Solar hot water heating

Nelson City Council supports and encourages the use of solar hot water heating.

Solar Saver Scheme

This innovative scheme gives residents the chance to install a solar hot water system now and pay back the installation cost as part of their rates over ten years or earlier if they wish. Each installation also attracts a $1,000 subsidy from central Government via the Energy Efficiency and Conservation Authority (EECA), making it even more affordable.

Goals of the programme

The overall goal is to increase the uptake of solar hot water systems in the Nelson City Council area. To support this goal, the Council objectives are to:

  • use the targeted rate process to reduce the upfront cost for customers
  • reduce per unit cost
  • ensure high quality systems are available to customers, that perform well and save customers money
  • simplify the selection and installation process for customers from start to finish, with low administration costs
  • provide excellent customer service
  • provide customers with a choice of systems and suppliers

Council has shown its commitment to making it easier for people to choose solar power by waiving building consent fees and streamlining the consent process.  It is also committed to using solar power wherever feasible on Council facilities. This initiative is expected to give the solar industry in Nelson a huge boost, with the intention of making our city the solar centre of New Zealand.

Benefits to the community

Increasing the use of solar hot water systems is expected to have considerable benefits to the wider community.

  • Shift spending locally - not only do the installations bring money to the local economy (including $500,000 per year in EECA subsidies) but there will be an estimated $500,000 saved on power bills each year that will result in more money being spent locally rather than going to power companies.
  • Build community resilience - the Nelson community can become less vulnerable to security of power supply and increasing prices.
  • Showing Nelson as an innovative leader - taking action to reduce greenhouse gas emissions and encouraging clean green renewable energy.
  • Using our natural resources - Nelson is known for its sunshine hours (sunniest place in New Zealand) and solar systems harness this huge, free resource.

How to be part of Solar Saver

The Solar Saver Scheme allows residents to choose the system they like from one of the four suppliers and have it installed.  The cost of that is met by Council and residents pay the cost back to Council, including interest, as a targeted rate on their property over ten years.  If the house is sold during that time, the rate remains with the property, not the homeowner. Homeowners taking up the scheme can choose to contact as many of the four selected suppliers as they wish to discuss prices and the systems that will suit their needs best.

Recent ballot results

There was such a high level of interest in the Solar Saver Scheme that Council had to hold a ballot to choose the first 200 households that could opt to take up a solar hot water installation before July 2010.  

If residents who weren’t chosen in the ballot have their own finance available they can still access the competitive prices Council has negotiated by contacting its four suppliers and going ahead with installing solar hot water on their own. An alternative is to wait and be at the top of the list for the next round of Council-funded installations that will see 500 funded from 1 July 2010 through 30 June 2011.

Any one wishing to join the waiting list can phone +64 3 546 0200 or email their name, address and phone number to Council.

Who can participate in the scheme

The Solar Saver Scheme is available to Nelson home owners initially as the Council sees them as the priority for providing the finance to take away the upfront cost. The Council will also investigate extending the financing of installations to businesses in the future if there is sufficient funding available.

The Council with its partners will also provide the advantages of the scheme (e.g. reduced prices) to people that don't want to use Council's finance, because they have other finance available or they reside in the Tasman District Council area and can't pay back through the Nelson rates system. Nelson City Council's goal is to increase the number of installations regardless of whether it's providing finance or not.

Free building consent fees for solar hot water heating

To encourage the uptake of solar hot water heating systems, Council has introduced a zero fee policy for the building consent application required to install a solar hot water heating system.

Most installers will handle the consent process for you - they will apply for and obtain the building consent and arrange for the necessary inspections to be carried out.

Subsidies available

The Energy Efficiency and Conservation Authority (EECA) provides a grant or loan up to $1,000 for systems that meet its standards. These subsidies are available only for installations with building consent and code compliance certification.

Further information can be found at the EECA's website.

More information

For some further information see:

Smarter homes page on solar water heating

Energy Efficiency and Conservation Authority (EECA) website