Criminalizing Corporate Greenwashing to Address Ecological Fraud Under the Indonesian Legal Framework



Metrics Analysis (Dimensions & PlumX)

Indexing:
Similarity:

© 2026 Riyan Al Fajri

Greenwashing enables corporations to project an image of environmental responsibility while concealing environmentally harmful practices. In Indonesia, this conduct remains regulated through fragmented legal regimes and has not been formulated as a distinct criminal offense. This study examines how corporate greenwashing can be conceptualized as a criminal offense under Indonesian law and whether such a formulation justifies a shift from civil and administrative enforcement toward criminal liability. Using normative doctrinal legal research with statutory, conceptual, and comparative approaches, the study analyses greenwashing through the core elements of criminal liability, namely actus reus and mens rea, evaluates current Indonesian regulatory gaps, and compares selected foreign legal approaches. It finds that serious greenwashing can be understood as a form of corporate deception, but the existing Indonesian framework remains fragmented and inadequate to support coherent criminal liability. This study concludes that Indonesia should adopt an indirect criminalization model supported by a four-element offense structure to provide a clearer doctrinal and regulatory basis for addressing serious greenwashing

Amiati, M., Adhryansah, A., & Prihandono, I. (2024). Human rights violations and corporate criminal liability: An analysis of the new Indonesian criminal law. Sriwijaya Law Review, 8(2), 230–248. doi:10.28946/slrev.Vol8.Iss2.3687.pp230-248

Ardika, K. (2021). The role of ultimum remedium principles as a basis for thinking of the implementation of criminal law in resolving legal problems. In Proceedings of the 2nd International Conference on Law, Social Sciences and Education (ICLSSE 2020), 10 November, Singaraja, Bali, Indonesia. doi:10.4108/eai.10-11-2020.2303387

Armando, R. (2025). Tingkat kesesuaian sustainability report 2023 perusahaan pembiayaan di BEI terhadap POJK Nomor 51/POJK.03/2017. Going Concern: Jurnal Riset Akuntansi, 20(2), 73–82. doi:10.35794/gc.v20i2.61914

Board of IOSCO. (2023). Supervisory practices to address greenwashing (FR12/23). Madrid, Spain: International Organization of Securities Commissions. Retrieved from https://www.iosco.org/library/pubdocs/pdf/IOSCOPD750.pdf

Chatterjee, R. (2014). Corporate actus reus. SSRN Electronic Journal. doi:10.2139/ssrn.2429584

Daskarata, H. A., Setiawan, W. I., Adiyatma, M. I., Prananto, M. A., Kamal, U., & Rajib, R. K. (2025). Legal analysis of greenwashing in environmentally friendly product advertisements in Indonesia. JIIC: Jurnal Intelek Insan Cendikia, 2(5), 10337–10347.

Effendy, F. S. W., & Prabawani, R. D. (2026). When does ESG greenwashing become criminal fraud? Corporate fault and comparative liability in ESG misrepresentation. International Journal of Multidisciplinary Research and Analysis, 9(6), 3306–3316. doi:10.47191/ijmra/v9-i6-09

European Union Agency for Fundamental Rights. (2024). Enforcing consumer rights to combat greenwashing. Luxembourg, Luxembourg: Author. doi:10.2811/305427

Fernando, Z. J., Sary, W. E., Wali, A., & Anditya, A. W. (2025). Greenwashing as a crime and the urgency of redesigning the environmental criminal law paradigm. Jurnal Kajian Pembaruan Hukum, 5(1), 55–90. doi:10.19184/jkph.v5i1.53692

Gaol, H. S. L., & Rini, W. D. (2024). Pembangunan hukum perlindungan konsumen berorientasi ekosentrisme terkait aktivitas greenwashing industri AMDK. Justitia et Pax, 40(1). doi:10.24002/jep.v40i1.8214

Government Regulation No. 47 of 2012 on Social and Environmental Responsibility of Limited Liability Companies. (2012). Jakarta, Indonesia: Author.

Irawati, Prananingtyas, P., & Wulan, R. C. (2023). Regulation urgency of the misleading “greenwashing” marketing concept in Indonesia. IOP Conference Series: Earth and Environmental Science, 1270(1), 012007. doi:10.1088/1755-1315/1270/1/012007

Istanti, A. N., & Samsul, I. (2023). Analysis of greenwashing policy in providing consumer protection in Indonesia in view of Act Number 8 of 1999 concerning consumer protection. De Lega Lata: Jurnal Ilmu Hukum, 8(1). doi:10.30596/dll.v8i1.12477

Law of the Republic of Indonesia No. 8 of 1999 on Consumer Protection. (1999). Jakarta, Indonesia: Author.

Law of the Republic of Indonesia No. 11 of 2008 on Electronic Information and Transactions. (2008). Jakarta, Indonesia: Author.

Law of the Republic of Indonesia No. 32 of 2002 on Broadcasting. (2002). Jakarta, Indonesia: Author.

Law of the Republic of Indonesia No. 32 of 2009 on Environmental Protection and Management. (2009). Jakarta, Indonesia: Author.

Law of the Republic of Indonesia No. 40 of 2007 on Limited Liability Companies. (2007). Jakarta, Indonesia: Author.

Lebie, R. F., & Br. Sihombing, R. R. (2025). Greenwashing as environmental fraud: Highlighting the lack of regulation and law enforcement in Indonesia. Estudiante Law Journal, 7(2), 532–544. doi:10.33756/eslaj.v7i2.31612

Mahesa, P. K. S., & Danyathi, A. P. L. (2025). Penerapan prinsip ultimum remedium dalam kebijakan kriminalisasi di Indonesia: Tinjauan teoritis dan praktis. Jurnal Media Akademik, 3(9), 1–17. doi:10.62281/ax2d1f19

Muhamad, N. (2026, January 26). Dua bulan banjir Sumatra, 1.204 orang meninggal dunia dan 140 hilang (Selasa, 27 Januari 2026). Retrieved from https://databoks.katadata.co.id/lingkungan/statistik/697823a95573b/dua-bulan-banjir-sumatra-1204-orang-meninggal-dunia-dan-140-hilang-selasa-27-januari-2026

Mutia, D. K. (2025). Analisis kecukupan POJK 51/2017 sebagai kerangka regulasi pelaporan ESG pada emiten sektor keuangan Indonesia. Jurnal Aktual Akuntansi Bisnis Terapan, 8(1), 104–124.

Negara, H. C., & Briwijaya, R. (2026). Determining corporate mens rea through strict liability and vicarious liability in corporate crimes. Jurnal Kajian Hukum, 11(1), 48–64.

Norrie, A. (2014a). Acts and omissions. In Crime, reason and history: A critical introduction to criminal law (3rd ed.). Cambridge, England: Cambridge University Press. doi:10.1017/CBO9781139031851

Norrie, A. (2014b). Motive and intention. In Crime, reason and history: A critical introduction to criminal law (3rd ed.). Cambridge, England: Cambridge University Press. doi:10.1017/CBO9781139031851

Peters, A. (2022, April 13). 68% of U.S. execs admit their companies are guilty of greenwashing. Retrieved from https://www.fastcompany.com/90740501/68-of-u-s-execs-admit-their-companies-are-guilty-of-greenwashing

Prisandani, U. Y. (2025). Greenwashing as contractual fraud: Examining its legal implications and impact on contract validity under Indonesian law. Diponegoro Law Review, 10(1), 68–84. doi:10.14710/dilrev.10.1.2025.68-84

PTPN IV. (n.d.). Sustainability performance data. Retrieved from https://www.ptpn4.co.id/en/sustainability/kinerja-keberlanjutan

Raodah, P., & Taufik, Z. (2025). Human rights-based consumer regulations against greenwashing practices within the framework of low carbon development policy in Indonesia. Unizar Law Review, 8(2), 202–213. doi:10.36679/ulr.v8i2.112

Sarulla geothermal power generation project. (n.d.). Retrieved from https://www.adb.org/projects/42916-014/main

Schill, A. (2022). Business and human rights: Promoting environmental protection through enforcement of consumer rights. Luxembourg, Luxembourg: European Union Agency for Fundamental Rights. Retrieved from https://fra.europa.eu/sites/default/files/fra_uploads/fr-business-human-rights_en.pdf

Setiawan, A., Rideng, I. W., & Arjaya, I. M. (2025). Legal accountability and governance in corporate social responsibility implementation in Indonesia. Protection: Journal of Land and Environmental Law, 4(2), 143–149. doi:10.38142/pjlel.v4i2.1706

Toba Pulp Lestari. (n.d.). Sustainability. Retrieved from https://www.tobapulp.com/sustainability/#report

Triferna, P., & Khaira, K. (2025, December 15). Environment ministry summons 8 companies over flood risks. Retrieved from https://en.antaranews.com/news/396547/environment-ministry-summons-8-companies-over-flood-risks

Wiryono, S., & Ramadhan, A. (2025, December 23). 8 perusahaan terduga pemicu banjir Sumatera disanksi hentikan operasi. Retrieved from https://nasional.kompas.com/read/2025/12/23/17274391/8-perusahaan-terduga-pemicu-banjir-sumatera-disanksi-hentikan-operasi

Woola. (2025, May 4). 50+ greenwashing statistics to detect fake sustainability claims. Retrieved from https://www.woola.io/blog/greenwashing-statistics

Yonandi, C. P., & Lie, G. (2025). Greenwashing in Indonesia: Deceptive claims and corporate social responsibility (CSR). Jurnal Ilmiah Wahana Pendidikan, 11(2.A), 107–116.

Yuanitasari, D., Kusmayanti, H., & Suwandono, A. (2025). Examining greenwashing: Legal protection of consumers amid the trend of environmentally friendly products. LITRA: Jurnal Hukum Lingkungan Tata Ruang dan Agraria, 4(2), 122–136. doi:10.23920/litra.v4i2.2276

Zentoni, Santoso, B., & Tobing, D. M. L. (2025). Criminalizing greenwashing: Addressing consumer protection challenges in the era of sustainability. Litigasi, 26(1), 102–137. doi:10.23969/litigasi.v26i1.19243.

Refbacks

  • There are currently no refbacks.


Creative Commons License
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

The copyright is reserved to Bulletin of Social Studies and Community Development that is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

Address:

CV. IMRECS: Jalan Gagak I, Kecamatan Larangan, Kota Tangerang. Postal Code: 15155