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Economic Development

Earth Day 2022: Firms put off climate action by 'greenwash' backlash

A boss at Bristol environmental group Ecologi has said many big businesses are concerned they will be criticised for announcing green initiatives

Tree planting in Madagascar as part of Ecologi's global reforestation projects.(Image: Ecologi)

Many big businesses are put off from announcing green initiatives as they are worried about potential public backlash, according to one of the co-founders of a Bristol-based environmental group.

Ecologi is a climate action tech platform, created in 2019, that helps companies to measure and reduce their carbon footprint, while it also coordinates climate offset projects and tree planting around the world.

Last year the firm received £4m backing from US venture capitalist group General Catalyst - one of the early investors in ‘unicorn’ tech giants Airbnb and Deliveroo.

The company estimates it has planted nearly 40 million trees and offset 1.68 million tonnes of CO2 emissions through its more than 30,000 subscribers, which include individuals, SMEs and big firms such as Vodafone and Co-op.

One of the company’s four co-founders, Ian Hambleton, told BusinessLive initiatives such as ‘net zero’ had caught the imagination of small and large businesses, and companies were taking sustainability more seriously than 15 years ago, with consumers increasingly expecting it from them.

Mr Hambleton, Ecologi’s special ops director, said while many more big firms now want to make their operations more environmentally-friendly, some are concerned they could leave themselves open to criticism and accusations of ‘greenwashing'.

He said Ecologi had encountered lots of big manufacturers and retailers which do not want to talk about their greener initiatives as they fear they would put themselves on “dodgy ground” due to perceptions about their previous operations.

Mr Hambleton said: “Without naming names, there is a big confectionary maker doing some amazing initiatives, bringing in recycled materials, offsetting, doing great things that you would think they would want to talk about.