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ANSWERED

What is the Smart Export Guarantee?

The Smart Export Guarantee (SEG) is the UK statutory framework that replaced the Feed-in Tariff in January 2020. Every licensed electricity supplier with more than 150,000 customers must offer at least one export tariff for small-scale generators (sub-5 MW). Solar PV installations sub-5 MW qualify, including all parish church scale.

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What is the Smart Export Guarantee?

Quick answer

The Smart Export Guarantee (SEG) is the UK statutory framework that replaced the Feed-in Tariff in January 2020. Every licensed electricity supplier with more than 150,000 customers must offer at least one export tariff for small-scale generators (sub-5 MW). Solar PV installations sub-5 MW qualify, including all parish church scale.

Full answer

SEG mechanics: suppliers set their own tariff rates, which can be fixed (e.g. Octopus Outgoing Fixed at 15p/kWh for 12 months) or variable (e.g. Octopus Outgoing Agile, half-hourly grid-following). Suppliers can offer multiple tariffs and customers choose between them. There's no obligation on customers to use the same supplier for export as for import — many parishes have one supplier for grid electricity and a different supplier for SEG export.

Eligibility requirements: MCS-installed system (or equivalent for sub-50 kW), MCS-issued installation certificate, smart meter with export-recording capability (most modern smart meters), valid identity / business documentation for the parish.

Tariff variation: best tariffs (2026): Octopus Energy Outgoing Fixed at 15p/kWh (12-month fixed); Octopus Outgoing Agile averaging 8-12p/kWh (varies half-hourly with grid demand); E.ON Next Export Exclusive at 9p/kWh; Good Energy Export at 8-10p/kWh. The cheapest tariffs from suppliers required to offer SEG but not actively competing are 1-3p/kWh — clearly inadequate. PCCs should switch active SEG suppliers if exposed to these.

SEG income: a typical parish church generating 12,000 kWh/year and exporting 8,000 kWh at 10p/kWh = £800/year. Larger parish hall combined site generating 35,000 kWh and exporting 10,000 kWh at 10p = £1,000/year. SEG income is typically 10-25% of total parish solar financial benefit (the bulk coming from cost avoidance on retail electricity at 22-28p/kWh).

Related questions

Commercial Solar Across the UK

For wider commercial solar context, visit the hub for commercial solar across the UK.

Adjacent church-school parishes can read more from our school solar specialists.

For healthcare-sector solar see NHS and hospital solar work.

Faith-related charities can see also charity sector solar.

Diocesan trusts as commercial entities can read our UK business solar.

For finance-led commercial solar see PPA and asset finance routes.

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