-regulation is to supervise advertisements and to ensure that the ethical requirements of advertisements are met without the need for intervention by the state or a public authority. The Advertising Council was established in Slovakia as a body for the ethical self-regulation of advertisements. Its members include the media, advertising agencies and businesses. Consumers who suspect that traders are using greenwashing or other unethical behaviour in their advertising can complain to the Advertising Council. Alternatively, the Slovak Trade Inspection Authority may also intervene.
