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| 1 minute read

Tata Steel may communicate sustainability ambition

Companies with a negative environmental impact are also allowed to make sustainability claims. This was already reflected by previous rulings by the Advertising Code Committee (ACC) on Corendon's airline vacations and Melkunie's dairy advertising. So even one of Europe's largest steel producers is allowed to communicate about its sustainability efforts. Tata Steel's ad below shows how companies can communicate sustainability ambitions. 

This is Tata Steel's ad in De Volkskrant (“We go for green steel in a clean environment too”): 

Kappen met Kolen on X: "'Ook'? Wij willen geen minder uitstoot, wij willen  nul uitstoot. #kappenmetkolen #kappenmetkooks #stoptata  https://t.co/Ph9peDQr7R" / X

The complainant argues that the ad makes an absolute sustainability claim that would have to be specified and proven. The ACC rejects the complaint (in Dutch). According to the ACC, it is clear from the ad that it is about a sustainability ambition and what it entails. Consumers will not expect that Tata Steel already produces "green steel in a clean environment" without emissions and coal, and understand that this is a future aspiration.

The Dutch Sustainability Claims Code (CDR) (in Dutch) applies, but this is not an absolute sustainability claim. Thus, the stringent requirements for absolute sustainability claims do not apply. However, a sustainability claim must not paint an overly positive picture of current and future sustainability results.

Tata Steel substantiates its ambition by referring in the ad itself to concrete plans on its website. The ACC finds this reference sufficient. The website gives a clear overview of the concrete steps Tata Steel is taking to realize its sustainability ambition, including elaboration of specific measures and deadlines. Green light therefore for Tata Steel's advertisement. 

Communicating about sustainability ambitions is certainly possible. It is important to emphasize if a communication concerns future goals. In the expression itself, refer to the website for detailed information about concrete plans and achieved results. 

Myrna Teeuw

Tags

advertising, advertising law, tata steel, sustainability