Levy Exemption Certificates LEC
Ofgem issues one LEC for every MWh of renewable electricity generated. All industrial customers who consume “brown” electricity generated from Fossil Fuels rather than “green” renewable electricity are charged a levy for this electricity. If customers purchase green electricity with attached LECs then they do not pay the levy. If the generator exports some or all of his electricity then it may be possible to arrange a supply contract with a “green” supplier called Green Energy. Green Energy will buy the LECs from the generator at a value of approximately £3.50 per LEC. Home