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Cut the top and bottom off each lemon. Using a vegetable peeler, peel off pieces of the skin, cutting from top to bottom. Slice peels into 1/4-inch strips or leave in natural shaped pieces. Reserve lemons for another use.
Place peels in a sauce pan and cover with water. Bring to a boil and simmer for 1 minute. Drain and repeat two more times. Mix 4 cups sugar in with 3 cups cold water. Bring to a boil. Add lemon peels and turn heat down to a simmer. Simmer lemon peels for 1 hour over low heat. Remove from liquid.
Spread remaining sugar evenly on a baking sheet. Roll lemon peels in sugar and place on cooling racks to dry, about 3 to 5 hours. Package peels in decorative glass jars tied with holiday ribbon.