Dear Members,
The Regulation on the Turkish Emissions Trading System has entered into force following its publication in the Official Gazette No. 33353 dated 27 August 2026.
The Regulation reorganises the existing framework for the monitoring, reporting and verification of greenhouse gas emissions in conjunction with the allocation, market, delivery and permit mechanisms of the Turkish Emissions Trading System (TR ETS).
Under the Regulation, installations carrying out the activities listed in Annex 1 are subject to monitoring, reporting and verification obligations. Category B and C installations amongst these, with annual emissions exceeding 50,000 tonnes of CO₂ equivalent, are also included within the scope of the ETS.
The most critical message
The Final Regulation has not brought into force, verbatim, the details contained in the draft, such as
- the 2026–2027 pilot schedule,
- the list of specific pilot sectors,
- 100 per cent free allocation, and
- an 80 per cent reduction in penalties during the pilot period.
The scope, duration and implementation principles of the pilot phase have been left to a separate decision to be taken by the Carbon Market Board.
Key provisions:
- Businesses covered by the ETS are required to obtain a greenhouse gas emissions permit from the Climate Change Directorate. The three-year transition period for existing businesses will expire on 9 July 2028; this period may be extended by up to two years in accordance with a decision by the Carbon Market Board.
- The scope, duration and implementation details of the pilot phase will be determined separately by the Carbon Market Board. Businesses included in the pilot scheme will be required to submit their first Monitoring Methodology Plans electronically by 27 October 2026, unless the deadline is extended.
- Businesses covered by Annex 1 shall report their verified greenhouse gas emissions and activity levels to the Presidency by 30 April each year.
- Free allowances will be calculated on a sub-installation basis using the benchmarking method; trading of allowances on the primary and secondary markets will be conducted via systems operated by EPİAŞ.
- Changes affecting the permit and monitoring plan must be reported within 30 days; relevant data and records must be retained for at least 10 years.
It is important that our members, first and foremost,
- carry out a scoping analysis of their installations in terms of the activity and capacity thresholds set out in Annex 1;
- confirm their emission categories;
- review the adequacy of their sub-installations, data flows, measurement infrastructure and qualified personnel/consultants.
You can access the Regulation and its annexes via the links below:
• Turkey Emissions Trading System Regulation
Developments regarding the pilot phase and secondary regulations will be closely monitored by TKSD and shared separately with our members.
We hereby bring this to your attention and wish you all the best in your work.
Note: The TKSD Executive Summary will be added to this news item within the coming week.
Once added, you can access the TKSD Executive Summary here.
Respectfully,
Turkish Chemical Industry Association