A 2025 GreenFakes investigation, conducted by Mediapart, revealed greenwashing and fraudulent claims by some projects financed by European companies and multilateral development banks in Guinea and Uganda. The investigation alleged complex interwoven structures by environmental auditing and consulting firms based in Europe facilitating greenwashing and fraudulent claims.

Performance standard requirements for accessing project finance

These firms are typically hired by companies seeking funds from institutions like the World Bank. To secure the funding, the companies must meet biodiversity standards and rules set by the World Bank and demonstrate that their projects will not lead to overall negative consequences for biodiversity ecosystems. These rules fall under the International Finance Corporation (IFC) created Performance Standard 6 (PS6) of the World bank. With PS6 as the central reference model, several other international lenders - such as regional development banks, national bilateral lending banks, and even private banks - have since applied similar principles on lending operations. The standards are criticised for their loose wording and implementation, such as with relaxed accountability timeframes.

Unaddressed conflict of interest

Consultancies involved in biodiversity projects often play multiple roles at once: advising local governments on environmental targets, helping companies secure funding for projects, and in some cases auditing whether those same projects meet environmental standards. This overlap creates a significant conflict of interest.

A former ecologist at Biotope said the measures these firms propose are frequently complex on paper but largely superficial in practice, giving the appearance of action while allowing environmental damage to continue.

Implications for accountability within carbon offset projects

External consultants hired by companies, run the risk of submitting inaccurate and partial biodiversity assessments and audit reviews, reflecting political or profit driven influences, as identified by the challenges to effective Environmental Impact Assessments.

With an expansion in ‘nature-based’ and ‘high integrity’ carbon markets, the role of biodiversity consultancies in carbon markets is set to grow. Meaningful impact assessments that translate into real carbon offsets will require robust legal frameworks, transparent processes, and active public participation.