League table shows varied response to export tariff obligation

The Smart Export Guarantee, requiring all suppliers with more than 150,000 domestic customers to offer an export tariff for small-scale renewables, has come into effect with the beginning of the new year.

The measure was introduced as a replacement for the Feed-in Tariff scheme, which closed to new applicants in March 2019.

“It’s a New Year and a positive new start for owners of small solar PV systems,” said Chris Hewett, chief executive of the Solar Trade Association (STA).

“After a nine-month policy gap, the new Smart Export Guarantee (SEG) should help boost interest in solar as leading electricity suppliers compete with each other to offer attractive payments for clean power exported to the grid.

“As more and more households take steps to do their bit in the fight against the climate emergency, we hope that today’s SEG launch will have a positive impact on the market and help the solar industry to build on our track-record of a million solar homes delivered to date.”

According to the STA’s league table for SEG compliant tariffs, at least three suppliers are willing to match or exceed the most recent Feed-in Tariff rate of 5.4p/kWh. Social Energy is offering 5.6p/kWh, whilst Octopus Energy and Eon are both offering 5.5p/kWh.

However, the SEG only requires that the payments be “greater than zero at all times of export” and most of the tariffs listed in the table are worth less than these headline figures. Shell Energy’s is the least generous, offering a rate of just 0.001p/kWh.

Export tariff league table

Source: Solar Trade Association

Octopus Energy and Bulb are additionally offering variable rate tariffs pegged to the wholesale price for electricity.