The number of heat networks in the UK is increasing, yet still lag far behind other countries, especially Scandinavian counties like Denmark or Sweden. The technology is still relatively new to the UK, and despite HNES supporting improvements to existing heat networks that have sometimes been in operation for over 50 years, their benefits are not always understood or recognised.
This remains true when it comes to network upgrades and technical improvements for residents connected to existing systems. Evidence highlights that a lack of clear and consistent communication can mean that residents are unaware of works taking place, unclear about what has changed, or unable to assess whether upgrades have improved their experience.
Furthermore, while many of the heat network owners supported through HNES limit disruption to residents when improvement works are taking place, this isn’t always possible. While any disruption is unwelcome, it is important that organisations stay transparent and receptive to resident concerns, pre-warn customers when disruption may happen, and clearly explain benefits to residents once these works conclude.
New HNES resident engagement requirements
The new heat network regulatory regime, overseen by Ofgem, places emphasis on transparency, communication, fair pricing, and consumer protection for heat network customers. Housing associations operating heat networks are now regulated heat suppliers and must provide clear information to residents about services and charges.
HNES will also begin asking applicants to demonstrate how they will communicate effectively with residents throughout the delivery of any proposed upgrade works. This is particularly the case when undertaking technical upgrades, where the improvements alone may not improve resident satisfaction where the purpose, benefits, and outcomes of these upgrades are not clearly understood.
Heat network operators should therefore ensure that communication is timely, accessible and ongoing across the full lifecycle of upgrades. This includes providing clear information before works begin, explaining what changes will be made, why they are necessary, and what residents can expect in terms of disruption, benefits and timelines.
Communication must not be treated as a one‑off activity, but as a continuous process that supports residents before, during and after upgrades. Where possible, HNES applicants should provide evidence of previous resident engagement approaches, including any challenges faced and lessons learned, as well as successful strategies that can be replicated.
Operators must take steps to ensure residents are aware that upgrades are taking place, particularly where works require access to individual homes, as this can reduce the perceived impact of upgrades and undermine confidence in the network. Operators should use multiple communication channels (e.g. letters, emails, in‑person engagement) and provide clear explanations of the works and their purpose.
Supporting residents during and after upgrades
Resident experiences have a lasting impact on their perception of the network, regardless of outcomes. Operators must therefore ensure that communication during delivery is clear, proactive and responsive. This includes providing early notification of proposed work, and advanced notice of disruption, updates on progress, and timely explanations if plans change.
After upgrades are completed, operators should continue to engage with residents to explain how to use any new systems, what improvements to expect, and how to raise issues. Residents should be given clear information on who to contact for support or complaints. A lack of clarity and accessibility can discourage residents from raising issues or seeking help.
Overall, effective communication is integral to delivering positive customer outcomes. Technical improvements alone may not improve satisfaction unless they are accompanied by clear, transparent and resident‑focused communication and engagement.
Transparency and clarity on costs and billing
Clear communication about costs and billing is critical to customer outcomes. Findings indicate that concerns about billing transparency, standing charges, and unclear pricing structures are key drivers of dissatisfaction, and can outweigh perceptions of technical improvements.
Where possible, operators should be transparent about how charges are calculated, including any changes to tariffs, standing charges or payment arrangements associated with upgrades. Information should enable residents to understand how their bills relate to their usage, and whether and how savings are being passed on. Where costs are influenced by external factors (such as wider energy price changes), operators should clearly explain this to help residents interpret changes in their bills.
Communication must also consider varying levels of financial and digital literacy. Some residents have reported difficulties understanding billing systems or using new metering technologies, particularly where pay‑as‑you‑go or digital systems are introduced. Operators should ensure that guidance is accessible, offer alternative formats where needed, and provide clear routes for residents to ask questions or seek support.
Consulting and involving residents where possible
Evidence suggests that residents who were more involved in decisions about upgrades were more satisfied with the outcomes. Where feasible, operators should move beyond one‑way information provision and actively involve residents in the design and delivery of upgrades, e.g through resident meetings or webinars. This may include seeking views on aspects such as timing of works, access arrangements, or design choices that affect residents directly.
Engagement should be proportionate to the scale and nature of works but should aim to give residents a sense of agency and understanding. Where full consultation is not possible, operators should clearly explain decisions and provide opportunities for feedback. Managing expectations through honest and transparent communication is particularly important, as confidence in heat networks is shaped not only by performance but by trust in the operator and the information provided.
Conclusion
From Round 13 onwards, we will be publishing updated guidance which details what we are looking for from applicants applying for HNES support when it comes to resident engagement.
Check the government webpage for the latest guidance documents. You can also sign up to the HNES mailing list to be the first to find out about the latest funding rounds and scheme changes.