If you’re a business owner or solar installer looking to install a renewable energy power-station, Green Energy Trading can help by creating and paying you for the LGCs.
LGCs are created on a yearly basis based on the actual amount of power generated by an accredited and registered renewable energy power station.
An LGC represents one megawatt hour (MWh) of net renewable energy generated by a solar PV system of more than 100kW capacity, or which generates over 250MWh each year. The generation can include anything which is consumed on the premises or exported to a distribution or transmission network.
- Power station registration with the Clean Energy Regulator (CER)
- LGCs creation and payment
- Performance monitoring
Green Energy Trading can also help out if you have questions about LGCs for wind or hydro systems.
Call 1300 077 784 to find out more.
A short video on creating LGCs can be found here.
What is a LGC?
A Large-scale Generation Certificate (LGC) is a renewable energy certificate generated by a renewable energy power station registered under the Renewable Energy (Electricity) Act 2000.
One LGC represents one megawatt hour (MWh) of net renewable energy generated by the accredited power station.
Installations may be registered as a power station if they meet the following rated system capacity, or total annual electricity output:
- Solar PV More than 100 kW, or more than 250 MWh
- Small wind More than 10 kW , or more than 25 MWh
- Micro-hydro More than 6.4 kW, or more than 25 MWh
If an installation is below the capacity or annual electricity output listed above, the system may apply for STCs. Please see the Small-scale solar PV page for more information.
How are LGCs different to STCs?
While similar in many respects, there are a few key differences between the two certificate types:
- LGCs are created based on data readings of the actual renewable power generated by the power station and can be created on a yearly, quarterly or monthly basis throughout the lifetime of the station until the RET ends in 2030.
- STCs are created based on the expected renewable energy generation of a small generation unit for a fixed number of years (the deeming period). Please see the Small-scale solar PV page for more information.
Unlike the STC target, which is an estimate of the number of STCs that will be created plus or minus the surplus/deficit from the previous year, the LGC target is set to reach 33,000GWh by 2030 to encourage development of large-scale renewable energy power stations.
Click here to watch a short video about LGCs.
What is required to get a power-station accredited to create LGCs?
Once the power station owner has nominated Green Energy Trading as the registered person responsible to create the LGC, we will apply to the Clean Energy Regulator (CER) to accredit the system as a power station under the Renewable Energy Target (RET).
Data required to complete this registration includes:
- Basic station profile
- Details of the metering system, electricity transmission and use
- Certificate calculation methodology (taking into account energy losses, auxiliary use, etc.)
- Details of project approvals
- Generation projections
Green Energy Trading is able to offer a number of flexible LGC pricing, fees and contract options. For further information, please call 1300 077 784.
How often can LGCs be claimed and what information is required?
Once accredited and operating, the system owner will provide Green Energy Trading with the power station metering data and details of electricity generation and use at the installation site on a yearly, quarterly, or other basis so that the LGCs can be created.
The meter used to accumulate data on the amount of renewable energy generated must comply with National Electricity Market (NEM) or other jurisdictional standards.
GET will prepare the data from the power station, ensuring accuracy and compliance requirements are met, for LGC creation and register the LGCs with CER.
The system owner will be paid for their LGCs once they have been approved and registered by CER.
How many certificates can be created and what price will be provided?
The number of LGCs the system owner will receive is based on the net megawatt hours (MWh) renewable energy generated by the power station at the metering point (a meter must be installed after the inverter).
You can estimate the annual LGC benefit the power station owner is likely to achieve by estimating the expected annual generation of the power station in MWh - 1 MWh of generated renewable energy = 1 LGC
The price the system owner will receive is agreed in the contract that nominates Green Energy Trading as the Registered Person responsible for LGC creation.
The LGC price offered with the LGC contract are based on the LGC spot market, less an administration margin. Our administration margin is influenced by the size of the system and how frequently the system owner prefers to be paid for the LGCs created.
The LGC spot market prices are influenced by the number of certificates available for purchase by the liable parties: the more certificates that are available, the lower the price; the more demand for certificates, the higher the price you will receive.
The system owner will be paid for the certificates created when they have been approved and registered with the Clean Energy Regulator.
For a full explanation of how to calculate LGCs for your power-station and how our pricing policy works, please contact our office on 1300 077 784.