Environmentally Friendly Production Set to Become Mandatory

EU Green Deal law enacted, environmentally friendly production now mandatory The 'European Union Green Deal – EU Green Deal' legislation, prepared by the European Commission and sidelined for an extended period due to the pandemic, was enacted into law on 24 June 2021 following a surprise EU vote. Türk Ytong Board Chairman Fethi Hinginar noted that the Green Deal legislation contains provisions of direct concern to Turkish business and mandates environmentally friendly production. He warned that companies failing to comply with these provisions will be forced to pay additional taxes through border carbon adjustments. The Green Deal aims to reduce Europe's carbon emissions by 55 percent by 2030 and bring carbon emissions to zero by 2050. Türk Ytong Board Chairman Fethi Hinginar highlighted important issues related to the Green Deal legislation, which the EU enacted on 24 June 2021 to reduce carbon emission levels within EU borders. Hinginar stated that they have closely followed developments since the European Commission first published it as a legislative proposal in December 2019, and have examined findings and penalties specifically targeting the building and construction materials sector. He said: "EU countries purchase 12 percent of their building materials needs from abroad. Turkey is one of the most important countries from which the EU purchases building products. Turkish companies selling products to the EU market will be forced to pay additional customs duties for goods produced without meeting the environmentally friendly production criteria established by the Green Deal."  

An opportunity to transform the construction sector with an environmentally conscious approach

Adding to his remarks that the EU is preparing to implement environmentally friendly production and living practices within its own borders, Fethi Hinginar stated that the EU is using the Green Deal legislation to pressure countries from which it purchases goods and products to adopt environmentally friendly production, and is planning to impose a carbon footprint tax at customs for products from companies not engaged in environmentally friendly production. Hinginar continued: "The EU will set a carbon emission limit for every product it imports. For products exceeding this limit, it is preparing to introduce additional customs duties at a level of EUR 55–60 for each ton of excess carbon emissions. It is clear that this practice will negatively impact building materials exports. This could cause our country's building materials sector to lose considerable competitive strength in the EU market. Turkish business must focus on this issue regardless of sector, and take action for action plans. Although civil society organizations and associations have done important work informing their members, there is a need for more effective and comprehensive efforts. On the other hand, we should view the EU's move in the medium and long term as an opportunity to transform the construction sector with an environmentally conscious approach, and we should place a carbon-neutral vision on our agenda."

Türk Ytong conscious of environmental responsibilities

"We also closely monitor the issue through the European Autoclaved Aerated Concrete Association (EAACA) channel on behalf of our sector. EAACA is ahead on this matter. For example, it recently announced a 'Zero Pollution Action Plan'. With this plan, it aims to eliminate pollution by reducing air, water, and soil pollution to levels that do not harm health and natural ecosystems by 2050. The 'Renovation Wave Strategy' will be used to combat air pollution from buildings and improve indoor air quality. For example, concrete steps are being targeted in areas such as encouraging integration of zero pollution targets with clean energy and energy efficiency goals, as well as recovery and reuse of construction waste. As the Turkey Autoclaved Aerated Concrete Producers Association, we are closely following all these developments and goals. As Türk Ytong, we are taking our steps carefully as an institution that produces environmentally friendly products and is conscious of its responsibilities, setting new targets, and serving as an example to the sector."