Supporting digitalisation of Distribution System Operators for a smart energy transition

About the call

Digitalisation of DSOs, as part of the electricity market design and the Digitalisation of Energy Action Plan, enables smarter management of distribution networks, the development of flexibility markets and active consumer participation. However, the transition itself creates complex technical, operational and organisational constraints for operators, especially small and medium-sized ones. The topic funds capacity building for the deployment of digital technologies that are already available - the development and demonstration of new technologies is outside the scope of the call.

Key outcome

A Digitalisation Roadmap for each target DSO, which is then fully or partly embedded in the Distribution Network Development Plan (DNDP) - a strategic document required under Directive 2019/944. The roadmap should not be a standardised document: it must be tailored to the size, network typology and level of digital maturity of the specific operator.

Three areas of the roadmap

• Data exchange and interoperability: integration of data from various sources (smart meters, GIS, SCADA, sensors); data governance in planning and operations, data quality, data architectures, information models and standards; interoperability and real-time data exchange with other DSOs, TSOs and market participants.
• Network observability: real-time monitoring and control of assets (IoT sensors, ICT systems, digital twins); integration of distributed energy resources (solar panels, batteries, heat pumps, EV chargers); flexibility tools - market platforms and energy management systems.
• Artificial intelligence: integration of AI models into advanced distribution management systems (ADMS) - network congestion, voltage control, load and weather forecasting; AI for cybersecurity and prediction of extreme events; support for the deployment of high-risk AI systems - testing, validation, legal support, regulatory compliance; AI in grid connection procedures.

What the project must do

• Describe the current state of digitalisation of the target DSOs and ensure a clear step forward beyond it.
• Strengthen the capacity of DSO staff to plan, prioritise and implement digitalisation measures - technically, economically, organisationally and in terms of regulation, including procurement.
• Provide training and technical assistance, including targeted pilot projects to test the feasibility of solutions; make use of networking, peering and peer-to-peer exchange.
• Cover a large number of DSOs in the target countries, pooling the resources of operators with similar needs; training must be adapted to national languages.
• Work with follower DSOs, to whom knowledge is transferred over the course of the project.

Conditions

• Consortium: at least 3 applicants from 3 different countries.
• Indicative grant amount: up to €2 million.
• Participation of European, national and regional DSO associations is encouraged.
• Target DSOs must be identified in the application and their participation confirmed - either through consortium membership or through management-level letters of support.

Deadline

16 September 2026, 17:00 CEST