IKV Chairperson Ayhan Zeytinoğlu made statements regarding recent developments related to the European Green Deal (EGD). Chairperson Zeytinoğlu stated the following:

The important legal foundations of the European Green Deal were laid during the 2020–2024 period. Legislation in areas such as energy efficiency, transition to renewable energies, green taxonomy, taxation, agriculture, transportation, and biodiversity was reviewed and renewed. This process was also very important for a country like Türkiye, which is a candidate for EU membership. Türkiye took critical steps for alignment with the Green Deal, such as setting a 2053 carbon neutrality target and preparing a Green Deal Action Plan. Most recently, the Climate Law was adopted. This creates a framework for Türkiye’s climate policy. It can be developed over time. Greenhouse gas reduction targets can be strengthened. More ambitious steps can be taken for phasing out coal. When we ask what the EU has done during this process, a complex picture emerges. Let me summarize my impressions in a few points.

EGD Targets Are On Track
First, it is useful to remember that the European Green Deal is a process. It aims to make Europe the first climate-neutral continent with targets for 2030, 2040, and 2050. This target is still valid. Most recently, the European Commission also announced the 2040 targets. A target of reducing greenhouse gas emissions by 90% compared to 1990 levels was introduced. The 2030 target was a 55% reduction. According to data published recently, the EU is very close to achieving this target.

There Is an Increase in Incentives for Renewable Energy
An important dimension of the European Green Deal is the goal of phasing out fossil fuels and transitioning to renewable energy. Although fossil energy use is still high here, there has been a significant increase. While the EU average was around 10.2% in 2005, it rose to 24.5% in 2023. The 2030 target is to meet 42.5% of total energy consumption from renewable sources. When we look at total electricity generation, a more positive picture emerges. 45.3% of total electricity capacity is obtained from renewable sources. When we look at the leading countries in renewable energy within the EU, Sweden, Finland, Denmark, Latvia, Estonia, and Austria come first. With the “EU Affordable Energy Action Plan,” the EU wants to reduce its dependence on fossil fuels on the one hand, while on the other hand increasing energy efficiency and access to affordable energy to preserve the competitiveness of EU industry.

The Transition Period in CBAM is Coming to an End
When we look at the Carbon Border Adjustment Mechanism (CBAM), which is important for Türkiye’s exports to the EU, we see that the transition period is coming to an end and that it will be implemented with its financial dimension as of 1 January 2026. Those who import products covered by CBAM (cement, iron and steel, aluminum, fertilizer, electricity, and hydrogen) from outside the EU will register with the authorized authorities and receive a CBAM certificate. The price of these certificates will be calculated based on the weekly average price of allocations in the EU Emissions Trading System. Importers will declare the emissions of the products they import each year and submit the equivalent CBAM certificate to the competent authorities. In this way, carbon pricing will be carried out. Those who produce with low carbon will win. Türkiye is also creating its own ETS with the Climate Law. From this stage onward, the process needs to accelerate rapidly. If it can be proven that a carbon cost has been paid for products covered by CBAM in Türkiye, then this amount can be deducted from the CBAM charge.

Imports Below 50 Tons Are Exempt from CBAM
On 18 June 2025, an agreement was reached to exempt imports below 50 tons per year into the EU from the scope of CBAM. Accordingly, those who import less than 50 tons per year will be exempt from CBAM. In this way, the administrative burden for SMEs in particular will be reduced. Still, it appears that 99% of the emissions inherent in CBAM products may be covered by CBAM. In addition, simplification is being undertaken to reduce the bureaucratic burden in the CBAM process.

CBAM Will Be Revised Again in the Coming Days
As part of the review of CBAM, a public consultation process has been launched. At the end of this process, regulations will be made on topics such as expanding CBAM to cover additional products, including new downstream products in sectors using CBAM products, and taking additional measures to prevent circumvention of CBAM obligations. Companies and associations in CBAM sectors, NGOs, academic institutions, public authorities, and trade unions can participate in the consultation process. The process will continue until 26 August 2025.

Clean Technology Sectors Are Coming to the Fore with the Net-Zero Industry Act
While the EU’s Net-Zero Industry Act serves the goal of decarbonization, it also aims to increase competitiveness. With Clean Trade and Investment Partnerships, the EU aims to establish global networks, and we must insist that Türkiye takes part in these. The industrial decarbonization acceleration law, by introducing criteria of sustainability, resilience, and “made in Europe” in public and private procurement, will increase demand for clean products made in the EU. The legal framework for public procurement in the EU will also be renewed in 2026. With the Net-Zero Industry Act, more than 100 billion euros will be mobilized to support clean production made in the EU.

Use of Waste as Input and Recovery of Critical Raw Materials Are Being Developed for Circularity
The EU is preparing a circular economy law, which is expected to be presented in 2026. As preparation for this law, which will strengthen the circular economy, a digital waste shipment system is being implemented within the framework of digitalization and categorization of waste shipments, and a consultation process has also been launched to improve the recovery of electrical and electronic waste. Within this scope, it is aimed to strengthen circularity, reduce administrative burden, and improve traceability. The digital waste shipment system will enter into force on 21 May 2026 and will also be open to countries outside the EU for shipments involving at least one EU member state. Considering that Türkiye is one of the leading countries importing plastic waste from the EU, it is of great importance to monitor and control waste shipments, especially to ensure the transport of green waste and its recovery into the economy. The assessment note prepared by IKV researchers on this issue can be accessed here.