CurveBlock
The Smart Export Guarantee requires licensed electricity suppliers to offer an export tariff to small low‑carbon generators, typically domestic and small commercial sites. SEG replaced older subsidy schemes, focusing on a market‑based route for export income: suppliers set their own tariff levels and contract terms, and eligible generators choose between available offers. The mechanism is straightforward in principle — meters measure export and suppliers pay an agreed pence‑per‑kWh rate — but practical settlement depends on metering, meter reading frequency and whether smart export meters are fitted.
For project economics the SEG is usually one component of revenue, alongside self‑consumption savings, potential corporate or aggregator contracts, and any subsidy receipts where applicable. Small generators must ensure they meet supplier eligibility requirements and have appropriate metering that records export accurately. Aggregation services and licensed intermediaries can combine export volumes from multiple small sites to secure better terms or manage settlement more efficiently, but these add commercial relationships and potential fees.
Retail investors considering fractional shares in rooftop or small ground‑mounted solar should look for clear disclosure of how export income is contracted, whether SEG arrangements are firm or subject to supplier changes, and the role of metering in revenue measurement. Platforms should explain alternative routes to market (direct supply agreements, aggregator services or merchant sales) so investors understand which revenue streams support projected cashflows and how settlement risk is allocated.