District Heating

(asked on 29th August 2025) - View Source

Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, whether he plans to bring the gas purchased for community heat networks under the energy price cap set by Ofgem.


Answered by
Michael Shanks Portrait
Michael Shanks
Minister of State (Department for Energy Security and Net Zero)
This question was answered on 8th September 2025

Heat network operators typically buy their energy through commercial contracts. As the energy price cap has been designed for domestic electricity and gas customers, it could not be applied to the price of energy purchased on the wholesale market.

DESNZ and Ofgem continue to monitor the heat network sector and to consider actions that could improve price deals available to heat network operators.

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