Heat Network Regulation and Zoning
The heat network sector is now regulated, with the introduction of a new set of Authorisation Conditions containing minimum consumer standards, which have applied since 27th January.
Alongside the consumer protection regulations already in place, Government will continue to consult on minimum technical standards under the Heat Networks Technical Assurance Scheme (HNTAS).
Also coming down the line are heat “zones”, geographical areas, within which, connection into a heat network will become the default for new build development and, potentially existing buildings too. The intention is to create off-take demand in order to drive investor confidence.
Who will be caught by consumer protection standards?
New regulated activities of a heat “supplier” and a network “operator” have been created and apply to:
- Existing and future networks
- Heat, ambient and cooling networks
- Residential property developers and landlords
- Commercial property owners and landlords
- Public and private sector organisations
- Councils and registered social housing providers
It is essential that landowners understand their compliance obligations and the consequences of failing to meet them.
These articles are kept up to date as new legislation, consultation responses and guidance are published.
Heat network regulation
What’s coming?
To help achieve its ambition of heat networks meeting one fifth of the UK’s heat demand by 2050, Government has sought to create customer demand and boost investor confidence by establishing heat ‘zones’.
Residential landlords
Are you ready for heat network regulation?
Heat networks are a key part of the UK Government’s strategy for decarbonising heat consumption and ending our reliance on gas. They come in a range of types and sizes, from single buildings to city-wide schemes, and in the right setting can be the most efficient and cost-effective solution.
How our heat network solicitors can help
Our team of heat network solicitors can help you navigate:
- How the regulations might apply to your organisation and which heat networks are caught
- Your role as a heat network operator or supplier and whether this can be delegated to a third party
- Due diligence on existing contracts and leases that need amending to ensure compliance
- Future proofing contracts currently being procured and negotiated.
Watch our latest webinars
We hosted a webinar with HNDC for the District Heating Divas 2026 Conferemce, discussing how regulation will impact existing and future contracts, who will cover the cost, and the challenges of divesting a scheme to a third party.
We hosted a webinar jointly with Switch2 and Fairheat exploring how owners of residential properties can prepare for the introduction of the Heat Networks Technical Assurance Scheme (“HNTAS”).
The countdown to full heat network regulation is accelerating. With Ofgem’s new consumer protection framework coming into force in January 2026, residential landlords and operators will soon be subject to far-reaching requirements on transparency, pricing fairness, and service quality, all supported by enhanced enforcement powers and meaningful penalties for non-compliance.
The heat network sector is on the brink of major regulatory change — with consumer protection rules from Ofgem taking effect in January 2026, followed by new technical standards under the Heat Network Technical Assurance Scheme (HNTAS).
We hosted a follow up webinar discussing the decarbonisation and impending regulation of heat networks, and were joined by Barny Evans, Director at Turley and Arran Morning, Head of Heat Network policy at the Department for Business, Energy and Industrial Strategy:
Heat Networks – Part 2 – decarbonisation and regulation – YouTube >
We hosted a follow up webinar discussing the decarbonisation and impending regulation of heat networks, and were joined by Barn Evans, Director at Turley and Arran Morning, Head of Heat Network policy at the Department for Business, Energy and Industrial Strategy:
Heat Networks – Part 1 – an intro and hot topics – YouTube >
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