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Plastic Claims Exposed: Fossil Fuels Masquerade as Green
27 Jan
Summary
- "Circular" plastic is largely petroleum-based, not truly recycled.
- Mass-balance accounting allows minimal recycled content to be certified.
- EU and UK regulations in 2026/2027 may legalize these greenwashing tactics.

European consumers are increasingly seeing plastic packaging labeled as "circular" and climate-friendly. However, investigations reveal that a significant portion of these materials are derived from petroleum, not actual waste recovery. Major brands utilize plastic produced by Saudi Aramco's subsidiary, Sabic, which has opposed UN plastic treaty production cuts.
Sabic, alongside other petrochemical firms, employs methods like "mass-balance bookkeeping" and "avoided emissions" accounting. These techniques permit products with minimal recycled content—as little as 5%—to be certified as fully recycled. This practice, criticized by experts as greenwashing, misleads consumers about the true environmental impact.
Upcoming regulations in Europe are poised to legalize these accounting tricks. Lax EU rules are scheduled for 2026, with similar UK regulations in effect by 2027. The petrochemical industry is lobbying intensively to ensure these laws accommodate such practices, even as plastic production is projected to become a key growth area for oil majors.




