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Leading MRV Emissions Reporting & ISSB-Aligned ESG Compliance Consulting in Turkey

Powering Turkey’s ESG Transformation & Green Economy Transition

Turkey (Türkiye) has implemented comprehensive ESG frameworks including mandatory MRV emissions reporting, an emerging Emissions Trading System, and ISSB-aligned sustainability standards (TFRS-S1 & TFRS-S2). The country’s commitment to climate action through the Paris Agreement ratification and Green Deal Action Plan positions Turkish companies at the intersection of European and regional ESG leadership.

As a leading ESG and sustainability consultant in Turkey, Clenergize Consultants provides comprehensive advisory services helping Turkish companies meet MRV emissions reporting requirements, prepare for ETS compliance, and navigate TFRS sustainability standards. Our expertise spans ESG strategy, carbon accounting, climate risk assessment, ISSB implementation, and regulatory compliance—ensuring Turkish businesses excel as a bridge between European and emerging markets.

Why ESG Compliance is Business-Critical in Turkey

Turkey's ratification of the Paris Agreement, National Climate Change Adaptation Strategy, and alignment with EU standards demonstrate the nation's sustainability commitment. Several regulatory mandates underscore this transformation:

  • Mandatory GHG Emissions Reporting – National MRV System (MoEUCC) – Turkey's Ministry of Environment, Urbanization and Climate Change requires large emitters to report annual Scope 1 GHG emissions under MRV Regulation, forming the foundation for Turkey's upcoming Emissions Trading System. Approximately 300-400 large emitters in cement, steel, energy, chemicals, oil & gas, mining, paper, textiles, and manufacturing must comply with annual Scope 1 GHG emissions reporting, MRV plans submitted to authorities, third-party verification, activity data (combustion, industrial processes, fugitives), and compliance with ISO 14064-style methodologies.
  • Turkey Emissions Trading System (ETS) – Pre-Compliance Phase – Turkey has enacted ETS law and is in pre-compliance phase with full cap-and-trade expected between 2025-2026, aligning with EU CBAM pressures. Approximately 300-400 entities in cement, steel, chemicals, energy, petrochemicals, and refineries must comply with emissions monitoring, ETS data submission, verification audits, readiness for allowance allocation, and carbon reduction planning.
  • Sustainability Reporting Standards – TFRS-S1 & TFRS-S2 (ISSB-Aligned) – Turkey adopted TFRS-S1 (Sustainability Disclosures) and TFRS-S2 (Climate Disclosures) based on ISSB IFRS S1/S2, mandatory for public interest entities starting FY2024. Approximately 300-350 listed companies on Borsa Istanbul, banks & financial institutions, insurance companies, and other PIEs must comply with sustainability governance, Scope 1, 2, and 3 GHG emissions, climate strategy & transition plans, risk management and resilience, sustainability metrics & targets, and ISSB-aligned disclosures.
  • BIST (Borsa Istanbul) Sustainability Reporting – Apply-or-Explain – Borsa Istanbul requires listed companies to follow Sustainability Principles Compliance Framework aligned with GRI, SASB, TCFD, UNGC & SDGs, and ISSB (TFRS-S1/S2). Although "apply or explain," it is effectively mandatory for BIST 50/BIST 100 large caps. Approximately 120-180large listed companies must comply with annual ESG reporting, climate risk disclosure, governance & ethics KPIs, social metrics (labor, safety, diversity), supply-chain ESG, and environmental KPIs & energy use.
  • BRSA ESG & Climate Risk Guidelines – The Banking Regulation and Supervision Agency requires banks to integrate ESG and climate risk into governance, strategy, risk management, and disclosures, aligning with TCFD, EBA, and ISSB. Approximately 50-70 major BRSA-regulated banks, leasing companies, factoring companies, and financial institutions must comply with climate and environmental risk assessment, stress testing & scenario analysis, ESG-integrated credit and investment processes, climate governance, disclosure of sustainability risks, and portfolio climate metrics.

Given these developments, Turkish companies that fail to adapt risk MRV penalties, future ETS compliance costs, TFRS non-compliance sanctions, regulatory scrutiny, and reduced access to European markets and sustainable finance.

Clenergize's ESG Consulting Services in Turkey

Clenergize Consultants offers tailored ESG and sustainability advisory services designed for Turkey's regulatory environment bridging European standards and emerging market dynamics. Our Turkish expertise enables clients to achieve MRV compliance, prepare for ETS obligations, implement TFRS-S1/S2 standards, and build sustainable competitive advantages as Turkey integrates with European and global markets.

1. MRV Emissions Reporting & Verification

Turkey's national MRV system requires comprehensive emissions reporting from large facilities. Clenergize's MRV services include:

  • MRV Plan Development – Creating monitoring plans covering emission sources, measurement methodologies, and quality assurance
  • Annual GHG Inventory – Conducting Scope 1 emissions inventories across combustion, process emissions, and fugitive sources
  • Activity Data Collection Systems – Establishing data collection procedures for fuel consumption, production data, and process parameters
  • Emissions Calculation – Applying Turkish emission factors and calculation methodologies following ISO 14064 principles
  • MRV Plan Submission – Preparing and submitting MRV plans to Ministry of Environment authorities
  • Third-Party Verification – Coordinating verification processes with accredited verification bodies
  • Continuous Improvement – Enhancing data quality, uncertainty analysis, and inventory accuracy
  • We serve cement, steel, energy, chemicals, oil & gas, mining, textiles, and industrial facilities meeting Turkish MRV reporting thresholds.

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2. Turkey ETS Preparation & Carbon Management

Turkey's Emissions Trading System is moving toward full implementation. Our ETS preparation services include:

  • ETS Readiness Assessment – Evaluating preparedness for mandatory cap-and-trade participation
  • Emissions Monitoring Systems – Implementing continuous monitoring meeting ETS requirements
  • Allowance Strategy Development – Preparing for allowance allocation, trading, and compliance strategies
  • Carbon Reduction Planning – Identifying emission reduction opportunities to minimize ETS costs
  • Benchmarking & Allocation – Understanding sectoral benchmarks and free allocation methodologies
  • Trading System Preparation – Establishing systems for allowance registry, trading, and surrender
  • EU CBAM Coordination – Aligning Turkey ETS with EU Carbon Border Adjustment Mechanism requirements

We help Turkish exporters to EU, cement plants, steel mills, refineries, chemical producers, and energy companies prepare for Turkey ETS while managing EU CBAM implications.

3. TFRS-S1 & TFRS-S2 (ISSB) Implementation

Turkey's adoption of ISSB-aligned standards creates comprehensive sustainability disclosure requirements. Clenergize's TFRS services include:

  • TFRS-S1 Implementation – Applying general requirements for sustainability-related financial disclosures
  • TFRS-S2 Climate Disclosure – Implementing climate-related disclosure requirements covering governance, strategy, risk management, and metrics
  • Sustainability Governance Framework – Establishing board oversight and management responsibility for sustainability matters
  • Materiality Assessment – Identifying material sustainability topics affecting enterprise value
  • Climate Risk & Opportunity Analysis – Assessing physical and transition climate risks and opportunities
  • Complete GHG Inventory – Measuring Scope 1, 2, and 3 emissions following GHG Protocol and TFRS requirements
  • Climate Scenario Analysis – Conducting scenario analysis across multiple climate pathways
  • Transition Planning – Developing climate transition plans aligned with Paris Agreement goals
  • Sustainability Metrics & Targets – Establishing KPIs and time-bound targets across sustainability dimensions
  • TFRS Disclosure Preparation – Drafting complete sustainability statements meeting TFRS-S1 and TFRS-S2 requirements

We serve Borsa Istanbul-listed companies, banks, insurance companies, and public interest entities implementing Turkey's ISSB-aligned sustainability standards.

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4. BIST Sustainability Reporting & ESG Integration

Borsa Istanbul sustainability principles create comprehensive ESG expectations. Our BIST sustainability services include:

  • Sustainability Report Preparation – Drafting annual sustainability reports aligned with BIST Sustainability Principles Compliance Framework
  • ESG Framework Implementation – Applying GRI, SASB, TCFD, and UNGC frameworks appropriate to Turkish context
  • Climate Risk Disclosure – Reporting climate-related risks following TCFD recommendations
  • Governance & Ethics KPIs – Disclosing board composition, ethics programs, anti-corruption measures, and stakeholder engagement
  • Social Metrics Reporting – Measuring and reporting employee welfare, health and safety, diversity and inclusion, and labor practices
  • Supply Chain ESG – Assessing and reporting supply chain sustainability practices and risks
  • Environmental KPIs – Disclosing energy consumption, water use, waste management, and environmental impacts
  • Apply-or-Explain Compliance – Addressing BIST principles with appropriate explanations where practices differ

We serve BIST 50, BIST 100, and all Borsa Istanbul-listed companies ensuring comprehensive sustainability disclosure and investor communication.

5. BRSA Climate Risk Management for Financial Institutions

Turkish banks face specific ESG and climate risk requirements. Our financial sector services include:

  • Climate & Environmental Risk Framework – Implementing systems to identify, assess, and manage climate-related financial risks
  • Stress Testing & Scenario Analysis – Conducting climate stress tests and scenario analysis for physical and transition risks
  • ESG-Integrated Credit Processes – Implementing E&S risk assessment in lending and credit allocation
  • ESG Investment Policies – Developing policies governing sustainable investment and ESG considerations
  • Climate Governance – Establishing board oversight and senior management accountability for climate risks
  • Portfolio Climate Metrics – Measuring financed emissions and climate risk exposure across loan portfolios
  • Sustainability Risk Disclosure – Preparing disclosures on climate and ESG risks aligned with BRSA expectations
  • Sustainable Finance Strategy – Developing green finance, sustainability-linked lending, and ESG product offerings

We serve Turkish banks, leasing companies, factoring companies, and financial institutions implementing BRSA ESG and climate risk guidelines.

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6. Renewable Energy & Green Transition Support

While ESG compliance is our primary focus in Turkey, Clenergize brings renewable energy expertise supporting decarbonization:

  • Renewable Energy Strategy – Developing corporate renewable procurement strategies in Turkey's growing clean energy market
  • Solar PV Feasibility – Assessing rooftop and ground-mounted solar opportunities for industrial and commercial facilities
  • Unlicensed Generation – Navigating Turkey's unlicensed generation framework for on-site renewable energy
  • Renewable Energy Certificates – Sourcing International RECs and exploring Turkish renewable certificate mechanisms

With renewable energy project experience across emerging markets, we help Turkish companies integrate clean energy into comprehensive carbon reduction strategies supporting MRV, ETS, and TFRS requirements.

Industry Specialization in Turkey

Our Turkey ESG consulting serves critical sectors:

  • Cement & Building Materials – MRV reporting, ETS preparation, carbon reduction, CBAM implications
  • Steel & Metals – Process emissions, energy efficiency, ETS readiness, export compliance
  • Energy & Utilities – Emissions reporting, renewable integration, transition planning
  • Chemicals & Petrochemicals – MRV compliance, safety, environmental management
  • Banking & Financial Services – BRSA climate risk, sustainable finance, TFRS implementation
  • Textiles & Manufacturing – Supply chain ESG, carbon footprinting, sustainability reporting

Why Choose Clenergize for Turkey ESG Compliance?

Turkish Regulatory Expertise

Deep understanding of MoEUCC, BRSA, BIST, and Turkish ETS requirements

ISSB Implementation Leaders

Early adopters helping Turkish companies implement TFRS-S1/S2

EU-Turkey Bridge

Understanding both Turkish regulations and EU standards (CBAM, EU ETS)

Carbon Market Preparation

Comprehensive ETS readiness and carbon management capabilities

Multi-Sector Experience

Serving diverse industries across Turkey's dynamic economy

Bilingual Capabilities

Operating in both Turkish and English for multinational corporations

Partner with Clenergize for Turkey ESG Leadership

As Turkey implements MRV reporting, prepares for ETS launch, and adopts ISSB-aligned sustainability standards, companies need expert partners navigating evolving requirements while demonstrating sustainability leadership bridging European and emerging markets.

Contact us to explore how we can help your organization achieve MRV compliance, ETS readiness, TFRS implementation, and sustainable business excellence across Turkey.

Our Clients

Frequently Asked Questions

SB 253, also known as the Climate Corporate Data Accountability Act, requires companies with annual revenues over $1 billion doing business in California to disclose their Scope 1, Scope 2, and Scope 3 greenhouse gas (GHG) emissions. Reporting begins in 2026 for Scope 1 and 2 emissions (covering the 2025 fiscal year) and in 2027 for Scope 3 emissions.

SB 261 requires companies with annual revenues over $500 million operating in California to disclose climate-related financial risks and their mitigation strategies. The disclosures, starting in 2026, must align with the Task Force on Climate-Related Financial Disclosures (TCFD) framework.

Scope 1: Direct emissions from owned or controlled sources (e.g., on-site fuel combustion). Scope 2: Indirect emissions from the purchase of electricity, steam, heat, or cooling.Scope 3: All other indirect emissions in a company’s value chain, including supply chain emissions, transportation, and product lifecycle emissions.

Non-compliance will result in penalties from the California Air Resources Board (CARB). SB 253: Fines up to $500,000 per reporting year. SB 261: Fines up to $50,000 per reporting year. Additionally, companies risk reputational damage and potential loss of investor confidence.

Clenergize Consultants provides:

  • Expertise in measuring and reporting Scope 1, 2, and 3 emissions
  • Guidance on climate risk assessments and mitigation strategies aligned with TCFD.
  • Support with implementing data collection systems and ensuring reporting accuracy.
  • Assistance with third-party verification and assurance for compliance.
  • Tailored solutions to integrate carbon disclosures into broader ESG strategies.
  • Access to our proprietary digital platform Clenergize ESG+ to monitor your carbon footprint and ESG strategy.

For further queries please contact us on info@clenergize.com

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