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.

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.
| Condition | Title | What it means in practice |
|---|---|---|
A1 | Application of general authorisation conditions | Sets out which operators the Part A conditions apply to. |
A2 | Interpretation | Defines how the conditions are to be read. |
A3 | Definitions | The defined terms used throughout the conditions. |
A4 | Registration | You must register your heat network with Ofgem and keep the registration accurate. |
A5 | Nominated operator | You must name a responsible operator for each authorised network. |
A6 | Fair pricing | Your prices to consumers must be fair, and you must be able to demonstrate that they are. |
A7 | Cost allocation | Where costs are shared across a network, they must be allocated on a fair and transparent basis. |
A8 | Ongoing fit and proper requirement | The operator must remain fit and proper to hold authorisation, on an ongoing basis. |
A9 | Provision of information to the Authority | You must give Ofgem the information it requires, when it requires it. |
A10 | Open and co-operative | You must deal with Ofgem openly and co-operatively. |
A11 | Independent audits | You may be required to commission independent audits of your compliance. |
A12 | Operational arrangements and material assets | You must have the operational arrangements and assets in place to run the network reliably. |
A13 | Availability of resources and financial responsibility principle | You must have the financial resources to meet your obligations and run the network responsibly. |
A14 | Continuity arrangements | You must have arrangements to keep heat supplied if something goes wrong, including operator failure. |
A15 | Revocation | The 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.
| Condition | Title | What it means in practice |
|---|---|---|
B1 | Supplier standards of conduct | You must treat consumers fairly and to a defined standard of conduct. |
B2 | Heat supply contracts | You must have compliant supply contracts in place with your consumers. |
B3 | Contract changes information | You must tell consumers about changes to their contract in the right way and time. |
B4 | Complaints | You must have a compliant complaints process and handle complaints to Ofgem’s requirements. Unresolved complaints escalate to the Energy Ombudsman. |
B5 | Assistance and advice | You must provide consumers with assistance and advice about their supply. |
B6 | Provision of billing and price transparency of information | Bills and pricing information must be clear, accurate, and transparent. |
B7 | Back-billing | Limits on charging consumers for unbilled heat used more than a set period ago. |
B8 | Priority Services Register | You must maintain a register of consumers in vulnerable circumstances and provide priority services to them. |
B9 | Security deposits, payment difficulties, disconnections and direct debits | Rules on deposits, helping consumers in payment difficulty, and the limits on disconnection. |
B10 | Prepayment meters | Rules governing prepayment arrangements where you use them. |
B11 | Self-disconnection | You must take steps to identify and help consumers who self-disconnect. |
B12 | Social obligations reporting | You 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.
| Condition | Title | What it means in practice |
|---|---|---|
C1 | Operator standards of conduct | The standard of conduct expected of you as the network operator. |
C2 | Security of supply | You 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.
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 documentsAuthorisation 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.