A report for the Cancer Society says skin cancer costs the country more than $120 million a year.
Treatment of costs the health system more than $57m while an estimated $66m is from loss of life and income, the Herald on Sunday reported.
The study, conducted by Wellington School of Medicine health economist Des O'Dea concluded more money needed to be put into prevention.
Cancer Prevention Advisor Judith Galtry said the charity had repeatedly asked the Ministry of Health for more cash - but to no avail.
Dr Galtry blamed a "policy gap" between the Ministry of Health and Ministry of Education and said "everything falls down this great abyss between the two ministries".
New Zealand has the world's highest death rate from skin cancer.
In 2006 there were 287 deaths, up from 269 in 2005, and 244 in 2001.
Health Minister Tony Ryall told the newspaper he was unable to find out how much the Government spent on prevention.
He said the Ministry of Health pumps $4m a year into the Health Promoting Schools programme but the resources situation could "always be improved".
He has asked the Cancer Control Council and the Ministry of Health whether funding could be improved.
