Many residents who have switched to solar panels feel more empowered and independent.
They’re reducing their reliance on the grid, adding value to their property and even getting paid to sell their surplus electricity.
So how does selling electricity from solar panels work in practice?
The Smart Export Guarantee (SEG) is a government-backed scheme that enables you to be paid for any renewable electricity you export to the grid.
To get started, you’ll need to apply to a SEG tariff provider. Ofgem lists the energy suppliers currently offering SEG tariffs. Your SEG tariff provider doesn't have to be the same as your energy supplier, so it’s a good idea to look around at the different tariffs. They will vary in rates of payment, and some will have peak and off-peak rates, for example.
To qualify, your solar panel system needs to be installed by a business registered with the Microgeneration Certification Scheme (MCS), or meet the equivalent requirements set by Ofgem. You may be asked for an installation certificate to demonstrate this when applying to your SEG tariff provider.
You’ll also need a meter that can send readings every 30 minutes, typically a smart meter. Your solar panel system also needs a total installed capacity of no more than 5MW. Household solar panel systems easily fit within the upper size limit for the SEG scheme. You can find more information about eligibility on the Ofgem website.
When your solar panel system is installed, your installer may recommend an app or platform you can use to monitor your solar panels. You can use this app to see how much you've exported each day in kWh. Depending on your SEG tariff provider, you may also be able to use their app to monitor how much you’ve exported.
Once your system is generating energy and you’re signed up to an SEG tariff, you’ll start to receive payments at regular intervals set by your tariff provider. This could be monthly, quarterly or once per year.
Sound good? If you live in Hampshire, Southampton or Portsmouth, give us a call to talk through options for your unique circumstances. Remember – we’re here to give free, impartial advice to help you make more informed decisions.
