This order will require electricity suppliers with more than 150,000 electricity customers to pay small-scale low-carbon generators for the electricity they export to the grid.
To quality for SEG export tariff payments, generators may not have a capacity exceeding 5MW. The SEG is intended to replace the Feed-in Tariff scheme which closed to new entrants on 31 March 2019.
The Smart Export Guarantee Order 2019 comes into force on 1 January 2020.
What is being introduced?
Smart Export Guarantee (SEG)
The SEG will require licensed electricity suppliers with more than 150,000 electricity customers to pay small-scale low-carbon generators for the renewable electricity they export to the grid.
The SEG export tariff may either be applied at a fixed rate or at a variable rate, for example reflecting electricity demand or the market. Suppliers will be required to offer at least one SEG export tariff.
A list of obligated suppliers will be published annually.
To qualify for SEG export tariff payments, generators may not have a capacity exceeding 5MW.
To qualify for SEG export tariff payments, generators must meet installation criteria previously applied on Feed-in Tariff scheme:
Anaerobic Digestion Feedstock Eligibility Criteria
The Schedule applies sustainability, feedstock and greenhouse gas emissions criteria that must be met by anaerobic digesters in order to qualify for the SEG.
Annual reports must be provided by anaerobic digestion generators confirming compliance with these criteria.
The SEG is intended to support small-scale renewable generation, replacing the Feed-in Tariff scheme, which closed to new entrants on 31 March 2019. Generators eligible for the SEG are shared with the Feed-in Tariff.
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