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Yes it is; journeys between the three Heathrow stations are free, even if you travel via Hatton + (ie. a journey from T123 to T4). Customers who touch in or out at Hatton + however will be charged the appropriate fare.
Most buses in the area, including all TfL services. The Heathrow Hoppa services are some of the most expensive services per mile in London though several of the services are within the Heathrow "Freeflow" area.
I drove the bus 490 (Richmond to LHR T5 via T4) once. I wasn't based at that depot and didn't really know the route, but I drove it anyway and wondered why on earth so many people were boarding through the back doors and walking past without paying when I was at the western end of the route. I'd forgotten all about the Heathrow Freeflow scheme before that point
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