Is Your Business Ready for Solar? A Practical Guide To Commercial Solar Panels

Solar is quickly changing Aotearoa New Zealand’s energy landscape in several ways. Last March, the Electricity Authority (EA) Te Mana Hiko reported that solar energy output achieved an all-time high of 128 MW. With an average weekly production of 5.57 GWh, the country’s solar farms are producing enough to power roughly 800 homes for a year. (1)

Meanwhile, the EA also reported that solar generation capacity by the commercial sector continues to rise. From 48.61 MW by the end of 2023, it increased by 36% to 65.96 MW by the end of 2024. (2)

The outlook for solar is looking bright, and it’ll only get brighter (no pun intended). It’s understandable if you think there’s no better time to go solar than now. But before you do, here’s everything you need to know about it.

Elements of Solar Readiness

As promising as solar power is, harnessing this form of energy needs proper infrastructure. Everything from the dozens of commercial solar panels to the battery needs a justification for a solar investment and the optimal location.

Before a photovoltaic (PV) system can start making a commercial building self-sufficient, solar panel installers conduct a site inspection. The aim is to gather information on the following elements:

Space Availability

Solar panels in New Zealand come in either 60 or 72-cell designs with a width of 1 metre and a length of 1.6 or 2 metres. The design is standard among manufacturers, as it offers the right balance of performance and installation. Technically, they can make a larger solar panel but often advise against it. (3)

Available space determines several aspects of solar panel installation, from total generation capacity to the location of the panels. This applies to both rooftop solar panels and those on the ground level. For roof installation, inspectors also take roof integrity and structure into account (each solar panel weighs an average of 20 kg).

Electricity Consumption

The property’s average electricity consumption is a factor in determining whether a solar installation makes sense. While no exact threshold is set in stone, business owners can get a good idea by comparing electricity costs with those of solar panel systems.

Given that most commercial solar systems have a capacity of over 10 kW, we can estimate the minimum cost to be around NZD$20,000. This is overkill for a humble store that uses, say, seven kWh daily, but it’s in the sweet spot for a small office building. As the property grows in size, so does energy consumption and the need for clean energy.

Obstructions

It’s not uncommon for commercial rooftops or other features to hinder the system from producing power, mainly by casting shadows. Not only do they reduce power output, but they also risk solar panels developing “hot spots” that can damage the PV cells. Such places are unlikely to hold solar panels, reducing available space.

Nearby trees are also a form of obstruction. Aside from casting shadows, any leaves that fall onto the solar panels can also lower output. Commercial property owners are urged to perform proper maintenance, clearing the panels of leaves and other debris.

Local Laws

Installing solar power systems, be it for homes or commercial buildings, generally doesn’t require council approval. Nevertheless, checking with the local council or solar installer is always a good idea.

However, the EA requires properties that plan on selling excess energy to comply with Part 6 of the Electricity Industry Participation Code 2010. A solar installation that can output over 10 MW of solar power must be registered with the Authority. This rule is in place to protect power lines from overloading. (4)

Solar’s Carbon Footprint

Commercial businesses are naturally concerned with the effects of their decisions on the environment, including adopting renewable energy. Today’s consumers have grown more aware of the need to better care for Mother Nature. As such, asking about the ecological cost of installing solar panel systems is only right.

To which the answer is: pretty small.

Last year, researchers from Te Herenga Waka Victoria University of Wellington conducted life cycle assessments on several utility-scale and distributed solar energy systems. While the latter had far fewer greenhouse gas emissions than the former, both were significantly lower compared to coal-fired power plants (26.2 and 45.7 gCO_2eq/kWh vs. nearly 1,000 gCO_2eq/kWh). (5)

As an added note, New Zealand’s electrical grid emits just a tenth of the CO₂ equivalent of a coal-fired power plant. Some emissions in the manufacturing process of solar energy systems are unavoidable for now, but the industry is constantly rolling out green methods. Continuous innovation also helps reduce production costs.

Conclusion

Your business’s readiness to go solar depends on at least four elements: available space, electricity usage, obstacles to solar generation, and local laws. Solar installers will find a way to make solar work for any commercial property.  

References:

1. New highs being hit in solar generation [Internet]. Electricity Authority. 2025. Available from:https://www.ea.govt.nz/news/eye-on-electricity/new-highs-being-hit-in-solar-generation/
2. Electricity Authority - EMI (market statistics and tools) [Internet]. Govt.nz. 2015 [cited 2025 Jun 13]. Available from:https://www.emi.ea.govt.nz/Retail/Reports/GUEHMT
3. Bhor A. Solar Panel Sizes and Weights [Internet]. www.mysolarquotes.co.nz. 2022. Available from:https://www.mysolarquotes.co.nz/blog/how-solar-power-works/solar-panel-sizes-and-weights/
4. Solar power [Internet]. Electricity Authority. 2023. Available from:https://www.ea.govt.nz/your-power/solar-power/
5. Bhor A. The Carbon Payback Period of Solar Panels in NZ: Yay or Nay? [Internet]. Mysolarquotes.co.nz. My Solar Quotes; 2025. Available from:https://www.mysolarquotes.co.nz/blog/solar-power-new-zealand/the-carbon-payback-period-of-solar-panels-in-nz-yay-or-nay-/