Speaking at the United Nations Global Compact Network (UNGCN) Summit in Singapore last week, Dr Thanyaporn Kristayauth, Executive Director of the UN Global Compact Network in Thailand, said this trend reflects a form of… Greenwashing known as Green rinse – When companies repeatedly change or revise climate goals that they cannot achieve.

“Some companies set a goal for just a few years until they get investments. Then they remove the goal and set a new goal to get (more) investments, then they remove the goal again,” she said. “We’ve already seen this trend.”

Emissions data makes it easier to identify companies that are actually working to remove carbon, Kristitaitayouth said. It also acknowledged that many companies face real challenges in meeting their climate targets, particularly in relation to Scope 3 emissions, which represent around 90 per cent of total business emissions and are outside a company’s direct control.

“When asked to do so, companies set ambitious goals – they try. But in reality, they cannot achieve them, especially for Range 3. “It is impossible to achieve net zero for the supply chain,” she said.

She added that some companies may have had to withdraw unrealistic targets to avoid accusations of greenwashing, which is when sustainability claims are made but not met. However, greenwashing is equally misleading, and reviewing sustainability targets should be more transparent for current and potential investors.

Warning This comes amid a wave of global companies retreating from their climate-related commitments. Multinational companies, including Unilever, Volvo, Air New Zealand, Shell, BP and Coca-Cola, have weakened or delayed their sustainability targets in recent months, citing changing regulations and pressures to prioritize short-term profitability. Many major banks He owns Withdrew from climate coalitions.

In Asia, wood pulp giant Asia Pulp and Paper (APP) has come under fire for it Backing away from a historic commitment in September by changing the deforestation cut-off date from 2013 to the end of 2020. This means that deforestation by APP and its suppliers during that period is now considered “acceptable” under the new pledge, Greenpeace noted.

Kristitayouth He said recently Freeing up capital for sustainability It happened in Bangkok Only about 1,400 of UNGCN Thailand’s more than 20,000 members have committed to carbon neutrality, and many are struggling to meet near-term goals. Thai companies that demonstrate reliable, science-based pathways to decarbonization through the network are recognized The leading organization for climate action Awards scheme.

She also pointed to a shift among European companies towards rewarding suppliers who provide low-carbon products, as a more practical approach to tackling value chain emissions. “They now look at the carbon footprint of individual products, not the overall footprint of the company,” she said.

Krishtitayouth’s comments came as the European Union moved to relax the Corporate Sustainability Due Diligence Directive (CSDDD). The law, passed last year to hold companies accountable for human rights and environmental damage across supply chains, will now only apply to the largest listed companies after political opposition from member states.