Gas network and gas safety rules

Gas networks answer to two regulators at once. Ofgem licenses the economic activity — conveying gas through pipes to premises — under the Gas Act 1986, and HSE regulates the safety side: nobody may convey gas, or operate a gas manufacturing process connected to a network, without a safety case formally accepted by HSE first. These regimes apply in Great Britain; the Gas Act 1986 does not extend to Northern Ireland, which has separate legislation under the Utility Regulator — see applying for an electricity or gas licence in Northern Ireland.

Get a gas transporter licence

Any business operating a gas distribution network needs an Ofgem gas transporter licence — the established Gas Distribution Networks hold them as regulated monopolies, and Independent Gas Transporters (iGTs) hold them for private networks.

For the application process — including fees and Ofgem's assessment of financial and technical capability — follow gas supply and shipper licensing.

Have your safety case accepted before you convey gas

The licence alone is not enough: every gas transporter must prepare a safety case under the Gas Safety (Management) Regulations 1996 and obtain explicit HSE acceptance before commencing conveyance — there is no tacit consent.

If you manufacture gas: your own safety case

Gas manufacturing processes connected to a gas network — including biomethane production above thresholds — need their own HSE-accepted safety case before operations begin, and it must be updated whenever operations change materially.

Manufacturing sites with emissions also need an environmental permit — see medium combustion plant permits and run a compliant energy business for the permitting and COMAH duties.

Manage pipeline major-accident risk

Gas pipelines operating above 7 barg are major accident hazard pipelines. Operators must notify HSE, maintain a Major Accident Prevention Document and demonstrate adequate emergency arrangements — this catches both manufacturing processes connected to high-pressure pipework and the distribution network itself.

Cooperate with the Network Emergency Co-ordinator

Where two or more transporters operate on a connected network there must be a single Network Emergency Co-ordinator with its own HSE-accepted safety case, and transporters have a legal duty to cooperate with its directions in a supply emergency.

Report under the RIIO-GD price control

Licensed gas distribution businesses sit under Ofgem's RIIO-GD price control, with annual regulatory accounts and performance reporting.

Next steps

Put the duties every energy business shares in place with run a compliant energy business, and confirm your position with the energy compliance checklist. If you also ship or supply gas, see comply as an energy supplier.