The Smart Export Guarantee: Getting Paid for Surplus Solar Power

When your solar panels produce more electricity than you need, the surplus flows to the grid. The Smart Export Guarantee (SEG) is a UK scheme that requires larger electricity suppliers to offer you a payment for that exported electricity. It replaced the earlier feed-in tariff for new installations.

Who has to offer SEG tariffs?

Licensed electricity suppliers with 150,000 or more customer accounts must offer at least one SEG tariff. Smaller suppliers may offer them voluntarily. You do not have to be a customer of the supplier for imports, so in many cases you can choose the best export deal separately from your import supplier, though some tariffs are bundled with specific import tariffs.

Who can claim?

Eligible technologies include solar photovoltaic, wind, micro combined heat and power, hydro and anaerobic digestion, up to a size limit set in the rules. For solar, the installation should normally be certified under MCS or an equivalent scheme, which is one reason to use a certified installer. You also need a meter capable of measuring your exports, which is usually a smart meter reading half-hourly data, though arrangements can vary. Check with your chosen supplier.

How the tariffs work

• Fixed rate: a set price per kWh exported for a period.
• Variable rate: the price may change, so you should check it periodically.
• Time-of-use or smart export: pays different rates at different times, often rewarding export at peak times. Often combined with a battery.

The scheme requires that the export tariff must be above zero, but beyond that suppliers set their own rates. These vary widely, so it is worth comparing.

How to compare export tariffs

1. Look at the pence per kWh paid, and whether the rate is guaranteed or can change.
2. Check whether the tariff requires you to be an import customer and whether there are any conditions, such as a battery or an electric vehicle.
3. Check the payment frequency and how payments are made.
4. Read the terms about changing supplier and what happens if you move.
5. Compare the rate with the likely value of using your own power instead, because using solar yourself is usually worth more than exporting it.

Do you need to apply?

Yes. You apply to the supplier of your choice, providing details of your installation and certification. Your installer can help. Payments are based on the readings of the meter over the period.

Using more yourself or exporting more?

Export payments are generally lower than the price you pay for imported electricity, so it is worth trying to use more of your solar generation yourself. Running appliances during the day, using a diverter for hot water or adding a battery can all help. Check the current rules and tariffs on Ofgem's website, which sets out how the scheme works, since terms are updated by suppliers from time to time.

For a wider overview of getting started with solar, see our solar panel guide.