Regulation Minister ordering review of solar panel installation

Source: Radio New Zealand

The Regulation Minister is taking aim at what he says is excessive red tape around rooftop solar that makes it too hard for home-owners and businesses to set up panels.

David Seymour is ordering a review of the installation process, saying he wants to make New Zealand the easiest place in the world to switch to solar.

He said just three to four percent of New Zealand households used solar, despite average power savings of about $1000 a year.

“Solar installation in New Zealand is a red tape nightmare. Just getting it approved can take months,” he said.

“There are up to eight layers of sign-off before small-scale solar systems can be switched on. This requires up to five separate site visits, from four separate entities. For example, during installation the installer often cannot turn off or reconnect the fuse, update the meter, or carry out the required independent electrical inspection. These tasks must be done by other entities, requiring additional site visits.”

In parts of Australia, approval of similar low-risk solar could be granted within 24 hours, Seymour said.

“In Victoria Australia there is one layer of sign-off for small-scale solar installation. The whole solar installation process is managed and carried out by the chosen installer. Standard installations are inspected by a licensed electricity inspector without a site visit. Photos clearly show compliance. A site visit is only carried out in person if something unusual or non compliant is identified in the photos.”

Seymour said more than 30 percent of Australian households used solar power.

He made the announcement at Electric Cherries near Cromwell on Thursday, which is believed to be the world’s first fully-electric farm, powered largely by solar.

Owner Mike Casey, who is also the chief executive of Rewiring Aotearoa, said regulations needed to keep pace with technology and he was pleased to see the government looking at ways to help.

“In Australia, virtual inspections allow the installs to be approved remotely and much more rapidly and other countries have centralised systems that don’t require a physical visit and use an auditing process to ensure standards are being met,” he said.

Researchers have said New Zealanders investing in solar will almost certainly save more money than they spend.

Casey said Rewiring Aotearoa wanted to see national standards across lines companies for solar and legalisation for plug-in solar set-ups which were becoming popular overseas.

“We need more solar in New Zealand, it is very safe when installers are well-trained and given our very low uptake rates at this stage, it is unlikely to affect the network. Approval should be instant here.”

Bureaucracy not the biggest barrier – solar expert

Alan Brent, professor and chairperson in Sustainable Energy Systems at Victoria University of Wellington, said upfront cost was the biggest barrier for most households considering solar – not the installation time.

“It’s not a technical issue in terms of how long it takes. I mean, I have a solar and a battery system in my house, and they came and installed it within a day. We have all the regulations in place … all the technology is there,” he said.

“It is quite a significant investment up front. And it’s quite complicated for people to think about what the long-term savings will be.”

Brent said the best thing officials could do to boost solar uptake was a public information campaign highlighting what residents would spend and what they would save.

The government could also help residents with the upfront costs, he said.

“Something similar to what we have with industry, like the GiDI (Government Investment in Decarbonising Industry) fund – that might be an option … a long-term loan that’s underwritten by the government,” he said.

German and Australian residents also received “quite reasonable” tariffs for returning electricity to the grid, he said.

“That’s provided the incentive for people to put up solar systems,” he said.

However Seymour said cutting red tape would help with upfront cost.

“The more people involved the more expensive it is. So if you’ve got to pay someone to come and do your disconnection and then another person to do the installation, then the first person comes back to do the reconnection, that all adds cost. But I think it’s also about hesitancy and being able to just do it. If you knew that you could get this done in a weekend, you’d be a lot more likely to do it than if you’d heard that your neighbours ended up taking a couple of months to do something that could have been much simpler,” he said.

“If I can honestly say that we have the simplest, most straightforward system in the world, then how much people take advantage of that is up to them.”

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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand