The United Nations Transparency Protocol (UNTP) is a pivotal initiative designed to combat greenwashing by enhancing supply chain traceability and transparency in the ongoing race to achieve global sustainability outcomes. This blog post explores the development of the UNTP, its core objectives, and the integral role of traceability within the protocol.

Development of the UN Transparency Protocol

The UNTP – introduced through UNECE Recommendation No. 49 – has been designed in response to the escalating need for verifiable sustainability in global supply chains. As regulations such as the European Union’s Regulation on Deforestation and the Carbon Border Adjustment Mechanism impose stringent due diligence obligations, industries face increased pressure to substantiate their Environment, Social and Governance (ESG) claims. The UNTP addresses these challenges by providing a standardised protocol that integrates with existing business systems to promote transparency and traceability.

key GOALS OF THE UN TRANSPARENCY PROTOCOL

The primary objectives of the UNTP are:

1. Countering Greenwashing: By implementing robust traceability measures, the UNTP aims to make it difficult for organisations to make false or misleading sustainability claims, thereby preserving the integrity of genuine ESG efforts.
2. Facilitating Regulatory Compliance: The protocol assists industries in meeting the due diligence requirements imposed by emerging regulations, reducing the risk of non-compliance and associated penalties.
3. Enhancing Market Access: Through verifiable sustainability practices, businesses can improve their competitiveness and access to markets that prioritise ESG compliance.
4. Promoting Interoperability: The UNTP is designed as a decentralised and open-source approach which will be usable by any industry sector or regulatory jurisdiction. This will ensure cross-industry and cross-border interoperability.

The Role of Traceability in the UN Transparency Protocol

Traceability is the backbone of the UNTP, enabling stakeholders to track products and materials throughout the supply chain. This capability is crucial for:

• Verifying ESG Claims: Traceability allows for the authentication of sustainability assertions by providing transparent records of a product’s journey from origin to end-user.
• Ensuring Data Confidentiality: The UNTP allows supply chain actors to choose which of the UNTP’s confidentiality measures to apply. This empowers each actor to share information that provides value, while maintaining their own balance between transparency and confidentiality.
• Facilitating Digital Product Passports (DPP): The UNTP supports the creation of DPPs, which provide detailed information about a product’s provenance, processing and compliance with sustainability criteria. This aims to enhance transparency for consumers and regulators.

By embedding traceability into its framework, the UNTP aims to combat greenwashing and empower consumers to purchase products that have proven sustainable origins. This transparency fosters trust between producer and consumer and drives collective progress toward the UN’s Sustainability Development Goals 8 (inclusive and sustainable economic growth) and 12 (responsible consumption and production).

Scheduled to be released in June 2025, the United Nations Transparency Protocol seemingly presents a robust response to the challenges of greenwashing and regulatory compliance in today’s complex supply chains. Its emphasis on traceability and interoperability should, in theory, ensure the authenticity of sustainability claims. Time will tell if this is the case.