Türkiye’s first national carbon pricing instrument is no longer a draft. The Türkiye Emissions Trading System (ETS) Regulation was published in the Official Gazette on 27 August 2026 (issue 33353) and entered into force the same day. The framework that Climate Law No. 7552 sketched out now has concrete scope, categories, and process detail attached to it.
For any manufacturer running a heavy-industry facility, this turns a “someday” item into an obligation with a calendar attached. Below is what the regulation introduces, which facilities fall into which category, and the practical steps worth taking now.
What the regulation introduces, and when it started
The regulation sets out the procedures for monitoring, reporting, and verification (MRV) of greenhouse gas emissions, and defines how the ETS itself will operate (Source: Official Gazette, 27 August 2026, issue 33353). Three bodies will run it jointly: the Presidency of Climate Change, the Energy Market Regulatory Authority (EPDK), and Energy Exchange Istanbul (EPİAŞ).
Implementation is split into two phases:
- 2026 — a pilot, reporting-only year. No financial obligation applies this year; the goal is to test the monitoring-reporting-verification infrastructure.
- 2027 — the pricing mechanism goes live. Allowance allocation and trading are expected to start functioning once the definitive phase begins.
This staged approach echoes the logic of CBAM’s transitional period: measurement discipline comes first, cost exposure follows.
The EU’s own Emissions Trading System has run a comparable path for more than a decade; Türkiye’s phased rollout arguably draws on that experience. That said, the thresholds, categories, and timeline here are specific to national legislation — a direct one-to-one mapping to the EU system would be misleading.
Scope: which facilities, which category?
The regulation’s annex lists activities including fuel combustion, petroleum refining, iron and steel and other metal production, clinker, glass, ceramics, paper and cardboard, and several chemical production processes. Facilities are then split into three categories based on annual greenhouse gas emissions:
| Category | Annual emissions | ETS status |
|---|---|---|
| A | Below 50,000 tonnes CO₂e | Monitoring and reporting only, not part of trading |
| B | 50,000–500,000 tonnes CO₂e | Included in the trading system |
| C | Above 500,000 tonnes CO₂e | Included in the trading system |
In practice, smaller facilities build data discipline first, while mid-size and large facilities enter the trading system directly. Whether your own facility falls into A, B, or C depends on activity code and capacity calculations that vary case by case — confirm this against the regulation’s annex, or with the Presidency of Climate Change’s official guidance, rather than assuming.
Is there a financial burden during the pilot?
During the pilot phase (2026-2027), Category B and C facilities receive 100% free allocation based on a benchmarking method, and no financial obligation applies. In other words, the near-term expectation isn’t payment — it’s accurate, timely data. Once the pricing mechanism starts in 2027, the quality of the monitoring infrastructure built during the pilot will matter a great deal.
How will monitoring, reporting, and verification work?
Facilities in scope must monitor emissions using the specified methodology, report annually, and have that report confirmed by an independent verifier. This monitoring-reporting-verification logic (MRV) mirrors what already applies under CBAM and ISO 14064 greenhouse gas verification — so a data infrastructure built for CBAM can largely be reused for ETS reporting.
The recurring problem here tends to be organizational, not technical: energy consumption, fuel use, and production data usually sit with different departments in different spreadsheets. Once a verifier gets involved, that fragmentation turns into lost time and inconsistency risk.
The practical consequence: if sensor and meter data from the production line doesn’t reconcile with invoice and consumption records in accounting, a verifier will flag the mismatch and send the report back. Setting up the monitoring plan early, with data sources clearly mapped, costs far less than scrambling for data as the reporting deadline approaches.
How does this connect to CBAM?
CBAM and Türkiye’s ETS are separate pieces of legislation, but they rest on the same measurement discipline. For an iron-steel or cement producer that exports to the EU and also falls under ETS, the practical takeaway is this: produce emissions data once, accurately, and use it both for CBAM declarations and domestic ETS reporting. Building a single measurement and reporting layer — rather than collecting the same data twice, separately — makes a real difference in both time and verification cost. We cover this in more depth on our green transition page.
What should manufacturers do now?
- Clarify your category. Compare the regulation’s activity list and emission thresholds against your own facility’s data; if it’s unclear, check the official source or consult a specialist.
- Map your data sources. Identify which system holds fuel consumption, electricity, and production-volume data, and in what format.
- Start building a monitoring plan. Since 2026 is a reporting-only year, getting your methodology in place this year leaves you better positioned for the 2027 pricing mechanism.
- Identify overlap with your CBAM data. If you’re an exporter, aim for a single data pipeline that serves both ETS and CBAM, rather than two parallel reporting efforts.
- Get acquainted with the verification process early. Leaving independent verification to the last minute creates time pressure; early contact tends to make the process far smoother.
What these steps have in common is that the report itself isn’t the real challenge — the data underneath it is. That’s exactly where İkiz Eksen’s approach starts: making production and energy data measurable on the shop floor, consolidating it in a software layer, then turning it into output that satisfies ETS and CBAM alike. Along the way, we draw on Qera’s track record of 550+ clients and 100+ ERP projects, Microsoft Azure infrastructure, and nationwide turnkey project experience. You can review our scope and working model on the solutions page.
Frequently Asked Questions
Does ETS cover every industrial facility in 2026?
No. It applies to facilities in the activity groups listed in the regulation’s annex (fuel combustion, refining, iron-steel and other metals, clinker, glass, ceramics, paper-cardboard, certain chemicals) that exceed specific capacity thresholds. Smaller (Category A) facilities only have monitoring and reporting duties — they aren’t part of the trading system.
Do I need to pay anything in 2026?
During the pilot phase (2026-2027), Category B and C facilities get 100% free allocation and no financial obligation applies. The real requirement is accurate, timely emissions reporting. The pricing mechanism starts in 2027.
Is ETS the same thing as CBAM?
No, they’re separate regulations. CBAM is the EU mechanism that prices carbon embedded in imported goods at the border; Türkiye’s ETS is a domestic carbon market covering industrial facilities inside the country. Both rely on the same underlying data — greenhouse gas emissions measurement — so a data infrastructure built for CBAM can generally be reused for ETS reporting.
Who carries out the verification?
The regulation requires reports to be confirmed by an independent verifier. For up-to-date information on verifier accreditation and listings, check the Presidency of Climate Change’s official page (iklim.gov.tr); the process resembles the verifier logic already used under CBAM.
How do I confirm which category my facility falls into?
You need to compare your own production and emissions data against the activity codes and capacity/emission thresholds in the regulation’s annex. For facilities near a threshold, or running multiple activity types together, bringing in the official source or a specialist reduces the risk of misclassification.
For an assessment call on setting up your monitoring-reporting-verification process, reach out through our contact page.
Sources: Official Gazette, 27 August 2026, issue 33353, Türkiye Emissions Trading System Regulation; Presidency of Climate Change (iklim.gov.tr). Figures and thresholds are drawn from the regulation text; confirm the binding assessment for your own facility with the official source or a qualified advisor.