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Preheat oven to 325 degrees.
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Cream butter until light.
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Cream in the powdered sugar and the grated lemon peel.
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Now work in the flour.
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Knead the dough on an unfloured board until nice and smooth.
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Spray the shortbread pan very lightly with a non-stick vegetable spray.
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Firmly press the dough into the shortbread pan.
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Prick the entire surface with a fork, and bake the shortbread right in the pan.
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Bake for 30 - 35 minutes, or until very lightly browned.
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Let the shortbread cool in the pan for about 10 minutes before you loosen the edges with a knife and flip the pan over onto a wooden cutting board.
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If the shortbread does not come right out, tap one edge of the pan.
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Cut the shortbread into serving pieces while it is still warm.
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Note: I usually leave it whole and wrap in plastic wrap and tie with ribbon or rafia for gifts.