What Are Türkiye Sustainability Reporting Standards (TSRS)?
Türkiye Sustainability Reporting Standards (TSRS) are a set of standards established to enable institutions operating in Türkiye to transparently report their environmental, social, and governance (ESG) performance. TSRS aligns with international sustainability reporting frameworks and aims to measure, evaluate, and share the impact of institutions’ economic activities on sustainability.
Why Are They Important?
Transparency and Accountability:
TSRS ensures that institutions present their activities more transparently and disclose their ESG performance. This helps investors and stakeholders make informed decisions.
International Competitiveness:
Sustainability reporting is critically important for competing in global markets. TSRS facilitates Turkish institutions in preparing reports that comply with international standards.
Attracting Investments:
Investors have become increasingly sensitive to ESG performance. These standards enhance institutions’ ability to attract sustainability-focused investments.
Legal and Institutional Compliance:
Alignment with initiatives like the European Green Deal improves the competitiveness of Turkish institutions in international trade.
Who Does It Apply To?
Publicly Traded Institutions:
TSRS reporting is mandatory for institutions listed on Borsa İstanbul.
Large Enterprises:
Institutions above a certain size are also expected to report in compliance with these standards.
SMEs (Optional):
Although not yet mandatory for SMEs, sustainability reporting is encouraged to help them gain a competitive edge.
Public Institutions and Local Governments:
Sustainability criteria are becoming increasingly important in public projects, and these standards can serve as a guide for such entities.
What Does It Change in Processes?
Data Collection and Analysis:
Institutions are required to collect more detailed data on environmental impacts (e.g., carbon footprint, energy consumption), social responsibility (e.g., employee rights, community contributions), and governance (e.g., transparency, ethical practices).
Reporting Processes:
Institutions must prepare annual sustainability reports in accordance with a specific framework.
Corporate Strategy:
Sustainability should be integrated into the strategic goals of businesses, such as transitioning to environmentally friendly production methods and increasing social responsibility initiatives.
Setting Goals:
Institutions are expected to establish long-term sustainability goals and demonstrate progress toward achieving these goals.
Stakeholder Communication:
Institutions must inform their stakeholders about sustainability processes and foster collaboration on these matters.
In conclusion, TSRS supports Türkiye’s sustainable development goals while serving as a vital tool for institutions to gain competitive advantages both nationally and internationally.