Caldora Compliance
Condition A3

Definitions

Every authorised person. Section A applies to everyone holding a heat network authorisation, whether they operate the network, supply heat over it, or both.

Section A, Condition 3Section A — General conditions

What this condition requires

Structural condition — the defined terms used throughout the authorisation conditions. Includes the definitions that determine scope and applicability elsewhere: Industrial Heat Network, Self-Supply Network, Domestic Consumer, Microbusiness Consumer, Vulnerable Situation, Service Charge, Supply Contract, Material Assets, Successor, Representative and Significant Managerial Responsibility or Influence. Creates no standalone duty, but the definitions decide which other conditions bite — check them before concluding a condition does not apply.

The condition in full

Reproduced from Ofgem’s Heat Network Authorisation Conditions decision, January 2026, Appendix 2.

Additional Support Credit means, in circumstances where any occupant of a Domestic Affiliate Premises is in a Vulnerable Situation, a fixed amount of credit Applicable Consumer provided to the relevant Domestic Consumer when that Domestic Consumer's Prepayment Meter credit runs low or runs out to ensure a continuity of, or a return to, supply of heating, cooling or hot water;

means, in relation to an authorised person, any holding company or subsidiary or subsidiary undertaking of a holding company of the authorised person, in each case within the meaning of the Companies Act 2006;

means a Consumer who is supplied by means of a relevant heat network in relation to which the authorised person is authorised, or treated as authorised, to carry on a regulated activity;

Authority means the Gas and Electricity Markets Authority established under Bill Section 1 of the Utilities Act 2000 or, where applicable, the Office of Billing Gas and Electricity Markets on its behalf;

Billing Information means a statement of Charges applicable to the Consumer and Bulk Supply "Bills" shall be construed accordingly; Bulk Supply Consumer all matters relating to the provision of a Bill or statement of account to Charge a Consumer, including the content and calculations relating to such a Bill or statement of account and the collection and use of information relating to the consumption of heating, cooling or hot water as supplied by means of a relevant heat network;

is to be interpreted in accordance with authorisation condition B6 (Provision of Billing and Price Transparency Information);

means where heating, cooling or hot water is supplied to a Bulk Supply Consumer by means of a relevant heat network and "Bulk Supplier" shall be construed accordingly;

means a Consumer who takes a supply of heating, cooling or hot water by means of one relevant heat network for the purpose of supplying one or more other Consumers by means of another relevant heat network;

means any charge for or in relation to the supply of heating, cooling or hot water, including the Standing Charge, Unit Rate, any reasonable and proper disconnection charges, reconnection charges, abortive call-out charges and debt-processing charges levied in relation to the supply of heating, cooling or hot water and references to Charges shall be construed accordingly;

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Compensation Payment means any payment made by the authorised person (including any voluntary payment) to a specific Domestic Consumer in accordance Complaint with any customer service, complaint handling or redress arrangements which: Complaints Handling Procedure (a) in the case of a payment which is required by the Authority, Consumer any legislation, authorisation conditions, formal redress Consumer Credit Balance arrangement, or by the courts, is the payment which the Credit Limiting authorised person is required to provide; and

(b) in all other cases, is a payment which is made solely on the basis of a specific issue which:

(i) relates to customer service, complaint handling or redress; and

(ii) specifically affects the Domestic Consumer to whom the payment is made;

means an expression of dissatisfaction about the standard of service, action or inactions of the authorised person, or those acting on its behalf, where:

(a) the dissatisfaction arises in direct response to the carrying on of a regulated activity by the authorised person, or those acting on its behalf;

(b) one or more Relevant Consumers are affected; and

(c) a response is explicitly or implicitly required or expected to be provided thereafter;

is to be interpreted in accordance with authorisation condition B4 (Complaints);

means a heat network consumer who takes a supply of heating, cooling or hot water (or, where the context requires, a heat network consumer who requires a supply to be made);

means the amount by which the payments made by a Domestic Consumer to the authorised person under or in accordance with the relevant Domestic Supply Contract exceeds the total amount of Charges which is due and payable by that Domestic Consumer to the authorised person under that Domestic Supply Contract;

means the practice by which the authorised person limits the amount by which the total Charges accrued by a Domestic Consumer under a Domestic Supply Contract may exceed the payments made by that Domestic Consumer to the authorised person under or in accordance with the relevant Domestic Supply Contract and related expressions must be read accordingly;

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Customer (a) in respect of an Electricity Supplier, has the meaning given in standard licence condition 1 of the Standard conditions of Electricity Supply Licence; and

(b) in respect of a Gas Supplier, has the meaning given in standard licence condition 1 of the Standard conditions of Gas Supply Licence;

Debt Trigger means, where Charges have been outstanding for three (3) months or more after the date the bill has been issued, and Outstanding Charges are more than the amount specified by the Authority for these purposes and the Consumer is not on, or transitioning, to a repayment plan;

Disadvantageous Unilateral means a change to a contract made by the authorised person without Variation consulting the Consumer, which would put the Consumer in a worse position than if the change had not been made;

Disconnect in relation to a supply of heating, cooling or hot water, means to stop that supply and related expressions must be read accordingly;

Discount means (excluding a Compensation Payment, an Outstanding Charges Discount and a Payment Difficulty Discount) any form of payment, saving, rebate, benefit or reward (whether financial or otherwise) which is in any way linked or otherwise relates to a Supply Contract with a Relevant Consumer (and includes goods and services provided to a Consumer free of charge or at a reduced charge);

Domestic Consumer means a Consumer taking (or requiring) a supply for domestic purposes; and "Non-Domestic Consumer" shall be construed accordingly;

Domestic Premises means premises at which heating, cooling or hot water (as supplied by means of a relevant heat network) is consumed wholly or mainly for a domestic purpose;

Domestic Supply Contract means a Supply Contract between an authorised person and a Domestic Consumer;

Electricity Supplier means any person who holds an Electricity Supply Licence;

Electricity Supply Licence means an electricity supply licence granted or treated as granted under Section 6(1)(d) of the Electricity Act 1989;

Electronic Communication means a message comprising text or an image of text that:

(a) is sent over a Public Electronic Communications Network;

(b) can be stored in that network or in the recipient's terminal equipment until it is collected by the recipient; and

(c) is in a particular form and is used for a particular purpose and the recipient of it has expressed a willingness, to the sender, to receive it in that form and for that purpose;

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Emergency Credit means a fixed amount of credit provided to a Domestic Consumer Energy Services Provider when that Domestic Consumer's Prepayment Meter credit runs low or Excepted Company runs out to ensure a continuity of, or a return to, supply of heating, cooling or hot water; Explicit Consent means a person who supplies energy efficiency services; 'Fair' and cognate expressions means: First-Tier Tribunal Form (a) a registered provider of social housing; Friendly-hours Credit (b) a body registered as a social landlord under Part 1 of the Gas Supplier Housing Act 1996 (social rented sector regulated by Welsh Ministers); or (c) a body registered in the register maintained under Section 20(1) of the Housing (Scotland) Act 2010;

means consent by a Consumer which satisfies the following conditions:

(a) the consent is unmistakably given by the relevant Consumer, rather than implied or retained in terms and conditions;

(b) the consent is given in Writing or, in the case of consent

only given verbally, the consent is given in clear and unambiguous terms in response to a clear and unambiguous question from the authorised person or any Representative and the relevant verbal exchange (between the authorised person or Representative and the relevant Consumer) is recorded by audio recording equipment or a body camera;

(c) the consent is not given under pressure from the authorised person or any Representative; and

(d) a record is made by the authorised person of the date on which and method by which the consent is given;

the authorised person or any Representative would not be regarded as treating a person Fairly if their actions or omissions give rise to a likelihood of detriment to that person, unless the detriment would be reasonable in all the relevant circumstances;

means the first-tier tribunal (Property Chamber ­ Residential Property);

includes the means by which information is communicated and the way in which information is presented or structured;

means an amount of credit provided overnight, at weekends and public holidays to a Domestic Consumer when that Domestic Consumer's Prepayment Meter credit runs low or runs out to ensure a continuity of, or a return to, supply of heating, cooling or hot water;

means any person who holds a Gas Supply Licence;

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Gas Supply Licence means a gas supply licence granted or treated as granted under Section 7A of the Gas Act 1986;

Historic Consumption Data means:

(a) except where a Relevant Consumer has held its Supply Contract for less than twelve (12) months, the quantity of heating, cooling or hot water supplied to the Relevant Consumer's premises during the previous twelve (12) months; and

(b) where the Relevant Consumer has held its Supply Contract for less than twelve (12) months, the quantity of heating, cooling or hot water supplied to the Relevant Consumer's premises during the duration of that Supply Contract;

Independent Audit means an audit carried out by a person(s) with the relevant skills and expertise, other than the authorised person or an Affiliate, and Independent Auditor should be construed accordingly. Unless exempted by the Authority, the Auditor must be a person or firm regulated by an appropriate professional body;

Industrial Heat Network means a relevant heat network where all of the heating, cooling or Industrial Process hot water which is supplied by means of that relevant heat network is wholly or mainly supplied for an Industrial Process; Information Last Resort Supply means a process for or incidental to any of the following purposes: Direction Local Authority (a) the making of any article or part of any article (including a ship or vessel, or a film, video or sound recording);

(b) the altering, repairing, maintaining, ornamenting, finishing, cleaning, washing, packing, canning, adapting for sale, breaking up or demolition of any article; or

(c) the getting, dressing or treatment of minerals,

in the course of any trade or business other than agriculture, and other than a use carried out in or adjacent to a mine or quarry;

means information (other than information subject to legal privilege) in any form or medium and of any description specified by the Authority and includes any documents, accounts, estimates, returns, records or reports and data of any kind, whether or not prepared specifically at the request of the Authority;

(a) in respect of an Electricity Supplier, has the meaning given in standard licence condition 1 of the standard conditions of Electricity Supply Licence; and

(b) in respect of a Gas Supplier, has the meaning given in standard licence condition 1 of the standard conditions of Gas Supply Licence;

means either a Local Authority (England and Wales) and/or a Local Authority (Scotland) as the context so requires;

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Local Authority (England has the meaning given to `Local Authority' in Section 1 of the Local and Wales) Government Act 2000;

Local Authority (Scotland) means a council constituted under Section 2 of the Local Government etc. (Scotland Act) 1994;

Material Assets means such assets, contracts or arrangements, as applicable, used or needed by the authorised person to carry on each regulated activity that it is authorised (or treated as authorised) to carry on and/or to comply in all respects with its legal and regulatory obligations, including under the authorisation conditions;

Microbusiness Consumer means a Consumer taking (or requiring) a supply for the purposes of a micro-business;

Minimum Details means the names of relevant persons, details of any relevant Personal Characteristics and/or Vulnerable Situation, and such other details which are relevant to the subject matter of authorisation condition B8 (Priority Services Register) as the Authority may from time to time publish in guidance;

Other Outstanding Charges means the amount of any charges for goods and/or services (other than Charges) which are due to the authorised person from a Domestic Consumer, have been demanded of that Domestic Consumer by the authorised person in Writing at least twenty-eight (28) days previously and remain unpaid;

Outstanding Charges means the amount of any Charges which are due to the authorised person from a Domestic Consumer, have been demanded of that Domestic Consumer by the authorised person in Writing at least twenty-eight (28) days previously and remain unpaid;

Outstanding Charges means any form of reduction, saving, or write-off provided by the Discount authorised person in respect of a specific Domestic Consumer (including a Domestic Consumer whose identity is unknown) on the basis that the Domestic Consumer has Outstanding Charges and/or Other Outstanding Charges;

Payment Difficulty Discount means any form of reduction, saving, or write-off provided by the authorised person in respect of a specific Domestic Consumer on the basis that authorisation condition B9 (Security Deposits, Payment Difficulties, Disconnections and Direct Debits) applies in respect of that Domestic Consumer;

Pensionable Age means, in relation to any person, pensionable age within the meaning given by Section 48(2B) of the Gas Act 1986;

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Personal Characteristics means, in relation to any person:

(a) the person being of Pensionable Age;

(b) the person being chronically sick, or having an impairment, disability, or long term medical condition (including a visual, auditory or mobility impairment); and/or

(c) the person having any other characteristics identified by the authorised person as being relevant due to the nature of the Priority Services;

Precautionary Principle means the assumption to be made by authorised persons that any Domestic Consumer faced for debt related reasons with having to use a Prepayment Meter is likely to be in financial difficulty and therefore more likely to Self-disconnect;

Prepayment Meter means any Supply Meter which is set to operate or can only operate in a Prepayment Mode. In the case of any Supply Meter which is capable of operating in a Prepayment Mode and one or more other modes, that Supply Meter will accordingly be treated as being a Prepayment Meter whenever it has been switched or otherwise set to operate in a Prepayment Mode;

Prepayment Meter means a Consumer with a Prepayment Meter; Consumer

Prepayment Meter Credit means an appropriate amount of credit, or equivalent non- disconnection period, which is consistent with any relevant guidance issued by the Authority and is to be provided automatically in the circumstances described in paragraph 11.9 of authorisation condition B11 (Self-Disconnection);

Prepayment Mode means, in relation to a Supply Meter, a mode of operation which requires the relevant Consumer to pay Charges in advance;

Principal Terms means all terms and information required to be included in a Supply Contract with a Relevant Consumer by authorisation condition B2 (Heat Supply Contracts) and any other term that may reasonably be considered to significantly affect the evaluation by the Consumer of the Supply Contract ;

Priority Services is to be interpreted in accordance with authorisation condition B8 (Priority Services Register);

Priority Services Register has the meaning given in paragraph 8.1 of authorisation condition B8 (Priority Services Register);

Public Electronic has the meaning given in Section 151 of the Communications Act Communications Network 2003;

Qualifying Redress Scheme means the Energy Ombudsman Scheme or Housing Ombudsman Scheme (as appropriate);

Regulations means the Heat Network (Market Framework) (Great Britain) Regulations 2025;

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Relevant Consumer means a Domestic Consumer, a Microbusiness Consumer and/or a Small Business Consumer except any such Consumer in its capacity as a Bulk Supply Consumer;

Relevant Consumer Advice means one or more of: Body (a) Citizens Advice; (b) Citizens Advice Scotland; (c) Consumer Scotland;

Relevant Dispute Resolution means the Energy Ombudsman, Housing Ombudsman or the First-

Body Tier Tribunal as appropriate and any equivalent, similar or analogous

bodies in Wales, Scotland or Great Britain;

Relevant Energy Licensee means any person who holds a licence granted or treated as granted under any of:

(a) Section 6(1)(b),6(1)(c), 6(1)(d), 6(1)(da) and/or 6(1)(f) of the Electricity Act 1989; and

(b) Section 7, 7A and/or 7AB of the Gas Act 1986;

Relevant Industry means arrangements for the purposes of sharing the Minimum Mechanisms Details with specified persons as the Authority may from time to time publish in guidance;

Relevant Order means:

(a) a prohibition order under Section 20 or 21 of the Housing Act 2004;

(b) a demolition order under Section 46 of the Housing Act 2004;

(c) an interim management order under Section 102 of the Housing Act 2004; or

(d) a final management order under Section 103 of the Housing Act 2004;

Relevant Year means a year beginning on 1 April of each calendar year and ending on 31 March of the following calendar year;

Representative in relation to an authorised person, means any person directly or indirectly authorised to represent that authorised person in its dealings with Consumers and/or occupants of a Domestic Premises;

Security Deposit means a deposit of money as security for the payment of Charges;

Self-disconnection means when a Domestic Consumer uses a Prepayment Meter and experiences an interruption to their supply of heating, cooling or hot water because the credit on the meter has been exhausted.

Terms derived from this, such as `Self-disconnected' and `Self- disconnecting' shall be construed accordingly;

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Self-rationing means when a Domestic Consumer deliberately limits its use of heating, cooling or hot water to save money for other goods or services.

Terms derived from this, such as `Self-ration' and `Self-rationed' shall be construed accordingly;

Self-Supply Network means a district heat network where all the heating, cooling or hot water supplied by means of that district heat network is taken by the authorised person for that district heat network;

Service Charge means a service charge within the meaning of s18(1) of the Landlord and Tenant Act 1985 or any similar charge to which equivalent legal protections in any jurisdiction within Great Britain apply;

Significant Managerial means where a person plays a role in Responsibility or Influence (a) the making of decisions about how the whole or a substantial part of a person's activities are to be managed or organised; or

(b) the actual managing or organising of the whole or a substantial part of those activities;

Site Welfare Visit means a visit to Domestic Consumers' premises by appropriately trained staff or representatives to attempt to make contact with the Consumer to identify and/or further assess personal circumstances and characteristics to identify any vulnerabilities that may be present in the household to determine if the use of a Prepayment Meter is safe and reasonably practicable in all the circumstances;

Small Business Consumer means a Consumer taking (or requiring) a supply for the purposes of a small business;

Special Administration (a) in respect of an authorised person means a heat network Order administration order;

(b) in respect of a Relevant Energy Licensee means either:

(i) an energy administration order as defined in Section 154 of the Energy Act 2004;

(ii) an esc administration order as defined in Section 94 of the Energy Act 2011; or

(iii) an smcl administration order as defined in Section 2 of the Smart Meters Act 2018;

Standing Charge means a monetary amount that is chargeable to a Consumer on a Successor daily or other periodic basis and which is chargeable in addition to charges arising on the basis of a Unit Rate;

means any successor to the authorised person in relation to the applicable regulated activity, including in circumstances in which there is a transfer or revocation of the authorisation;

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Supply Contract means a contract (including a deemed contract or any other form of Supply Meter contract, including a lease) for the supply of heating, cooling or hot Unit Rate water between an authorised person and a Consumer; Vulnerable Situation means a meter used or to be used for measuring the quantity of Website heating, cooling or hot water supplied to a Consumer; Winter Working Day means the price charged per unit of heating, cooling or hot water Writing supplied to a Consumer;

means where the personal circumstances and characteristics of a person create a situation where they are:

(a) significantly less able than a typical person to protect or represent their interests; and/or

(b) significantly more likely than a typical person to suffer detriment or that detriment is likely to be more substantial;

means a website controlled and used by the authorised person to communicate with a Consumer for reasons relating to the supply of heating, cooling or hot water;

means the months of October, November, December, January, February and March;

means any day other than a Saturday, a Sunday, Christmas Day, Good Friday or a day that is a bank holiday in England and Wales or in Scotland within the meaning of the Banking and Financial Dealings Act 1971; and

includes writing sent or received by Electronic Communication and "Written" shall be construed accordingly.

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Does this apply to you?

Section A applies to every authorised person, so this condition applies to you regardless of whether you operate the network, supply heat over it, or both. The registration checker works out your full set in a few questions. Registration closes on 26 January 2027.