Confused about environmental certification? Steve Nicholson helps to demystify environmental labelling.

Environmental certifications are widely recognised as the best way for organisations to understand, monitor and select suppliers and manufacturers who are committed to reducing their impact on the natural environment.  For many people, however, environmental certification proves to be a confusing non-core area of business.  There seems to be a continual stream of new terminology, new labels or certifications that need to be understood and either adopted or ignored.

So, how do you know you are purchasing responsibly? Which certification is best? What are the features, benefits and risks of the different schemes and what does it mean for supply chain participants?

Environmental certifications can be categorised into three basic types: environment management systems, eco labels and forestry certifications.

Environment management systems

Firstly, there are environment management system certifications.  The most widely known management standard is ISO14001, an international standard for organising and improving environmental management systems. It does not specify levels of environmental performance rather it is used to help a firm set up a management structure to control environmental impact of its activities, improve its environmental performance and implement an approach to setting environmental targets. This certification applies across a broad range of industries.

Eco labels

The second type of certification are eco labels. These certifications usually require the company and the products to achieve certain environmental performance criteria. Examples of these certifications include Good Environmental Choice (Australia) and the European Ecolabel known as “the flower”. These certifications are typically audited by third parties which give customers confidence that goods carrying the marks are environmentally preferable products. These certifications apply across a broad range of industries.

Forest management certifications

The third type of certifications cover forest management and supply chain integrity.  The Forestry Stewardship Council (FSC) and Program for the Endorsement of Forestry Certifications (PEFC) are currently the only two internationally recognised forestry certification schemes. The other 160 or so national forestry schemes are either under the control of national governments or national labelling organisations. The differences between forestry certifications are mainly due to the dissimilar nature of forests around the world. Forestry in tropical areas is completely different from cold-climate forest and snow covered regions towards the North Pole. The diversity of animal life and indigenous communities also impacts tremendously on the structure of forestry certifications.

Primarily, forestry certifications aim to ensure that where a country or region has a forestry industry that the processes that are used ensure that sound management practices are in place in order to support an environmentally responsible business.  Forestry certification around the world is at this point in time a voluntary process.  While the amount of forest that is currently certified is more than double what it was only five years ago, still in 2011 less than 10% of the world’s forestry is certified. The vast majority of forestry certification is currently in Europe or North America. The pressure to certify forestry in the tropical regions is gathering intensity.

So what’s the answer?

There are so many schemes out there that have the same bottom line impact of protecting forests and the integrity of the supply chain.  But we have to remember these schemes are just guideposts and there are no absolutes.  Responsible purchasing goes beyond certification.  It takes into account the full body of work of a company’s sustainability practices, emphasizing the balance of environmental, social and economic development.   And it takes into account the best interests of consumers.  That’s responsible purchasing.

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Steve Nicholson is the Director Corporate Affairs, Solaris Paper Pty Ltd.

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EthicalLiving.com.au