Smart Export Guarantee – South East Guide
If you’re considering solar panels for your home in the South East, one of the most searched questions is:
“Can I sell electricity back to the grid?”
The short answer is yes – through the Smart Export Guarantee (SEG) scheme.
This guide explains how the Smart Export Guarantee works in 2026, how much you can earn and how SolarTherm UK customers can maximise export payments from their solar PV system.
What Is the Smart Export Guarantee (SEG)?
Ofgem introduced the Smart Export Guarantee (SEG) in January 2020 to replace the old Feed-in Tariff (Fit) scheme. The SEG requires licensed electricity suppliers with over 150,000 customers to pay households for renewable electricity exported to the National Grid.
If your solar panels generate more electricity than your home is using, the excess is exported – and you get paid for every kilowatt hour (kWh).
How Does the Smart Export Guarantee Work?
Here’s the step by step process:
- Your solar PV panels generate electricity
- Your home uses what it needs in real time
- Surplus electricity flows back to the grid
- Your smart meter records exports
- Your SEG tariff provider pays you for exported kWh
Payments are made quarterly or annually depending on your chosen energy supplier.
How Much Does the SEG Pay?
SEG rates are set by individual energy suppliers – not the government – which means payments vary.
Typically, export rates range between 4p to 15p per kWh with some premium tariffs offering higher rates up to 30p/kWh when you also import your electricity from the same supplier. The export income you receive will depend on your system size, whether you have battery storage and your daytime energy consumption habits.
Some newer export tariffs, like Flux from Octopus Energy, are designed for battery storage owners, offering premium export windows during peak demand periods to help support grid demand.
A typical 4kW solar panel system in Essex exporting 1,500 kWh per year could portentially earn £60 per year at 4p/kWh and £225 per year at 15p/kWh. Over 20 years, this contributes significantly to your overall solar return on investment.
Who is Eligible for the Smart Export Guarantee?
To qualify for SEG payments, you must:
- Have an MCS certified solar PV installation
- Use an MCS accredited installer
- Have a smart meter capable of recording export every 30 minutes
- Have a valid DNO approval letter
- Apply directly to an SEG licensed energy supplier
SolarTherm UK installs fully MCS compliant systems to ensure all customers are eligible and experience little fuss when signing up for SEG payments.
Do I Need Battery Storage to Sell Electricity?
No – but a battery changes how you earn. Without a battery, any surplus energy is exported and you earn more SEG payments. This results in higher electricity imports in the evenings, restricting how much your system will save. With battery storage, surplus electricity is stored for use in the evenings and overnight, saving on your electricity bills further by reducing the imported electricity level. You export less, but increase self-consumption.
Battery storage also gives you access to preferential off peak tariffs, allowing you to balance importing cheap overnight electricity to store in your battery and export your self-generated surplus electricity for higher export rates.
For most UK homeowners, maximising self-use delivers greater savings than maximising export payments, but using your battery to benefit from both lower import rates and higher export rates can prove especially beneficial.
Is the Smart Export Guarantee Worth It?
Yes – but it should be viewed as a bonus, not the main financial driver. Solar panel savings typically come from:
- Reduced electricity bills
- Protections against future price hikes
- Increased property value
- SEG export payments
In 2026, a well designed solar PV system in the South East typically achieves a 6-10 year payback period, depending on usage and battery storage. SEG simply improves that return.
How SolarTherm UK Maximises Your Export Income
At SolarTherm UK, we:
- Design systems based on your consumption patterns
- Advise on the best SEG tariffs available
- Ensure full MCS compliance
- Install export ready smart metering
- Provide battery storage options where suitable
We focus on long term return on investment, not just installation costs.
Final Verdict: Can You Sell Electricity Back to the Grid?
Yes – and in 2026 it remains a valuable part of solar ownership. The Smart Export Guarantee ensures your surplus electricity isn’t wasted, it becomes an income stream that improves your solar system’s payback period.
Find out how much you could save with SolarTherm UK’s Solar Calculator.
FAQs
Can I sell solar power back to the grid in the UK?
Yes. Through the Smart Export Guarantee, licensed suppliers must pay you for exported renewable electricity.
Who pays the Smart Export Guarantee?
Energy suppliers with over 150,000 customers, regulated by Ofgem.
Do I have to switch energy supplier for SEG?
Not always. Some suppliers require you to be their customer; others offer export-only tariffs.
How do I apply for SEG payments?
After installation, you apply directly to your chosen SEG supplier with:
- Smart meter details
- MCS certificate
- Proof of ownership
Is there a limit to how much I can export?
No fixed limit — but system size and DNO approval may affect installation capacity.
