Authorisation

Heat network authorisation conditions: the complete list

Every authorisation condition from Ofgem’s 13 January 2026 decision, grouped by part, with a plain-language explanation of what each one requires.

Last reviewed: 1 June 2026 · 6 min read

Key points

  • The full set of authorisation conditions spans three parts, verified against Ofgem’s 13 January 2026 decision and in force from 27 January 2026
  • The compliance deadline for all operators is 26 January 2027; operating without authorisation after that date is a criminal offence
  • Meeting the conditions requires documentation, not just operational practice – Ofgem expects structured evidence for each one

Every heat network in Great Britain must be authorised by Ofgem to operate. Authorisation comes with a set of binding conditions, published by Ofgem in its decision of 13 January 2026 and in force from 27 January 2026. Operating a heat network without authorisation after 26 January 2027 is a criminal offence.

This page lists every authorisation condition in full, grouped as Ofgem groups them, and explains what each one asks of you in plain terms. The conditions are split into three parts: Part A covers authorisation and the operator’s general obligations, Part B covers your duties to consumers, and Part C covers operational standards. We have set out all of them below. Together, these conditions are the backbone of heat network compliance in the UK.

If you are reading this because someone has asked you to get the organisation compliant, start with the registration deadline and Part A, then work through Part B, which is where most of the day-to-day obligations sit.

Heat network riser with insulated pipework and isolation valves

The deadline that matters

Heat networks must register with Ofgem and meet the authorisation conditions by 26 January 2027. After that date, operating without authorisation is a criminal offence under the Energy Act 2023 and the Heat Networks (Market Framework) (Great Britain) Regulations 2025. Penalties can reach 10 per cent of turnover.

There are roughly 14,000 heat networks in Great Britain, and a building with a communal heating system serving separate dwellings is very likely in scope, even where the operator has never thought of itself as an energy supplier. If you run a communal or district heating scheme, the conditions below apply to you. For a concise overview of what changed in the regulatory framework, see our April 2026 regulation update.

Ofgem heat network compliance – what the conditions require

Heat network compliance under Ofgem means one specific thing: meeting the authorisation conditions set out below, and being able to show that you meet them. The phrase gets used loosely, so it is worth being precise. Compliance is not a policy folder or a statement of intent. It is the binding obligations in Parts A, B and C, and the records that evidence each one.

The conditions fall into three groups. Part A asks who you are and how you are governed: registration, the nominated operator where more than one entity is involved, financial resilience, supply continuity, and the data you report. Part B asks how you treat consumers: billing that meets the model bill requirements, complaints handling with Energy Ombudsman escalation, fair pricing, and support for consumers in vulnerable circumstances. Part C asks how the network performs: metering, technical standards, and the assurance regime behind them, which is the territory HNTAS will occupy.

The test Ofgem applies is whether you can produce the evidence, not whether you can describe the intent. Most operators already meet the obligations operationally; what is missing is the record. A complaints procedure that exists in someone’s head is not evidence of Part B compliance. The Complaints register, with each complaint logged from receipt to resolution, is.

Two things follow. Every operator must complete Ofgem heat network registration by 26 January 2027. And each condition needs a record in a particular shape, which is what our documents page sets out.

Part A: authorisation and operator obligations

Part A covers getting and keeping your authorisation, and the general duties that sit on you as the authorised operator.

ConditionTitleWhat it means in practice
A1Application of general authorisation conditionsSets out which operators the Part A conditions apply to.
A2InterpretationDefines how the conditions are to be read.
A3DefinitionsThe defined terms used throughout the conditions.
A4RegistrationYou must register your heat network with Ofgem and keep the registration accurate.
A5Nominated operatorYou must name a responsible operator for each authorised network.
A6Fair pricingYour prices to consumers must be fair, and you must be able to demonstrate that they are.
A7Cost allocationWhere costs are shared across a network, they must be allocated on a fair and transparent basis.
A8Ongoing fit and proper requirementThe operator must remain fit and proper to hold authorisation, on an ongoing basis.
A9Provision of information to the AuthorityYou must give Ofgem the information it requires, when it requires it.
A10Open and co-operativeYou must deal with Ofgem openly and co-operatively.
A11Independent auditsYou may be required to commission independent audits of your compliance.
A12Operational arrangements and material assetsYou must have the operational arrangements and assets in place to run the network reliably.
A13Availability of resources and financial responsibility principleYou must have the financial resources to meet your obligations and run the network responsibly.
A14Continuity arrangementsYou must have arrangements to keep heat supplied if something goes wrong, including operator failure.
A15RevocationThe grounds on which Ofgem can revoke your authorisation.

Part B: your obligations to consumers

Part B is where most operators find the bulk of their day-to-day compliance work. These conditions govern how you treat the people you supply heat to.

ConditionTitleWhat it means in practice
B1Supplier standards of conductYou must treat consumers fairly and to a defined standard of conduct.
B2Heat supply contractsYou must have compliant supply contracts in place with your consumers.
B3Contract changes informationYou must tell consumers about changes to their contract in the right way and time.
B4ComplaintsYou must have a compliant complaints process and handle complaints to Ofgem’s requirements. Unresolved complaints escalate to the Energy Ombudsman.
B5Assistance and adviceYou must provide consumers with assistance and advice about their supply.
B6Provision of billing and price transparency of informationBills and pricing information must be clear, accurate, and transparent.
B7Back-billingLimits on charging consumers for unbilled heat used more than a set period ago.
B8Priority Services RegisterYou must maintain a register of consumers in vulnerable circumstances and provide priority services to them.
B9Security deposits, payment difficulties, disconnections and direct debitsRules on deposits, helping consumers in payment difficulty, and the limits on disconnection.
B10Prepayment metersRules governing prepayment arrangements where you use them.
B11Self-disconnectionYou must take steps to identify and help consumers who self-disconnect.
B12Social obligations reportingYou must report to Ofgem on how you are meeting your social obligations.

Part C: operational standards

Part C covers the standards you must meet in operating the network itself.

ConditionTitleWhat it means in practice
C1Operator standards of conductThe standard of conduct expected of you as the network operator.
C2Security of supplyYou must take steps to maintain a secure and continuous supply of heat.

A note on accuracy

The condition numbers and titles above are taken directly from Ofgem’s published decision of 13 January 2026. We mention this because numbering matters: an authorisation condition is a legal obligation, and citing the wrong one in your own policies undermines them. Fair pricing is A6. Cost allocation is A7. The fit and proper requirement is A8. The Priority Services Register is B8. If you see these mapped differently elsewhere, check against Ofgem’s decision directly.

What this means for documentation

Meeting these conditions is not only about how you operate. You also have to be able to demonstrate compliance, which means documentation: a registration record, a fair pricing policy and compliant billing, a complaints log, a Priority Services Register, billing that meets the transparency conditions, a continuity plan, and more. Several conditions are satisfied less by activity and more by having the right records in place and kept current.

COMPLIANCE DOCUMENTATION

The documents that evidence these conditions

We produce the compliance documents that map to these authorisation conditions, from the registration pack through to the Priority Services Register and the continuity plan. You own them outright.

See the documents

Authorisation is not a one-off. The conditions above are ongoing obligations, and Ofgem can ask you to demonstrate compliance at any time after authorisation. Getting registered by 26 January 2027 is the start, not the finish.

Get compliant before January 2027

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