AI-driven forecasting algorithms for Grid and Consumer friendly Energy Sharing – Societal Readiness pilot

The HORIZON-CL5-2026-03-D3-22 call represents an opportunity within Horizon Europe’s Cluster 5, focusing on AI-driven forecasting algorithms aimed at enhancing energy sharing practices that align with societal needs. This call is characterized as an Innovation Action, intended for projects at the demonstration and validation stage, incorporating elements of social engagement to ensure that technological advancements facilitate consumer participation within energy communities.

Eligible applicants encompass a wide range of organizations including research institutions, universities, SMEs, large companies, technology developers, and energy companies from EU member states, EEA countries, and associated countries. Notably, applicants controlled directly or indirectly by entities from China are excluded. The primary funding mechanism is a lump sum grant model, offering a fixed amount of funding rather than reimbursement for actual costs, thus reducing administrative workloads.

The funding for this initiative is substantial, with each project eligible to receive up to 6 million euros, leading to a total budget of 12 million euros dedicated to this call, with two grants anticipated. The single-stage application process will open on December 18, 2025, and close on March 31, 2026. This setup necessitates a collaborative approach, as it is standard for Horizon Europe projects to involve a consortium of at least three independent entities from various member states.

The anticipated outcomes include the development and real-world testing of machine learning algorithms intended to optimize energy flows and empower users in decentralized energy systems. Critical to this initiative is the incorporation of societal feedback mechanisms, ensuring technology meets public expectations and enhances social acceptance. Projects will thus require expertise in social sciences alongside technical competencies, facilitating an interdisciplinary approach vital for addressing the intricate socio-technological interface.

Additional details regarding application processes, eligible costs, and evaluation criteria can be accessed through the EU Funding and Tenders Portal, as well as specific guidelines outlined in the Horizon Europe Work Programme. The project aligns with the EU's broader commitment to fostering climate-neutral solutions through digital transformation in energy, promoting innovation that is both technically sound and socially responsible.

In summary, this call is an essential part of the EU's strategy to modernize energy systems through artificial intelligence while ensuring that community and societal perspectives are integral to the innovation process. The funding is aimed at fostering collaboration, enhancing the operational efficiency of energy grids, and reinforcing the public's role in energy governance within a sustainable framework.

This is a Horizon Europe call, specifically under the BATTERIES and ENERGY (HORIZON-CL5-2026-03) program. The topic is HORIZON-CL5-2026-03-D3-22, titled "AI-driven forecasting algorithms for Grid and Consumer friendly Energy Sharing Societal Readiness pilot". It is a HORIZON-IA (Innovation Action) with a HORIZON Lump Sum Grant [HORIZON-AG-LS] type of Model Grant Agreement (MGA). The deadline model is single-stage. The planned opening date is 18 December 2025, and the deadline date is 31 March 2026, 17:00:00 Brussels time.

The expected outcomes of projects funded under this topic are: Development and testing of AI-driven forecasting algorithms using machine learning to optimize collective self-consumption through energy sharing. Upscaling AI tools and models for grid balancing and forecasting to ensure consumer participation in a distributed energy system. Analysis of social interactions using game-theoretic models to highlight the role of active consumers and communities. A deeper understanding of the needs and concerns of diverse social groups affected by the technology. Improvement of operation and maintenance of the grid and distributed assets.

The scope of the topic includes optimizing bidirectional energy transfers using AI-driven forecasting algorithms and machine learning to help energy communities and customers actively participate in the energy system. This aims to reduce burdens on DSOs and residual suppliers, balance energy systems, and optimize self-consumption, reducing energy costs.

This is a Societal-Readiness pilot, requiring an interdisciplinary approach and effective contribution of Social Sciences and Humanities (SSH) expertise. SSH experts should be involved in the consortium to facilitate the socio-technological interface and design project objectives with Societal Readiness activities. Selected projects are expected to contribute to the BRIDGE initiative and actively participate in its activities.

The general conditions include: Admissibility Conditions, with proposal page limits and layout described in Annex A and Annex E of the Horizon Europe Work Programme General Annexes and Part B of the Application Form. Eligible Countries are described in Annex B of the Work Programme General Annexes, with specific provisions for non-EU/non-Associated Countries outlined in the Horizon Europe Programme Guide. Other Eligible Conditions include restrictions on control by Chinese entities and the use of Copernicus and/or Galileo/EGNOS for projects using satellite data. Financial and operational capacity and exclusion are described in Annex C. Evaluation and award criteria, submission and evaluation processes, and the indicative timeline are described in Annexes D and F, respectively, and the Online Manual. Legal and financial setup of the grants allows the granting authority to object to ownership transfer or exclusive licensing of results for up to 4 years. Eligible costs will be in the form of a lump sum, as defined in the Decision of 7 July 2021. Annex G provides additional details. Specific conditions are described in the specific topic of the Work Programme.

Application and evaluation forms and the model grant agreement (MGA) are available in the Submission System. The standard application form is HE RIA, IA. Evaluation form templates will be used with necessary adaptations, also HE RIA, IA. Guidance is provided in the HE Programme Guide. The Model Grant Agreement is a Lump Sum MGA. Call-specific instructions, a detailed budget table (HE LS), and guidance on lump sums are also available.

Additional documents include: HE Main Work Programme 2026-2027 – 1. General Introduction, HE Main Work Programme 2026-2027 – 8. Climate, Energy and Mobility, HE Main Work Programme 2026-2027 – 15. General Annexes, HE Programme Guide, HE Framework Programme 2021/695, HE Specific Programme Decision 2021/764, EU Financial Regulation 2024/2509, Decision authorising the use of lump sum contributions, Rules for Legal Entity Validation, LEAR Appointment and Financial Capacity Assessment, EU Grants AGA Annotated Model Grant Agreement, Funding & Tenders Portal Online Manual, Funding & Tenders Portal Terms and Conditions, and Funding & Tenders Portal Privacy Statement.

The budget overview lists several topics with their respective budgets, stages, opening dates, deadlines, contributions, and indicative number of grants. For HORIZON-CL5-2026-03-D3-22, the budget is 12,000,000 EUR, it is a single-stage action, opens on 2025-12-18, closes on 2026-03-31, and aims for around 2 grants with a contribution of around 6,000,000 EUR each.

Partner search announcements are available for collaboration on this topic. LEARs, Account Administrators, and self-registrants can publish partner requests. The submission system is planned to open on the date stated in the topic header.

General FAQs and support are available, including the Online Manual, Horizon Europe Programme Guide, Funding & Tenders Portal FAQ, Research Enquiry Service, National Contact Points (NCPs), Enterprise Europe Network, IT Helpdesk, European IPR Helpdesk, CEN-CENELEC Research Helpdesk and ETSI Research Helpdesk, the European Charter for Researchers and the Code of Conduct for their recruitment, and a Partner Search tool.

In summary, this Horizon Europe call focuses on developing and testing AI-driven forecasting algorithms and machine learning to optimize energy sharing and grid balancing, promoting a decentralized and resilient European energy landscape. It emphasizes societal readiness, requiring interdisciplinary collaboration and the integration of SSH expertise. The funding is provided as a lump sum, and the call is a single-stage process with a deadline of March 31, 2026. The call aims to support projects that can contribute to the BRIDGE initiative and actively involve consumers and communities in the energy system.

Eligible Applicant Types: The eligible applicant types are not explicitly stated in the provided text. However, given the context of Horizon Europe, HORIZON-RIA (Research and Innovation Actions) and HORIZON-IA (Innovation Actions), eligible applicants are likely to include universities, research institutes, SMEs, large enterprises, and other organizations capable of conducting research and innovation activities. The mention of LEARs (Legal Entity Appointed Representatives) and Account Administrators suggests that formally registered entities are required.

Funding Type: The primary financial mechanism is a grant, specifically a HORIZON Lump Sum Grant, as indicated by the type of MGA (Model Grant Agreement) being HORIZON-AG-LS. Eligible costs will take the form of a lump sum as defined in the Decision of 7 July 2021 authorising the use of lump sum contributions under the Horizon Europe Programme.

Consortium Requirement: The text does not explicitly state whether a single applicant or a consortium is required. However, the presence of a "Partner Search" function and the general nature of Horizon Europe projects suggest that consortia are common and potentially encouraged, but not necessarily mandatory.

Beneficiary Scope (Geographic Eligibility): Eligible countries are described in Annex B of the Work Programme General Annexes. A number of non-EU/non-Associated Countries that are not automatically eligible for funding have made specific provisions for making funding available for their participants in Horizon Europe projects. Entities established in an eligible country but which are directly or indirectly controlled by China or by a legal entity established in China are not eligible to participate in the action.

Target Sector: The program targets the energy sector, specifically focusing on batteries and energy storage, smart grids, AI-driven forecasting algorithms, machine learning, energy communities, and consumer participation in a decentralized energy system. The call is part of the "BATTERIES and ENERGY (HORIZON-CL5-2026-03)" call.

Mentioned Countries: China is explicitly mentioned as a country whose controlled entities are not eligible to participate. Non-EU/non-Associated Countries are mentioned as having specific provisions for funding their participants. The eligible countries are described in Annex B of the Work Programme General Annexes.

Project Stage: The project stage is geared towards innovation actions (IA) and research and innovation actions (RIA), suggesting projects should be at the development, validation, or demonstration stage, with a clear path towards practical application and societal readiness.

Funding Amount: The funding amounts vary depending on the specific topic within the call, ranging from €9,000,000 to €31,500,000 per topic. The indicative number of grants per topic also varies, typically between 2 and 5. For example, HORIZON-CL5-2026-03-D3-19 has a budget of €24,000,000 and an indicative grant range of €4,000,000 to €12,000,000, with 3 grants expected. HORIZON-CL5-2026-03-D3-22 has a budget of €12,000,000 and expects to award around 2 grants with an average of €6,000,000 per grant.

Application Type: The application type is an open call, with a single-stage submission process.

Nature of Support: Beneficiaries will receive money in the form of a lump sum grant.

Application Stages: The application process is single-stage.

Success Rates: The success rates are not explicitly mentioned, but can be inferred from the budget overview. For example, HORIZON-CL5-2026-03-D3-22 has a budget of 12,000,000 EUR and aims to award around 2 grants.

Co-funding Requirement: The text does not explicitly mention a co-funding requirement. However, Horizon Europe projects often involve the beneficiary providing some level of resources.

Summary: This Horizon Europe call, part of the "BATTERIES and ENERGY (HORIZON-CL5-2026-03)" program, seeks to fund projects that develop and test AI-driven forecasting algorithms and machine learning processes to optimize energy sharing and self-consumption in energy communities. The call aims to upscale AI tools for grid balancing, improve consumer participation in distributed energy systems, and enhance the operation and maintenance of energy grids. It emphasizes a societal readiness pilot approach, requiring interdisciplinary teams with SSH expertise to address societal needs and concerns related to the technology. Funding is provided as lump sum grants, with varying budgets and grant sizes depending on the specific topic, and is open to eligible entities from EU and associated countries, with certain restrictions on entities controlled by China. The application process is a single-stage open call, with a deadline of March 31, 2026. Successful projects are expected to contribute to the BRIDGE initiative and actively participate in its activities.