With electricity prices remaining volatile, homeowners across the South East are increasingly asking a simple question: can my solar panels earn me money as well as save money? The answer is yes; through export tariffs under the Smart Export Guarantee (SEG).
This guide will explain how solar export works, what the Smart Export Guarantee is and how households in Essex, Kent, Hertfordshire and the wider South East can maximise returns from their solar generation.
What Is an Export Tariff?
An export tariff pays you for excess electricity generated by your solar panels that you do not use in your home. This surplus is exported to the National Grid. In practice:
- Your solar panels generate electricity during daylight hours
- Your home uses what it needs first (this is your free electricity)
- Any unused solar generation is exported
- Your energy supplier pays you for every unit (kWh) exported
This means solar panels can reduce bills and created an ongoing income stream.
What Is the Smart Export Guarantee (SEG)?
The Smart Export Guarantee is a UK government backed scheme that requires larger electricity suppliers to pay households for renewable electricity exported to the grid. The scheme is overseen by Ofgem and applies to small scale renewable systems, including domestic solar PV installations.
To qualify for SEG your solar panels must be installed by an MCS certified installer, and the system must be MCS certified. You will also need to have a smart meter installed if you don’t already have one, this will need to be capable of taking meter readings of exports every 30 minutes. Unlike the old Feed-in Tariff (FiT), SEG rates are set by the suppliers, not the government, so rates may vary and come with different qualifying requirements.
SEG vs Feed-in Tariff: What’s the Difference?
| Feature | Feed-in Tariff (Closed) | Smart Export Guarantee |
| Available to new installs | No | Yes |
| Pays for generation | Yes | No |
| Pays for exports | Yes | Yes |
| Rate set by government | Yes | No (supplier-set) |
| Requires smart meter | No | Yes |
SEG focuses purely on exported solar generation, making self-consumption more important than ever before.
How Much Can You Earn from Solar Export?
Export income depends on your solar system size, how much electricity you export and the rate offered by your SEG supplier. Typical SEG rates range from 3p to 15p per kWh, depending on the tariff. Some suppliers offer preferential SEG rates for existing customers or customers who purchase electricity from them.
Example:
- 4kWp solar system
- ~ 3,600 kWh annual solar generation
- ~ 50% exported = 1,800 kWh
- SEG rate at 15p/kWh
- Annual export income: ~ £270
This is on top of bill savings from using your own free electricity.
How Batteries Affect Export Tariffs
Adding a solar battery changes how export works – an often improves overall returns.
Without a battery, excess solar is exported immediately and you earn SEG payments but are buying electricity back later in the evening. With a battery, excess solar is stored in your battery first, allowing you to use more of your solar energy and reducing the amount of electricity you purchase from the grid. Export can be timed (on some tariffs) for when rates are higher, like with Octopus Flux which offers preferential export rates during peak periods to help support grid demand with green energy.
Many South East homeowners use batteries to increase self-consumption, reduce grid imports during peak pricing and export selectively when rates are more favourable. The result is usually lower bills first, export income second – the most cost effective strategy.
Do You Need a Smart Meter?
Yes, a smart meter capable of export readings every 30 minutes is mandatory for SEG payments. If you already have solar panels, an MCS certificate and a compatible smart meter, you can usually switch to a SEG tariff without much fuss or delay. If not, your supplier can arrange a meter update, which may slightly delay your SEG payments starting.
Choosing the Right Export Tariff
Not all SEG tariffs are the same. Some key considerations:
- Fixed rate vs variable rate export
- Payment frequency (monthly vs quarterly)
- Compatibility with batteries and smart energy tariffs
At SolarTherm UK we design systems with export optimisation in mind, ensuring your solar panels, inverter, battery storage and metering work together efficiently.
Is Solar Worth It With SEG?
Absolutely, export payments are a bonus, not a main benefit. The real value of solar panels comes from:
- Using free electricity during the day
- Reducing reliance on the grid
- Protecting against future price rises
SEG simply ensures that nothing goes to waste.
Solar Export in the South East
Homes in the South East benefit from strong solar generation levels, leaving more solar electricity available for export. Many South East homes are seeing an increase in daytime electricity demand with the move towards remote working and home offices since 2020.
The growing availability of smart time of use tariffs is beneficial for those with solar, meaning you can balance your solar PV and battery storage systems to generate maximum savings and SEG earnings.
Whether you are installing solar panels for the first time or upgrading an existing system, understanding export tariffs is key to maximising returns.
Thinking About Solar Panels or Battery Storage?
SolarTherm UK designs, installs and optimises solar PV systems across the South East – helping homeowners make the most of free electricity, smart export tariffs and long term savings.
If you would like a system designed around SEG, self-consumption and future energy prices, our team is on hand to help. Contact SolarTherm UK today for a free, no obligation quote and design, tailored to your property, usage and future energy needs. No hard sell, just honest, expert advice.
Your home. Your energy. Your future.
