Consumer Protection Against Greenwashing in the Digital Sustainability Economy: The Strategic Framework

Universitas Ahmad Dahlan, Yogyakarta, Indonesia

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Abstract

The rapid growth of a sustainable digital economy presents significant opportunities for ethical business innovation and environmentally responsible consumption; however, it also intensifies the risk of greenwashing, which threatens consumer rights, market integrity, and public trust. This study aims to develop a comprehensive strategic framework to strengthen consumer protection against greenwashing in Indonesia’s digital economy. Employing a normative-juridical method combined with comparative legal analysis, the research assesses the adequacy of Indonesia’s existing consumer protection regulations by benchmarking them against the European Union Directive and relevant OECD guidelines, recommendations, and declarations. Data were collected from statutory instruments, regulatory reports, and academic literature and analyzed qualitatively through doctrinal and conceptual interpretation. The findings reveal that Indonesia’s current legal framework remains fragmented and lacks explicit provisions addressing deceptive environmental marketing on digital platforms. To address these shortcomings, this study proposes a three-dimensional strategic framework: (1) integrating the green digital economy into the consumer protection ecosystem; (2) embedding explicit legal norms and sanctions targeting greenwashing practices by businesses; and (3) strengthening institutional coordination among consumer protection authorities to align regulatory enforcement with sustainability and digital governance agendas. This study is particularly timely as Indonesia prepares to enact a New Consumer Protection Act, offering normative guidance for more robust and future-oriented consumer protection policies.