Piper Alderman advises Corporate Carbon on innovative ACCU financing

Piper Alderman has advised Corporate Carbon Group on an innovative Australian Carbon Credit Unit (ACCU) financing deal.

The transaction will see the Commonwealth Bank of Australia finance the acquisition of pastoral leases in rural Western Australia through prepaying for ACCUs, which will be delivered over the next five years.  ACCUs will be generated through greenhouse gas abatement activities, which Corporate Carbon, together with Forever Wild Ltd – a national social & environmental enterprise – will undertake on the acquired land.

The Piper Alderman team led by Partner, Martin Lovell, and Associate, Oliver Radan, advised Corporate Carbon on all aspects of the bespoke transaction, including the negotiation of funding and security documents and related service contracts.

Gary Wyatt, Managing Director of Corporate Carbon commented:

“Piper Alderman’s clear and concise legal advice was crucial in enabling us to complete this complex transaction.  They were able to efficiently identify the material contractual points of difference and offer practical solutions. Their involvement allowed us to achieve the best contractual outcomes.”

The project will ultimately reduce atmospheric carbon and protect 2,200 square kilometres of land, biodiversity and cultural heritage.

Martin Lovell commented on the deal:

“Piper Alderman is proud to have worked with Corporate Carbon in developing an innovative new financing structure which harnesses carbon credits to support biodiversity and better environmental outcomes. We expect that this transaction will pave the way for other sustainable projects to be debt funded on a similar basis.”

Related media coverage

• Corporate Carbon Group and Forever Wild’s A$1.7 Billion ACCU Financing Deal – Global Legal Chronicle, 23 November 2022