The Smart Export Guarantee pays UK solar owners for every unit of electricity they export to the grid. It launched on 1 January 2020, replacing the Feed-in Tariff for new installations, and is now the primary financial benefit available to customers installing solar in 2026. Rates vary significantly between suppliers — from under 4p/kWh to over 15p/kWh depending on tariff type and timing.
This guide covers who qualifies, how the scheme works, current rates by supplier, and the practical steps installers can take to help customers get registered and maximise their earnings.
What Is the Smart Export Guarantee?
SEG is a government-mandated scheme, administered by Ofgem, that requires larger energy suppliers to pay households and small businesses for renewable electricity they export to the National Grid. The payment rate is set by each supplier — Ofgem requires only that the rate is above zero.
The scheme applies to:
- Solar PV
- Wind turbines
- Hydro
- Anaerobic digestion
- Micro combined heat and power (micro-CHP)
For solar installers, solar PV is the main technology. The principles are the same across all eligible technologies.
SEG vs the Old Feed-in Tariff
The Feed-in Tariff paid participants for electricity generated (a generation tariff) and separately for an assumed 50% of that electricity being exported (an export tariff — not metered). Early FiT rates for solar were extraordinarily high: 43.3p/kWh for systems installed in 2010–2011. By the time FiT closed to new applicants in March 2019, generation rates had fallen to around 3.5–5p/kWh.
SEG works differently. There is no generation payment — only a metered export payment for electricity that actually leaves the property. Export must be measured in real time by a smart meter. This is more accurate but means customers who self-consume most of their solar generation receive relatively modest SEG earnings.
Existing FiT Recipients Are Not Affected
Households who registered under the Feed-in Tariff before March 2019 continue to receive their FiT payments for the full contract term (typically 20 years from installation). They do not need to switch to SEG and cannot claim both simultaneously.
SEG Eligibility Requirements
To qualify for SEG payments, an installation must meet all of the following criteria:
System capacity Total installed capacity must not exceed 5 MW. For residential and small commercial solar installations, this threshold is never an issue in practice — typical residential systems are 4–13 kWp and commercial rooftop systems rarely exceed 250 kWp.
MCS certification The system must be installed by an MCS-certified installer and the installation must have a valid MCS certificate. The installer registers the installation on the MCS database, and the certificate number is required for SEG registration. See the MCS certification guide for how to obtain and maintain MCS accreditation.
Location The system must be located at the property from which the export is measured. You cannot register a system at one address and claim export payments at another.
Smart meter The property must have a smart meter capable of providing half-hourly export readings. This is the requirement most likely to delay SEG registration for new installations. Some properties still have first-generation smart meters (SMETS1) that do not support half-hourly export reads. Suppliers will arrange upgrades, but scheduling can take weeks.
Warning
Do not advise customers that SEG registration will be immediate. Smart meter installation or upgrade can take 4–8 weeks depending on the supplier’s scheduling capacity. Set realistic expectations at handover and follow up to confirm the customer has started the registration process.
Who Must Offer SEG?
Ofgem requires all licensed electricity suppliers with 150,000 or more domestic customers to offer at least one SEG tariff. As of April 2026, obligated suppliers include:
- British Gas
- EDF Energy
- E.ON Next
- Octopus Energy
- OVO Energy
- Scottish Power
- Utilita
Smaller suppliers below the 150,000-customer threshold may offer SEG voluntarily. A few do, but rates and terms vary. Customers with smaller suppliers may find their options limited.
Crucially, customers do not have to register for SEG with their import supplier. Export and import can be with entirely different companies. This is important because it allows customers to switch SEG supplier to chase better export rates without changing their electricity import contract.
SEG Tariff Rates: April 2026
SEG rates change frequently. The table below reflects publicly available rates as of April 2026. Always check supplier websites for current figures before advising customers.
| Supplier | Tariff Name | Rate | Notes |
|---|---|---|---|
| Octopus Energy | Intelligent Octopus Export | ~15p/kWh | Requires Intelligent Octopus import tariff |
| Octopus Energy | Octopus Flux | Variable | Higher rates during peak export; also varies by import time |
| Octopus Energy | Agile Octopus Export | Variable | Half-hourly variable rate; can be very high or very low |
| E.ON Next | Export Exclusive | ~5.6p/kWh | Fixed rate; available to non-E.ON import customers |
| British Gas | Solar Extra | ~5.5p/kWh | Fixed rate |
| EDF Energy | SEG tariff | ~5p/kWh | Fixed rate |
| OVO Energy | OVO Beyond | ~4p/kWh | Rates occasionally change; check current terms |
| Scottish Power | SEG tariff | ~4.5p/kWh | Fixed rate |
Rates Change Frequently
SEG rates are set by each supplier and can change without regulatory approval. The figures above are approximate and based on publicly available information in April 2026. Use the SEG tariff comparison tool for up-to-date rates before advising customers.
Understanding Time-Varying Tariffs
Standard SEG tariffs pay a fixed rate per kWh regardless of when the electricity is exported. Octopus offers two time-varying alternatives that can pay substantially more for customers willing to manage their export timing.
Octopus Flux
Octopus Flux is a combined import/export tariff (customers must use Flux for both import and export). The export rate varies across three periods each day:
- Peak export period (approximately 16:00–19:00): highest export rate, often 15–25p/kWh
- Standard period: mid-range rate
- Off-peak period (approximately 02:00–05:00): lowest rate (can drop to very low levels)
Flux works well for households with battery storage. The optimal strategy is to charge the battery from the grid during off-peak hours (cheap import), use the battery during the day when solar generation is high (avoid grid import), and export during peak evening hours when the export rate is highest.
Octopus Agile
Agile is a fully dynamic tariff with half-hourly prices set by wholesale market rates. Export rates can be very high during periods of high grid demand or very low (even negative) during periods of low demand and high renewable generation. Not suitable for customers without battery storage and active energy management.
Intelligent Octopus Export
Intelligent Octopus Export is simpler than Flux: a fixed premium export rate (around 15p/kWh as of April 2026) in exchange for using the matching Intelligent Octopus import tariff. The import tariff offers cheap overnight charging (for EVs or batteries) in exchange for Octopus being able to schedule flexible loads. For households with EVs or batteries, this combination typically delivers the best total energy economics.
How Installers Can Help Customers Maximise SEG Earnings
Self-Consumption First
SEG rates — even at 15p/kWh — are lower than the cost of imported electricity (typically 24–28p/kWh in 2026). The economics of solar favour using generation on-site whenever possible. Time high-draw appliances (dishwashers, washing machines, EV charging) to run during the middle of the day when generation is at its highest.
Good solar proposals should include self-consumption estimates based on the customer’s load profile, not just a headline export figure.
Battery Storage and SEG Optimisation
A battery storage system changes the SEG economics fundamentally. Without storage, solar generation that exceeds immediate consumption is exported immediately. With storage, excess generation is stored and can be:
- Used in the evening (avoiding import)
- Exported during peak-rate periods (with time-varying tariffs)
- Combined with overnight cheap-rate import to fully charge before peak export
The financial case for battery storage in the UK has improved significantly with the spread of time-varying tariffs. With Octopus Flux or Intelligent Export, a well-optimised battery and solar system can earn £300–600/year in SEG payments while also reducing import bills substantially. Without storage on a fixed-rate tariff, SEG earnings for a typical 4 kWp system are more likely £100–200/year.
Pro Tip
When presenting battery storage options to customers, model the SEG impact explicitly. A quote that shows £X in SEG earnings with battery storage versus £Y without gives the customer a clear financial basis for the upsell decision — not a vague “batteries are worth it” statement.
Choosing the Right SEG Supplier at Registration
Not all customers will be on Octopus. For customers with British Gas, EDF, or OVO as their import supplier, the simplest path is to register for SEG with the same supplier. The rates (4–5.5p/kWh) are lower than Octopus Intelligent, but the process is straightforward and some customers prefer to keep everything with one supplier.
For customers who want to optimise, the process of registering SEG with a different supplier is straightforward:
- Customer applies to the chosen SEG supplier (e.g. Octopus) online
- Supplies MCS certificate number, installation address, and system size
- Octopus verifies the MCS certificate and confirms smart meter compatibility
- SEG begins at next billing period
The customer’s import supply is unaffected.
Registering for SEG: Step by Step
Confirm eligibility
System is 5 MW or below, MCS certificate is issued, smart meter is installed or upgrade is arranged. Gather the MCS certificate number, system size (kWp), and installation address.
Compare SEG suppliers
Use the SEG tariff comparison tool to check current rates. If the customer has battery storage or an EV, model the earnings under time-varying tariffs (Flux, Agile, Intelligent) as well as fixed rates.
Apply to the chosen SEG supplier
Most suppliers have an online SEG application form. The customer provides: MCS certificate number, MPAN (electricity meter reference), installation address, and estimated system size. Applications are typically processed within 5–10 working days.
Smart meter verification
The supplier confirms whether the existing smart meter supports half-hourly export reads. If not, they arrange an upgrade. This is the step most likely to cause delays — SMETS1 meters may need replacement, not just reprogramming.
Receive first payment
SEG payments appear on the energy bill (credit) or as a separate bank transfer depending on the supplier. Payment frequency is typically quarterly. Customers should check their first statement to confirm export readings are being captured correctly.
Why SEG Rates Are Lower Than Old FiT Rates
A common customer question: why are export rates 4–15p when the old FiT paid 43p?
Several factors explain the drop:
The FiT was a subsidy, not a market rate. Early FiT rates were set at levels designed to make solar financially viable when panel costs were much higher than today. They bore no relation to the wholesale value of the electricity exported. Ofgem subsequently reduced rates as solar became more cost-competitive.
SEG is market-based. Ofgem requires rates to be above zero but does not set minimum levels. Suppliers set rates based on the wholesale value of electricity at the time of export — around 4–7p/kWh for baseload power — plus a margin for customer acquisition. Time-varying tariffs reflect actual market pricing more accurately.
Solar is now economical without large subsidies. A residential solar installation in 2026 typically achieves payback in 6–9 years through electricity bill savings alone, without any export income. The SEG income is a genuine bonus, not the economic justification for the installation.
The Real Financial Case for Solar in 2026
Emphasise bill savings over SEG income when presenting solar economics to customers. Self-consumption at 24–28p/kWh avoided import is worth more than export at 5–15p/kWh. SEG is valuable but should be presented as supplementary income, not the primary return.
SEG and Grid Connection: The Link to G98/G99
SEG registration is separate from grid connection. The G98 vs G99 decision is about notifying or applying to the Distribution Network Operator (DNO) to connect the system. SEG is about registering to receive payment for what the system exports. Both are required for a fully compliant, revenue-generating installation, but they are handled by different parties (DNO vs energy supplier) and follow different processes.
For systems requiring a G99 application, the DNO may impose export limiting conditions. Export limiting affects how much electricity the system can send to the grid, which directly reduces SEG earnings. See the G99 application guide for how export limits work and how to negotiate them.
Include Accurate SEG Projections in Every Solar Proposal
SurgePV generates export earnings estimates based on system size, orientation, and shading — giving customers the financial case they need to make a confident decision.
Book a DemoNo commitment required · 20 minutes · Live project walkthrough
SEG for Commercial and Mixed-Use Properties
SEG applies to commercial properties as well as residential. The eligibility criteria are the same: system under 5 MW, MCS-certified, smart export meter. Commercial properties connected at higher voltages (HV) may face additional complexity in arranging smart metering for export reads — worth clarifying with the DNO and supplier before installation.
For commercial systems above the G98 threshold (3.68 kW single phase, 11 kW three phase), a G99 application is required before commissioning. This is separate from SEG but affects the timeline. See the G99 application guide for details.
How SurgePV Supports SEG-Ready Installations
Using solar design software that integrates design, yield modelling, and proposal generation means every customer receives a proposal with realistic SEG earnings — not a best-case figure pulled from a supplier’s marketing materials. SurgePV’s generation and financial modelling tools allow installers to model export earnings at different tariff rates and show the difference between battery and no-battery scenarios.
Professional solar proposals that include accurate SEG projections build customer confidence and reduce objections during the sales process. Customers who understand the full financial picture — bill savings plus SEG earnings — are more likely to proceed and less likely to renegotiate on price.
Return to the UK Solar Compliance hub for a full index of compliance guides, tools, and state-of-play summaries.
Frequently Asked Questions
What replaced the Feed-in Tariff in the UK?
The Smart Export Guarantee (SEG) replaced the Feed-in Tariff for new applicants from 1 January 2020. Existing FiT recipients were not migrated to SEG — they continue to receive FiT payments for the duration of their original contract (typically 20 years from the installation date). New installations since January 2020 register for SEG only.
How much does SEG pay per kWh in 2026?
SEG rates vary by supplier. As of April 2026, Octopus Intelligent Octopus Export pays around 15p/kWh, E.ON Next offers approximately 5.6p/kWh, British Gas is around 5.5p/kWh, EDF is around 5p/kWh, and OVO offers approximately 4p/kWh. Octopus Flux is time-variable and can pay significantly more during peak export periods.
Does my customer need a smart meter for SEG?
Yes. SEG requires a smart meter capable of half-hourly export reads. Standard meters (including older smart meters that only read import) are not sufficient. The energy supplier will arrange smart meter installation or upgrade if the customer does not already have one. This is usually free of charge but may delay SEG registration by several weeks.
Which energy suppliers must offer SEG?
Ofgem mandates that all licensed electricity suppliers with 150,000 or more customers must offer at least one SEG tariff. This currently includes the major suppliers: British Gas, EDF, E.ON, OVO, Octopus, Scottish Power, and Utilita. Smaller suppliers below the threshold may offer SEG voluntarily but are not required to.
Can my customer register with a different SEG supplier than their import supplier?
Yes. SEG export and import supply do not need to be with the same company. Customers can shop around for the best SEG rate regardless of who they buy their electricity from. Some customers use Octopus Export for high SEG rates while keeping a fixed-rate import tariff with another supplier.
Part of the UK Solar Compliance hub. See also: MCS certification · G98 vs G99 · SEG tariff comparison tool
