How Turkish Companies Can Go Net Zero: Strategic Sustainability Consulting That Works

For businesses operating in Turkey, the pressure to decarbonize is no longer limited to reputational risk or stakeholder expectations—it’s rapidly becoming a matter of regulatory compliance and long-term competitiveness. Sustainability is no longer a siloed initiative. It sits at the intersection of finance, operations, supply chains, and strategy, and its execution requires fluency not only in environmental metrics, but also in policy, technology, and capital allocation.

Turkey is in a pivotal phase. The country officially ratified the Paris Agreement in October 2021, committing to reach net zero emissions by 2053. That’s a bold commitment—and it creates clear directional pressure on the private sector. From heavy industry to agriculture to financial services, firms are being asked to show how they intend to align with national and international climate goals. Yet most companies, especially mid-sized and family-owned enterprises, lack the internal capacity to map a viable decarbonization path.

This is where strategic sustainability consulting can drive meaningful value. Rather than adopting boilerplate ESG frameworks or relying on carbon offsetting as a crutch, Turkish businesses need clear, tailored roadmaps. These should account for sector-specific emissions profiles, upcoming policy mandates, investor disclosure requirements, and the practical realities of implementation on the ground.

Take the example of the European Union’s Carbon Border Adjustment Mechanism (CBAM), which enters its transitional phase in 2026. Given that nearly 40% of Turkey’s exports go to the EU, this policy could have a dramatic impact on manufacturers in steel, cement, aluminum, and fertilizer. Under CBAM, emissions embedded in goods will effectively become a cost—unless firms can demonstrate that their products meet EU-aligned carbon standards. In other words, Turkish exporters who don’t decarbonize will lose pricing power or market access.

What’s often missed in this conversation is that compliance isn’t the end goal—it’s the baseline. Smart companies are leveraging this moment to rethink operational efficiency, energy sourcing, and product innovation. The most forward-looking are embedding ESG into capex decisions and R&D pipelines, viewing sustainability not as a constraint but a value-creation lever.

Turkey’s regulatory ecosystem is also catching up. The Capital Markets Board of Turkey (CMB) issued ESG reporting guidelines aligned with global frameworks like GRI and TCFD. While currently voluntary, these guidelines are influencing institutional investor expectations and are widely seen as a precursor to mandatory climate-related disclosures. Additionally, the Ministry of Environment, Urbanization and Climate Change is developing a national Emissions Trading System (ETS), modeled in part on the EU’s system. These moves signal that the window for unregulated emissions is closing.

Still, many Turkish firms are underprepared. Internal ESG teams, if they exist, are often under-resourced and focused narrowly on compliance checklists. Meanwhile, sustainability data remains fragmented across departments—making it difficult to produce reliable carbon inventories, much less scenario analyses or target-driven reduction strategies.

The good news? A well-structured decarbonization plan isn’t just a regulatory shield—it can also drive cost savings, enhance resilience, and attract capital. For instance, accessing green finance through sustainability-linked loans or bonds increasingly requires demonstrating credible emissions reductions. In 2022 alone, Turkey issued nearly $2 billion in green and sustainable bonds—a figure projected to grow as banks align with EU taxonomy rules and global climate finance trends.

But moving from commitment to execution requires a shift in mindset. Net zero is not a one-time initiative—it’s a multi-year transformation touching procurement, logistics, HR policies, and digital infrastructure. And while off-the-shelf ESG software or carbon calculators can help, they rarely capture the strategic nuances specific to the Turkish market.

That’s why companies are increasingly turning to external partners not just for compliance help, but for transformation strategy. The most effective consultants don’t just deliver a PowerPoint deck—they co-design measurable transition plans, help implement decarbonization levers, and work alongside leadership to embed sustainability into core business planning.

For Turkish businesses, the path to net zero will not be linear. It will involve trade-offs, experimentation, and cross-functional coordination. But the payoff—long-term resilience, market access, and future-proofed operations—is too significant to ignore.

One of the most underutilized tools in Turkey’s net zero journey is data. Without a detailed understanding of Scope 1, 2, and—critically—Scope 3 emissions, businesses can’t identify priority areas for intervention. Many companies default to internal energy use and fleet electrification while missing the emissions embedded in their supply chains, product lifecycle, or raw materials sourcing. This is particularly relevant in Turkey, where upstream and downstream supply networks are highly fragmented. Mapping this complexity requires more than spreadsheets—it demands analytical models, digital tools, and sector-specific benchmarks.

Another key driver is access to clean energy. Although Turkey has made notable progress in renewables—particularly in wind and solar—grid constraints and regional imbalances remain. For energy-intensive sectors like textiles, automotive, and metals, renewable power purchase agreements (PPAs) or onsite generation will be essential levers. However, navigating permitting, regulatory incentives, and energy market dynamics requires deep local expertise.

One positive trend: Turkey’s recently announced National Energy Efficiency Action Plan aims to reduce energy consumption by 14% by 2030, supported by incentives and technical support for industrial energy users (source). This creates a clear opportunity for companies to combine decarbonization with cost savings—if they act decisively.

We’re also seeing growing investor and customer scrutiny. Global brands sourcing from Turkish suppliers are under pressure to disclose full value chain emissions under frameworks like the Corporate Sustainability Reporting Directive (CSRD). Suppliers who can’t meet sustainability expectations risk being dropped or sidelined. This raises the stakes not just for large firms, but for SMEs embedded in export supply chains. For these companies, sustainability strategy isn’t a luxury—it’s a survival issue.

That said, the strategic opportunity is real. Companies that act early can shape standards, capture green market premiums, and position themselves as preferred partners. For example, manufacturers in the Aegean region that have adopted circular economy models are now exporting to niche European buyers at higher margins. These aren’t PR stories—they’re business strategies backed by hard numbers.

The challenge is in execution. Many executives ask: Where do we even start?

In our view, the most effective decarbonization journeys start with three parallel moves. First, create a transparent emissions baseline, aligned with international standards but grounded in operational realities. Second, identify 3–5 high-impact interventions—these could be technology upgrades, energy shifts, or redesigning product lines. Third, build internal governance that gives sustainability real weight in capital and strategic decisions. Not a CSR team on the side, but board-level oversight and KPI-linked accountability.

Each of these steps requires both strategic clarity and technical depth—qualities that internal teams may not have the bandwidth to develop alone. That’s where a tailored consulting approach adds value: not by delivering generic ESG reports, but by helping organizations navigate complexity, prioritize actions, and build internal capabilities along the way.

To be clear, there’s no one-size-fits-all solution. A logistics firm in Istanbul, a textile exporter in Denizli, and a food processor in Gaziantep will each require different pathways. But they share a common need: a roadmap that is feasible, financially sound, and grounded in the Turkish context.

At Gasilov Group, we help businesses translate sustainability ambitions into operational reality. Whether you’re responding to CBAM, preparing for ESG disclosure, or trying to decarbonize a complex supply chain, we bring a structured, deeply contextual approach. Our work is informed by regulatory developments, industry data, and a practical understanding of what transformation actually takes.

If your organization is serious about building a net zero strategy that works—not just in principle, but in practice—let’s talk. We don’t promise quick fixes. But we do offer credible, tailored solutions that help you lead, not follow.

What is the Carbon Border Adjustment Mechanism (CBAM) and how does it affect Turkish businesses?

CBAM is an EU regulation that places a carbon price on imports of certain goods to prevent carbon leakage. For Turkish exporters, this means that emissions embedded in their products could soon carry a financial cost unless they reduce their carbon footprint or prove compliance with EU standards.

Is ESG reporting mandatory in Turkey?

Currently, ESG reporting in Turkey is voluntary but strongly encouraged by the Capital Markets Board. However, increasing alignment with EU regulations and investor expectations suggests mandatory reporting is likely within the next few years.

How can Turkish companies create a net zero roadmap?

Companies should begin with a detailed emissions inventory, identify sector-specific decarbonization opportunities, and integrate sustainability into governance and capital planning. Engaging expert consultants ensures the roadmap is both actionable and aligned with evolving policies.

What sectors in Turkey are most affected by net zero policies?

Sectors such as manufacturing, energy, textiles, construction, and transportation are most impacted due to high emissions and export exposure. These industries must adapt quickly to avoid regulatory and market penalties.

Can small and medium enterprises (SMEs) in Turkey afford sustainability consulting?

While SMEs often face budget constraints, customized consulting support can deliver targeted, cost-effective solutions. Many also benefit from government incentives and international funding mechanisms aimed at supporting sustainable transitions.