Tiwi Plantation Carbon Project Two

Tiwi Plantation Carbon Project Two is a plantation forestry project located on Melville Island within the Tiwi Islands group, approximately 80 kilometres north of Darwin in the Northern Territory. Registered on August 12, 2025, the project initially covered approximately 2,860 hectares, though a variation in November 2025 added further areas to the estate. The region is defined by its remoteness and significant forestry operations, which act as a primary economic driver for the local Tiwi community alongside traditional land uses.

The project operates under the Carbon Credits (Carbon Farming Initiative-Plantation Forestry) Methodology Determination 2022. This methodology involves establishing new plantation forests or converting short-rotation plantations to long-rotation forests to sequester carbon in tree biomass. Unlike permanent environmental plantings, this project is designed for commercial harvesting, meaning the carbon credits account for the long-term average storage of carbon over harvest cycles. In this specific case, the project involves establishing a new plantation forest to produce wood products, likely contributing to the "second rotation" strategy managed by the proponent.

Melville Island experiences a tropical monsoon climate characterised by very high rainfall, often exceeding 2,000 millimetres annually in northern areas, with a distinct wet season from November to April. The terrain typically consists of deep, weathered soils derived from sandstone (Van Diemen Mesozoic), ranging from sands to light clays. These soils are generally acidic and nutrient-poor, requiring careful silvicultural management to support the rapid growth of plantation species such as Acacia mangium or potentially new Eucalyptus varieties being trialled for the region.

The project proponent, Tiwi Plantations Pty Ltd, is a wholly indigenous-owned entity that manages the forestry estate for the benefit of the Tiwi people. This project represents a continuation of the island's forestry legacy, which began commercial exports in 2015. The 2025 registration aligns with corporate announcements regarding a major "second rotation" replanting effort scheduled for the 2026 wet season, aiming to secure long-term employment and economic sustainability for the community.