Innovative solutions for a generative AI-powered digital spine of the EU energy system

This summary provides details about a forthcoming Horizon Europe grant opportunity, specifically related to Cluster 5, which focuses on innovative solutions for a generative AI-powered digital spine of the EU energy system. The call aims to support projects that enhance digitalization and decarbonization in the energy sector, aligning with European Green Deal objectives. The main financial mechanism involved is a grant under the HORIZON Action Grant Budget-Based model. Eligible applicants include various organizations such as SMEs, large enterprises, research institutes, universities, public-private partnerships, and other entities engaged in energy and AI technologies, particularly those willing to collaborate across at least three EU or associated countries. The target sectors for this funding encompass energy, ICT, artificial intelligence, and climate action. The project stage focuses on development and pilot phases, particularly for prototypes emphasizing AI-driven energy solutions. The expected funding amounts for each project range approximately from €7 million to €12 million, contributing to a broader total indicative budget of around €17.65 million for the call. The application process will be a single-stage submission, opening on September 16, 2025, with a deadline set for February 17, 2026. While exact success rates are not detailed, it's typical for Horizon Europe calls to have low acceptance rates, estimated around 10-39%. Co-funding is likely required, consistent with Horizon Europe guidelines for Innovation Actions, although explicit requirements are not detailed in the available data. Overall, projects funded under this call should focus on developing AI tools to support electricity system optimization, enabling greater integration of renewable energies, electric vehicle infrastructures, and enhancing overall energy efficiency and reliability. The initiative encourages collaboration with a diverse set of stakeholders to contribute to these objectives.

This is a Horizon Europe (HORIZON) call, specifically Cluster 5 Call 02-2026 (WP 2025) (HORIZON-CL5-2026-02), focusing on "Innovative solutions for a generative AI-powered digital spine of the EU energy system." The call aims to support the European Green Deal objectives by investing in smart, digitally enabled energy systems that integrate renewable energy sources, electrification, and energy storage across various sectors. The type of action is HORIZON-IA (Innovation Actions) with a HORIZON Action Grant Budget-Based [HORIZON-AG] Model Grant Agreement. It is a forthcoming call with a single-stage deadline model. The planned opening date is 16 September 2025, and the deadline is 17 February 2026, 17:00:00 Brussels time.

The expected outcomes of the projects funded under this call include:

Availability of generative AI tools for electricity system operators, energy service providers, households, and energy communities to enhance digital and green transformation in energy, mobility, and buildings.

Implementation of decentralised IT solutions based on generative AI to support local grid optimisation, increasing the uptake of renewable energy sources, electric vehicles, and electrification at the distribution level.

Increased reliability, resilience, security, and energy efficiency of the energy system through advanced AI and digital tools.

Enhanced knowledge for modernising and operating energy networks, integrating digital services, renewables, and electrification using cutting-edge AI technologies.

Development of smarter demand-side tools for industries and consumers, leveraging AI to optimise energy production and consumption.

The scope of the call includes:

Developing and piloting prototypes of a generative AI-powered digital spine to enhance the digitalisation and decarbonisation of the EU energy system.

Developing a prototype of an automated, AI-powered, software-defined smart energy system, leveraging existing open-source digital solutions of lower Technology Readiness Levels (TRLs) and AI algorithms/tools provided by AI Factories.

Developing and testing generative AI to create apps/programmes for local system optimisation, system planning, and operation.

Testing generative AI to identify flexibility sources and provide interoperability/data exchange solutions for decentralised optimisation of distributed assets, integrating with sectors like mobility to promote decentralisation and energy efficiency.

Exploring generative AI for system optimisation through scenario generation, simulation, and time series forecasting, developing optimisation tools for supply/demand-side management using data for renewable energy, transmission assets, storage, and energy-saving applications.

Proposing tools and control systems to apply generative AI solutions developed in a high-risk use-case (as defined in the AI act).

Projects are expected to:

Demonstrate AI-powered energy services, tools for power system planning and operation, and smart grid functionalities across at least three EU member states and/or associated countries.

Indicate which generative AI tools will be used and how energy sector users will be involved in development/testing.

Indicate what types of assets and data sources will be used.

Involve traditional energy stakeholders and new entrants like energy service companies, aggregators, and energy communities.

Leverage relevant European and international standards.

Contribute to the BRIDGE initiative and actively participate in its activities.

Utilise AI Factories and solutions, open-source where relevant, building on previous Horizon Europe projects.

Demonstrate how new solutions can be integrated into existing legacy systems, including SCADA systems functionality for projects focusing on Distribution System Operators (DSOs).

Jointly provide a diverse set of applications of generative AI.

General conditions for participation include:

Admissibility Conditions:Proposal page limits and layout as described in Annex A and Annex E of the Horizon Europe Work Programme General Annexes and Part B of the Application Form.

Eligible Countries:As described in Annex B of the Work Programme General Annexes, with specific provisions for non-EU/non-Associated Countries as detailed in the Horizon Europe Programme Guide.

Other Eligible Conditions:Subject to restrictions for the protection of European communication networks, as described in Annex B of the Work Programme General Annexes.

Financial and operational capacity and exclusion:As described in Annex C of the Work Programme General Annexes.

Evaluation and award:Award criteria, scoring, and thresholds are described in Annex D of the Work Programme General Annexes. Submission and evaluation processes are described in Annex F of the Work Programme General Annexes and the Online Manual.

Indicative timeline for evaluation and grant agreement:Described in Annex F of the Work Programme General Annexes.

Legal and financial set-up of the grants:Described in Annex G of the Work Programme General Annexes.

Specific conditions are described in the specific topic of the Work Programme.

Application and evaluation forms and model grant agreement (MGA):

Application form templates are available in the Submission System (Standard application form HE RIA, IA).

Evaluation form templates will be used with necessary adaptations (Standard evaluation form HE RIA, IA).

Guidance is provided in the HE Programme Guide.

Model Grant Agreements (MGA) include the HE MGA.

Additional documents include:

HE Main Work Programme 2025 – 1. General Introduction

HE Main Work Programme 2025 – 8. Climate, Energy and Mobility

HE Main Work Programme 2025 – 14. 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 under the Horizon Europe Programme

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

Funding & Tenders Portal Privacy Statement

The budget overview for the call includes various topics with different budget allocations, stages, opening dates, deadlines, contributions, and indicative numbers of grants. All topics are single-stage with a planned opening date of 16 September 2025 and a deadline of 17 February 2026.

HORIZON-CL5-2026-02-D3-01 - HORIZON-IA:€33,000,000, around €11,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D3-02 - HORIZON-RIA:€8,000,000, around €4,000,000 contribution, 2 grants

HORIZON-CL5-2026-02-D3-05 - HORIZON-IA:€15,000,000, around €7,500,000 contribution, 2 grants

HORIZON-CL5-2026-02-D3-07 - HORIZON-RIA:€15,000,000, around €5,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D3-08 - HORIZON-RIA:€15,000,000, around €5,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D3-10 - HORIZON-IA:€24,000,000, around €8,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D3-12 - HORIZON-RIA:€8,000,000, around €4,000,000 contribution, 2 grants

HORIZON-CL5-2026-02-D3-13 - HORIZON-PCP:€20,000,000, around €20,000,000 contribution, 1 grant

HORIZON-CL5-2026-02-D3-14 - HORIZON-CSA:€6,000,000, around €2,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D3-18 - HORIZON-IA:€18,000,000, around €9,000,000 contribution, 2 grants

HORIZON-CL5 - HORIZON-IA:€16,000,000, around €8,000,000 contribution, 2 grants

HORIZON-CL5-2026-02-D3-20 - HORIZON-IA:€20,000,000, around €10,000,000 contribution, 2 grants

HORIZON-CL5-2026-02-D3-22 - HORIZON-IA:€18,000,000, around €9,000,000 contribution, 2 grants

HORIZON-CL5-2026-02-D3-24 - HORIZON-RIA:€18,000,000, around €6,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D4-01 - HORIZON-RIA:€15,000,000, around €5,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D4-02 - HORIZON-IA:€12,000,000, around €4,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D4-03 - HORIZON-RIA:€15,000,000, around €5,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D4-04 - HORIZON-IA:€15,000,000, around €5,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D4-05 - HORIZON-RIA:€12,000,000, around €4,000,000 contribution, 3 grants

HORIZON-CL5-2026-02-D4-06 - HORIZON-IA:€15,000,000, around €7,500,000 contribution, 2 grants

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

This Horizon Europe call is focused on developing innovative solutions using generative AI to enhance the EU's energy system. It aims to create a smart, efficient, and decarbonised energy grid by leveraging AI to optimise energy production, distribution, and consumption. The call encourages projects that can demonstrate AI-powered tools and services, integrate new solutions into existing systems, and involve a diverse range of stakeholders. Ultimately, this initiative seeks to contribute to the EU's Green Deal objectives by promoting the use of AI in transforming the energy sector.

Eligible Applicant Types:The eligible applicant types are not explicitly stated in the provided text. However, based on the nature of Horizon Europe projects and the call for proposals, eligible applicants could include universities, research institutes, SMEs, large enterprises, and other relevant organizations involved in energy, AI, and digital technologies. The call also mentions involving both traditional energy stakeholders and new entrants, such as energy service companies, aggregators, digital infrastructure providers, system integrators, energy asset manufacturers, energy communities, and active consumers, suggesting a broad range of eligible entities.

Funding Type:The primary financial mechanism is a grant, specifically a HORIZON Action Grant Budget-Based [HORIZON-AG], as indicated by the "Type of MGA" (Model Grant Agreement). The call also includes HORIZON Innovation Actions (HORIZON-IA), HORIZON Research and Innovation Actions (HORIZON-RIA), HORIZON Pre-commercial Procurement (HORIZON-PCP), and HORIZON Coordination and Support Actions (HORIZON-CSA).

Consortium Requirement:The text does not explicitly state whether a consortium is required. However, the project descriptions often involve demonstrating solutions across at least three EU member states and/or associated countries and involving both traditional energy stakeholders and new entrants. This suggests that a consortium of multiple applicants is highly encouraged, if not required, to meet the scope and expected outcomes of the call. Partner search announcements are also available, indicating that applicants may need to form consortia.

Beneficiary Scope (Geographic Eligibility):The primary geographic eligibility appears to be EU member states and/or associated countries. The call mentions demonstrating solutions across at least three EU member states and/or associated countries. The text also mentions that 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.

Target Sector:The program targets several interconnected sectors, including: Energy (smart and digitally enabled energy systems, electricity grids, renewable energy integration, electricity storage), ICT (Artificial Intelligence, Internet of Things, digital twins, data exchange), Transport (electric vehicles, charging networks), Buildings (smart building platforms, residential heating), Climate (decarbonisation, energy efficiency), Innovation (AI-powered energy services, smart grid functionalities), and Digital (digital transformation, digital spine).

Mentioned Countries:The text refers to "EU member states and/or associated countries" without explicitly listing specific countries. It also mentions "non-EU/non-Associated Countries" without specifying which ones. Therefore, the geographic focus is primarily on the EU and associated countries, with potential participation from other countries under specific provisions.

Project Stage:The expected maturity of the project is at the development and piloting stage, specifically to "develop and pilot prototypes of a generative AI-powered digital spine." The call also mentions leveraging and further developing existing (open-source) digital solutions of lower TRLs (Technology Readiness Levels), suggesting that projects should build upon existing research and innovation.

Funding Amount:The funding amounts vary depending on the specific action type (HORIZON-IA, HORIZON-RIA, HORIZON-PCP, HORIZON-CSA) and topic. The budget overview provides a detailed breakdown of the budget allocated to each topic, ranging from €6,000,000 to €33,000,000. The indicative number of grants for each topic also varies, ranging from 1 to 3. For example, HORIZON-CL5 has a budget of €16,000,000 and an indicative number of 2 grants.

Application Type:The application type is an open call with a single-stage submission process. The planned opening date is 16 September 2025, and the deadline date is 17 February 2026.

Nature of Support:The beneficiaries will receive money in the form of grants to support their research, development, and innovation activities. The funding is intended to cover eligible costs associated with the project, as defined in the Horizon Europe Model Grant Agreement.

Application Stages:The application process consists of a single stage, as indicated by the "Deadline model: single-stage." This means that applicants must submit a complete proposal by the deadline date.

Success Rates:The success rates are not explicitly mentioned in the text. However, the indicative number of grants for each topic provides some insight into the potential success rate. For example, if a topic has a budget of €15,000,000 and an indicative number of 3 grants, the success rate is likely to be relatively low, as Horizon Europe calls typically attract a large number of proposals.

Co-funding Requirement:The text does not explicitly mention a co-funding requirement. However, Horizon Europe grants typically fund a percentage of the total eligible costs, meaning that beneficiaries may need to secure additional funding from other sources to cover the remaining costs.

Summary:This Horizon Europe call focuses on "Innovative solutions for a generative AI-powered digital spine of the EU energy system." It aims to support projects that develop and pilot prototypes of AI-powered solutions to enhance the digitalisation and decarbonisation of the EU energy system. The call seeks to integrate higher shares of renewable energy, improve grid management, and optimise energy consumption across various sectors, including transport, industry, and buildings. The projects should leverage generative AI, IoT solutions, and digital twins to create dynamic, flexible, and automated smart energy systems. Eligible applicants include a wide range of stakeholders from EU member states and associated countries, with a strong emphasis on collaboration and the involvement of both traditional energy players and new entrants. The funding is provided through Horizon Innovation Actions (IA), Research and Innovation Actions (RIA), Pre-commercial Procurement (PCP), and Coordination and Support Actions (CSA), with budgets ranging from €6 million to €33 million per topic. The application process is a single-stage open call with a deadline of 17 February 2026. The expected outcomes include the availability of AI tools for energy stakeholders, the implementation of decentralised IT solutions for local grid optimisation, and the increased reliability and energy efficiency of the energy system.