Written by: Carly Freeman, Head of Customer Service

Published on: 17th October 2024

Updated on: 16th May 2025

Your concerns on this have not gone unheard.

As someone who continuously looks to improve our services by monitoring our contact centre interactions and public reviews, I sympathise with your apprehensions. 

Due to this, I wanted to take the time to inform you of protections that are already in place for heat network consumers (also referred to as residents), but more importantly share the changes on the horizon with Ofgem regulation due to commence from January 2026. 

Below is a breakdown of the current state of play. We’ll aim to keep this updated as and when industry updates occur. 

Contents

Heat Network (Metering & Billing) Regulations 2014

Heat Trust Scheme Rules

Energy Ombudsman support from 1st April 2025

Future Ofgem regulation

What to expect from upcoming regulations

What is Insite Energy doing in the meantime?

Heat Network (Metering & Billing) Regulations 2014

Heat networks are currently regulated by the Heat Network (Metering & Billing) Regulations 2014. You can read the full regulations on the Government website, but we won’t bore you with the details. 

Simply put, building owners and managers in charge of a heat network must install energy meters at both the point of entry to the building and in end consumer properties i.e., your home. This allows us, as the metering & billing provider, to accurately charge you for the energy you use. 

What is covered:

• Residents must be billed using actual meter readings at least once a year, or quarterly where billed electronically. If actual meter reads cannot be obtained, estimates will be used. 
• Bills must contain current tariffs, information on consumption (stating if actual or estimate reads have been used), and contact information on how to improve energy efficiency.

What isn't covered:

These regulations don’t touch upon consumer protection rules and sit outside of Ofgem’s current remit.

Heat Trust Scheme Rules

Due to the limited nature of the Heat Network (Metering & Billing) Regulations 2014, an independent non-profit voluntary consumer protection scheme, Heat Trust, was established in 2015. Their Scheme Rules sets out best practice guidelines on the services that heat suppliers must provide to their residents, crafted using Ofgem’s existing regulations for gas and electricity suppliers.

Unfortunately, the protections granted by Heat Trust are only applicable to heat suppliers who register individual heat network developments up to the scheme.

While Insite Energy cannot directly apply for membership to the Heat Trust, we continuously stive to align with its guidelines while operating on behalf of and under the instructions of your heat supplier. We always look to advise our clients on how to comply with Heat Trust Scheme Rules. Across our operations, we consistently look at how best we can support and protect our residents, focusing on elements such as the prioritisation of vulnerable residents and delivering an effective complaints policy.  

What is covered:

Rules on:

• Customer service standards, including handling faults, emergencies, and home attendances. 
• How to support residents in vulnerable circumstances, both those in need of additional support and in payment difficulty. 
• Service level agreements (SLAs) in terms of refunds, compensation, and response times. 
• How heat charges should be calculated, the period of notice to give residents ahead of tariff changes, rules in billing and back-billing, and payment methods provided.

What isn't covered:

• The price of the tariffs that you are ultimately charged.
• Legal enforcement of these rules as it is only a voluntary scheme.

Ultimately, we, as a metering, billing and maintenance provider, must always operate on behalf and under the instruction of your heat supplier. Where possible, we help them to comply with Heat Trust Scheme Rules by aligning our services with those outlined in the guidelines.  

Energy Ombudsman support from 1st April 2025

As of 1st April 2025, heat network consumers now have access to the Energy Ombudsman for dispute resolution. This new development means if you raise a complaint with Insite, and are unhappy with the resolution provided after 8-weeks (receiving a deadlock letter in the process), and are also unsatisfied with any further resolution offered by your heat supplier you can now escalate the issue to the Energy Ombudsman. They offer free and independent support to find a fair resolution between you and your heat supplier. For more information, take a look at the Energy Ombudsman's Consumer FAQs for Heat Networks. You can find our updated complaints policy on our website. 

Please note that this only applies to complaints raised on or after 1st April 2025, and any complaints raised prior to this date will not be eligible. You also must follow the 8-week complaints process with Insite or your heat supplier before being permitted to pass onto Energy Ombudsman. You can check whether your heat supplier is registered with the Energy Ombudsman at: www.energyombudsman.org/raise-dispute. If they are not listed, contact the Energy Ombudsman directly.

Future Ofgem regulation

With some early changes taking effect in 2025 (as above), Ofgem are soon to step in as the regulator of heat networks. This is a significant change aimed at improving consumer protections and ensuring fair practices in the industry. Consultations to help set the regulations have been under way since 2023, with the next changes coming into force in January 2026. Regulation is expected to be fully implemented by 2027.

What to expect from upcoming regulations

Back-billing: Heat suppliers may no longer be able to bill consumers for energy used beyond the previous 12 months except where the consumer is at fault or other regulations are in play.

Tariff change notification: At least 30-days’ notice must be given to residents before energy tariffs are increased.

Vulnerable residents: Residents classed as in a vulnerable situation will be given tailored support through new priority services such as bill nominees, and password protection appointments. This is likely to extend beyond what is currently offered by Heat Trust.

Fair pricing: Heat suppliers may be required to provide clear and detailed information about their pricing structures to Ofgem who may then publicly publish national price data for heat networks.

What this means for you: 

The upcoming regulations are designed to give you greater clarity, protection and support when it comes to your heat network. For instance, as a heat network consumer, you’ll be protected from being charged for energy used more than a year prior, unless specific circumstances apply, and you’ll receive at least 30 days’ notice if your heat tariff is going to increase. If you’re classed as a resident in a vulnerable circumstance, you’ll have access to new priority services to help manage your energy account. You’ll also benefit from more transparent pricing information, helping you understand how your heat tariffs compare to other similar heat networks or heating sources. The amount of information that will be shared is still being confirmed.

Digital platform for heat network regulation: Ofgem is developing a digital platform to support regulatory activities and improve oversight of heat networks. This platform will require heat suppliers to regularly report key performance indicators.

What this means for you: 

The platform will allow for better monitoring of your heat network's performance by your heat supplier. Reporting requirements, such as complaints and unplanned outages, will lead to better accountability and quicker resolution of issues, providing you with a more reliable service.

Ofgem's step-in rights: With the new regulatory framework, Ofgem will have step-in rights, which means they can intervene if a heat supplier fails to meet their obligations or goes out of business.

What this means for you: 

This will ensure that your heat network is managed fairly by your operator and supplier, and in the extreme event that a change in ownership is required, that your heat supply remains uninterrupted during this switch.

What are the timescales of regulation coming in?

What is Insite Energy doing in the meantime?

The Department for Energy Security and Net Zero (DESNZ) and Ofgem are working hard to bring transparency, fairness, and accountability to the industry. With change on the horizon, Insite Energy are actively taking part in navigating these unchartered waters to ensure smooth sailing into regulation. 

We are actively participating in Ofgem’s consultations to advocate for our residents’ best interests. Prior to this, we have worked together with industry bodies, including DESNZ, the Association and Decentralised Energy (ADE), and the UK District Energy Association (UKDEA), to escalate issues faced by heat network consumers. We also help clients to adhere to Heat Trust Scheme Rules where possible.

Ahead of the expected changes, the Customer Service Team have been continuously reviewing our internal systems and processes. Our goal is to ensure we not only meet the new regulatory standards, and also focus on improving our transparency and support to residents, but provide the best possible service

We remain committed to keeping you informed as these regulations take shape and we want to assure you that your experience remains a top priority for Insite Energy.