What Is TSRS? Who Must Publish a Sustainability Report in Türkiye?

The Türkiye Sustainability Reporting Standards (TSRS) are issued by the Public Oversight, Accounting and Auditing Standards Authority (KGK) and make sustainability reporting mandatory for companies above a certain size. This post summarises what the standards ask for, who is covered, and how to get climate data ready.

What Do TSRS 1 and TSRS 2 Cover?

TSRS is based on the IFRS S1 and IFRS S2 standards of the International Sustainability Standards Board (ISSB). TSRS 1 sets the general requirements for disclosing sustainability-related financial information; TSRS 2 covers climate-related disclosures. Both ask for information under four headings: governance, strategy, risk management, and metrics and targets.

Who Has to Report?

Under the KGK regulation, scope depends on company size. Companies that exceed at least two of three thresholds (total assets, annual net sales revenue and number of employees) in two consecutive reporting periods, and that fall within the entity types listed in the regulation, are in scope; banks are in scope regardless of the thresholds. Application began with financial periods starting on or after 1 January 2024.

Threshold amounts and the entity types in scope can be updated by KGK decisions, so check the KGK announcement currently in force when assessing your own position. This post is general information and is not legal or audit advice.

What Climate Data Does TSRS 2 Require?

The core of the metrics and targets section is greenhouse gas emissions. Companies are expected to disclose gross Scope 1, Scope 2 and Scope 3 emissions in tonnes of CO2 equivalent, measured in line with the GHG Protocol Corporate Standard. Transitional relief applies to Scope 3 in the first reporting periods, but value chain data takes time to collect, so it pays to start early.

The standard also asks about the climate targets the company has set: which emissions the target covers, the base year, the target year, whether it is an absolute or intensity target, and how progress is monitored. A company with no target has to say so.

Four Steps to Prepare

• Define the inventory boundary: which sites and subsidiaries are included and which consolidation approach you use.
• Derive Scope 1 and 2 from invoices: fuel, natural gas and electricity consumption is the most reliable starting data.
• Pick the material Scope 3 categories: for most manufacturers, purchased goods and services and logistics dominate.
• Set a base year and a target: an inventory without a target leaves the metrics and targets section empty.

Where Does NetZero E.S. Fit In?

The Scope 1-2-3 emissions you calculate on the platform flow into the TSRS 2 (KGK) template on the dashboard. The template contains the emission metrics and the reduction target you define on the dashboard; your company has to write the governance, strategy and risk management sections. The output is a draft and does not replace independent assurance.