3 min read seg, tariffs, ukmarket

Smart Export Guarantee (SEG) — how UK solar exports actually pay

Plain-English UK SEG explainer. What it is, which suppliers pay what per kWh, how the payment works, and whether chasing the highest rate is worth the switching effort.

A UK terrace with rooftop solar panels

The Smart Export Guarantee (SEG) is the legal mechanism that pays you for surplus solar electricity you export to the grid. It replaced the old Feed-in Tariff in 2020, and it's the single biggest reason solar still pays back without a panel-grant scheme.

This page explains what it actually is, what rates look like in 2026, and when to optimise for the export price versus other things.

What SEG actually is

In one sentence: every licensed UK electricity supplier with more than 150,000 customers must offer at least one "export tariff" that pays you per kWh of solar electricity you send to the grid.

A few important details:

  • It's a legal floor, not a scheme. Suppliers can pay anything from 1p to 20p+ per kWh — they just have to offer something positive.
  • It's not a grant. No application, no eligibility check beyond having an MCS-certified install and an export meter.
  • Your import and export tariffs can be with different suppliers. You can buy electricity cheaply from one company and export to another that pays a higher rate. Most homeowners stick with one for simplicity.
  • A smart meter is required. Half-hourly readings tell the supplier how much you exported.

What rates look like in 2026

Rates change frequently. As of early 2026, typical UK SEG rates from the bigger suppliers fall in roughly this range:

  • Premium rates: 12–15p per kWh — Octopus Outgoing Fixed, Tesla Energy Plan, similar.
  • Mid-table: 7–10p per kWh — most major suppliers' standard export tariffs.
  • Floor rates: 3–5p per kWh — the smaller obligated suppliers offering the legal minimum.

For a typical 4 kWp UK system exporting around 2,000 kWh a year, the difference between a 4p tariff and a 15p tariff is roughly £220 a year — not life-changing, but meaningful over the system's 25-year life.

Should I chase the highest rate?

Sometimes — but read the small print. Some patterns to watch for:

  • Tariff bundling. A few of the highest export tariffs are only available if you take the supplier's import tariff too. The combined deal might still be the best, or might not — compare the all-in price.
  • Variable vs fixed. Some export rates are fixed; others track wholesale prices and can drop. Octopus Agile Outgoing has paid 25p+ at peak and gone negative at oversupply moments.
  • Smart-tariff requirements. Most premium rates need a smart meter sending half-hourly data. If your meter is older, the supplier might fall back to a lower flat rate.

If your annual export is small (less than 1,000 kWh — common with high daytime self-use or a battery), the rate difference between a 4p tariff and a 15p tariff is small in absolute terms, and the switching effort might not be worth it.

SEG and battery storage

If you have a solar battery, you'll typically export less because the battery soaks up daytime surplus and discharges in the evening. That can shift the maths:

  • A battery + cheap overnight import tariff (Octopus Go, Cosy) often beats a high export tariff for total annual savings.
  • The battery means less is exported, so the absolute pound difference between export tariffs shrinks.
  • A few advanced setups arbitrage: charge the battery from cheap overnight grid electricity, discharge during peak rates, and let solar surplus go straight to export.

The savings calculator lets you toggle a battery and see the net difference.

What to actually do

For most UK homeowners with a new install:

  1. Make sure your installer registers the system with their preferred supplier or notes that you'll arrange SEG yourself.
  2. Sign up to a SEG export tariff once your install is commissioned and certified — typically within a few weeks of handover.
  3. Compare a couple of options if your supplier's standard rate is in the floor band. Switching is straightforward.
  4. Check the rate annually. Suppliers change SEG offers often, and a once-a-year review is usually enough effort.

Related