Applying to the SEG Scheme

Complete guide to applying to the SEG (Smart Export Guarantee) in 2023.

We'll let you know:

What the SEG Scheme is
What you need to be eligible
What information you have to provide (and where to find it)
Where to apply

What is the Smart Export Guarantee (SEG)?

The Smart Export Guarantee is a government-backed initiative that ensures small-scale renewable energy generators are paid for the electricity they export to the grid. Launched in January 2020, it replaced the Feed-in Tariff scheme and provides ongoing income for solar panel owners.

How SEG Works

When your solar panels generate more electricity than you use, the excess is automatically exported to the national grid. Under SEG, your energy supplier pays you for every kilowatt-hour (kWh) of electricity you export.

Current SEG Rates

As of 2024, SEG rates vary by supplier:

Best rates: 12-15p per kWh
Average rates: 5-7p per kWh
Minimum rates: 2-3p per kWh

Eligibility Requirements

System Requirements

Your renewable energy system must:

Have a capacity of 5MW or less (most home systems are 3-4kW)
Be installed by an MCS-certified installer
Use MCS-certified equipment
Have a smart meter or export meter installed

Eligible Technologies

Solar photovoltaic (PV) panels
Wind turbines
Hydro generators
Anaerobic digestion
Micro combined heat and power (CHP)

Property Requirements

You must own or rent the property
The system must be connected to the grid
You cannot claim SEG if receiving FiT payments

Step-by-Step Application Process

Step 1: Ensure MCS Certification

Before applying, confirm you have:

MCS certificate for your installation
Installer's MCS number
Product MCS certificates
Commissioning certificate

These documents are crucial - without them, you cannot access SEG payments.

Step 2: Install a Compatible Meter

You need either:

Smart meter: Automatically records exports
Export meter: Specifically measures exported electricity
Generation meter: Some suppliers accept readings from this

Most new installations include smart meter compatibility.

Step 3: Compare SEG Tariffs

Research current offers from different suppliers:

Fixed Rate Tariffs

Predictable income
Set rate per kWh
Usually 12-month contracts
Best for steady earners

Variable Rate Tariffs

Rates can change
May track wholesale prices
Potential for higher returns
More risk involved

Flexible Tariffs

Different rates at different times
Rewards strategic exporting
Requires active management
Best for engaged users

Step 4: Choose Your SEG Licensee

You can choose any SEG licensee - you don't have to use your electricity supplier. Consider:

Payment rates offered
Contract terms and length
Payment frequency
Customer service reputation
Additional benefits

Step 5: Gather Required Information

Installation Details

Installation date
System capacity (kW)
Number of panels
Inverter details
Battery storage (if applicable)

Meter Information

Meter type (SMETS1/SMETS2)
MPAN (Meter Point Administration Number)
Export MPAN (if different)
Current meter readings

Documentation Checklist

[ ] MCS certificate
[ ] Electrical installation certificate
[ ] Planning permission (if required)
[ ] G98/G99 notification confirmation
[ ] Proof of property ownership/tenancy
[ ] Bank details for payments

Step 6: Submit Your Application

Online Applications

Most suppliers offer online portals:

Create an account
Upload documentation
Enter system details
Confirm meter readings
Accept terms and conditions

Postal Applications

Some suppliers still accept postal applications:

Download application forms
Complete all sections
Include photocopies of documents
Send via recorded delivery
Keep copies for your records

Step 7: Await Confirmation

Typical timeline:

Application review: 5-10 working days
Additional information requests: May add 5 days
Final approval: 2-3 weeks total
First payment: 1-3 months after approval

Finding Your Documentation

MCS Certificate Location

Provided by installer at commissioning
Available from MCS website database
Check installer's paperwork pack
Contact installer if missing

MPAN Number Sources

Previous electricity bills
Your electricity supplier
Smart meter display
Online account portal

Meter Readings

Smart meter in-home display
Meter itself (usually in cupboard/garage)
Online energy account
Mobile app (if available)

Maximising Your SEG Income

Optimize Self-Consumption First

Use high-energy appliances during sunny periods
Install timers on suitable devices
Consider battery storage
Monitor generation patterns

Strategic Exporting

Export during high-rate periods
Minimize usage when generating
Understand your tariff structure
Track market rates

Regular Reviews

Compare tariffs annually
Switch for better rates
Negotiate with suppliers
Stay informed about market changes

Common Application Mistakes to Avoid

Documentation Errors

❌ Uploading wrong certificates
❌ Missing installer details
❌ Incorrect system specifications
✅ Double-check everything before submission

Meter Issues

❌ Not having export capability
❌ Incorrect meter readings
❌ Wrong MPAN provided
✅ Verify meter details with supplier

Timing Mistakes

❌ Applying before installation complete
❌ Delaying application unnecessarily
❌ Missing deadline for readings
✅ Apply promptly after commissioning

SEG Payment Structure

Payment Frequencies

Different suppliers offer:

Monthly: Most common, good cash flow
Quarterly: Standard option
Annual: Larger lump sums
On-demand: Some digital suppliers

Payment Methods

Direct bank transfer (most common)
Credit to electricity account
Cheque (becoming rare)
Digital payment platforms

Tax Implications

SEG payments may be taxable if:

You generate over 30,000 kWh annually
It's a business installation
You're already self-employed

Most domestic users fall below thresholds.

Switching SEG Suppliers

When to Switch

Consider switching if:

Better rates available elsewhere
Poor service from current supplier
Contract term ending
Significant rate reductions

How to Switch

Check current contract terms
Compare new offers
Apply to new supplier
Inform current supplier
Provide final readings
Confirm switch completion

Troubleshooting Common Issues

Application Rejected?

Common reasons and solutions:

Missing MCS certification: Contact installer urgently
Meter not compatible: Arrange meter upgrade
Incomplete information: Resubmit with all details
Technical issues: Call supplier directly

Payment Delays?

If payments are late:

Check meter readings submitted
Verify bank details correct
Contact supplier's SEG team
Escalate if necessary
Consider switching suppliers

Future of SEG

Potential Improvements

Higher mandatory minimum rates
Real-time pricing options
Integration with EV charging
Community energy trading
Blockchain-based systems

Market Trends

Increasing competition
Better rates emerging
More flexible tariffs
Technology integration
Simplified processes

Conclusion

Applying for the Smart Export Guarantee is a straightforward process that can provide valuable income from your solar investment. With proper preparation and the right documentation, you can start earning from your excess solar generation within weeks.

Remember: SEG income is additional to the savings you make from using solar electricity. Combined with reduced bills and potential battery storage, it makes solar panels an even more attractive investment.

Need Help?

CRG Direct can assist with:

SEG application support
Documentation guidance
Tariff comparisons
Meter installations
Ongoing support

Applying to the SEG scheme