To assist the Northern Territory in achieving the target of net zero emissions by 2050, large greenhouse gas emitters will need to mitigate and manage emissions from new and expanding development activities. Clarity is required for proponents and decision makers about what level of greenhouse gas emissions will be considered acceptable at the moment, and at what point will a proponent be required to offset their emissions at the point in time.

The policy is proposed to apply to both industrial and agricultural (e.g. land clearing) emitters, and the policy is to make it clear that expected reductions in emissions from these types of activities will systematically increase over time to ensure that new and expanding large emitters are appropriately and proportionately contributing to the net zero emissions target.