Residential and small to medium scale solar review
We reviewed the regulatory settings that apply to residential and small to medium scale solar installations.
The Ministry for Regulation has completed its review into New Zealand's solar installation system and published a package of recommendations to make it easier and faster to install solar. Cabinet has now agreed a package of decisions to progress the recommendations.
Overview
The Ministry for Regulation has completed a review of the regulatory settings that apply to residential and small to medium-scale solar installations.
The review found that while demand for solar is growing and the benefits are clear, the process for installing solar in New Zealand can be more complex and slower than it should be.
Households and businesses can face multiple steps, unclear requirements, and delays across building rules, planning processes, electricity network approvals, metering, and inspections. Together, these create unnecessary cost, delay, and uncertainty.
The review recommended a number of improvements to make the system work better in practice.
On 10 August 2026, Cabinet considered the review and agreed a package of decisions to progress the recommendations.
What the review recommends
The review recommends a package of improvements to make the solar installation process faster, simpler, and more consistent.
Key changes include:
- clarifying building exemption requirements
- creating more consistent national planning rules to reduce the need for resource consent
- improving the speed, transparency, and consistency of electricity network approval processes
- improving access to and transparency of metering services, and increasing consumer choice
- improving retailer processes and communication
- moving to a more proportionate, risk-based approach to electrical inspections
- legalising plug-in solar in New Zealand.
What this means
If implemented, these recommendations would make it easier for households and businesses to install solar by:
- reducing delays in approvals and installation
- lowering compliance costs
- providing clearer and more consistent requirements across the system.
The Ministry estimates the recommendations could deliver net benefits of between $28 million and $50 million over 10 years, reflecting a more efficient system with fewer delays and lower overall costs.
One of the recommendations is to legalise plug-in solar in New Zealand. This will provide a lower-cost option for some households, including renters and others who may not be able to install traditional rooftop systems.
What the review covered
The review focused on regulation applying to:
- residential and small to medium-scale solar systems
- rooftop and ground-mounted installations
- plug-in and other on-site systems supplying electricity to homes and small businesses
This included how building rules, electricity safety requirements, connection processes, and planning controls work together in practice.
What was out of scope?
- large-scale or utility-scale solar developments
- solar farms designed for wholesale electricity generation
Next steps
Cabinet has agreed a package of decisions to progress the recommendations of the Solar Installation Regulatory Review. This includes:
- amending Schedule 1 of the Building Act 2004 to clarify building consent exemption settings for solar installations
- progressing nationally consistent planning settings for small and medium-scale solar installations
- exploring a time-limited trial of a more risk-based electrical inspection model
- progressing regulatory amendments to enable plug-in solar in New Zealand
- providing the review report to the Electricity Authority for consideration of recommendations relating to electricity network approvals, metering and retailer processes.
The Ministry for Regulation will continue working with relevant agencies, regulators and stakeholders as work progresses on implementation of the Cabinet decisions and the review recommendations.
More information
Solar Regulatory Review - Full report
Solar Regulatory Review - Summary report
Solar Regulatory Review - Terms of Reference
Solar Regulatory Review - Summary of Engagement