Carbon Markets And Emission Trading: General Overview & Türkiye's Upcoming Emissions Trading System

Our article examines the role of carbon markets in reducing emissions, focusing on the UN's Clean Development Mechanism and voluntary markets. It also explores global carbon pricing systems, from the EU's CBAM to Türkiye's forthcoming Emissions Trading System, highlighting challenges and advancements.

Introduction

The movement for carbon emission controls and emission reductions, which started with the Kyoto Agreement in European countries, has expanded its place on the agenda as a focal point worldwide. The Clean Development Mechanism (CDM), launched by the United Nations in 1997 under the Kyoto Protocol, laid the foundation for mandatory (compliance) carbon markets. It was designed to help ensure that the binding targets set by the participating governments are achieved. At the same time, increasing public awareness and consumer trends have triggered voluntary carbon markets. Thus, the process of balancing commercial activities and mitigating the climate