Government prioritises Solar Review
The Government has agreed to progress the recommendations in the Ministry for Regulation’s Sector Review Report (“the Report”) to make residential and small to medium scale solar panel installation in New Zealand the simplest in the developed world, Regulation Minister David Seymour and Energy Minister Simeon Brown say.
“Kiwis need access to reliable and affordable energy, but approval for solar panels can take months. The Report’s recommendations will make solar an easy option for Kiwi families,” Mr Seymour says.
“The Government will legalise plug in solar because there was no good for reason for preventing Kiwis using it. Plug-in systems can be used by renters and people living in apartments who can’t access traditional rooftop solar. If they’re good enough for Germany and the UK, they’re good enough for us.
“We heard about problems with residential a small to medium scale solar through the Red Tape Tipline. Then the Ministry went straight to the source to understand the problem. They engaged with installers, industry participants, regulators and other stakeholders.
“The Ministry found that in some cases, installing a small-scale solar system can involve up to six separate sign-offs and five site visits from four different entities before it can be switched on. All of this can take months. Most of it is unnecessary.
“Once all the recommendations are implemented installation approvals for residential solar will be reduced from about $640 and 3 months, down to $200 and 6 days. For small-medium scale solar, such as a farmer installing panels on a milking shed, it would reduce installation approvals from up to $11,000 and 6 months, down to $1,300 and 1 month.
“The Ministry estimates that the recommendations could deliver net benefits of between $28 million and $50 million over 10 years. This is through lower compliance costs, reduced delays, and the use of plug in solar.
“Work will soon begin to trial a more proportionate, risk-based inspection model. Requiring an electrical inspector to check every solar installation in person is too expensive, too time consuming, and absolutely unnecessary. Accredited installers can do the same job, without the call out costs or delays, because they’re already there. This could save consumers up to 45 days of waiting, and $600.
“The Report also recommends shortening processing times for lines companies processing requests to approve solar. The Ministry recommended a standard residential request be cut from 10 working days to the next working day, and medium sized installation requests be cut from over 30 days, to just 5 working days.
“Planning rules can create barriers for some solar installations, particularly larger or ground-mounted systems, and installations in heritage or outstanding natural landscape areas. These often require resource consents which add cost, delay and uncertainty. We will exempt these types of solar installations from needing resource consent. This could save consumers up to 30 days of waiting time and between $3000 and $10,000.”
Energy Minister Simeon Brown says Kiwis are embracing solar technology and these changes will put power back in people’s hands and on their rooftops.
“New Zealanders want more control over their power bills and making it easier to connect solar is one way to do that by allowing people to make use of the free sunshine that lands on their property.
“We’re already seeing increasing rooftop connections so, logically, the more the hassle and cost can be reduced, the greater the uptake will be.
“The Government has already doubled the amount of electricity homeowners can export back to the grid and we’ll continue with practical changes to make it easier and quicker for those who choose it, to go solar.
“Plug-in solar will also be a game changer for people who rent, meaning people will be able to buy a plug-in solar kit and take it with them if they move house. The power of the sun is there to be harnessed. Implementing these recommendations will help people do that, and feel the benefits in their household budgets,” Mr Brown says.
“This fast, and comprehensive review will get the Government off the roofs of Kiwi homes, so the sun can shine on their solar panels,” Mr Seymour says.
The full report is available hereSolar Regulatory Review - Full report