Large-scale generations certificates (LGCs) and small-scale technology certificates (STCs) are tradable certificates issued within their respective schemes under the Renewable Energy Target (RET).
STCs can be sold through the open market or STC clearing house. LGCs can be sold on the secondary market or directly to liable entities through power purchase agreements.
Once LGCs and STCs are paid for, they can be transferred through the Renewable Energy Certificate Registry (REC Registry).
All certificate purchases must be negotiated and paid outside the REC Registry.
REC Registry
The REC Registry is an online system that tracks the location and ownership of LGCs and STCs.
Through the REC Registry, you can create, transfer and surrender certificates. You can also access the STC clearing house through the system.
Supply and demand
The supply for both LGCs and STCs solely relies on activity within their schemes. We administer:
- STCs for the installation of eligible small-scale systems
- LGCs for electricity generated by eligible power stations.
The main demand for STCs and LGCs is from liable entities who need to source and surrender certificates to meet their legislative obligations under the RET.
The amount of certificates they need to surrender is dependent on the:
- amount of electricity they use or sell
- small-scale technology percentage and renewable power percentage.
Learn more about liable entities.
There is also an increasing voluntary demand for LGCs from businesses and other levels of government to meet their own emissions reduction targets. These buyers can surrender certificates for:
- Climate Active
- GreenPower
- other voluntary ambition.
Learn more about voluntary offsetting and surrender.
Quarterly Carbon Market Reports
Learn more about the market's supply and demand of certificates in our Quarterly Carbon Market Reports.
STC markets
Systems owners and registered agents can sell STCs through either the:
- open market for an uncapped price
- STC clearing house at a fixed price of $40, excluding GST.
System owners usually assign the right to create STCs to agents. It's faster, easier, and they may receive an upfront discount on their installation. Once assigned, the system owner is no longer involved in STC matters.
All sellers and buyers must have a valid REC Registry account to trade certificates.
Open market
In the open market, agents typically create contracts with liable entities that need to acquire STCs to meet scheme obligations.
Pricing in the open market will fluctuate regularly and doesn't have a maximum limit.
Pricing responsibility
We do not regulate the open market. It is the responsibility of the STC owner to find a buyer and agree on a purchase price.
Learn how to buy and sell STCs.
STC clearing house
The STC clearing house is a facility in the REC Registry to support system owners, registered agents and liable entities buy and sell STCs at the fixed price of $40 per certificate, excluding GST.
Depending on demand, STCs may join the STC clearing house transfer list if there are more sellers than buyers. This is a first-in-first-served system, the latest offers are added to the bottom of the list.
The status of the STC clearing house transfer list is available in the REC Registry and updated hourly.
Read our STC clearing house operations guidance.
If there aren't any STCs available for sale in the STC clearing house, certificates are substituted with 'Regulator created STCs' for buyers to purchase. These STCs can be traded and surrendered as ordinary STCs.
Payment must be received in full before STC's are released from the STC clearing house.
Liable entities should place orders in the STC clearing house 5 business days before quarterly surrender deadlines. This avoids transaction delays and STC shortfalls.
Once payments are cleared, we settle the purchase and STCs are transferred into the buyers REC Registry account. These STCs will have the status of 'registered'.
A seller may remove their sale offer from the STC clearing house transfer list at any time. This occurs if a seller decides to sell their STCs to a buyer (such as an agent) outside of the STC clearing house and at a negotiated price.
A seller may only withdraw sales for STCs if an offer to buy hasn't been received on the STC clearing house.
Find out how to withdraw your STCs.
You can transfer STCs for a privately negotiated price to a new owner even if the certificates are on the STC clearing house transfer list.
The new owner will take over the certificates and their position on the STC clearing house transfer list.
Find out how to transfer STCs ownership.
You can only withdraw transfers that haven't been accepted by the recipient account holder. You can't cancel or withdraw a transfer once it's accepted.
Find out how to withdraw a transfer.
LGC markets
Individuals and companies can sell LGCs in the secondary market. The price of LGCs will fluctuate regularly depending on the supply and demand.
The secondary market consists of:
- liable entities buying certificates to meet their surrender obligations
- private buyers voluntarily buying certificates to show they're using or supporting renewable electricity.
To buy on the secondary market, search:
- for traders and brokers of environmental certificates online
- certificate holders in the REC Registry.
It is the seller's responsibility to find buyers. We do not regulate the secondary market and do not interfere with pricing agreements.
Learn how to buy and sell LGCs.
Pricing in the open and secondary markets
We don't set the prices for certificates in the open and secondary markets. We also can't interfere in negotiations or payments of certificates. All negotiations and payments are made outside of the REC Registry.