New Zealand plans to cut solar approval costs and processing times, with residential approvals potentially falling to six days from the three months it takes now
Proposed reforms recommended by the Ministry for Regulation would legalize plug-in solar and speed up grid connections, including reducing residential requests to the next working day
The review also calls for fewer planning barriers, while flagging electricity pricing and low solar buy-back rates as issues that could limit uptake
New Zealand is moving to make residential and small- to medium-scale solar panel installations the ‘simplest’ in the developed world with reforms aimed at cutting approval costs, reducing inspections and speeding up processing times.
Under the current process, approval for solar panels can take months, involving up to six separate sign-offs, and five site visits from four different entities before the system can be switched on in some cases.
In its July 2026 Improving the solar installation process report, the Ministry for Regulation conducted a sector review of solar panel installation. It found that instead of a clear, predictable process, consumers face multiple steps, unclear requirements, and delays at different points along the way.
“For consumers and businesses, this can result in higher costs, longer timeframes, and uncertainty about what is required or when a system will be ready to use. In some cases, this can discourage investment in solar,” highlights the ministry.
Calling solar installation in the country a ‘red tape nightmare’, the Regulation Ministry had launched a review to simplify approvals and cut installation delays earlier this year (see New Zealand Plans Solar Rollout At ‘Lightspeed’).
In its review recommendations, the ministry has proposed reducing installation approvals for residential solar from about NZD 640 and three months to NZD 200 and six days.
It also proposes lowering the installation approval timeline from up to NZD 11,000 and six months now to NZD 1,300 and one month for small- to medium-scale solar such as a farmer installing panels on a milking shed.
Additionally, the government has also promised to legalize plug-in solar, also referred to as balcony solar, to make it easy for renters and apartment-dwellers to access solar since they can’t access traditional rooftop solar. They can take their plug-in solar kit with them when moving houses.
“The Government will legalise plug in solar because there was no good for reason for preventing Kiwis using it,” said New Zealand’s Regulation Minister, David Seymour. “If they’re good enough for Germany and the UK, they’re good enough for us.”
New Zealand’s Energy Minister Simeon Brown added, “This fast, and comprehensive review will get the Government off the roofs of Kiwi homes, so the sun can shine on their solar panels.”
The ministry estimates its recommendations will deliver net benefits ranging from NZD 28 million to NZD 50 million over 10 years through lower compliance costs, reduced delays, and the use of plug-in solar. The government has now agreed to progress the Ministry for Regulation’s recommendations.
The report also recommends cutting the time taken by line companies to process solar connection requests. For standard residential projects, the processing time could fall from 10 working days to the next working day. For medium-sized installations, it could be reduced from more than 30 working days to five.
Another recommendation is to exempt solar installations such as larger or ground-mounted systems and installations in heritage or outstanding natural landscape areas from resource consent. These 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,” added Seymour.
According to Brown, “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 review also flagged electricity pricing as a key issue that could discourage solar adoption, but it was outside the review’s scope. Stakeholders raised concerns about low and inconsistent solar buy-back rates, billing practices, retailer restrictions and limited options to sell excess power. The review said greater competition and more flexible pricing arrangements could improve the value of solar.
A recent Rewiring Aotearoa report claims that New Zealand households could save around NZD 3,000 annually by switching to electric appliances, EVs, rooftop solar, and battery storage (see Solar-Powered New Zealand Homes Can Save NZD 3,000/Year).
