The Smart Export Guarantee (SEG) Explained: How UK Homeowners Get Paid for Excess Solar Energy
- Sirius Solar
- Jun 8
- 4 min read
One of the biggest advantages of installing solar panels is that you don't have to use every unit of electricity as it's generated.
If your solar panels produce more electricity than your home needs, the excess energy doesn't have to go to waste. Instead, it can be exported back to the National Grid, and in many cases, you can be paid for it.
This is made possible through the Smart Export Guarantee (SEG).
In this guide, we'll explain how the Smart Export Guarantee works, who qualifies, how much you could earn, and how to maximise the value of your solar energy.
What Is the Smart Export Guarantee?
The Smart Export Guarantee, commonly known as SEG, is a government-backed scheme that requires certain electricity suppliers to pay homeowners for surplus renewable electricity exported to the National Grid.
Introduced in 2020, the scheme replaced the previous Feed-in Tariff (FIT) programme for new installations.
Rather than rewarding you for all the electricity your system generates, the SEG pays you specifically for the electricity you don't use yourself and instead send back to the grid.
How Does the Smart Export Guarantee Work?
Throughout the day, your solar panels generate electricity.
That electricity is used in the following order:
Your home uses the electricity it needs.
Any excess electricity charges your battery (if you have one).
Once your battery is full—or if you don't have one—the remaining electricity is exported to the National Grid.
Your electricity supplier pays you for the exported energy under your chosen SEG tariff.
This means your solar panels can continue providing value even when you're not at home using electricity.
Who Can Apply for SEG?
Most homeowners with eligible renewable energy systems can apply, provided they meet certain requirements.
Typically, you'll need:
A qualifying solar PV system.
An MCS-certified installation (or equivalent certification where applicable).
A smart meter capable of recording exported electricity.
A supplier that offers a Smart Export Guarantee tariff.
Your installer can advise you on the requirements and help ensure your system is eligible.
How Much Can You Earn?
The amount you receive depends on several factors, including:
Your electricity supplier.
The export tariff you choose.
How much electricity your solar panels generate.
How much electricity your household uses.
Whether you have battery storage.
Different suppliers offer different export rates, so it's worth comparing available tariffs before making a decision.
Although export payments are generally smaller than the savings achieved by using your own solar electricity, they still provide an additional financial benefit over the lifetime of your system.
Is It Better to Use the Electricity Yourself?
In many cases, yes.
Electricity purchased from the grid usually costs significantly more than the amount suppliers pay for exported electricity.
This means using your own solar-generated electricity often provides the greatest financial saving.
Simple habits such as running the washing machine, dishwasher or charging an electric vehicle during daylight hours can help increase self-consumption and maximise your savings.
Does Battery Storage Affect SEG Payments?
Yes—and often in a positive way.
A battery stores surplus electricity generated during the day instead of exporting it immediately.
You can then use that stored energy later in the evening when your solar panels are no longer generating electricity.
This reduces the amount of electricity you need to buy from the grid, which often provides greater financial benefit than exporting all of your excess energy straight away.
Once the battery is fully charged, any additional electricity can still be exported under the Smart Export Guarantee.
Do I Need to Stay With My Current Energy Supplier?
Not necessarily.
Many electricity suppliers offer Smart Export Guarantee tariffs, and you don't always have to purchase your electricity from the same company that pays you for exported energy.
It's worth comparing tariffs regularly, as rates and eligibility requirements can vary between suppliers.
Choosing the right export tariff can improve the long-term value of your solar investment.
Is the Smart Export Guarantee Worth It?
Absolutely.
While the biggest financial benefit of solar panels comes from reducing your electricity bills, the Smart Export Guarantee allows you to earn additional income from electricity your home doesn't need.
Combined with lower energy bills, battery storage and increasing electricity prices, SEG payments can help improve the overall return on your solar investment.
How Sirius Solar Can Help
At Sirius Solar, we don't just install solar panels—we help you get the most from your investment.
Our experienced team will design a system tailored to your property, explain how battery storage can improve your savings, and ensure your installation meets the requirements needed to benefit from the Smart Export Guarantee.
We'll also guide you through the process so you understand exactly how your system works long after the installation is complete.
Start Maximising Your Solar Investment Today
Whether you're considering your first solar installation or looking to understand how the Smart Export Guarantee could benefit your home, Sirius Solar is here to help.
Our friendly team can assess your property, answer your questions and design a bespoke solar solution that delivers long-term savings and outstanding performance.
Contact Sirius Solar today for a free, no-obligation quotation and discover how much you could save—and earn—with solar energy.
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