Jeanette Fitzsimons' Speech Notes - Launch of SWH Volume Build Scheme
Monday 16 July 5.30pm, Future-Proof Building Centre, Ellerslie
Welcome to the launch of our Solar Water Heating Volume Build Scheme. Thank you for coming tonight.
Firstly, I would like to acknowledge the support of the Master Builders Federation in arranging this event. It is wonderful to have the President and other members here.
I’d also like to acknowledge the support of Construction Marketing Services in providing such a wonderful venue for tonight’s function. It is particularly appropriate to be at the Future-Proof Building Centre, because solar water heating is integral to planning a home that is future-proofed.
With climate change accelerating and energy prices rising, it makes sense to use the sun to heat our water.
The average home uses a third of its power consumption to heat water. A good solar water heater will save at least half and up to three-quarters of this, and reduce a family’s power bill by $350 - $450/year depending on the number of people and the price of your electricity or gas.
Solar water heating is the most easily understood use of renewable energy, and it’s often the first experience people have of the power to produce energy in their own home.
The Government wants to see a significant step up in the use of solar water heating – at the very least, a doubling in the number of systems being installed.
When I talk to people in the community they tell me that they like idea of harnessing the sun’s energy to reduce their own household’s carbon footprint.
But I also know that when people are building or renovating their homes they look for and follow the advice of industry professionals – builders, plumbers, architects and building centre advisors.
So whilst solar water heating is growing in appeal to homeowners, it is the building industry, in its broadest sense, who will be the determining factor in making solar water heating a mainstream option in New Zealand.
One of the biggest obstacles people find when they want to go solar is the price of an installation. There are two main ways of reducing that: it is cheaper if you do it when the home is being built, and it is cheaper if you do groups of homes in the same location. So volume building is our biggest opportunity. Retrofits on to older homes can cost twice as much. Having a plumber onsite, being able to bulk order and deliver the panels, reducing the transport and travel cost and applying for building consents as part of the consent for a new home all save the consumer money.
Partnerships with industry are vital to the success of the Government’s solar water heating programme. The Volume Build Scheme we’re launching tonight is an exciting opportunity to demonstrate what the Government and industry can achieve working together in the interests of all New Zealanders.
I’m pleased to announce that under the Volume Build Grants Scheme:
- The Energy Efficiency Conservation Authority (EECA) will give volume builders an upfront grant of $3000 to install a solar water heater in a showhome. We’re defining volume builders as builders or developers who build at least 20 homes a year.
- In addition if builders are installing solar water heating systems in 20 or more new homes a year, EECA will give them a grant of $500 to offset the cost of each one.
Access to the financial assistance under the Volume Build Scheme is of course subject to solar water heating systems meeting criteria on manufacturing and installation standards, energy performance and cost effectiveness. The criteria will mean taxpayer funding will only be available to the systems that deliver most effectively for homeowners. I am not prepared to put taxpayers’ money into systems that do not measure up.
Some of you may be aware of concerns raised in the media recently about discoloration of solar water heating panels from two suppliers.
This appears to be a fairly limited issue, but we are taking it seriously because it is important that consumer confidence in solar water heating is not undermined. We are advised by those two firms that there is no problem now with performance, but we have not had all the information that homeowners need from these suppliers to reassure them about the quality and longevity of those systems. At this point they are not participating in the Government solar water heating programme.
As a result, we expect to undertake independent testing of some discoloured solar panels to determine any impact on energy performance, and longevity.
My two key objectives in this programme are quality assurance and cost-effectiveness. We have taken a number of steps over the last year to improve these outcomes for consumers: there are now training courses available for solar installation at most polytechs, there is a NZ/Australian standard and we are performance modeling systems to be able to advise consumers how much energy they will save under standard conditions. Our new website solarsmarter.org.nz provides a one stop shop for home owners wanting to know whether solar is right for their home and how to go about deciding what sort. It lists all the suppliers who have been through the performance modeling process and qualify for the grants.
I believe we are on the way to ensuring a sustainable, larger scale solar water heating industry and well informed building professionals and home owners.
The real strength of the new scheme announced today is that volume builders who participate will be able to reduce the cost to new homeowners of solar water heating systems, by negotiating bulk-purchase arrangements with accredited solar water heating suppliers. It is a win-win for the industry and homeowners and the Government.
I challenge the building and solar water heating industries to think about how to make this scheme work for you and for the new home buyer. I’d encourage volume builders to negotiate new relationships with solar suppliers or to extend existing ones. Remember that the beauty of the Volume Build Scheme is EECA will have a relationship with volume builders but they have the flexibility to develop relationships with suppliers.
There’s a lot of detail I haven’t covered, and I and the solar team from EECA will be happy to answer questions, after the formal part of this evening is over.
If you’re keen to participate or want to know more I’d encourage you to talk to our EECA Volume Build Advisors over there and to collect an information pack if you haven’t already received one in the mail.
Now I’ll hand back to Mike Underhill.