Corporate greenwashing anxiety risks derailing net zero progress

Why businesses need defensible sustainability evidence

The business case for investment in nature remains strong, from value chain resilience to regulatory readiness. However, the risk of reputational damage from corporate greenwashing is proving too great in the absence of trusted verification mechanisms. Earthly’s CEO, Oliver Bolton, summarised the dilemma well: “Ambition isn’t the issue – confidence is. Leaders want to invest in nature, but they need defensible evidence they can stand behind.”

To address this credibility gap, Earthly launched Keystone 3.0, a new independent assessment framework that evaluates projects using 160+ data points across carbon, biodiversity, and people. Projects that fail to meet these rigorous thresholds are excluded, raising the bar for transparency and effectiveness in the voluntary carbon market.

For organisations serious about integrating nature into their ESG strategies, this data marks a critical turning point. Sustainability leaders must now prioritise project due diligence and evidence-based decision-making, especially when working with external partners. In parallel, they need to align their internal communications and governance to support cautious, but not paralysed, climate action.

Critically, corporate greenwashing is no longer just a marketing misstep – it’s a strategic liability. Boards and investors are asking harder questions, and CSOs need robust, independent assessments to justify every initiative.

Final thoughts – Restoring confidence, driving action

The path forward lies in restoring trust in climate and nature-based investments through standardised frameworks, third-party verification, and transparency. Initiatives like Keystone 3.0 represent a step in the right direction, but broader industry collaboration is essential.

At ISS, we continue to support professionals with the corporate sustainability training they need to confidently navigate this evolving risk landscape. Our practical, expert-led education equips leaders to separate credible action from empty corporate greenwashing claims, and to take bold, informed steps that meet public, regulatory, and investor expectations.