Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, what plans she has to introduce greater regulatory oversight or transparency requirements for the calculation and setting of Smart Export Guarantee export tariffs by energy suppliers.

The Smart Export Guarantee (SEG) is a market-led mechanism in which energy suppliers, not government, set both tariff levels and structure. This is designed to encourage innovation and competition in the sector and minimise costs to consumers. Such competition is also designed to ensure that the tariffs offered by suppliers are reflective of the value of the power provided under the SEG.

Ofgem oversees compliance with SEG obligations, including requirements for suppliers to publish information on their available tariffs. Ofgem also publishes an annual report containing information on tariffs offered, electricity exported and payments made to generators.

The Government has committed to undertake a review of the SEG to consider if there is a strong case for reform. Further detail on the review will follow in due course.