Trying to digest everything you need to know about Smart Export Guarantee (SEG) rates can be quite daunting. Yet, with the right information, solar panel owners can transform their installations into profitable ventures.
In 2024, standout suppliers such as Octopus Energy, OVO Energy, and E.ON Next are leading the charge with the best SEG tariff rate offerings that cater to a range of needs. But hold that thought—let's dive a bit into what Smart Export Guarantee (SEG) is all about first.
| Supplier | Tariff Name | Tariff Type | Tariff Length | Tariff Rate (p/kWh) | Payment Cycle | Includes Battery Storage | Must be on supplier import tariff |
|---|---|---|---|---|---|---|---|
| OVO Energy | Solar & Battery Install SEG | Variable | No fixed end date | 20p | 3 months | Yes | Solar and battery installed by OVO |
| E.ON Next | Next Export Exclusive | Fixed | 12-month fixed term | 16.5p | 12 months | Yes | Yes |
| Octopus | Outgoing Fixed | Fixed | No fixed end date | 15p | Monthly | Yes | Yes |
| Octopus | Outgoing Agile | Variable | No fixed end date | 0-Xp | Montlhy | Yes | Yes |
| British Gas | Export and Earn Plus | Variable | No fixed end date | 15p 3 months | Yes | Yes | |
| OVO Energy | Solar Install SEG | Variable | No fixed end date | 15p | 3 months | No | Solar installed by OVO |
| ScottishPower | SmartGen+ | Variable | No fixed end date | 15p | 3 months | Yes | Yes |
| ScottishPower | SmartGen | Variable | No fixed end date | 12p | 3 months | Yes | No |
| So Energy | So Export Flex | Fixed or Variable | No fixed end date | 7.5p | Monthly | Yes | No |
| British Gas | Export and Earn Flex | Variable | No fixed end date | 6.4p | 3 months | Yes | No |
| EDF | Export Variable Value | Variable | No fixed end date | 5.6p | 3 months | Yes | Yes |
| Utility Warehouse | UW Smart Export Guarantee – Bundle | Variable | No fixed end date | 5.6p | Unknown | Unknown | Yes |
| Octopus | Octopus SEG Tariff | Fixed | No fixed end date | 4.1p | Monthly | Yes | No |
| OVO Energy | OVO SEG Tariff | Fixed | 12 month fixed term | 4.0p | 3 months | Yes | No |
| Shell Energy | SEG V1 Tariff | Variable | No fixed end date | 3.5p | 12 months | Yes | No |
| E.ON Next | Next Export | Fixed | 12 month fixed term | 3.0p | 12 months | Yes | No |
| EDF Energy | Export Variable | Variable | No fixed end date | 3.0p | 3 months | Yes | No |
| Utilita | Utilita Smart Export Guarantee | Fixed | No fixed end date | 3.0p | 3 months | Unknwonn | No |
| Utility Warehouse | UW Smart Export Guarantee – Standard | Variable | No fixed end date | 2.0p | Unknown | Unknown | No |
| E | SEG Tariff | Fixed | Unknown | 1.0p | Unknown | Unknown | No |
☀️ Note: This table data is sourced from Solar Energy UK with correct pricing as of 5th January 2024. Keep in mind, the highest rate doesn't guarantee the most advantageous energy package. Solar Energy UK advises exploring various options to secure the most favorable deal.
E.ON Next's structure caters to solar panel owners, with rates like their current offering at 16.5p/kWh. They emphasise ease of participation and transparent billing, aimed at making solar power more lucrative for you.
They offer solar exporters a choice between two Smart Export Guarantee (SEG) plans: Next Export and Next Export Exclusive. Next Export is designed for any solar generator with a system capacity of up to 5MW, whereas Next Export Exclusive is tailored for customers who have procured their solar installations from E.ON after January 1st, 2020.
To qualify for either tariff, applicants must comply with the following criteria:
Octopus Outgoing Fixed provides you with a stable rate for your exported electricity. As of 2024, this tariff offers up to 24p/kWh, ensuring predictability in your earnings.
Octopus Outgoing Agile links directly to wholesale prices, offering a dynamic rate that can maximise earnings when market prices are high. This flexible rate responds to real-time demand, potentially increasing your profits during peak times.
To qualify for the tariff, you must satisfy these requirements:
To qualify for the tariff, the following requirements must be met:
When it comes to finding the best Smart Export Guarantee (SEG) rates for solar panel owners, it's important to consider different suppliers in the market. Here are two suppliers worth looking into:
To qualify for Shell Energy's SEG tariff, you'll need:
These requirements ensure precise monitoring of your exported electricity, allowing Shell Energy to reward you accordingly.
While British Gas offers a more favorable rate, be sure to review if your setup meets their standards before choosing their tariff.
Now that we've covered the best SEG tariffs offered by suppliers, let's move on to understand how you can sign up for these tariffs and start earning from your solar panel installations.
Selecting an energy supplier that offers favourable rates is pivotal for solar panel owners who want to sign up for a Smart Export Guarantee (SEG) tariff. Here is a simplified guide to help you navigate the process:
Before diving into SEG tariffs, ensure your solar panel installation qualifies for the scheme. You must have energy generation from solar panels with a capacity of up to 5 MW or 50 kW without combined heat and power installation. Additionally, you must own an export meter and hold a Microgeneration Certification Scheme (MCS) certificate.
Investigate various energy suppliers, focusing on their SEG tariff rates and other specific requirements. Use Solar Energy UK's league table as a resource to compare the best rates. The likes of Octopus Energy, OVO Energy, E.ON Next, Shell Energy, and British Gas are notable suppliers.
Based on your research and specific needs, decide on an energy supplier that offers the most favourable rate. Remember this choice isn't about the highest payout per kWh but about which supplier aligns best with your energy production pattern.
Once you've made your energy supplier choice, contact them directly to initiate the sign-up process. This involves filling out an application form and providing necessary documentation such as proof of MCS certification.
Some suppliers may require you to install a smart meter for accurate measurement of exported electricity. If required, arrange for the installation of this meter.
Review all terms and conditions before finalising the agreement with your chosen supplier. Once done, you can start earning money from your solar panel exports.
Remember, the goal is to maximise your earnings from solar power exports. Take your time, do your research, and make an informed decision when signing up for a SEG tariff.
The Smart Export Guarantee (SEG) is a UK government-backed scheme that allows solar panel owners to earn money by selling surplus solar power back to the grid. Electricity suppliers pay for each unit of exported power, turning solar installations into profitable investments.
To help consumers navigate this landscape, Solar Energy UK publishes a league table ranking suppliers based on their SEG rates, as shown below. This resource can guide your decision-making process by showing you which suppliers offer the best tariffs for exported electricity.
This understanding of the SEG scheme positions solar panel owners favourably in the energy market. By selecting the right supplier and tariff, you can maximise your earnings from solar power generation.
To participate in the Smart Export Guarantee (SEG) program, you need to meet certain criteria and have the necessary technical setup. Here's what you need:
The most important requirement is having a valid MCS certificate for your solar panel installation. This certificate is proof that your system meets the standards set by the Microgeneration Certification Scheme (MCS).
📝 MCS Certificate: It's a mark of quality that ensures both your solar panels and their installation meet specific standards. Having an MCS certificate is essential for SEG participation as it guarantees that your system is installed correctly.
You also need to have an export meter and an export MPAN:
Smart meters are recommended for SEG participants because they provide precise measurements of exported electricity in half-hour intervals. Energy suppliers may even require you to have a smart meter installed:
🌱 Role of Smart Meters: These advanced devices ensure accurate tariff rates by recording your energy generation and export data every 30 minutes. They help future-proof against potential mandatory smart meter usage.
By meeting these eligibility criteria and technical requirements, you can ensure that you're ready to take full advantage of the SEG program and maximise your earnings from solar power generation.
Harness the power of the sun, and let it work for you. With the best Smart Export Guarantee tariffs in 2024, you can transform your solar panels into a revenue stream. Let's recap on what we've learned:
Remember, every penny counts when it comes to maximising your earnings from solar panels. These suppliers with the best SEG tariff rates on the market offer enticing opportunities that should not be overlooked.
However, choosing an energy supplier is no light task. It requires careful consideration of rate structures, requirements, and long-term benefits.
The Smart Export Guarantee (SEG) is a financial incentive for owners of small-scale, low-carbon electricity generators. It allows them to earn money by selling excess electricity back to the National Grid. To qualify for these payments from electricity suppliers, specific requirements must be fulfilled.
Key Points of the SEG:
Eligibility: Owners of small-scale renewable energy installations.
Benefit: Receive payments for surplus electricity exported to the grid.
Criteria: Must meet certain standards and regulations.
The SEG is designed to support the growth of renewable energy in the UK, making it a win-win for both green energy producers and the environment.
Octopus Energy's tariff is nearly on par with what consumers typically pay for electricity, making it an attractive option for those looking to maximize their returns from surplus energy exported to the National Grid.
For non-Octopus customers, Scottish Power offers a notable alternative at 12p per kWh.
While this doesn't match Octopus's rate, it's significantly higher than the last Feed-in Tariff's export rate of 3.8p per kWh, which ceased in 2019.
The SEG enables companies to purchase electricity from private generators at rates that are, on average, less than half of what they charge consumers. In some cases, the disparity can be as high as 96%, underscoring the importance of choosing the right tariff to ensure fair compensation for your exported energy.
Currently, Octopus Energy is leading the pack with the best Smart Export Guarantee (SEG) rates in the UK. They offer a flat rate of 4.1p per kWh for every unit of power you export to the grid under their SEG tariff. However, if you're an Octopus Energy customer, you can benefit from even better rates. Including up to 24p per kWh with Ocotopus Flux.
How much can I sell my electricity for? The amount you'll be paid for selling solar power back to the National Grid through the Smart Export Guarantee will vary depending on the tariff you choose. It could be between 1p/kWh to 24p/kWh – the best rate available at the time of writing. Which is through the Octopus Flux tariff.
Individual consumers typically do not have to pay income tax on SEG payments. These payments are considered a return on investment for the electricity they export back to the National Grid from their renewable energy installations, such as solar panels. As such, for most individual consumers, SEG payments are not taxed as income.
Businesses, on the other hand, must treat SEG payments as trading income. This means that these payments are subject to income tax or corporation tax, depending on the business structure. However, SEG payments are not subject to Value Added Tax (VAT). Additionally, businesses can offset SEG payments against other taxable income, which can reduce the overall tax liability.
The SEG tariffs have largely remained unchanged or have seen slight increases, reflecting a cautious approach by suppliers amidst the evolving energy market. This trend is underscored by the data from Ofgem's annual reports, which highlight the range of tariffs offered and the payments made to generators.
The reports reveal a growing number of installations and an increase in payments, indicating a positive trajectory for SEG participants.
