Stands for "Re-Targetable Graphics"
Graphics cards can be added into the higher-range Amigas (anything with a spare Zorro II/III slot or PCI Slot). Used in conjunction with driving software which allows the Amiga to use the graphics card without requiring explicit support from the application, this provides the Amiga with RTG (Retargetable Graphics). Unfortunately, these graphics cards do not have a Copper, so some effects such as screen-dragging and mid-screen Palette changes can not be done on an RTG device. Despite this, RTG allows Amigas to use recent hardware - the AmigaOne, Pegasos and AROS machines all use RTG as standard.
The standard RTG API on Amigoid OS's is the Cybergraphics API, but the Cybergraphics software itself is proprietory so most people prefer to use the Picasso96 software (argubly the most popular implementation, and certainly my favourite), they are fairly compatible with each other (since Picasso96 uses the Cybergraphics API).
The Amiga emulator UAE can use the Picasso96 RTG software to access to the host machine's graphics card. Not only does this allow larger resolutions and more colourdepths, but it also frees up a considerable amount of CPU for other tasks, (Custom Chipset emulation is very slow).