Heat networks in Great Britain must be regulated and Ofgem is well placed to take on the role, the CMA has announced. The Competition and Markets Authority (CMA) has today published the final findings of its 7 month study into this industry, which set out to establish whether heat network customers are getting the right level of protection. Heat networks provide homes with heat and hot water from a central source via insulated pipes, but unlike other energy services are currently not regulated. As a result, heat network customers in general have less consumer protection if things go wrong. The CMA found many heat networks offer prices that are the same or lower than those paid by people on gas or electricity, and customers receive comparable levels of service. However, a number of those on privately operated networks are getting poorer deals in terms of price and service quality, and there is a risk this problem could grow. There are currently about 450,000 customers of these services, and that number is expected to grow significantly as investment in energy efficient technology increases.
Competition & Markets Authority 23rd July 2018 read more »