For New Zealand homeowners embracing solar power, understanding solar buy-back rates is crucial for maximizing savings and accelerating the return on their investment. When your solar panels generate more electricity than your home consumes, that excess power is exported back to the national grid. Electricity retailers then pay you for this surplus energy solar deals nz, typically as a credit on your power bill. Among the various providers in New Zealand, Powershop stands out with a competitive and straightforward buy-back offer of 13 cents per kilowatt-hour (kWh).
Understanding Solar Buy-Back Rates
Solar buy-back rates, also known as feed-in tariffs, are the prices electricity retailers pay for the surplus solar power you send back to the grid. These rates vary significantly between different companies and can influence your overall savings. While the primary benefit of solar is self-consumption (using the power you generate directly), a good buy-back rate ensures you’re fairly compensated for any excess energy that benefits the wider grid.
Powershop’s Competitive Offer: 13¢/kWh
Powershop offers a clear and attractive solar buy-back rate of 13 cents per kWh for excess solar generation exported into the grid. Several features make Powershop’s offer particularly appealing:
- No Cap: Powershop explicitly states there is no buy-back cap, meaning you’re paid for all your excess generation, regardless of volume. This provides peace of mind for high-producing solar homes.
- No Fixed Contract: Powershop’s solar buy-back comes with no fixed-term contract, offering flexibility. You can leave anytime without incurring exit fees.
- Transparency: Powershop provides full transparency of your solar export and power usage down to the half-hour through their app or desktop account (requires a communicating smart meter). This allows homeowners to actively monitor their generation and savings.
- Additional Perks: Powershop often includes sign-up incentives for new solar customers, such as power credits or free weekend power for a period, further enhancing the value proposition.
How Powershop Compares to Other Retailers
While Powershop’s 13¢/kWh rate is strong, it’s beneficial to see how it stacks up against other major electricity retailers in New Zealand (rates are typically excluding GST and subject to change):
- Meridian Energy: Offers a competitive 17¢/kWh on a 3-year fixed-term Solar Plan (which may include a $300 credit), or 12¢/kWh on other plans. Meridian’s 17¢ rate is one of the highest, but it comes with a contract commitment.
- Octopus Energy: Offers 17¢/kWh on their OctopusFlexi plan (for systems up to 10kW, no fixed-term contract) and up to 23¢/kWh during peak export hours on their OctopusPeaker Battery Plan (which has variable rates for off-peak and night export).
- Genesis Energy: Offers 12.5¢/kWh for excess solar exported to the grid.
- Frank Energy: Offers 11¢/kWh for systems 50kW or less.
- Nova Energy: Offers 10¢/kWh.
- Electric Kiwi: Offers 8¢/kWh on most plans, with a higher 12.5¢/kWh on their “Movemaster Plan.”
- Contact Energy: Offers 8¢/kWh (with a maximum system size capacity of 10kW).
- Mercury Energy: Offers 8.5¢/kWh, but also has a special partnership with Harrisons Solar offering 18¢/kWh for up to 500 units per billing cycle on a 2-year fixed contract.
Maximizing Your Solar Savings
Choosing a retailer with a strong buy-back rate like Powershop’s 13¢/kWh is an important step, but maximizing your solar savings also involves:
- Self-Consumption: The most effective way to save is to use the power your solar panels generate directly in your home. Shift high-energy consumption activities (like running washing machines, dishwashers, or charging EVs) to daytime hours when your solar system is producing.
- Battery Storage: For ultimate energy independence and to maximize self-consumption, consider adding a solar battery. This allows you to store excess daytime solar power for use at night or during peak tariff periods, reducing the amount you need to buy from the grid and minimizing reliance on buy-back rates.
- System Sizing: Ensure your solar system is appropriately sized for your household’s energy consumption patterns to balance self-consumption and export.
Powershop’s 13¢/kWh buy-back rate, combined with its flexible terms and transparent monitoring, makes it a strong contender for New Zealand homeowners looking to get the most out of their solar investment. However, always compare current offers and consider your specific energy usage habits to find the best fit for your home.
