Turkey will next week launch a new energy exchange that will feature emissions trading, local media reported on Thursday, but no details were provided on what types of units it will handle or the purpose the platform will serve.
The Turkish Energy Stock Market will be the country’s sole energy exchange and will be integrated into 49% state-owned Borsa Istanbul, Turkey’s exchange operator, the Hurriyet Daily News reported.
The bourse will trade wholesale power and will include trade settlement facilities.
It was, however, unclear what types or emissions units the exchange will trade, as Turkey is not a member of the EU ETS, nor can it participate in the CDM or JI mechanisms.
The country rejected taking on an emissions reduction target under the Kyoto Protocol’s second commitment period starting in 2013, meaning any efforts to curb its soaring CO2 output cannot be funded with international carbon finance.
Turkey has for years talked about developing a domestic emissions trading scheme that will be fully compatible with the EU ETS, but so far the only market in which it has been able to participate is the voluntary (VER) market.
The country is under pressure to rein in its spiralling GHG emissions, which have more than doubled since 1990.
It has yet to publish its INDC ahead of this year’s UN climate talks.