Ask three solar companies how much you’ll save and you’ll get three different numbers, all of them optimistic. The honest answer is that savings vary enormously between homes — a typical New Zealand household saves somewhere around $1,500–$2,300 a year, but some save far more and some far less on the very same size system. The difference isn’t the panels. It’s how much of your own solar power you actually use. Understand that one mechanism and you can both estimate your savings realistically and, more importantly, increase them.
Where the savings actually come from
Your solar system saves you money in two different ways, and they’re worth wildly different amounts:
1. Self-consumption — the big one. When you use solar power as it’s generated, you avoid buying that unit from the grid at the full retail price — around 39c/kWh. This is by far the most valuable saving, because you’re offsetting the most expensive electricity you’d otherwise buy.
2. Export credit — the small one. When your panels make more than you’re using, the surplus flows to the grid and your retailer pays you for it — but only 7–17c/kWh, depending on who you’re with. That’s roughly a third to a half of what your self-consumed power is worth.
So the same unit of solar electricity is worth three to five times more if you use it than if you export it. That single ratio is the master key to your savings.
Why two identical systems save different amounts
Picture two houses, both with 6.6 kW systems:
- House A has someone home during the day. The washing machine, dishwasher, and heat pump run while the sun’s up, so they self-consume maybe 60–70% of their solar. Most of their generation is offsetting 39c power, and their savings are high.
- House B is empty from eight to five. Almost all their solar exports at ~10c while no one’s home, then they buy expensive power back in the evening. They self-consume maybe 20–30%. Same panels, much smaller saving.
Identical hardware, very different outcomes — entirely because of when the power is used. This is why any savings estimate that doesn’t ask about your daily routine is essentially worthless.
A rough way to estimate your own
You can sketch your savings without a spreadsheet:
- A typical 6.6 kW NZ system generates very roughly 8,000–9,500 kWh a year (more in the sunny north, less in the deep south).
- Estimate the share you’ll self-consume — about 30% for an empty-day house, 50% for an average home, 65%+ for a high-daytime-use household.
- Value the self-consumed share at ~39c, and the exported remainder at ~10c.
For an average home self-consuming ~50% of ~8,500 kWh, that’s roughly $1,650 from self-consumption plus a few hundred from export — landing squarely in that $1,500–$2,300 band. A high-self-consumption home can push well past $2,500.
How to actually increase your savings
Because savings hinge on self-consumption, you have real control. The levers:
- Shift big loads to daytime. Run the dishwasher, washing machine, and dryer on timers while the sun’s up rather than overnight. A free saving — it’s just behaviour.
- Heat water with surplus solar. A timer or a solar diverter sends spare generation into your hot-water cylinder — effectively a cheap “battery” that stores energy as hot water.
- Charge an EV during the day. If you have one, daytime charging soaks up surplus that would otherwise export at 10c — one of the best returns going.
- Right-size the system. A system far bigger than your daytime use just exports more at the low rate. Matching size to usage beats over-paneling.
- Add a battery, if the numbers work. Storage lets you use the midday surplus at night, lifting self-consumption sharply — though it’s a big spend with its own payback.
The first three are free or cheap and can meaningfully lift your savings without touching the hardware.
The 2026 change that helps exporters
If you’re an empty-during-the-day household, relief is coming. From 1 July 2026 the Electricity Authority requires larger retailers to offer time-of-use pricing and fairer peak-export rates. That improves the value of the power you export, narrowing the gap between House A and House B — good news for homes that can’t avoid exporting much of their generation.
The verdict
Solar savings aren’t a fixed number you can read off a brochure — they’re driven by how much of your own power you use, which is why an average New Zealand home lands around $1,500–$2,300 a year while your figure could sit well above or below. The good news: self-consumption is partly within your control, so shifting usage into daylight and heating water with surplus can lift your savings without spending another cent on hardware.
Want a savings estimate built on your actual usage and routine, not an average? Our free assessment models your self-consumption and gives you a realistic annual figure.
Sources: Retail/export price ranges and generation estimates per MBIE, the Electricity Authority, and EECA; 2026 reforms per the Electricity Authority. Figures are indicative and vary by home and retailer.