Climate Law Published in the Official Gazette

With this law, the fight against climate change will be aimed at in line with the vision of green growth and the net-zero emission target. The law will cover the reduction of greenhouse gas emissions, which is essential in the fight against climate change, as well as climate change adaptation activities, planning and implementation tools, revenues, permits and inspections, and the procedures and principles of the legal and institutional framework related to these. In the fight against climate change, approaches based on equality, climate justice, precaution, participation, integration, sustainability, transparency, just transition, and progress will be adopted, taking into account Turkey's principle of common but differentiated responsibilities and respective capabilities. Public institutions and organizations, as well as natural and legal persons, will be obliged to comply with and implement the measures and regulations to be taken in the public interest in accordance with this Law within the specified time. Progress regarding the reduction of greenhouse gas emissions and climate change adaptation activities will be monitored annually by the Presidency. Without prejudice to the provisions of the Personal Data Protection Law, the Presidency will be authorized to directly request the information, documents, and data it deems necessary for the implementation of this law from public institutions and organizations, as well as natural and legal persons.

GREENHOUSE GAS EMISSION REDUCTION ACTIVITIES

With the law, greenhouse gas emissions will be reduced in line with the nationally determined contribution (NDC) statement, the net-zero emission target, and the strategies and action plans published or updated by the Presidency. Relevant public institutions and organizations will be obliged to adapt, prepare, implement, monitor, and update their planning tools, which include medium and long-term targets, within the framework of greenhouse gas emission reduction activities. Institutions and organizations will follow the establishment, implementation, and monitoring of the zero-waste system, as well as the adoption of reduction measures such as energy, water, and raw material efficiency, prevention of pollution at the source, increasing the use of renewable energy, reducing the carbon footprint of products, businesses, institutions, and organizations, the use of alternative clean or low-carbon fuels and raw materials, the expansion of electrification, and the development and increased use of clean technologies, in a manner compatible with the net-zero emission target and the circular economy approach, to be applied in the sectors included in the NDC statement, while observing the requirements of a just transition.

CLIMATE CHANGE ADAPTATION ACTIVITIES

In line with the NDC statement, the net-zero emission target, and the strategies and action plans published or updated by the Presidency, relevant institutions and organizations will carry out adaptation activities aimed at preventing existing or potential losses and damages related to climate change, minimizing risks, or taking advantage of opportunities. In line with the needs arising from the implementation of sectoral policies included in the NDC statement and the achievement of targets, the existing duties and responsibilities of the relevant institutions and organizations will be reviewed, taking into account the principles in this article, and regulations may be made by the relevant public institutions and organizations within the framework of the NDC statement and the net-zero emission target, upon receiving the opinion of the Ministry and relevant institutions. Relevant public institutions and organizations will be obliged to prepare or have prepared planning tools and vulnerability and risk analyses related to climate change adaptation on a national and local scale, to consider these prepared tools and analyses in investment and planning activities, and to implement them. Planning tools will be prepared and implemented by relevant public institutions and organizations to ensure the effective management of water resources against the effects of climate change. Risk assessment, monitoring, information, and early warning systems will be developed based on integrated disaster management to reduce losses and damages caused by climate change-related disasters.

PROVINCIAL CLIMATE CHANGE COORDINATION BOARDS TO BE ESTABLISHED

According to the law, climate change strategies and action plans will be prepared, implemented, monitored, evaluated, and updated on a national or regional scale when necessary, periodically, under the coordination of the Presidency and with the cooperation of relevant institutions and organizations, for the purpose of reducing greenhouse gas emissions and carrying out climate change adaptation activities. To determine strategy, action, and implementation areas in accordance with the conditions of the province and to ensure their implementation, a Provincial Climate Change Coordination Board will be established in each province, chaired by the governor and consisting of representatives of the provincial or regional organizations of relevant institutions and organizations, if any, and representatives of local governments. The secretariat of the Board will be carried out by the provincial organization of the Ministry, and the working procedures and principles of the Board will be determined by the Ministry. Local climate change action plans will be prepared or commissioned by the metropolitan municipality in metropolitan cities, and by the provincial municipality and provincial special administration in other provinces, with the participation of relevant institutions and organizations, under the coordination of the governor, in a way that constitutes a holistic plan for each province, observing the requirements of a just transition for the purpose of reducing greenhouse gas emissions and adapting to climate change, and will be submitted to the Provincial Climate Change Coordination Board for a decision. During the preparation or monitoring processes of local climate change action plans, relevant institutions and organizations will share the documents, information, and data requested from them within the framework of the provisions of the relevant legislation.

ESTABLISHMENT OF THE EMISSIONS TRADING SYSTEM

With the law published in the Official Gazette, an Emissions Trading System (ETS) will be established by the Presidency, a national allocation plan will be prepared, and allocations will be distributed. In this context, flexibility mechanisms and market stability mechanisms can also be developed. The market operator will operate the ETS market. Under the ETS, it will be mandatory for businesses carrying out activities that cause direct greenhouse gas emissions, the principles of which are determined by regulation, to obtain a greenhouse gas emission permit from the Presidency in order to carry out these activities. Within the scope of the procedures and principles determined by regulation, the greenhouse gas emission permit will be updated or canceled by the Presidency as a result of changes in the nature or operation of the facility during the validity period of the greenhouse gas emission permit, as well as changes in the natural or legal persons holding the greenhouse gas emission permit. Businesses included in the ETS will be required to submit annual allocations corresponding to the verified annual greenhouse gas emission value. Free allocations under the ETS may be provided in proportion to historical emission data or benchmark values. Allocations cannot be subject to collateral agreements. Free allocations subject to the delivery obligation cannot be seized unless they are transferred from the account in the transaction registration system where they were first transferred. It will be mandatory to record the electronic issuance of allocations and to monitor the rights related to them on a holder-by-holder basis. The cessation of the activities of the facilities, the liquidation of the business, or the decision of a concordat before the time of fulfilling the delivery obligation will not constitute an obstacle to fulfilling the delivery obligation.

USE OF REVENUES

To be used for the purposes determined in this law, the revenues to be obtained from obtaining greenhouse gas emission permits, revenues from the sale of allocations in the primary market under the ETS, revenues obtained from transactions originating from the market stability mechanism, fifty percent of the revenues obtained by the market operator from the ETS market, contributions received for carbon credits authorized in international carbon markets, and fifty percent of the administrative fines applied under this Law will be recorded as special revenue in the marked schedule of the general budget and will be foreseen as a special appropriation in the Presidency budget and utilized by the Presidency. The Presidency will be authorized to establish a revolving fund enterprise. The establishment capital of the revolving fund enterprise will be 10 million Turkish liras. The President will be authorized to increase the aforementioned capital amount up to 5 times. The fields of activity, duties, revenues, expenditures, operation, inspection, and procedures and principles regarding the implementation of the revolving fund enterprise will be regulated by a regulation to be issued by the Presidency with the favorable opinion of the Ministry of Treasury and Finance and the Directorate of Strategy and Budget. The revenues foreseen in this article cannot be used for purposes other than green transformation and the fight against climate change. An amount of up to ten percent of these revenues may be used for activities to be carried out within the scope of just transition practices. In this context, resources allocated as special appropriations to the Presidency budget may be transferred to administrations within the scope of the general budget as special appropriations to be used exclusively for just transition practices, and to other administrations within the scope of central government within the framework of their relevant legislation.

PENAL PROVISIONS

Contrary to the prohibitions or restrictions regarding the monitoring of greenhouse gas emissions; those who do not submit the verified greenhouse gas emission report within the specified time will be fined an administrative fine of 500 thousand Turkish liras to 5 million Turkish liras. Contrary to the procedures and principles, prohibitions, or restrictions determined by the legislation regarding substances that deplete the ozone layer; those who use, import, trade, and place on the market substances that deplete the ozone layer will be fined 2 million 500 thousand Turkish liras, natural and legal persons providing maintenance, repair, and service for products or equipment containing substances that deplete the ozone layer will be fined 250 thousand Turkish liras, and those who do not comply with the provisions on labeling products or equipment containing substances that deplete the ozone layer will be fined 120 thousand Turkish liras. Those who use, trade, and place fluorinated greenhouse gases on the market will be fined 2 million 500 thousand Turkish liras, and a Hydrofluorocarbon Control Certificate will not be issued for 3 to 6 months. Those who import hydrofluorocarbons without a quota or in amounts exceeding the quota will be fined 1 million Turkish liras, and in the following year, a deduction will be made in their quota at the rate of the amount exceeding the quota.

News Source: İHA