Luxembourg’s first nationwide energy digital twin to fast-track climate goals

The Data-Driven Energy Transition (D2ET) initiative has officially been launched on 7 October 2025. Led by the Luxembourg Institute of Science and Technology (LIST) together with the Interdisciplinary Centre for Security, Reliability and Trust (SnT) at the University of Luxembourg, the Luxembourg Institute of Socio-Economic Research (LISER), CREOS and ENCEVO and co-funded by the Luxembourg National Research Fund (FNR), the consortium will build Luxembourg’s first decision support-platform for the energy transition, using digital twin technologies.

Mission: data-driven decision-making for climate neutrality

D2ET directly supports Luxembourg’s Integrated National Energy and Climate Plan (PNEC), which sets out the goal of cutting greenhouse gas emissions by 55% by 2030 compared to 2005 levels, while at the same time increasing the share of renewable energies in final consumption to 37%.

To reach these targets, the platform will consolidate data across multiple energy carriers—electricity, heat, gas, and hydrogen—and combine technical, regulatory, market, environmental, and social perspectives. In doing so, it will allow stakeholders to design and test scenarios that optimise both cost and emissions while balancing affordability with social acceptability.

Technology-driven, socially integrated

At the core of the initiative is the ambition to build a Nationwide Digital Twin for Luxembourg’s energy systems, serving energy transition decision-making. This platform will not only function as a technical testbed for researchers to develop and validate new energy transition models, but also as a policy sandbox where authorities can simulate and evaluate regulations. From a long-term perspective, the platform aims to build a marketplace for innovation, giving stakeholders in the energy domain the ability to build and assess complex scenarios before committing to large-scale investment. Also, the initiative stands on a co-creation approach, with a living lab managing stakeholders’ dialog and supporting decision-making processes.

In its first phase, running from 2025 to 2028, D2ET will focus on three scenarios that align with the priorities of Luxembourg’s climate plan: assessing the large-scale deployment of heat pumps versus district heating, ensuring energy supply security from a multi-carrier perspective, and supporting the development of energy communities across the country.

Interdisciplinary collaboration

The strength of the infrastructure lies in its diverse consortium. LIST brings expertise in AI-enabled digital twin technologies, data management, energy infrastructure, and environmental sustainability. Uni.lu/SnT contributes its know-how in energy markets, machine learning, and cybersecurity, while LISER ensures that social acceptability access, citizen engagement, and decision-making support are central to the platform. CREOS provides its experience in energy infrastructure and smart grid operations, and ENCEVO adds its role as the leading and sustainable energy player in Luxembourg and the Greater Region.

The consortium’s joint effort will produce a platform whose components will be tested and proven in real-world conditions. With this achievement, Luxembourg is set to position itself as a global frontrunner in the use of digital twin technologies for energy transition decision support.

A long-term vision

Looking beyond the energy transition, D2ET also aims to establish a new model of decision-making for tackling complex societal challenges. By applying predictive digital twin technologies across disciplines, Luxembourg is positioning itself at the forefront of data-driven governance and sustainable innovation.

German Castignani, Digital Twin Innovation Centre Manager - AIRA Research Group Leader at LIST, concludes:

“With D2ET, Luxembourg is not only investing in its energy transition but also in a long-term vision for how data and digital innovation can serve society. By bringing together leading research centres, industry partners, and policymakers, we are building more than a digital twin — we are creating a collaborative platform that will make our energy systems smarter, more resilient, and more inclusive. This consortium reflects the strength of Luxembourg’s innovation ecosystem and its commitment to ensuring that sustainability and social well-being go hand in hand.”

This project is co-funded by the FNR through the National Centre of Excellence in Research (NCER) programme, with a contribution of 4 million euros.