There’s been a major shift in how energy providers reward customers with solar PV installed. The old Feed-in Tariff scheme is now a thing of the past, replaced by the Smart Export Guarantee (SEG).
With Distribution Network Operators and utility companies striving to generate cleaner energy in larger volumes, sources like nuclear and wind dominate the conversation. But there’s another powerful ally—your solar panels.
The SEG enables homeowners to contribute excess solar energy to the Grid during high-demand periods, helping the UK push towards Net Zero while giving you an additional source of income.
How is exported energy tracked?
A standard solar PV system includes a ‘generation meter’—an analogue-style device (sometimes digital) that measures your system’s output. It functions similarly to a smart meter and monitors how much electricity you export. Most energy providers pay for this exported energy quarterly, which can serve as a handy financial buffer during the colder, higher-consumption months of autumn and winter.
What can I expect to earn?
A variety of tariffs are available, and while most are broadly similar, your choice will come down to personal preference and risk tolerance.
There are two main types:
1. Flux Tariffs
These are dynamic import/export tariffs designed to give you the best return for selling excess energy. However, when export rates are higher, import costs also tend to rise. Peak times are typically between 16:00 and 19:00, while off-peak times are between 02:00 and 05:00—ideal for charging your home battery or EV when demand (and prices) are low.
As a preferred partner of Octopus Energy, we recommend their version of this tariff.
2. Fixed Tariffs
As the name suggests, these offer a stable rate with minimal risk. If you prefer a simpler, lower-risk approach, you can opt for fixed-rate export tariffs. Octopus Energy, for instance, offers a fixed rate of £0.15 per kWh, providing a predictable income alongside your solar savings.
Battery Storage Tips
Regardless of your chosen tariff, you can charge your battery during off-peak hours and discharge during the day when prices are higher. This can be especially useful in winter, when solar production drops.
Charging your solar battery for half the cost and using that energy during peak hours could cut your electricity bills in half.
