The system will be developed in line with the EU's CBAM
Turkiye plans to introduce a national emissions trading system (ETS) in 2024, which will be controlled by Enerji Pazarlamaları İşletme A.Ş. This was stated by the Minister of Energy and Natural Resources of Turkiye Alparslan Bayraktor, reports SteelOrbis.
The system, the basis of which will be formed as part of the implementation of Turkiye’s climate law, which is at the draft stage, will be developed in accordance with the European CBAM.
“The emissions trading system is one of the most important tools in the fight against climate change,” the minister emphasized.
The relevant mechanism will include Turkiye’s industry, energy and aviation industries.
Implementation of the European CBAM will increase competition for countries that are slow to prepare to meet its requirements, such as Turkiye, China, India, US, UK and Canada.
Turkiye is one of the EU’s main trading partners, with almost €96 billion in exports to the bloc. Carbon tax and emissions reduction policies are particularly important for the country’s cement and steel sectors.
Turkiye ratified the Paris Agreement in 2021 and committed to achieving net-zero CO2 emissions by 2053.
As GMK Center reported earlier, CBAM began to operate on October 1, 2023, with a transition period until December 31, 2025. During this period, importers will only be required to submit reports; from 2026, they will have financial obligations. The introduction of the mechanism will take place in parallel with the abandonment of free quotas in the ETS (2026-2034).