The federal government has announced two new savanna fire carbon credit methods, saying the measures could generate an estimated additional $7.7 billion by capturing carbon and reducing emissions while supporting secure, long-term jobs and investment in First Nations communities.
On Thursday, Assistant Climate Change and Energy Minister Josh Wilson announced both an updated emissions avoidance-only method and a new sequestration-plus-emissions-avoidance method had been approved for use under the Australian Carbon Credit Unit (ACCU) Scheme.
Mr Wilson argued the approved methods will "ensure the carbon stores that have been built up in the landscape since ACCU Scheme savanna fire methods began will be locked in and maintained over decades to come".
He said the milestone is built on Indigenous knowledge and practice, "derived from thousands of years of caring for Country".
"Combining that knowledge and experience with scientific advances to tackle climate change will help care for Country into the future, while providing new economic opportunities that properly value the critical climate benefits of First Nations enterprise," Mr Wilson said.
The methods build on the First Nations practice of using low-intensity "cool" burns early in the dry season to prevent unplanned, high-intensity bushfires later in the year, reducing emissions while also protecting environmental conditions and biodiversity.
The new framework captures a greater share of avoided emissions and, for the first time, properly accounts for carbon stored in trees, allowing more accurate crediting of strategic fire management across northern Australia.
With nearly three-quarters of abatement from savanna ACCU activities already delivered by Indigenous carbon businesses, the changes are expected to help project operators generate more ACCUs and increase economic returns.
Arnhem Land Fire Abatement welcomed the announcement, with chief executive Dr Jennifer Ansell noting it "completes a key missing piece of the carbon story by acknowledging these projects have also accumulated stored carbon in the landscapes".
"This is an incredible outcome for Country and communities in Arnhem Land," she said. "Arnhem Land is a remote place, and this is a once-in-a-generation opportunity to export something which protects and nurtures the landscape and Indigenous language and culture at the same time."
Dr Otto Bulmaniya Campion, a senior Balngarra man from Malnyangarnak in central Arnhem Land, said the savanna fire management method has played a key role in building and sustaining a thriving Aboriginal ranger company in the Arafura Swamp region.
"We are making a really good story for country," he said. "It's a good partnership and we are really proud."
The government says there are 86 current savanna fire management projects across northern Australia, spanning 34.9 million hectares — equivalent to 4.5 per cent of Australia's total land area.
Figures from the Indigenous Carbon Industry Network show 70 per cent of this area is owned and operated by Indigenous enterprises.
Estimates from the ICIN show Indigenous-led savanna fire management projects already reduce about one million tonnes of emissions each year, generating an estimated $59 million annually.
The new methods are expected to strengthen those economic returns, with CSIRO modelling indicating they could cut an additional 180 million tonnes of emissions over the next 25 years.
Minister for Indigenous Australians Malarndirri McCarthy said the methods will allow "land managers to invest at an unprecedented scale".
"Savanna fire management projects provide real benefits for First Nations people, such as jobs on Country for Indigenous land managers, direct income from the sale of ACCUs, and increased capacity to care for Country, culture and communities," she said.
"They will help advance our communities' priorities in health and wellbeing, education, housing and infrastructure, and Connection to Country, Culture and Languages."