Eco-labelled products attract buyers, investors

Hyderabad The Ministry of Environment, Forest and Climate Change (MoEFCC) has issued a notification highlighting the ecolabel for green credits on July 27, 2023. The ecolabel for green credits is a voluntary certification scheme that recognises projects that have met certain environmental & social criteria and is designed to help consumers identify projects that are making a positive contribution to the environment.

The criteria for the eco-label for green credits cover a wide range of environmental and social issues, including climate change mitigation, biodiversity conservation, water resource management, sustainable land use and social & community development. The projects that meet the criteria for the eco-label will be awarded a certificate that can be used to market their green credentials.

The notification from the MoEFCC states that the ecolabel for green credits will be implemented by the National Clean Energy Fund (NCEF) which is a government-backed fund that provides financial support for clean energy projects. The notification also states that the ecolabel for green credits will be aligned with international standards, such as the International Finance Corporation's Green Bond Principles.

By setting rigorous standards, GreenPro encourages manufacturers to adopt sustainable practices. The ecolabel for green credits is a significant development in the Indian green finance market and is expected to help to increase the demand for green credits and to attract investment in green projects, said S Karthikeyan, Deputy Executive Director, CII-IGBC and GreenPro India.

He said the ecolabelled products are rigorously assessed for their overall sustainability. These products are evaluated based on their environmental impact, energy efficiency, resource conservation and social aspects. By selecting such products, construction projects align with the principles of sustainable development and contribute to creating eco-friendly buildings that promote a better quality of life.

The GreenPro-certified products are chosen for their reduced environmental impact throughout their life cycle and reduce the carbon footprint of the construction process and the building itself, helping combat climate change. To achieve green building certification from the IGBC, the builders must use ecolabelled products in their projects to earn additional points and achieve higher sustainability ratings.

The ecolabelled products play a crucial role in sustainable procurement practices as they are certified to meet stringent environmental and sustainability standards. Many private sector organisations have set ambitious environmental goals, such as carbon neutrality, zero waste, or reduced water usage and have incorporated CSR strategies into their business practices.

As part of their commitment to sustainability, these companies implement sustainable procurement policies that prioritise eco-friendly products. By demanding the ecolabelled products, these organisations ensure that their supply chain aligns with their environmental goals. The certification is also expected to help to attract investment in green projects

The governments around the world have introduced policies and regulations that promote sustainable procurement practices. Green public procurement (GPP) programmes are initiatives undertaken by governments to lead by example and drive sustainability across various sectors. Many governments have also committed to achieving the United Nations' Sustainable Development Goals (SDGs).

GreenPro-certified products have often featured prominently in GPP frameworks, with governments encouraging the use of these products in public projects. By implementing sustainable procurement guidelines and requirements, public sector entities are now demanding the use of the ecolabelled products in their projects, fostering to a more sustainable economy.

GreenPro ecolabel for green credits will help to identify projects that are making a positive contribution to the environment and help to market green projects and attract investment. The ecolabel for green credits is a welcome development and it is expected to play a significant role in the growth of the Indian green finance market.

GreenPro has become a driving force in promoting sustainable production and consumption patterns. By encouraging businesses to adopt greener practices, the ecolabel has significantly reduced the environmental impact of products across various industries. It has contributed to lowering carbon footprints, minimising waste generation and conserving natural resources.

Moreover, as consumers become more environmentally conscious, the demand for GreenPro certified products has increased. This shift in consumer behaviour has fostered a market for sustainable goods, encouraging businesses to invest in eco-friendly technologies and practices further. The GreenPro Ecolabel extends its advantages to a wide range of stakeholders.

For businesses, obtaining the label helps them gain a competitive edge by showcasing their commitment to sustainability. GreenPro certification also provides a marketing advantage, as consumers are more likely to choose products that bear the label. Consumers, on the other hand, can confidently make environmentally responsible choices when purchasing GreenPro certified products.

As environmental concerns continue to take center stage on the global agenda, the demand for sustainable products and services is bound to increase. GreenPro's ongoing commitment to refining its criteria and expanding its coverage to new sectors will further strengthen its position as a leading ecolabel.

With growing public awareness about the importance of sustainability, businesses across various industries will be incentivised to seek GreenPro certification. Consequently, this will create a positive feedback loop, where more sustainable products will be available, leading to a healthier environment and more responsible consumption habits.

The ecolabel has proven to be a trailblazing initiative, championing sustainability and fostering a greener future. Its developmental activities and promising future make it a significant player in the global movement towards responsible and eco-friendly practices. As GreenPro continues to evolve and expand its reach, it will undoubtedly play a pivotal role in shaping a sustainable world for generations to come.