Arnhem Land Fire Abatement NT has struck a major deal with National Australia Bank, which executed its biggest single purchase of Australian Carbon Credit Units on Wednesday.

Key points

• NAB makes major carbon procurement transaction with First Nations-owned NFP

• 150,000 high-quality indigenous savanna burning ACCUs sourced, securing access over five years.

• The deal supports projects in Arnhem Land.

The landmark carbon transaction presents a long-term commercial commitment to First Nations-led land management and support for Traditional Owners and rangers to combine cultural knowledge with modern tools across five Arnhem Land fire projects.

The agreement with the First Nations-owned carbon farming business gives NAB access to approximately 150,000 high-quality ACCUs until 2031, reducing its reliance on annual spot market purchases.

Krista Baetens, from NAB executive markets, said the transaction would be mutually beneficial both parties at a time when demand for Australian carbon credits was rising.

"This agreement directs long-term demand toward Indigenous-generated credits and gives greater certainty to projects delivering environmental, cultural and economic benefits on Country," she said.

"The partnership with ALFA NT enables us to work with a First Nations-owned organisation delivering projects that combine cultural knowledge, land management, emissions reduction and economic empowerment."

Ms Baetens said strengthening NAB's supply of premium ACCUs would improve its management of carbon exposure over time.

Landmark deal developed after reforms

The deal comes after Federal Government reforms to the Safeguard Mechanism in 2023 and introduction of new savanna fire methodologies in April 2026.

"Australia's carbon market has continued to evolve in recent years, with increased spot liquidity and the development of more active forward and options markets," Ms Baetens said.

ALFA NT uses revenue from Indigenous savanna burning ACCUs to operate six Arnhem Land fire management projects led by Traditional Owners and rangers, combining customary knowledge with modern tools.

Indigenous savanna burning ACCUs involve planned, low-intensity burning early in the dry season, preventing unplanned high-emissions wildfires later in the season that negatively impact biodiversity and environmental conditions.

Indigenous benefits from carbon credit sales

ALFA NT chief commercial officer Adrian Enright said the NAB partnership was critical to long-term certainty for the organisation's activities.

"Every dollar from the sale of ACCUs is reinvested into land and cultural management, employing over 300 Indigenous Rangers, training and community priorities," Mr Enright said.

"As Australia's carbon market continues to mature, organisations are increasingly seeking long-term partnerships that deliver certainty, integrity and enduring impact.

"Together with NAB, we've created a partnership that provides long-term supply certainty through one of Australia's most trusted sources of high-integrity carbon credits, while creating enduring environmental, cultural and economic outcomes across Arnhem Land."

The transaction contributes to demand for Indigenous-generated carbon credits and supports continued investment in projects led by Traditional Owners.