Export PPA vs SEG – Which Is Right for Your Business?

Export PPA vs SEG - Which Is Right for Your Business? | Here's The Plan

Your renewable system is generating electricity. Some of it is heading back to the grid. And somewhere along the way, someone should be paying you for it.

Two options sit at the top of the list: Export Power Purchase Agreement (Export PPA) and the Smart Export Guarantee (SEG). Both get you paid. But they’re built for different setups, and picking the wrong one could mean leaving real money on the table.

Here’s the honest version of how they compare.

 

The quick version

A Smart Export Guarantee (SEG) is a government-backed scheme where your electricity supplier pays you for what you export. Rates are variable and move with the market. It’s designed for smaller generators and while it’s simple in concept, the application process can sometimes take a while to get through.

An Export PPA is a direct commercial agreement with an energy buyer. You agree a fixed price upfront for a set term, we offer 12-month fixed-price contracts. It’s better suited to larger systems with higher export volumes, and it gives you something a SEG can’t: certainty.

How they stack up

 

Export PPA

SEG

Best for

Larger commercial systems

Smaller installations

Rate

Fixed – agreed upfront

Variable – moves with the market

Price certainty

Yes

No

Tailored to you

Yes

No – standardised tariffs

Application

Straightforward

Can be lengthy

Government-backed

No

Yes

 

Go with a SEG if…

Your installation is on the smaller side, your export volumes are modest, and you want a no-fuss route to getting paid. The SEG is government-backed, accessible, and doesn’t require any commercial negotiation. For the right setup, it’s a perfectly solid option.

Just go in knowing the rate will move and what you earn per unit today isn’t guaranteed tomorrow.

 

Go with an Export PPA if…

Your site regularly exports meaningful volumes of electricity and you want to know exactly what it’s worth. A fixed-price Export PPA removes the market uncertainty entirely. You agree the rate, you know the revenue, and you can plan around it.

For larger commercial and industrial sites, the difference in value between a fixed PPA rate and a fluctuating SEG tariff can be significant, especially over time.

 

Still not sure?

That’s what we’re here for. The right answer depends on your generation data, your export volumes, and what you actually need from your energy strategy. We’ll look at your setup properly and give you a clear recommendation, not a generic one.

 

Your questions, answered

What’s the main difference between an Export PPA and a SEG? The rate type and who you’re contracting with. A SEG gives you a variable rate through your electricity supplier under a government scheme – Find out more here. An Export PPA is a direct commercial contract with a fixed rate, typically better value for larger generators – Find out more here.

Can I switch from a SEG to an Export PPA? Yes, and it’s often worth reviewing as your system or export volumes grow. We can help you assess whether making the switch makes financial sense.

Which is better for solar panels? Depends on the size of your array. Smaller solar PV systems often suit a SEG just fine. Larger commercial installations with higher export volumes tend to get more from a fixed-price Export PPA.

How do I know how much I’m exporting? Your smart meter or half-hourly metering data will tell you. If you’re not sure how to access it or what it means, bring it to us, we’ll help you make sense of it.

 

 

Let’s find the right fit for your business

Whether it’s a SEG, an Export PPA, or something worth exploring further, we’ll give you a straight answer and handle the rest.

Get in touch with our team today.

📧 theteam@herestheplan.co.uk

📞 01738 474 630

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