The Treaty process has officially been ended by the Northern Territory government, seven years after it was first announced.

Chief Minister Lia Finocchiaro said the Country Liberal government would no longer pursue plans for a treaty with Aboriginal people, first initiated by the Labor party in 2018.

"We've never supported a treaty, so that's all been dismantled under our government," she told Stateline NT.

"Our focus is on local government reform — we've always been clear about that."

The writing was on the wall for the Treaty in October 2023 when then Shadow Treasurer Bill Yan said it was not the focus of the CLP, arguing instead the party was "going to be on providing local government reform and leadership back into [remote] communities".

It remains unclear how much money was allocated for Treaty in the NT, but the Aboriginal Affairs Minister Steve Edgington said the cost of setting up a Treaty Commission/office between 2018-19 and 2023-24 was $5.3 million.

"There is no funding allocated and there are no plans for the recommendations from the former treaty commissioner's report to be implemented," he said.

The ABC reported consultations alone cost at least $4 million, which included thousands of kilometres of travel by staff of the former Treaty Commission to Aboriginal communities across the NT.

Opposition leader Selena Uibo was treaty minister in the Labor government and said whilst the decision by the CLP government was "disappointing," it was "unfortunately not surprising".

She called on the government to uphold existing Local Decision-Making Agreements (LDMs) across the NT and commit to implementing more.

"We know that when communities have LDMs tailored to their specific needs and are empowered to make their own decisions, it leads to positive outcomes," Ms Uibo said.

"Groote Eylandt is a prime example, where we've seen a significant reduction in crime alongside major improvements in housing and justice.

"It's time for the CLP to recognise the success of these agreements and continue this important work."

She told the ABC: "I know that, particularly in parts of my electorate of Arnhem, that treaty is a constant conversation … and now we have the CLP government who has closed up all ears, all mind, all heart, about what treaty could look like in the territory."

The Northern Land Council said they were "incredibly frustrated" by the decision, noting their support for Treaty since all four NT Land Councils, along with the NT Government, signed the Barunga Statement in 2018, which they described as a "pillar of hope" for a better future for the NT.

"Treaty-making was never going to be easy. It's long and complex, but we were committed to working alongside the NT Government to creating something that would benefit all Territorians," NLC Chair Matthew Ryan said.

"We have always said that Aboriginal people on the ground have the answers, but over and over again governments on all sides have chosen not to listen."

Whilst Ms Uibo said Labor had "long supported the Treaty process," the Treaty Commission office was quietly closed down in 2023 after the government released their response to the Treaty Commission's recommendations online over the christmas period.

The recommendations were never enacted, albeit the Labor party tried to spark the process into the life in the last days of its government last year.

Arnhem Land independent politician Yiŋiya Mark Guyula said the decision was "saddening" and "ignorant".

"They need to understand, they need to listen, and accept the fact that they are doing a lot of damage when they say 'no'," Mr Guyula told the ABC.

"You remove treaty and you're still standing on us, walking all over us — that's why we need treaty, to get [the government] off our backs.

"Let the treaty go on, let us have a treaty — let's walk together side by side."