Navigating the New Heat Network Regulatory Landscape
Engage Consulting is excited to announce our participation in Utility Week’s upcoming Heat Networks: Ready for Regulation conference. This pivotal industry event reflects a critical moment in the evolution of heat networks as they transition to Ofgem’s regulatory framework. This shift will require comprehensive changes to existing business practices across the sector.
A Critical Juncture for Heat Networks
The Heat Networks: Ready for Regulation conference marks a watershed moment for the industry. Previously unregulated heat networks are coming under Ofgem’s auspices, necessitating a root-and-branch overhaul of operational practices. With elements of the regulatory framework having been introduced in April 2025, this conference provides a timely and essential platform for stakeholders to prepare for the upcoming changes.
The implementation of the Energy Act 2023 represents the most significant reform of the energy market in the past decade. It establishes Ofgem as the heat network regulator and provides for the introduction of comprehensive consumer protections. Heat network operators and suppliers must understand their obligations and prepare to comply with the new regulatory regime.
Meet Our Heat Networks Expert
Lorenzo Wong brings unparalleled expertise in heat network regulation and will lead our presence at the event. Lorenzo joined Engage Consulting following his impactful role at the Department for Energy Security and Net Zero (DESNZ), where he:
- Led the design of the regulatory framework establishing Ofgem as the heat network regulator.
- Spearheaded consumer protection policy development with Ofgem and key stakeholders.
- Designed a license fee cost recovery regime to ensure the sector’s competitiveness with retail energy.
- Worked with government lawyers to draft the heat network regulation clauses in the Energy Act 2023.
Lorenzo’s direct involvement in shaping the upcoming regulatory framework places Engage Consulting in a unique position to help clients navigate these changes with confidence and strategic foresight.
How Engage Consulting Can Support Your Heat Network Strategy
With over 20 years of experience providing specialist advisory services to the energy sector, Engage Consulting offers an end-to-end solution to help heat network operators prepare for regulation:
- Regulatory and market clarity: In-depth analysis of regulatory requirements to give you a clear picture. If you are in the process of entering the heat networks market, we can conduct a landscape analysis of the sector that is tailored to your entry and growth strategy.
- Impact assessment: Working with you to understand how the new regulations will affect your internal operations, including evaluating potential changes to systems, processes, and business strategy.
- Operational readiness: Helping you prepare for when regulation comes into force, including support in setting up or modifying processes and systems and training your staff to meet regulatory requirements. We will focus on process optimisation to ensure cost-effective and efficient compliance with regulations that fit your delivery model.
- Ongoing compliance: Once the regulation is live, we can assist with your ongoing compliance efforts, including information submissions to Ofgem. Our team includes accredited auditors who can conduct formal evaluations to ensure your heat network complies with specific regulations.
Join Us at Heat Networks 2025
We invite you to visit our stand and meet Lorenzo Wong to discuss how we can support your organisation in preparing for the new regulatory landscape. Lorenzo’s first-hand experience developing the heat networks regulatory framework offers invaluable insights for organisations navigating this transition.
To schedule a meeting with Lorenzo at the event or to discuss how Engage Consulting can support your heat network strategy, please contact him directly at [email protected]. You can book a ticket to the Heat Network 2025 event here.
