How to produce a compliant heat network bill

Under the Heat Networks (Market Framework) (GB) Regulations 2025, billing transparency is a core consumer protection condition. Every bill sent to a heat network consumer must include specific information in a clear, understandable format. This guide covers the requirements and explains the two main approaches operators take.

What must appear on every bill

Ofgem’s model bill requirements specify that every consumer bill must include the operator’s name and contact details, the billing period, meter readings (opening and closing) and total consumption, the applicable tariff rates and any standing charges, the total amount due with payment terms and due date, information about the complaints procedure including the right to escalate to the Energy Ombudsman after eight weeks, and a reference to the Priority Services Register.

The bill must be clear and easy to understand. Ofgem’s intent is that heat network consumers receive the same standard of billing transparency as gas and electricity customers.

Approach 1: Operators who bill directly

Many smaller operators – particularly those running 1–3 networks – produce bills themselves using office applications, accounting software, or simple invoicing tools. These operators need a compliant bill layout that includes every mandatory field in the right format.

The Model Compliant Bill from Heat Network Compliance Hub provides this. It includes four files: a compliance checklist (fillable, to audit your bill against every requirement), a worked example showing a completed Greenfield bill, a visual layout showing where each element should appear, and a layout example with realistic values. At £175 individually or included in the Compliant Bundle (£895).

Approach 2: Operators using energy billing software

Larger operators and those with managed heat networks often use specialist energy billing software – platforms such as Guru Systems, Utiligroup (now part of Ensek), Insite Energy, or Switch2. These systems generate bills automatically from meter data and tariff configurations.

If you use billing software, your bills may already include most mandatory fields. However, “most” is not enough for Ofgem authorisation. You need to verify that every mandatory field appears, that the complaints procedure wording meets requirements, and that the PSR reference is included.

How to check your existing bills

Take a sample bill produced by your software and check it against Ofgem’s requirements field by field. The Model Compliant Bill checklist can be used as an audit tool for this purpose – even if you do not use the bill layout itself, the checklist maps every mandatory field so you can verify your existing output.

Common gaps in billing software output include missing or incomplete complaints escalation wording (the Energy Ombudsman reference is often absent), no PSR reference, unclear tariff breakdowns where standing charges and variable charges are not separated, and missing payment terms or due dates.

Working with your software provider

If your bill audit reveals gaps, raise them with your software provider. Most billing platforms allow customisation of bill templates – but the configuration is your responsibility. Ofgem holds the operator accountable for bill compliance, not the software vendor. Document the changes you request and verify the output once implemented.

Which approach is right for you?

If you produce bills yourself (spreadsheets, accounting software, manual invoices) – use the Model Compliant Bill as your bill layout and compliance reference.

If you use energy billing software – use the Model Compliant Bill checklist to audit your existing bills. If they pass every field, you may not need the layout. If they have gaps, either reconfigure your software or use the layout as a compliant alternative for direct billing.

If you are unsure – the checklist costs nothing extra when purchased as part of the Model Compliant Bill, and gives you a definitive answer.

Getting started

Pull a recent bill – either one you produced or one generated by your software. Check it against the mandatory fields listed above. If anything is missing or unclear, address it before your Ofgem authorisation application.

For the full regulatory context, see Ofgem’s heat network guidance. For related documents, see our guide to authorisation conditions – billing transparency is one of several consumer protection requirements.