Smart Export Guarantee (SEG)
The Smart Export Guarantee incentivises UK homeowners that have installed renewable energy technologies.
With SEG homeowners can sell their surplus energy generated by renewable technology back to the grid and earn money.
In June of 2019, the UK set a goal to reach net-zero carbon emissions by 2050. As part of pursuing that target, on 1 January 2020, the government instituted the SEG scheme.
Under the SEG, energy companies will offer homeowner tariffs for the renewable energy that is exported to the National Grid. Sirius homes aim to meet the criteria to receive these tariffs. The three areas that the SEG initiative covers are:
The total capacity for the first two options cannot exceed 5MW to qualify for the SEG.
For Micro CHP, on the other hand, the max is 50kW. Homes also need to have an export meter and at Sirius we ensure all our homes have smart meters. Smart meters make it more convenient for our homeowners, as they take measurements every half hour and automatically send the readings to the homeowners SEG licensee.
How much could a Sirius-built home make selling energy back to the grid?
A Sirius homeowner only gets tariffs for the renewable energy that is not used. The amount achieved through these export tariffs varies depending on the SEG licensee. The Smart Export Guarantee scheme allows companies to decide their own rates, as long as it's more than zero.
At 5.5 p/kWh (a sample from UK energy providers), a Sirius home could earn £165 a year, generating 3,000 kWh, which is around the average household consumption.
Since a home would use some of that electricity, a more realistic number is £82.50, which would include exporting half. Combined with the energy bill savings, though, that could save upwards of £200 a year overall.
As of 2021, below are some of the available SEG suppliers across the UK
FAQs
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Each SEG licensee has their own terms and conditions, including the contract duration. While most suppliers have a 12-month fixed contract, some may vary, so it is advised to consult the energy supplier for their terms.
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Depending on the SEG licensee, the homeowner will receive payments anywhere from every 3 months to once per year. Each licensee can set their own payment cycles, and it is important to be aware of when payments are made prior to signing an agreement with the energy supplier.
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Yes, homeowners can receive both payments at the same time. The SEG supports exporting surplus electricity to the National Grid, while the RHI supports renewable heat generation.