Heat networks

Includes guidance, consultations and news on heat networks.

Heat networks provide heating, cooling and hot water to more than one property in a building or to more than one building from a central source. 

They do this using a system of:

  • pipes
  • Heat Interface Units (HIUs)
  • heat exchangers
  • substations
  • energy centres

Heat networks are run by operators and suppliers. Operators control and maintain the network. Suppliers provide customers on the network with heating, cooling or hot water. Suppliers are the main point of contact for the customer.

Heat networks regulation

We regulate heat networks in Great Britain (England, Scotland and Wales). Our regulations focus on ensuring good outcomes for customers, including:

  • good customer service
  • reducing the impact of reliability of supply issues
  • transparent, easy to understand energy bills
  • fair pricing

Heat networks regulation is being introduced in phases. So far:

  • Citizens Advice, Consumer Scotland and Energy Ombudsman have launched advocacy, advice and redress services for heat networks customers
  • all operating heat networks have been automatically authorised to continue to supply heating, cooling or hot water (this is called ‘deemed authorisation’)
  • we have published a set of rules for heat network operators and suppliers, called authorisation conditions

Rules for heat network operators and suppliers

Operators and suppliers of most heat networks will need to meet the authorisation conditions relevant to them. We want to support them to do this over time, including with guidance and a fair and pragmatic compliance approach.

Read the full authorisation conditions.

Where the supplier is also the landlord for the property on the heat network, they should follow both the authorisation conditions and relevant housing legislation.

Register your heat network

Operators and suppliers of relevant heat networks must give us details about their heat network's organisation, ownership, financial resilience and consumer protection arrangements by 26 January 2027. This is called registration. 

From spring 2026, you can submit this information using our digital service. 

Contents

Heat networks guidance

Use this guidance to help meet your authorisation conditions. 

Heat networks regulation: registration  

Guidance for operators and suppliers on registering a heat network 

Heat networks regulation: data reporting  

Guidance for operators and suppliers to understand data reporting requirements 

Heat networks regulation: financial resilience  

Guidance for operators and suppliers on financial resilience rules 

Heat networks regulation: fair pricing and cost allocation 

Guidance for operators and supplier on fair pricing network and cost allocation 

Heat networks regulation: consumer protection 

Guidance for operators and suppliers on consumer protection rules  

Heat networks regulation: enforcement guidelines  

Guidance for operators and suppliers on how we may use our enforcement powers 

Heat networks regulation: penalty policy  

Guidance for operators and suppliers on our financial penalty policy 

Contact us 

If you have any questions about heat networks regulation, contact us at HeatNetworksRegulation@ofgem.gov.uk.

Heat networks publications

Includes guidance, policy, news and insight.