Guide

Are plastic credits greenwashing? What critics get right

Two columns. Where critics are right: credits instead of cutting plastic, plastic neutral does not hold up, additionality is hard, the destination matters, no common rulebook. Where credits can still help: sachets and films still need collecting, collectors need an income, alongside reduction, reuse and EPR, keeps plastic out of waterways Are plastic credits greenwashing? They can be. It depends on the credit and on the claim. Where critics are rightCredits instead of cutting plastic“Plastic neutral” does not hold upAdditionality is hardThe destination mattersNo common rulebook Where credits can still helpSachets and films still need collectingCollectors need an incomeAlongside reduction, reuse and EPRKeeps plastic out of waterways
The short answer, from the sections below. Diagram: Reclaim Earth.
On this page 8 sections
  1. What the critics say
  2. Where the critics are right
  3. Where I think they go too far
  4. What a credible plastic credit looks like
  5. How to buy credits without greenwashing
  6. The honest answer
  7. Frequently asked questions
  8. Sources

Whether plastic credits are greenwashing is a fair question, and it deserves a straight answer: yes, plastic credits can be greenwashing. They can also fund collection that would not happen otherwise. Which one you get depends on the credit and on what the buyer says about it.

Much of what the main critiques say is fair, and I would rather face it openly than pretend it does not exist. If you are new to the subject, What is a plastic credit? covers the basics.

What the critics say

The main critiques in this guide

  1. Nov 2023Break Free From Plastic and GAIA, "Smoke and Mirrors"
  2. Nov 2024Eunomia for Fauna & Flora
  3. 2025Moon and colleagues, One Earth
  4. 2025WWF revises its position
Dates as given in this guide. Sources listed at the end of the article.

Break Free From Plastic and GAIA, "Smoke and Mirrors" (November 2023). Two campaign networks examined projects under Verra and the Plastic Credit Exchange (PCX). They reported that only 14% of PCX's credit-generating projects were recycling, that 22% of projects in Verra's pipeline would earn credits from burning plastic, and that eight projects applying for 1.1 million credits had been running for seven years or more. Their conclusion: credits for burning swap one kind of pollution for another, and old projects raise doubts about additionality. PCX replied that co-processing with proper safeguards beats landfill and open burning for plastic nobody can recycle. Verra replied that new and scaled-up projects can earn credits after assessment.

What "Smoke and Mirrors" reported

Share named in the reportOther projects

PCX credit-generating projects that were recycling 14% · 86%

Projects in Verra's pipeline that would earn credits from burning plastic

Two figures from the 2023 report by Break Free From Plastic and GAIA. Data: Break Free From Plastic and GAIA (2023).

Eunomia for Fauna & Flora (November 2024). The consultancy found that credit prices follow supply and demand rather than the real cost of managing waste, so credits do not give projects a reliable income. It argued that credit schemes cannot do the job of well-designed extended producer responsibility (EPR) systems, and that terms like "plastic offset" and "plastic neutrality" mislead consumers.

Moon and colleagues, One Earth (2025). This academic study argues that treating one tonne collected as cancelling one tonne used ignores the very different harms of different plastics. It warns that plastic credits repeat carbon's weaknesses on additionality and permanence, and that folding credits into EPR laws could weaken them.

WWF (position revised 2025). WWF sees credits as a possible, temporary addition to a company's own reduction work, never the main strategy. It accepts them only with a strong standard, real additionality, social and environmental safeguards and transparent reporting of the buyer's plastic footprint. It does not support "plastic neutral", "plastic neutrality" or "net zero plastic" claims.

Prefer to watch? A 3-minute version of this guide.

Where the critics are right

Buying credits instead of cutting plastic. A company that funds collection while its own packaging stays the same invites fair criticism. No standard can fix that on the buyer's behalf, because the problem sits in the buyer's own business. I set out the same concern in What is a plastic credit?.

"Plastic neutral" does not hold up. Funding the collection of one tonne somewhere does not cancel the tonne your product puts into the world. Different plastics, in different places, cause different harm. I do not use the term. I describe what was collected, where and by whom.

Additionality is hard. A project that has collected plastic for years and only now sells credits has to show what the money changes. Some have not.

The destination matters. Burning plastic in a cement kiln keeps it out of rivers but releases emissions. It is not recycling, and a credit should say plainly which one it funded. What happens to collected plastic explains the options.

An open hand holding small pieces of shredded coloured plastic
Shredded plastic. A credit should say whether the plastic was recycled, co-processed or landfilled. Photo: Alfo Medeiros, Pexels. Not a Reclaim Earth project.

There is no common rulebook. Units, baselines and accepted destinations differ between schemes. Buyers who do not read the detail can end up comparing very different things.

Where I think they go too far

Some critics conclude that plastic credits should be abandoned. I understand the frustration. Weak claims exist, but judging every project by them leaves real work unfunded. Low-value plastic such as sachets and films still needs collecting today, because nobody pays to pick it up, and the collectors need an income. When a project can show its evidence, the money reaches those people and the plastic stays out of waterways.

Credits are also not the only tool. They sit alongside reduction, better design, reuse and EPR laws, not instead of them. Where a country has a working EPR system, credits should not undermine it. Where it does not, credits can fund collection in the meantime.

What a credible plastic credit looks like

The critiques point to the same tests. A credit is credible when:

  1. It funds additional work. The project shows its baseline and what the credit money changes.

  2. An independent auditor verified it under a named standard, and it sits on a public registry. See how plastic credits are verified.

  3. It names the destination. Recycled, co-processed or landfilled, per tonne.

  4. It protects people. Collectors' pay and safety are described and checked.

  5. It is retired in the buyer's name, so nobody else can claim the same tonne.

  6. The buyer reduces first and reports its own plastic footprint honestly.

  7. The claim matches the evidence. "We funded the collection of 50 tonnes of flexible plastic in Vietnam in 2026" is checkable. "We are plastic neutral" is not.

Verra's own guidance for companies puts credits after action inside the business's value chain, which matches what WWF asks for.

How to buy credits without greenwashing

Hands opening a cardboard box with a white bottle inside
Reduction starts with your own packaging. Photo: Kaboompics, Pexels.

The UK's Competition and Markets Authority can now fine companies up to 10% of global turnover for misleading green claims. Our guide to buying plastic credits responsibly covers wording in detail.

The honest answer

Plastic credits are a tool, and a tool can be misused. You need to look beyond the certificate and understand the project, the people and the outcome. When a project delivers, there is a positive story to tell, and we build trust by being specific about those results. My rule: a claim should never be bigger than the work.

The Reclaim Earth newsletter

Follow the plastic, not the promises.

One email a month on plastic recovery.

Updates from our partner projects, plain-English explainers on plastic credits, and the questions worth asking of any plastic claim. Free, and you can unsubscribe at any time.

Sign-ups are handled by Substack. See Substack's privacy policy, our privacy notice and our cookie notice.

Frequently asked questions

Are plastic credits a scam?

No, but some are weak. A credit backed by additional, independently verified work on a public registry funds real collection. A vague credit with no destination or audit tells you little.

Why do critics object to burning plastic for credits?

Co-processing in cement kilns keeps plastic out of rivers and landfill but releases emissions, and it is not recycling. Critics say credits for burning swap one pollution problem for another.

Can a company claim to be plastic neutral with credits?

We advise against it. WWF rejects the term, and claims that imply your plastic has been cancelled out risk misleading customers.

Do plastic credits replace extended producer responsibility?

No. EPR laws make producers pay for their own packaging waste. Credits fund collection elsewhere and should not weaken EPR.

What is the single best test of a plastic credit?

Ask what happened to the plastic, and ask to see the evidence.

Sources


Published by Reclaimed Earth Limited (Companies House 17392812), which works with plastic recovery projects in India, Indonesia and the Philippines and has a commercial interest in plastic credits. Edited with the Reclaimed Earth editorial team. Last updated 20 October 2026.