Solar Systems Over 100KW
Large-Scale Generation Certificates.
If you are looking to install a solar PV system bigger than 100kW, it is classed as “large scale” and may be eligible for large-scale generation certificates (LGC’s).
What are LGCs?
LGC’s are a kind of currency for buying and selling renewable energy. LGC’s can be sold to energy retailers, for example, who are obliged to buy them under the Renewable Energy (Electricity) Act 2000. On the wholesale market, LGC’s are sold in parcels of a minimum of 5,000 certificates. Sale prices are negotiated between buyers and sellers, with the value depending on supply and demand. LGC’s can be a source of ongoing revenue and increase return on your solar investment. LGC’s are created per megawatt hour of eligible electricity generated/created so the size of your solar system will determine how many certificates are generated. The amount of electricity is calculated on a monthly basis using a formula specified by the Australian Government’s Clean Energy Regulator.
Difference between LGCs and STCs
LGC’s or large-scale generation certificates are created per megawatt hour (MWh) of eligible electricity generated by a “power station”. A solar PV system bigger than 100kW is classed as “large scale”. STC’s or small scale technology certificates are generated for systems below 100kW.
Eligibility for LGCs
A “power station” or solar PV system bigger than 100kW is classed as a large-scale generator and may be eligible for LGC’s. LGC’s may be claimed for excess power generated by your solar system (whatever is left over after powering your own operations). Please speak with one of our expert consultants to discuss eligibility and whether or not you can incorporate LGC’s into your financial forecasting.