Important Development: A New Legal Regulation On Sustainability Auditing Has Come Into Force

With the publication of the Regulation on Sustainability Auditing ("Regulation"), in the Official Gazette dated January 17, 2025, and numbered 32785, one more legislative effort has been added on sustainability, which have gained momentum over the past five years. With the increasing prevalence of sustainability policies and initiatives, it has become mandatory to establish an auditing framework to ensure compliance with national and international standards for these activities.

The sustainability audit, as defined and aimed by the Regulation, involves verifying and aligning a company's sustainability report—which includes its environmental, social, and governance disclosures—with the Turkish Sustainability Reporting Standards ("TSRS"). This process also ensures that the necessary auditing techniques are applied, and the findings are evaluated and formalized in a report.