Net Zero Compare

Eco-Labels and Certifications: Understanding Environmental and Ethical Standards

Polina Martinuka
Written by Polina Martinuka
Published September 3rd, 2024
Eco-Labels and Certifications: Understanding Environmental and Ethical Standards
10 min read
Updated September 5th, 2024
Our principle

Cut through the green tape

We don’t push agendas. At Net Zero Compare, we cut through the hype and fear to deliver the straightforward facts you need for making informed decisions on green products and services. Whether motivated by compliance, customer demands, or a real passion for the environment, you’re welcome here. We provide reliable information—why you seek it is not our concern.

In an increasingly eco-conscious world, consumers are becoming more aware of the impact their purchases have on the environment and society. Eco-labels and certifications are essential tools that help guide these informed decisions. They provide a way to identify products that meet certain environmental and ethical standards, allowing consumers to support companies that prioritize sustainability.

What are Eco-Labels and Certifications?

Eco-labels and certifications are symbols or marks on product packaging that indicate the product meets specific environmental and ethical criteria. These labels are typically awarded by independent organizations, ensuring that the standards are applied consistently and transparently. They cover a wide range of issues, including environmental impact, labour practices, animal welfare, and more.

Types

1. Environmental Labels

These labels focus on the environmental impact of a product throughout its life cycle, including energy use, resource consumption, and pollution.

  • Energy Star:

    • Purpose: Indicates energy efficiency in electronics, appliances, and buildings.

    • Benefit: Helps consumers reduce energy consumption, save on utility bills, and lower greenhouse gas emissions.

  • Forest Stewardship Council (FSC):

    • Purpose: Certifies that wood, paper, and other forest products come from responsibly managed forests.

    • Benefit: Promotes sustainable forestry practices that protect biodiversity, waterways, and the rights of indigenous peoples.

  • Rainforest Alliance Certified:

    • Purpose: Ensures agricultural products are produced using methods that protect ecosystems, conserve water, and promote sustainable livelihoods.

    • Benefit: Supports biodiversity and improves the lives of farmers and their communities.

  • Ecolabel (EU Ecolabel):

    • Purpose: Covers a wide range of products, from cleaning supplies to textiles, certifying that they meet high environmental standards throughout their life cycle.

    • Benefit: Reduces environmental impact by encouraging sustainable production and consumption patterns.

  • Green Seal:

    • Purpose: Certifies a wide range of products, including cleaning supplies, paints, and paper, that meet rigorous environmental standards throughout their life cycle.

    • Benefit: Encourages the production and use of environmentally preferable products, reducing harmful impacts on the environment.

  • Blue Angel (Blauer Engel):

    • Purpose: The world's oldest environmental label, originating in Germany, it certifies products and services that are environmentally friendly, covering everything from paper to electronics.

    • Benefit: Promotes sustainable production and consumption by identifying products with lower environmental impact.

  • Nordic Swan:

    • Purpose: A leading eco-label in the Nordic countries, it certifies products with reduced environmental impact across their life cycle, including household products, paper, and cosmetics.

    • Benefit: Ensures that certified products are among the most environmentally friendly in their category.

  • WaterSense:

    • Purpose: A U.S. EPA program that certifies products that are water-efficient, such as faucets, toilets, and irrigation systems.

    • Benefit: Helps consumers conserve water and reduce utility bills by identifying products that use less water without sacrificing performance.

2. Organic Certifications

Organic certifications focus on food, textiles, and other products produced without synthetic chemicals, GMOs, or harmful farming practices.

  • USDA Organic:

    • Purpose: Certifies that a product is made with at least 95% organic ingredients and adheres to strict guidelines on pesticide use, soil health, and animal welfare.

    • Benefit: Ensures food safety, environmental protection, and better animal treatment.

  • EU Organic:

    • Purpose: Similar to USDA Organic, this certification applies to products sold within the European Union, ensuring adherence to organic farming practices.

    • Benefit: Supports sustainable agriculture, biodiversity, and consumer health.

  • Soil Association Organic (UK):

    • Purpose: Certifies organic food, textiles, and beauty products in the UK, focusing on sustainability, animal welfare, and avoiding synthetic inputs.

    • Benefit: Promotes healthy ecosystems and responsible farming.

3. Fair Trade Certifications

These certifications ensure that products are made under fair labour conditions, providing better prices, decent working conditions, and fair terms of trade for farmers and workers.

  • Fairtrade International:

    • Purpose: Ensures that products like coffee, cocoa, and bananas are produced under fair labour conditions, with sustainable farming practices.

    • Benefit: Empowers farmers and workers, ensuring fair wages, community development, and environmental stewardship.

  • Fair Trade Certified (USA):

    • Purpose: Similar to Fairtrade International but specific to the U.S. market, covering a wide range of products.

    • Benefit: Improves the livelihoods of workers and promotes ethical supply chains.

  • Fair for Life:

    • Purpose: A broader certification covering social responsibility, fair trade, and environmental sustainability across the entire supply chain.

    • Benefit: Ensures ethical practices from production to final sale, benefiting workers and protecting the environment.

4. Animal Welfare Certifications

These certifications focus on the humane treatment of animals in food production, ensuring they are raised in environments that meet their physical and psychological needs.

  • Certified Humane:

    • Purpose: Certifies that animals are raised under humane conditions, with access to clean water, nutritious food, and shelter.

    • Benefit: Ensures the welfare of farm animals, reducing stress and suffering.

  • Animal Welfare Approved:

    • Purpose: Offers the highest standards for farm animal welfare and environmental sustainability, with strict guidelines on how animals are raised.

    • Benefit: Promotes farming practices that respect animals and the environment.

  • Leaping Bunny:

    • Purpose: Indicates that no animal testing was conducted in any phase of product development, commonly seen on cosmetics and personal care items.

    • Benefit: Supports cruelty-free products, protecting animals from unnecessary suffering.

5. Social and Environmental Certifications

These certifications encompass broader social and environmental criteria, often covering the entire lifecycle of a product.

  • Cradle to Cradle Certified:

    • Purpose: Assesses products based on their safety, circularity, and impact on humans and the environment, covering material health, recyclability, renewable energy, water stewardship, and social fairness.

    • Benefit: Encourages products that are designed for a circular economy, minimizing waste and environmental harm.

  • B Corp Certification:

    • Purpose: Certifies companies that meet high standards of social and environmental performance, transparency, and accountability.

    • Benefit: Identifies businesses that balance profit with purpose, contributing to a more sustainable and inclusive economy.

  • Bluesign:

    • Purpose: Focuses on the textile industry, ensuring that products are made with the least possible impact on people and the environment, from chemical use to resource efficiency.

    • Benefit: Supports safer, more sustainable textile production, reducing harmful chemicals and waste.

  • Global Organic Textile Standard (GOTS):

    • Purpose: Certifies organic fibres and textiles, ensuring that products meet strict environmental and social criteria from raw material harvesting to manufacturing.

    • Benefit: Guarantees the organic status of textiles and ensures socially responsible manufacturing processes.

  • OEKO-TEX Standard 100:

    • Purpose: A global certification for textiles tested for harmful substances, ensuring that products are safe for human use.

    • Benefit: Protects consumers from exposure to toxic chemicals in textiles and promotes safer production processes.

  • Fairmined:

    • Purpose: Certifies gold from responsible artisanal and small-scale mining organizations, ensuring that mining practices are safe, environmentally friendly, and socially responsible.

    • Benefit: Supports responsible mining practices and helps improve the livelihoods of mining communities.

  • RSPO (Roundtable on Sustainable Palm Oil):

    • Purpose: Certifies palm oil that is produced sustainably, minimizing deforestation, reducing greenhouse gas emissions, and supporting the rights of workers and communities.

    • Benefit: Encourages sustainable palm oil production, protecting tropical forests and biodiversity.

  • GreenGuard:

    • Purpose: Certifies products for low chemical emissions, improving indoor air quality, particularly in buildings and homes.

    • Benefit: Helps consumers choose products that contribute to healthier indoor environments, reducing exposure to harmful pollutants.

7. Transportation and Energy Certifications

  • LEED (Leadership in Energy and Environmental Design):

    • Purpose: A certification for buildings that meet high standards of energy efficiency, water conservation, and sustainability in construction and operation.

    • Benefit: Promotes sustainable building practices and helps reduce the environmental impact of new and existing structures.

  • Green Key:

    • Purpose: An international eco-label for tourism facilities, including hotels and conference centres, that meet stringent environmental standards.

    • Benefit: Supports sustainable tourism by encouraging facilities to reduce resource consumption and environmental impact.

If you want to learn more about business-specific certifications, read our Guide to Green Business Certification.

The Importance of Eco-Labels and Certifications

Eco-labels and certifications play a crucial role in promoting sustainable practices across various industries. They empower consumers to make choices that align with their values, whether it's reducing their carbon footprint, supporting fair labour practices, or protecting animal welfare. Moreover, these labels incentivize companies to improve their sustainability efforts, as consumer demand for eco-friendly products continues to rise.

For businesses, obtaining an eco-label or certification can enhance their brand reputation, differentiate their products in a crowded marketplace, and potentially attract new customers who prioritize sustainability. Additionally, these certifications often require companies to undergo regular audits, ensuring continuous improvement in their environmental and ethical practices.

The Role of Government and International Organizations

Government-Backed Labels

Governments play a crucial role in the creation, regulation, and promotion of eco-labels, ensuring that products meet specific environmental standards and providing consumers with reliable information to make informed choices.

  • European Union’s Ecolabel: The European Commission is responsible for developing and updating the criteria for the EU Ecolabel, with input from various stakeholders, including industry representatives, environmental organizations, and consumer groups. This ensures that the label remains relevant and trustworthy.

  • U.S. Environmental Protection Agency’s Energy Star: The EPA collaborates with manufacturers to set these guidelines and regularly updates them to reflect technological advancements. By promoting Energy Star, the government helps consumers reduce energy consumption and greenhouse gas emissions, while also saving on energy costs.

International Cooperation

International organizations play a pivotal role in harmonizing standards for eco-labels, facilitating global trade, and ensuring consistency and credibility across borders.

  • United Nations:

    • The United Nations Environment Programme (UNEP) has been instrumental in promoting sustainable consumption and production through various initiatives. UNEP supports the development and adoption of eco-labels by providing guidelines, tools, and frameworks for governments and organizations to implement environmentally friendly practices.

    • Example: The UN’s 10-Year Framework of Programmes on Sustainable Consumption and Production Patterns (10YFP) includes initiatives to promote sustainable public procurement, which often involves the use of eco-labels to identify environmentally preferable products.

  • International Organization for Standardization (ISO):

    • The ISO is an independent, non-governmental international organization that develops and publishes standards across various industries, including environmental management.

    • ISO 14024: This is the international standard for environmental labelling, which provides guiding principles and procedures for third-party eco-labelling programs. It ensures that eco-labels are transparent, credible, and based on scientific evidence, helping to build trust among consumers and businesses globally. By setting these standards, the ISO facilitates international trade by ensuring that eco-labels are recognized and respected across borders, allowing companies to market their products globally without needing to meet different standards in each country.

Case Studies

Positive Example

  • Patagonia and Fair Trade Certified™ Products:

    • Background: Patagonia, a well-known outdoor clothing and gear company, has long been committed to environmental and social responsibility. In 2014, Patagonia began offering Fair Trade Certified™ products, starting with 10 styles, and has since expanded to hundreds of products.

    • Impact: Patagonia’s commitment to Fair Trade has had multiple benefits. It has helped the company increase its market share among ethically conscious consumers, enhanced customer loyalty, and improved the lives of workers in its supply chain by ensuring fair wages and safe working conditions. Moreover, the company’s environmental initiatives have further solidified its reputation as a leader in corporate responsibility.

    • Outcome: This commitment has not only boosted Patagonia’s brand image but has also demonstrated that ethical practices can lead to tangible business benefits, including higher sales and stronger customer relationships.

Challenges Faced

  • Nestlé and the Roundtable on Sustainable Palm Oil (RSPO):

    • Background: Nestlé, a global food and beverage company, has faced challenges in obtaining and maintaining RSPO certification for its palm oil supply chain. Despite its commitment to sourcing sustainable palm oil, the company has struggled with issues related to transparency and traceability in its supply chain.

    • Challenges: Nestlé encountered difficulties in ensuring that all its suppliers adhered to RSPO standards, leading to criticism from environmental groups and consumers. These challenges highlight the complexities of managing a global supply chain and the difficulties in maintaining certification across all suppliers.

    • Outcome: While Nestlé has made progress in improving its palm oil sourcing practices, the challenges it faced underscore the importance of robust supply chain management and the potential reputational risks associated with eco-labels if standards are not consistently met.


Polina Martinuka
Written by:
Polina Martinuka
Sustainability Research Analyst
Recently graduating from a university in the UK, with a Bachelor's degree in Multimedia Journalism, Polina brings a unique blend of investigative skills, the ability to analyze complex data and environmental awareness.