What is the Smart Export Guarantee?
The Smart Export Guarantee requires medium – large electricity supply companies (those with more than 150,000 electricity customers) to offer a Smart Export Guarantee (SEG). Smaller suppliers can do so on a voluntary basis. The Smart Export Guarantee replaces the Feed In Tariff.
SEGs may have a fixed price or they may have an element of ‘smartness’:
- This means that some tariffs on offer for your solar exports may vary depending on how valuable the export is to the electricity system at particular times
- For instance, if you are exporting electricity at a time when everyone is at home using lots of electricity and the system needs more power you could get paid more for exporting your power than when demand for power is weak.
- There are already ‘smart’ tariffs like this from supply companies such as Octopus’s Agile tariff. These tariffs use the varying prices to encourage individuals to shift their electricity use away from times when others are also using a lot of electricity (called ‘peak’ times). Similarly, some SEG tariffs may try and encourage houses to export at times when the electricity system needs more power.
- These smart tariffs could operate on half-hourly windows i.e. prices paid may vary each half hour and your own smart meter will be making recordings of your exports on a half-hourly basis.
- Or they could be simpler, with suppliers offering different day/night rights or even weekday/weekend
The price you are paid will not fall below zero at any point.
Each energy supplier will have their own terms and conditions as to who can apply for the SEG with them, some will require them to be your main energy supplier, all will need proof that your solar install has been undertaken by an MCS qualified installer (which Naked Solar are).
*Please note pence per kilowatt as shown on the table above is correct at the point of writing (24th January 2020) and may be subject to change, tariff length, energy supplier etc. Please ensure you read all the contract information before selecting who to export your solar energy to.
Thanks to our friends at the Solar Trade Association for the information. You can find out more here: https://www.solar-trade.org.uk/resource-centre/advice-tips-for-households/smart-export-guarantee/