Feed-in Tariff & SEG Advice
Two schemes, two eras
The Feed-in Tariff, or FiT, closed to new applicants on 31 March 2019. People already on it keep receiving payments for the rest of their term. FiT paid for every unit generated, plus a payment for export.
New systems use the Smart Export Guarantee, or SEG. It only pays for power you send to the grid. Ofgem runs the scheme, while the suppliers that take part set their own rates.
How the Smart Export Guarantee works
Under the SEG, licensed suppliers pay you for each unit you export. Ofgem states that each supplier decides the rate, the contract length and the other terms. The only fixed rule is that the rate must be above zero, so rates vary a lot.
Published rates run from a few pence to around 15p per kWh on many tariffs. Some tariffs that need you to buy power from the same supplier pay more. Because rates change often, compare tariffs on the day you choose.
What you need to qualify
- A solar system in Great Britain of up to 5 MW capacity.
- Usually an MCS certificate, or an equivalent that the supplier accepts.
- A meter that records your exports, often a smart meter.
- A contract with a supplier that offers an SEG tariff.
Choosing a tariff
Check whether the rate is fixed or variable, and how long the contract lasts. Look at whether you must buy your power from the same supplier. Also check how the supplier pays you, because some pay in credit rather than cash.
A higher rate matters more if you export a lot. If you own a battery, you export less, yet each unit you use saves more. Read how storage changes the sums on our page about battery storage systems.
Where this fits in your plans
Export income is a bonus, not the main benefit of solar. Most of the saving comes from using your own power. Our guide to selling electricity back to the grid goes through the numbers in detail.
If you are still choosing an installer, read about MCS-certified installations first. We introduce enquiries in the areas covered by solar panels in Manchester and solar panels in Birmingham.
Feed-in Tariff & SEG Advice: common questions
Can I still apply for the Feed-in Tariff?
No. The Feed-in Tariff closed to new applicants on 31 March 2019. However, new systems can register for the Smart Export Guarantee instead.
Is the Smart Export Guarantee the same as the Feed-in Tariff?
No. The SEG pays only for the power you export, at a rate each supplier sets, while the old FiT also paid a generation tariff for every unit your panels made.
Who decides how much I am paid under the SEG?
Your chosen supplier does. Ofgem requires the rate to be above zero, but it does not set a price, so comparing tariffs can raise your income.
Ready to talk about feed-in tariff & seg advice?
Tell us about your property and we will pass your enquiry to MCS-certified installers who cover your area.