Subcontractor Agreements For Solar Installers

Yes - if your solar installation business is engaging subcontractors, you should have a written subcontractor agreement in place before anyone steps onto a roof or touches electrical work.

The nuance is that solar work isn't just a standard services job. You're dealing with electrical safety, roof access, customer property, product warranties, workmanship guarantees and health and safety duties that can't simply be pushed onto someone else.

A good solar installer subcontractor agreement in New Zealand should make it clear who does what, who is qualified to do the work, who signs off compliance, who fixes defects, and who pays if something goes wrong. That clarity can save you a lot of awkward conversations later.

Do You Need A Written Subcontractor Agreement For Solar Installation Work?

Yes, you should use a written subcontractor agreement for solar installation work because verbal arrangements rarely cover the practical risks properly.

Solar installation jobs often involve several moving parts. You may have one team designing the system, another supplying panels and inverters, and a subcontractor handling roof mounting or prescribed electrical work. If the customer later complains about leaks, poor generation, damaged tiles or missing electrical paperwork, your business will usually be the first call they make.

Your subcontractor agreement should sit alongside your customer contract, supplier agreement terms, safety procedures and insurance arrangements. It doesn't replace those documents, but it helps connect them.

For example, Talia runs a growing solar installation business in Hamilton. She uses subcontractors when she has multiple residential jobs booked in the same week. One subcontractor finishes an installation but doesn't provide the electrical certificate on time. The customer refuses to make the final payment and Talia has to spend hours chasing paperwork. If Talia's subcontractor agreement required the certificate before payment was released, she would have had a much cleaner path to manage the issue.

A written agreement also helps show that the subcontractor relationship is genuine. This matters for employment law, tax treatment, insurance and day-to-day control on site.

What Should A Solar Installation Subcontractor Agreement Cover?

It should cover the scope of work, technical standards, compliance obligations, payment rules, safety duties, defect fixes, property damage and insurance.

Templates can be a useful starting point, but solar installation services agreement terms have industry-specific risks that generic contractor documents often miss. Your agreement should be tailored to how your business actually delivers jobs.

Scope Of Work

Be specific about what the subcontractor is and isn't responsible for. This might include:

• site inspections and pre-install checks
• roof mounting and panel installation
• DC cabling and inverter connection
• switchboard work or prescribed electrical work
• testing, commissioning and handover
• cleanup, waste removal and customer walkthroughs
• photos and records required after completion

If your subcontractor is only installing racking and panels, say that clearly. If they're also responsible for electrical sign-off, say that too.

Standards And Specifications

Your agreement should require work to meet the agreed design, manufacturer instructions, relevant New Zealand electrical safety rules and any network or council requirements that apply to the job.

This is especially useful where product warranties depend on proper installation. If panels are mounted outside the manufacturer's instructions, the customer might lose warranty coverage and your business may be left trying to sort it out.

Payment And Variations

Set clear payment milestones. For example, payment might only become due after:

• the work is completed to the required standard
• photos and job records are provided
• electrical certificates are supplied where required
• defects identified at handover are fixed

You should also explain how variations are approved. Solar jobs can change quickly once someone gets onto the roof. There may be brittle tiles, shading issues, rotten framing or a switchboard that needs extra work. Your subcontractor shouldn't promise extra work to the customer or charge you for variations unless you have approved them first.

Who Is Responsible For Electrical Compliance And Certificates?

Your agreement should say exactly who is responsible for electrical compliance, but your business should still keep oversight because the customer will usually look to you if something is missing or unsafe.

In New Zealand, electrical work is regulated under the Electricity Act 1992 and the Electricity (Safety) Regulations 2010. Certain work must be carried out by properly registered and licensed electrical workers. The Electrical Workers Registration Board manages registration and practising licences, and WorkSafe has a key role in electrical safety.

For solar installations, you may need documents such as a Certificate of Compliance, an Electrical Safety Certificate, and in higher-risk cases a Record of Inspection. The exact requirements depend on the work being done, the connection and the risk category.

Your subcontractor agreement should require the subcontractor to:

• hold the right current registration and practising licence for the work
• only carry out work they're legally allowed to perform
• comply with the Electricity (Safety) Regulations 2010 and applicable standards
• arrange inspection where required
• provide all required certificates and records promptly
• keep records for the required period
• notify you immediately if they identify unsafe work or non-compliance

For many types of prescribed electrical work, certificates need to be issued within the timeframe required by the electrical safety rules. In practice, you should build your process so certificates are provided before final payment to the subcontractor and before you close the job with the customer.

Don't assume that a general handyman, roofer or labourer can do electrical tasks on a solar job. If electrical work is done by someone who isn't properly authorised, your business may face safety issues, warranty problems, insurance questions and customer complaints.

How Should You Handle Site Safety And Roof Work?

You should handle site safety with clear contract clauses and practical procedures, because health and safety duties can't be contracted away.

Under the Health and Safety at Work Act 2015, your business is likely to be a PCBU, which means you owe duties to manage health and safety risks so far as reasonably practicable. Your subcontractors may also be PCBUs. Where duties overlap, you need to consult, cooperate and coordinate with each other.

Solar installation has obvious safety risks, including:

• working at height
• falls through fragile roofing
• electrical shock or arc flash
• manual handling of panels and inverters
• weather and wind exposure
• ladders, scaffolding and edge protection
• public safety around driveways, footpaths and customer homes

Your subcontractor agreement should require the subcontractor to follow your safety procedures, provide competent workers, use suitable equipment, and stop work if conditions are unsafe.

It should also require the subcontractor to provide evidence when you ask for it, such as:

• licences, registrations and training records
• site-specific safety plans
• risk assessments or job safety analysis documents
• working at heights procedures
• incident reports
• equipment inspection records
• proof of insurance

On the practical side, make sure your project manager, lead installer or electrical service agreement process identifies who has authority on site. If the subcontractor spots a safety issue, they should know whether to call your office, the customer, the network company or another contractor.

Your contract can also set behaviour standards. For residential solar work, subcontractors are often entering family homes, garages and roof spaces. You can require them to be polite, keep the site tidy, avoid smoking or vaping on site, protect pets and children from work areas, and avoid discussing pricing or technical promises with the customer unless authorised.

Who Fixes Defects After The Solar System Is Installed?

Your agreement should say that the subcontractor must fix defects caused by their work, and it should explain the process and timing for doing so.

Defects can show up quickly or months later. Common solar installation issues include:

• water leaks around roof penetrations
• loose or poorly aligned panels
• damaged tiles or cladding
• incorrect cabling or labelling
• inverter faults caused by installation issues
• systems not performing as expected because the installation didn't match the design
• missing compliance paperwork

Your customer contract may promise a workmanship warranty. Product manufacturers may also offer panel, inverter or battery warranties. Your subcontractor agreement should connect those promises back to the person doing the work.

For example, if you offer a 5-year workmanship warranty to customers, but your subcontractor agreement only allows you to request defect fixes for 30 days, you may be carrying a gap. That doesn't mean every subcontractor must be responsible for every customer issue for 5 years, but the allocation should be deliberate.

A good defects clause will usually cover:

• what counts as defective work
• how you notify the subcontractor
• how quickly they must attend urgent and non-urgent issues
• whether you can arrange someone else to fix the issue if they don't respond
• who pays for replacement materials, labour and customer callout costs
• whether payment can be withheld until defects are fixed

You should also manage customer expectations under the Consumer Guarantees Act 1993. If your customer is a consumer, your service agreement terms should reflect that your services need to be carried out with reasonable care and skill, be fit for purpose where the customer made that purpose known, and be completed within a reasonable time if no timeframe was agreed. You generally can't contract out of those guarantees for consumer customers.

For business customers, contracting out of parts of the Consumer Guarantees Act may be possible if the legal requirements are met and it's fair and reasonable. That wording needs care, especially if you work across both residential and commercial projects.

What Happens If A Subcontractor Damages Customer Property?

Your agreement should make the subcontractor responsible for damage they cause, but you also need a practical process because your customer may expect your business to fix it first.

Solar installation work can affect roofs, ceilings, gutters, switchboards, walls, driveways and landscaping. Even careful teams can crack a tile or mark a ceiling hatch. The issue isn't just who is at fault. It's how quickly the problem is reported, documented and fixed.

Your subcontractor agreement should require the subcontractor to:

• take reasonable care of customer property
• protect surfaces, roof areas and access points
• report damage immediately
• take photos and preserve evidence
• not admit liability to the customer without approval
• cooperate with insurance claims
• pay for repair costs caused by their negligence, breach or misconduct

You should also require suitable insurance. Depending on the work, this may include public liability insurance, motor vehicle cover and any specialist cover relevant to electrical or construction work. Ask for certificates of currency and diarise renewals, rather than just asking once at onboarding.

Insurance doesn't replace a well-drafted liability clause. Your agreement should set out whether the subcontractor indemnifies your business for losses caused by their work, and whether any caps or exclusions apply. Be careful with very broad indemnities or liability caps copied from another industry. They may not fit solar installation work.

The Fair Trading Act 1986 also matters. Make sure subcontractors don't make misleading claims to customers about system performance, power bill savings, payback periods, finance terms or warranty coverage. If they're speaking to customers under your brand, their comments can create problems for your business.

Are Your Subcontractors Really Contractors?

They're only contractors if the real working relationship supports that, not just because your agreement uses the word subcontractor.

This matters because if a worker is later found to be an employee, your business may face issues around minimum employment standards, holiday pay, PAYE, KiwiSaver, leave, termination processes and health and safety management.

Under the Employment Relations Act 2000, the real nature of the relationship matters. From 2026, changes introduced by the Employment Relations Amendment Act 2026 include a contractor gateway test. If your arrangement meets the gateway criteria, it can provide a clearer path for treating someone as a contractor. If it does not, the usual employment status assessment may still be relevant.

In practice, you should look at whether your subcontractor:

• has a written agreement describing an independent contractor relationship
• can work for other clients, including other solar businesses where appropriate
• can decide how to carry out the work, subject to safety and quality standards
• provides their own tools, vehicle, workers and insurance where relevant
• can accept or reject jobs
• has a genuine opportunity to make a profit or loss
• isn't treated like an employee in your rosters, policies and management style

You can still set safety, compliance and quality standards. That doesn't automatically make someone an employee. The key is to avoid controlling every part of their working life in a way that looks like employment.

If you rely heavily on one individual, require them to wear your uniform, work set hours, use your tools, attend daily team meetings and accept every job, it's worth getting tailored advice. The label in the contract may not be enough.

Common Mistakes To Avoid

The most common mistakes are usually practical ones, not complicated legal ones.

Watch out for these:

• Using a generic contractor template: Solar work needs clauses for electrical compliance, roof safety, product warranties and defect rectification.
• Paying before paperwork is complete: If certificates, photos and commissioning records are missing, it can be hard to close the job properly.
• Leaving customer communication uncontrolled: Subcontractors should know what they can and can't say about warranties, savings, system output and extra costs.
• Forgetting privacy: If subcontractors access customer names, addresses, photos, energy usage data or site details, your privacy processes should comply with the Privacy Act 2020.
• Not checking licences and insurance: Ask for current proof and keep it on file. A one-off check at the start isn't enough for long-term subcontractors.
• No callback process: Decide who attends defects, how fast they respond, and who pays if the issue was caused by subcontracted work.

It also helps to keep your customer terms aligned with your subcontractor agreement. If you promise the customer something your subcontractor hasn't agreed to support, your business may carry the risk alone.

Key Takeaways

• A solar installer subcontractor agreement should be tailored to the way your business manages installation, compliance, warranties and defects.
• Electrical work must be handled by properly registered and licensed people, with the right certificates and records provided on time.
• Health and safety duties under the Health and Safety at Work Act 2015 can't be pushed away by contract, so your agreement and site processes need to work together.
• Your agreement should clearly say who fixes defects, who pays for customer property damage and what happens if paperwork is missing.
• Check that your subcontractor arrangements reflect a genuine contractor relationship, especially with the 2026 contractor gateway test now part of the employment law picture.

If you'd like help with your subcontractor agreements, solar installation terms, workmanship warranty clauses or contractor onboarding documents, you can reach us at 0800 002 184 or team@sprintlaw.co.nz for a free, no-obligations chat.