How Are Credit Trades Recorded?

Native vegetation credits are typically used to meet an offset requirement. Permit holders may contact a credit matcher, such as BushBroker or Trust for Nature, to source a credit that matches their specific offset requirements. Prospective buyers are not required to go through a credit matcher, however, this is generally the most efficient means of locating credits that match their offset requirements.

How are credit trades recorded?

The process for recording a change in ownership of credits resulting from a credit trade includes:

1. Credit Trading Agreement prepared
2. Documentation provided to NVCR
3. NVCR updated and credit statements issued

Credit Trading Agreement prepared

Once a credit owner and credit buyer agree on a price for the credits, a Credit Trading Agreement is drawn up. The parties to the Credit Trading Agreement differ depending on whether the credit trade is primary or secondary.

A primary credit trade is one where the landholder managing the credit site is also the credit owner trading the credits. For primary credit trades the parties to the credit trading agreement are the credit owner, the buyer of the credit and the organisation administering the security agreement.

A secondary credit trade occurs where the landholder responsible for managing the credit site has already traded their credits and this is a subsequent trade. For secondary and all subsequent credit trades the parties to the credit trading agreement are the credit owner, and the buyer of the credit only.

Documentation provided to NVCR

The credit seller notifies the Native Vegetation Credit Register (NVCR) that a credit trade has taken place and provides a signed copy of the credit trading agreement and trade settlement form. The Native Vegetation Credit Registrar will check that the trade is valid. Trades are valid if the credit seller is the listed credit owner on the NVCR and that the credits have not been allocated.

NVCR updated and credit statements issued

Provided the trade is valid, the Registrar will record the change of ownership on the NVCR.

The Registrar will send a standard credit extract to the new credit owner showing the credits recorded in their name. These credits can then be traded again or the new credit owner can allocate the credits to meet offset requirements.

For more information about allocating native vegetation credits please refer to Native Vegetation Credit Register Information Sheet 4.

Further information

For further information on native vegetation, please contact the Department of Environment and Primary Industries (DEPI) Customer Service Centre on 136 186 or visit the DEPI website at: