I agree with your first two sections. Consumers do not want to cause harm and it will not work blaming them for their choices. The same is true for companies that by their very nature will always favour profit over morality.

However I do not think that government action can be a solution, in contrary they likely contribute to the problem. In a democracy the land controlled by the state should be used for the common interest. But this does not happen, neither here nor in the poorer countries. The state is more than happy to accept pollution to benefit few industries. They even step in and protect those business interests against the anger of the local residents.

It is the evil companies destroying the world, but the governments are not fighting it, they are just legitimising it. Furthermore our governments do have a lot of influence over poorer countries and no poor country could realistically pass any legislation against the will of the big corporations.

The way I perceive the world, democracies have failed to represent the peoples interests and sold our lands to make profit against our will. I cannot think of a solution within the political system by just replacing some leaders with new ones. The entire system has to be rebuild, for example creating a much more decentralised organisation of land that actually reflect the interest of the local residents.

Code is law has gone wrong and will continue to go wrong. But what is the alternative? You can build soft promises on a hard foundation, but no hard promises on a soft foundation. If I have to choose between human corruption and the eventual bug, I favour the latter by far.