Heat networks

Certain types of heat networks fall within the scope of the heat network regulations and therefore need to be registered. We call these ‘relevant heat networks’. 

You must identify the operator and supplier for any of your relevant heat networks and register the networks with us by 26 January 2027. 

Each organisation should nominate a ‘regulatory contact’, this is typically the most senior member of staff with responsibility for heat networks. 

The regulatory contact must create the organisation’s digital service account. They can then invite other users to access the service and submit registration information on their behalf. 

Heat networks in scope of the regulations 

District heat networks 

District heat networks supplying heating, cooling or hot water to 2 or more buildings. 

Communal heat networks 

Communal heat networks supplying heating, cooling or hot water to a single building that’s divided into separate premises. 

Self-supply heat networks 

Self‑supply heat networks where an organisation runs a heat network, but only supplies heat to itself instead of any third-party customers. This might apply to hospitals, education campuses and prisons. Also, large sites with several buildings owned and occupied by the same organisation, where there are no commercial arrangements to provide heat to third parties.  

Self-supply networks are within the scope of regulation but have fewer regulatory obligations than other heat network types. 

Organisations that supply mainly to themselves but also supply third-party customers cannot register as a self-supply network. They must register as either a district or communal heat network. 

Industrial heat networks 

Industrial heat networks supplying heating, cooling or hot water to at least one industrial site or customer, mainly for use in an industrial process or activity. This can include supply to ancillary spaces, such as on-site offices or lunchrooms, provided these areas form part of the same industrial premises and the primary purpose is to supply an industrial process. 

Industrial networks are within the scope of regulation but have fewer regulatory obligations than other heat network types. 

Shared ground loop (SGL) heat networks 

Shared ground loop heat networks using a shared closed ground or water loop, alongside individual consumer heat pumps.  

Shared ground loop heat networks can be set up in different ways and the costs may be divided between customers in different ways. For these networks, most of a customer's heating costs are usually paid through their electricity bill. 

Shared ground loop networks are within the scope of regulation but have fewer regulatory obligations where this is appropriate for the ownership or charging model. 

Exemptions from the regulations  

Examples of networks that are out of scope of the regulations include: 

• a single house in multiple occupation (HMO), where heating is supplied through a shared heating system  
• conversions of existing buildings where a property has been divided to create multiple dwellings within a building, that have one energy source with a capacity of no more than 45kWth 
• single buildings with shared facilities that are not divided into separate premises, for example care homes 
• third-party waste heat producers that do not undertake operation or supply 
• a communal heat network that provides heating and any cooling only through air conditioning and does not supply hot water 

For full details on what types of heat networks are in scope of regulation and how the regulations apply, you should read the heat networks registration guidance and the heat networks market framework. 

Operators and suppliers  

The 2 roles are distinct in regulatory terms, but the same organisation can act as both the operator and the supplier for a heat network. If you’re an operator or supplier only, you’ll need to register information that’s relevant to your role. 

All parties should assess their activities against the regulatory definitions to determine whether operator and/or supplier obligations apply. 

What is an operator 

An operator is the authorised person (organisation or entity) that has control over and responsibility for, the transfer of thermal energy on that heat network for the purposes of supplying heating, cooling or hot water. This responsibility applies even where day to day operating, maintenance, repairs or other activities are carried out by third party contractors.   

The operator will typically own the assets on that heat network as well as having sufficient control over them.  However, in some cases ownership of network assets may indicate a level of substantial control but may not necessarily determine the role of operator.  The operator will be the entity that has sufficient control over the material assets used or needed to comply with the regulatory framework.  

A heat network operator is expected to have substantial control over key decisions relating to ensuring the long-term reliability, efficiency, and compliance of the heat network.  This generally includes having authority or influence over significant investment decisions, such as those concerning major upgrades, expansions, or fundamental changes to the infrastructure.   

What is a supplier 

A supplier is the authorised person (organisation or entity) that is responsible for the contractual and customer facing arrangements associated with supplying heating, cooling or hot water to consumers on the heat network. 

A consumer is someone receiving heating, cooling or hot water from the heat network, such as a resident, tenant, leaseholder or bill payer. 

Suppliers are responsible for both: 

• consumer outcomes (including billing, complaints handling and communications)  
• ensuring compliance with consumer protection requirements 

Further guidance on roles 

If you require any further guidance, email heatnetworksregulation@ofgem.gov.uk for additional support.