Parliamentary Discussion on Pension Matters and Environmental Impact of Energy Policy
The Turkish Parliament has passed a significant regulatory development, marking the country's first-ever national climate law, which was adopted in early July 2025. This comprehensive legislation introduces a legal and institutional framework to combat climate change, including the establishment of a national Emissions Trading System (ETS).
Key Environmental Regulations and Impact on Energy and Mining ---------------------------------------------------------------
The law requires companies within the ETS scope—primarily large emitters such as those in the energy, cement, and steel sectors—to obtain greenhouse gas emission permits within three years of the law’s enactment. A pilot phase of the ETS is expected by 2026. Businesses will need to monitor, report, and pay for their emissions, with national allocation plans detailing emissions allowances. This system effectively caps carbon emissions and introduces trading permits, incentivizing reductions and cleaner production methods.
The law reinforces the authority of the Climate Change Directorate within the Environment, Urbanization and Climate Change Ministry. It gives the Directorate powers to monitor compliance, conduct inspections in cooperation with other institutions, impose administrative sanctions, and coordinate climate policy enforcement.
The law includes definitions and provisions for climate justice, climate finance, net zero emissions by 2053, fair transition, and carbon credits. It obligates public institutions, businesses, and individuals to comply with new regulations and integrates climate adaptation measures into city-level planning. The law aims to create a market-driven, transparent, and structured approach to climate mitigation and adaptation in Türkiye.
While the law does not single out mining explicitly, the energy sector, a significant greenhouse gas emitter, is directly impacted. Energy projects, especially those involving fossil fuels, will face stricter regulation under the ETS regime. Mining operations that emit greenhouse gases will likely be included in the ETS coverage, thereby facing emission caps, permit requirements, and potential financial liabilities. This regulatory framework pushes these sectors toward cleaner technologies and sustainability, aligned with Türkiye’s 2053 net-zero emissions goal.
Pension-Related Regulations ----------------------------
Discussions related to pension reforms and their environmental impact are noted to be on the agenda, which may indicate ongoing or future parliamentary debates in this area. However, there is no detailed information regarding new pension-related regulations proposed or passed by the Turkish Parliament alongside these environmental laws.
Other Regulatory Developments -----------------------------
- A bill on energy and mining bans permits, incentives, or licenses for new projects without a positive environmental impact report. - The bill authorizes the Ministry of Energy and Natural Resources to approve the relocation of olive trees for mining needs in designated areas. - The Foreign Affairs Committee will discuss five draft laws on international agreements and hear a presentation from Foreign Ministry officials on recent developments in Cyprus, including actions taken by the Greek Cypriot administration against individuals purchasing property in the Turkish Republic of Northern Cyprus (TRNC). - The Commission on the Investigation of Problems Faced by People with Disabilities is expected to hold its second meeting to determine its working calendar. - No public tenders will be launched unless the environmental impact report is produced. - The mandatory retirement age for generals and admirals appointed as force commanders is proposed to be increased to 67, with potential extensions up to 72. The number of generals and admirals whose service terms can be extended is also proposed to increase.
The Turkish Parliament will hold a weekly session on Tuesday, where these and other regulatory developments will likely be discussed further. This landmark climate law is a significant step towards Türkiye’s commitment to addressing climate change and promoting sustainable development.
- The national Emissions Trading System (ETS) instituted by the Turkish climate law targets businesses primarily in the energy, cement, and steel sectors, as they fall within the ETS scope and must obtain greenhouse gas emission permits.
- To combat climate change, the climate law introduces a framework for environmental finance by implementing a system that caps carbon emissions, offers trading permits, and introduces provisions for carbon credits.
- In line with tackling climate change, the Turkish climate law integrates general-news provisions on climate justice, fair transition, net-zero emissions by 2053, and climate finance, obligating public institutions, businesses, and individuals to comply.
- The energy sector, a significant greenhouse gas emitter, is directly impacted by the climate law due to stricter regulations under the ETS regime, which pushes energy projects, including fossil fuel projects, towards cleaner technologies and sustainability.
- Although mining is not mentioned explicitly in the climate law, mining operations that emit greenhouse gases may be included in ETS coverage, prompting these operations to adopt cleaner techniques and promote sustainability in alignment with Türkiye’s 2053 net-zero emissions goal.
