Ofgem and Solar Panels

By Home Solar Guide Team||educational
Independently written | Evidence-based | Sources cited
Ofgem solar
Ofgem regulates your export payments and the electricity prices that drive solar savings.

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Grid regulation
Price cap
Export
Metering

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What does Ofgem do for solar?

Ofgem (Office of Gas and Electricity Markets) affects your solar panels in three key ways: (1) SMART EXPORT GUARANTEE (SEG) — Ofgem mandates that licensed suppliers with 150,000+ customers must offer an export tariff. This is why you can earn 4-15p/kWh for surplus solar. (2) PRICE CAP — Ofgem sets the maximum electricity unit rate (currently 24.5p/kWh). Higher price cap = higher value of solar self-consumption = better solar ROI. (3) GRID CONNECTION — Ofgem regulates the Distribution Network Operators (DNOs) that approve your solar connection. Your installer handles DNO notification (G99). Ofgem does NOT: approve solar installations (that's MCS), set solar panel standards (that's IEC/BS), or provide grants (that's government).

Frequently Asked Questions

Related: Home Heating Systems

Solar panels are most powerful when combined with an efficient heating system. Heat pumps use solar-generated electricity to heat your home at 300-400% efficiency — making them the ideal partner for solar.

heat pump installation process

Heat pump installation typically takes 2-3 days and is best planned alongside solar.

From our sister site Home Heat Pump Guide

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