LGC stands for large-scale generation certificate. It is the tradeable unit of the Large-scale Renewable Energy Target, and one LGC equals one megawatt hour of eligible renewable electricity generated above the power station’s baseline. They are created after the electricity is generated, so the supply builds up through the year.
Who creates them
Accredited power stations, which means wind farms, large solar farms, hydro, biomass and commercial solar systems above 1 MW, or above the old small-scale threshold of 100 kW if installed before 1 October 2026. The owner applies to the Clean Energy Regulator for accreditation, then registers generation and creates LGCs in the registry. Accredited stations must have the right metering and report their output.
Who buys them
Electricity retailers and certain large users are liable entities. Each year they calculate their obligation based on the electricity they sold or used, and surrender LGCs to cover it. They buy those certificates from generators, brokers and traders.
How they differ from STCs
STCs cover systems up to 100 kW, and from 1 October 2026 solar up to 1 MW (mid-scale solar STCs), and are created upfront for several years of deemed generation. LGCs are created for actual output, after the fact. See LGC vs STC for the comparison, and what are large-scale generation certificates for the scheme view.
What they are worth
LGCs trade on an open market. At the time of writing the spot price has been roughly $6 to $9 in September 2026. See LGC price.
How long they last
The Renewable Energy Target runs to 2030, so LGCs are tied to that horizon. Check the Clean Energy Regulator for the current position on how it affects certificates created in later years.
From the desk: a commercial solar system just over 100 kW was treated very differently from one just under until 1 October 2026. Now the question is install date, and whether the system is above 1 MW. See the 100 kW limit.
Why it matters to installers
Most installers will never create an LGC, but the scheme shapes the commercial jobs they quote. A client with a 150 kW roof will ask what the certificate value is, and the answer is different from a 99 kW system. Knowing the basics lets you give a useful first answer and refer the detail to a specialist.
What this means for you
If you install or own a commercial system, find out early which scheme it falls under. See the resources hub and STC trading for the small-scale side, and pricing for current STC rates.