European UnionNon-profit, Private Business, Research Institution, Public Institution

Underground Thermal Energy Storage in dense urban areas

HORIZON-CL5-2026-02-D3-22

Funding Amount

€9.0M - €9.0M

Deadline

17/02/2026

Eligible Organization Types

Non-profit, Private Business, Research Institution, Public Institution

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What is the Underground Thermal Energy Storage in dense urban areas Call?

Grant Description
This call supports innovation actions to develop, demonstrate and deploy underground thermal energy storage systems in densely populated urban areas. It addresses challenges of subsurface space use, integration with existing infrastructure and energy grids, seasonal demand uncertainties, and social acceptance. Projects will build demonstrators of advanced thermal storage technologies, digital twins for system optimisation, open FAIR data sets, and inclusive community engagement. Results will red...
Required Results for Successful Funding

Expected Outcomes

• Advanced European innovative knowledge and enhanced technology competitiveness in thermal storage.

• Improved security of Europe’s future renewable-based energy system.

• Contribution to decarbonising cities and densely populated urban areas with safe, high-performance UTES solutions.

• Significant reduction in Levelised Cost of Heat Storage (LCOHS).

• Active engagement of local communities, with responses to their expectations.

• Inclusive, early and continuous societal engagement by technology developers, tailored to technical and social challenges of urban UTES deployment.
Funded areas

Scope Requirements

Proposals must:

• Focus on novel technologies, design methods, interfaces and organizational concepts to maximise sustainable use of subsurface space in dense urban areas via UTES (ATES, CTES, BTES);

• Ensure integration with existing energy grids and co-location with other subsurface uses (subways, utilities, energy geostructures, tunnels, slabs, sheet piles);

• Address seasonal and spatial uncertainties in heat demand to optimise subsurface footprint and thermal efficiency;

• Deploy at least one large-scale demonstrator covering one or more temperature ranges (10–30°C, 30–70°C, >70°C) and consider building stock retrofits;

• Develop subsurface models for sustainable UTES and geothermal use in cities;

• Integrate heat pumps, advanced storage and district heating interfaces to enhance thermal/power grid flexibility;

• Study subsurface urban heat island effects using monitoring networks, satellite data and modelling;

• Propose best-practice subsurface land-use and borehole placement strategies;

• Analyse mutual interactions of neighbouring UTES systems (geotechnical, energy, regulatory);

• Implement digital twins for urban-scale energy grid management under varied scenarios;

• Create large, time-and-scale extensive, FAIR-compliant, GDPR-compatible open multisensory datasets according to EU RI standards;

• Use advanced monitoring (fiber optics, satellite) for district-scale impact detection and mitigation;

• Include de-risking measures and support schemes to guide solutions towards commercialisation;

• Assess current regulatory/standardisation/permitting contexts and issue future recommendations;

• Integrate SSH disciplines with continuous societal engagement and involve SSH experts to maximise societal impact.
Additional Conditions for Applicants

Special Conditions

• Call under Horizon Innovation Actions with lump-sum grants (MGA HORIZON-AG-LS); single-stage evaluation.

• Project start: post-deadline (17 Feb 2026).

• Budget per project: ~€11 000 000 (total topic budget €33 000 000).

• Proposals must adhere to FAIR data principles, EU data quality standards, GDPR-compliant sharing, and use open data protocols.

• Mandatory local community engagement initiatives, early and continuous, sensitive to technical (local resources, subsurface uncertainties) and social (awareness levels) challenges.

• Involvement of SSH experts/institutions throughout project lifecycle.

• Demonstrators must comply with local permitting, safety and environmental regulations.
Important dates

Open from: 16/09/2025

Deadline:17/02/2026

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