The Northern Territory government is facing two separate lawsuits over a land clearing permit.

In November, the Territory granted a permit allowing the clearing of about 900 hectares on Auvergne Station south-west of Darwin near the Western Australian border.

Documents show about 250 hectares of that land is intended for a cotton growing trial.

The Environment Centre NT (ECNT) wants the permit revoked, arguing in the NT Supreme Court that clearing land to grow cotton is not allowed under the type of permit that was granted.

“Right now, land clearing is skyrocketing in the Northern Territory, spurred in part by the cotton industry's huge expansion plans,” ECNT director Kirsty Howey said in a statement.

“Land clearing is the biggest threat to biodiversity in Australia, and clearing for cotton will decimate local wildlife, impact rivers and add to greenhouse gas emissions.”

The Northern Land Council (NLC) claims the rights of native title-holders were overlooked in the decision-making process.

It has launched separate legal action.

“The land that is being cleared across the Northern Territory is not forgotten land that no one cares about,” chief executive Joe Martin-Jard said in a statement.

“It belongs to Aboriginal people.

“There are legal rights over that land that must be respected.”

But Chief Minister Natasha Fyles has defended her government's decision-making processes, saying they strike the right balance between economic growth and environmental protection.

“We need to have economic growth so that we have the revenue to fund the services we need in the Northern Territory and to have jobs to keep people here in the territory,” she said.

“But our environment is absolutely a priority and that is shown whether it's water, whether it's land management, a range of areas.

“We have done a significant amount of work around environmental legislation and we'll continue to do so.”