Even with a large battery, most solar homes will produce more electricity than they need at various times during the year – particularly under the sunny skies of summer.

The Smart Export Guarantee (SEG) ensures energy suppliers have to pay you for sending this excess electricity to the grid, and has effectively encouraged uptake of solar panel systems.

In this guide, we'll explain how the SEG works, how you can qualify, and how much you could earn.

If you’re thinking of making the switch to solar, you can find out how much a solar & battery system could save you by answering a few quick questions below.

How does the SEG work?

Under the SEG, energy providers with over 150,000 domestic electricity customers must offer a tariff that pays small renewable generators, including households and small businesses, for any electricity they export to the grid.

These suppliers, known as SEG licensees, are free to set any rate above zero for these tariffs, which can be fixed or variable.

Your chosen SEG tariff provider doesn't have to be the same as your energy supplier, but companies typically offer their best export tariffs to customers.

SEG tariffs are of course subject to market conditions, meaning suppliers can – and do – change their rates at regular intervals, but the desire to attract new customers is currently leading companies to offer increasingly high rates.

In the 2024-25 period, homes could choose from 50 tariffs offered by 13 different licensees, with rates hitting new heights of 40p per kilowatt-hour (kWh).

How much can you earn with the SEG?

You can earn £343 per year by signing up to the current best SEG tariff.

This figure is based on a home using 3,400kWh of electricity per year (which is the UK average ) with solar irradiance of 850kWh/kWp, a 4.6kWp solar PV system, and a 5.2kWh battery.

The home is signed up to Good Energy's Solar Savings tariff, and exports 65% of its solar electricity.

The exact amount you’ll make will mainly depend on which tariff you pick, how much electricity your solar panel system produces, and how much of it you export to the grid.

You can earn anywhere from 1p to more than 30p per kWh. The average rate for 2024-25 was 10.8p per kWh, but your export rate will depend almost entirely on whether you sign up for a bundled or unbundled tariff.

Bundled (or 'tied') tariffs come with extra requirements, like signing up to the same supplier's import tariff. They're usually more generous than unbundled (or 'untied') tariffs, which are open to all solar homes.

As this swing towards bundled tariffs continues, the amounts homes can make with an SEG tariff will likely rise, as companies attempt to outdo each other to attract new customers.

That's certainly what's currently happening. Suppliers paid out £56.97 million through SEG tariffs in 2024-25, which was an 86% increase on the £30.7 million handed out in 2023-24.

And that's not just because more people signed up in the latest period. Export income per household was up by 14%, from £184.92 to £210.69.

The average rate has also skyrocketed, going up by 243% in five years, from 3.15p per kWh in 2020-21 to 10.8p per kWh in 2024-25.

You can receive SEG income regardless of whether you've paid the upfront cost of solar panels or if you've opted for a solar subscription.

These are just averages, and better rates are available. You can earn up to 6p per kWh without taking on any obligations, and well beyond 25p per kWh on certain bundled tariffs.

To find out what the top tariffs are at the moment, read our guide to the best SEG rates.

If you’re wondering how much a solar & battery system could save you, answer a few quick questions below and we’ll provide you with an estimate.

You can sell your excess energy

Your system should generate more electricity than you can use or store at various points during the year – especially in summer, when solar panels produce 38% of their annual output, on average.

This energy is automatically sent to the grid, but an SEG tariff means you get paid for it.

Your SEG tariff provider doesn’t have to be your energy supplier

This flexibility allows you to shop around for the best rate without having to change your import tariff provider – and there are plenty to choose from.

The number of available SEG tariffs has grown every year since the scheme began.

And if you are comfortable with switching your import supplier, you can usually secure an even higher rate.

There were 50 tariffs offered by SEG licensees in 2024-25, representing a 35% increase on the previous year, and a 138% rise on the first year of the SEG, in 2020-21.

The fact that the number of SEG tariffs has grown in every year of the scheme’s existence shows how suppliers have become more ambitious as time has gone on.

Many providers now offer three or even four tariffs to target different types of customers, with the highest rates reserved for households that will commit to them in one way or another.

You can switch between tariffs

You can move between different SEG tariffs, usually without paying an exit fee, to ensure you get the highest rate available.

Just like signing up for your first SEG tariff, it simply involves filling in an application with your new supplier, then following the rest of the registration process – and it should be a bit quicker this time.

SEG rates are increasing

The average SEG rate has risen every year, and is now 243% higher than it was in 2020-21.

This has partly been in response to rising electricity prices, but also because suppliers are competing with each other to attract customers.

If you’re wondering how much a solar & battery system could save you, answer a few quick questions below and we’ll provide you with an estimate.

You don’t earn a generation rate

The Feed-in Tariff continues to pay households a generation rate, allowing anyone who signed up before it closed to earn money for every kWh their system generates.

The SEG only compels suppliers to pay an export rate, but nevertheless, it's still extremely lucrative. The average SEG rate is far higher than FiT export rates.

Earnings are dependent on your output and usage

Your export income will vary depending on how much of your solar electricity you use, and how much you sell to the grid.

However, since using your solar energy tends to be the most effective way to cut your bills, reducing your exports may be for the best anyway.

Rates can vary depending on market forces

Rates can go down, change their requirements, or disappear entirely.

However, it's pretty simple to switch tariffs, and the average rate has risen every year since the scheme began.

Who are the biggest SEG tariff providers?

Octopus is the most popular SEG tariff provider by far, followed at some distance by E.ON and British Gas.

191,631 households signed up to one of Octopus’s SEG tariffs in 2024-25, making up 71% of the year’s total registrations. Outgoing Octopus alone hoovered up 46%.

E.ON was miles behind on 24,744 sign-ups, which was 9% of the total. 20,473 households registered with British Gas, or 8% – and all the other suppliers combined attracted just 12% of new customers.

Number of SEG registrations by provider, 2025

What are the requirements for an SEG tariff?

To be eligible for an SEG tariff, your system must meet the following requirements:

• It must be one of the following renewable sources: solar, wind, hydroelectricity, micro combined heat and power (micro-CHP), or anaerobic digestion
• The system’s maximum capacity must not exceed five megawatts (MW), or 50 kilowatts (kW) for micro-CHP
• You must have a smart meter
• The system must have a valid Flexi-Orb or Microgeneration Certification Scheme (MCS) certificate - meaning you can't sign up with a DIY solar installation

Once these conditions are met, you can apply for any SEG licensee’s export tariff, and earn money for every kWh of electricity you send to the grid.

Each supplier sets its own rates, so they naturally vary. Providers usually pay households on a monthly or quarterly basis, though some opt for a twice-yearly schedule – or, in E.ON’s case, annually unless you specifically ask that it be paid quarterly.

Your earnings will be based on the tariff and how much electricity you export, as recorded by your smart meter. To learn more, check out our guide to how smart meters work with solar panels.

What if I don’t have a smart meter?

You’ll need a smart meter if you want to sign up for an SEG tariff.

Owning one is compulsory, as it ensures your SEG tariff’s supplier receives accurate export readings every 30 minutes, and can therefore pay you the correct amount.

All energy suppliers are legally obliged to install smart meters for their customers, for free – so just request one, and you should have one fitted in the near future. It’s as easy as that.

What’s the sign-up process?

First, fill in an application form for your chosen SEG tariff. You can find the document on the supplier’s website.

Some providers insist you post completed forms, though many allow you to submit them online.

You’ll likely need your system’s MCS or Flexi-Orb certificate, a photo of your smart meter, proof of your address, proof you own your system, a schematic of your system, and evidence that your Distribution Network Operator (DNO) has approved your G98 or G98 application.

If you don’t receive your electricity from this provider, you’ll also need to enter your bank details.

While your SEG tariff’s provider processes your application, your provider will ask the DNO – which is the organisation that runs the hardware supplying electricity to your region – for an export MPAN (Meter Point Administration Number), which identifies your meter.

After a quick test reading, you’ll start being paid for all the electricity you export to the grid.

How long does it take to sign up?

Signing up for an SEG tariff can take anywhere from five to 12 weeks, depending on which supplier you choose, and whether your meter has already been assigned an export MPAN.

Ask your SEG licensee for a timeframe, and ask that your export payments are backdated to the date you submitted your application, rather than starting from the day the entire process is completed.

Is the SEG any good?

The SEG is an excellent replacement for the Feed-in Tariff. Hundreds of thousands of homes are now paid properly for their exports, and the UK’s electricity supply is greener than ever.

You can earn much more on an SEG tariff than on the FiT. As of January 2026, the FiT pays 5.25p or 7.39p per kWh for exports – well below what you can make on an SEG tariff.

With solar homes able to switch to find the best SEG tariff – and with energy prices set to stay high until at least the late 2030s – there’s every reason to expect that SEG rates will remain generous.

Smart Export Guarantee: FAQs