Solar Panel Grants and Incentives NZ (2026)

What the numbers actually mean

Let’s put this in practical terms. Say you install a 6.6kW system for $13,000 using Westpac’s 0% loan over 5 years. Your repayments work out to roughly $217 per month. If that system saves you $180 to $250 per month on your power bill, you’re essentially cash-flow neutral from day one. After 5 years, the loan is paid off and the savings are pure profit.

With the 1% options from ANZ, ASB, or BNZ, the numbers are similar. On a $13,000 loan over 3 years at 1%, you’re paying about $370 per month, with total interest of roughly $200 over the life of the loan. That’s less than $6 per month in interest on a $13,000 loan.

The catch with Westpac's 0%

Westpac’s deal is the headline grabber, but read the fine print. You must repay the full amount within 5 years. If you don’t, the rate jumps to 5%. That’s not disastrous, but it’s worth knowing upfront. Set up automatic payments and you’ll be fine.

ANZ, ASB, and BNZ at 1%

These three banks offer almost identical products. The key requirement: you need an existing home loan with them. You can’t just walk in off the street and get a 1% green loan. It’s structured as a top-up on your mortgage, which is why the maximum is a generous $80,000 and the rate is so low.

The 3-year term is shorter than Westpac’s 5 years, which means higher monthly repayments. But the total interest paid is minimal. If you already have a mortgage with one of these banks, this is the path of least resistance.

Kiwibank's contribution model

Kiwibank takes a different approach. Rather than a discounted interest rate, they offer up to $2,000 as a contribution towards your installation costs. The loan itself is at the standard personal loan rate, which is higher than the other banks. Depending on your system cost, the $2,000 contribution may or may not bridge the gap. Run the numbers for your specific situation.

What this means for you

• Check SEANZ membership first. Before you sign with any installer, verify they’re a current SEANZ member. The directory is on the SEANZ website.
• Get the loan approval before installation. Don’t install first and apply for the loan after. Banks want to see the quote from a SEANZ member before they approve.
• Non-SEANZ installers may be cheaper, but you’ll miss out on green loan eligibility. A 0-1% loan often saves more than the price difference.

Australia's STC scheme

Australia’s Small-scale Technology Certificate (STC) scheme is the gold standard for solar incentives. When you install solar in Australia, the government effectively subsidises 30 to 40% of the cost through tradeable certificates. On a typical 6.6kW system, that’s around AU$3,000 to AU$4,000 off the price. NZ has nothing equivalent.

UK's VAT exemption

The UK reduced VAT on residential solar from 20% to 0% until March 2027. On a typical installation, that saves around 2,000 to 3,000 pounds. NZ charges the full 15% GST. On a $13,000 system, that’s roughly $1,696 in GST. Removing it would be the simplest, most impactful incentive the NZ government could introduce.

Where NZ actually wins

Credit where it’s due: NZ’s green loan ecosystem is better than both Australia’s and the UK’s. Having all five major banks offering dedicated solar financing at 0-1% is unusual globally. Australia and the UK don’t have anything as comprehensive. It’s not a direct subsidy, but it removes the biggest barrier to going solar, which is the upfront cost.

What this looks like in practice

Say your business installs a 20kW commercial system for $30,000 (excluding GST, which you can already claim back as a GST-registered business).

• Year 1 deduction: 20% Investment Boost = $6,000 immediate deduction, plus normal depreciation on the remaining $24,000
• GST claim: $4,500 GST claimed back (GST-registered businesses)
• Effective first-year cost reduction: The combination of the Investment Boost, GST claim, and first-year depreciation can reduce the effective cost by 35 to 40% in the first year

This makes commercial solar in NZ genuinely competitive, even without a direct subsidy. If your business owns its premises and has decent roof space, the Investment Boost changes the equation significantly.

Eligibility requirements

• Must be a New Zealand business (sole trader, partnership, company, trust)
• Asset must be new and purchased from May 2025 onwards
• Solar panels qualify as depreciable assets
• No upper limit on the asset value
• Talk to your accountant about the specific tax implications for your structure

Who can apply

• Community organisations and trusts
• Marae and iwi organisations
• Schools and educational institutions
• Housing trusts and social housing providers
• Local government bodies partnering with community groups

What might change

• Warmer Kiwi Homes expansion to include solar. This is the most likely near-term change.
• GST reduction on solar equipment. Discussed but no legislation introduced.
• Feed-in tariff guarantee. Very unlikely. NZ’s electricity market is deregulated, and the government has shown no appetite for mandating buy-back rates.
• STC-style certificate scheme. Would require significant new legislation. Not currently on any party’s published policy platform.

[1] 1. Use a green loan

This is the obvious one, but it bears repeating. At 0-1% interest, your loan repayments can be less than your current power bill savings from day one. You’re not really "paying" for solar. You’re redirecting money you were already spending on electricity.

[2] 2. Right-size your system

Don’t overbuild. A 6.6kW system is the sweet spot for most NZ homes. Going bigger doesn’t always mean better returns, especially if you’re exporting a lot of power at low buy-back rates (7 to 12 cents per kWh from most retailers). Match the system to your actual usage.

[3] 3. Maximise self-consumption

Use timers and smart plugs to run heavy appliances (dishwasher, washing machine, hot water cylinder) during the day when your panels are generating. Every kWh you use directly saves you 28 to 35 cents. Every kWh you export earns you 7 to 17 cents. The maths is clear.

[4] 4. Switch to a solar-friendly retailer

Buy-back rates vary wildly between power companies. Octopus Energy pays up to 23 cents per kWh for exports. Some retailers pay as little as 7 cents. Switching retailers costs nothing and can add hundreds of dollars to your annual returns. See our buy-back rates comparison for the full breakdown.

[5] 5. Get multiple quotes

We say this in every guide because it matters every time. The price difference between the cheapest and most expensive quote for the same system can be $3,000 to $5,000. Three quotes is the minimum. Make sure at least one is from a SEANZ member if you’re planning to use a green loan.

[6] 6. Consider timing

Some installers offer discounts during quieter periods (typically autumn and winter). Ironically, this is when demand is lowest but the deals are best. If you’re flexible on timing, ask about off-peak pricing.

Are there any solar panel grants in NZ?

Not directly for residential solar, no. The closest is Warmer Kiwi Homes, which covers insulation and heating for eligible homes and is expanding to include solar. Green loans from the big banks at 0-1% interest are the main financial incentive available to most homeowners.

Can I get a 0% loan for solar panels in NZ?

Yes. Westpac offers 0% interest through their Greater Choices / Warm Up loan, up to $50,000 over 5 years. The key condition: you must repay within 5 years, or it reverts to a 5% default rate. Your installer must be a SEANZ member to qualify.

Do I need a SEANZ member installer for a green loan?

Yes, all major bank green loan programmes require your installer to be a SEANZ (Sustainable Energy Association of New Zealand) member. This is non-negotiable. Check the SEANZ member directory before signing with an installer if you plan to use a green loan.

Does Warmer Kiwi Homes cover solar panels?

Not yet for most homes, but the programme is expanding. Currently it covers insulation and heating. EECA has signalled solar will be included, but the timeline and eligibility details are still being finalised. Keep an eye on the EECA website for updates.

How does NZ compare to Australia for solar incentives?

Australia is significantly ahead. Their STC (Small-scale Technology Certificate) scheme effectively subsidises 30-40% of solar costs upfront. NZ has nothing equivalent. However, NZ's green loans at 0-1% are genuinely competitive, and overall system prices in NZ have dropped substantially.

Can I claim solar panels as a business expense?

Yes. From May 2025, the Investment Boost allows businesses to claim a 20% immediate deduction on new assets including solar. The remaining 80% is depreciated as normal. This makes the effective payback period shorter for business installations.

Is solar still worth it without grants in NZ?

For most homeowners, yes. A typical 6.6kW system costs $11,000 to $15,000 and pays for itself in 5 to 8 years through power bill savings. With a green loan at 0-1%, your loan repayments can be less than your current power bill from day one. The economics work without grants.

Will NZ get solar rebates like Australia?

There is no confirmed timeline for a residential solar rebate scheme in NZ. The government has focused on green loans and the Warmer Kiwi Homes expansion. Industry groups like SEANZ continue to advocate for direct subsidies, but nothing is imminent as of 2026.