Siemens has introduced a new software tool, Gridscale X Flexibility Manager, designed to help European distribution system operators (DSOs) predict and prevent grid congestion by turning flexible demand and generation from connected customers into a controllable resource.

The software, part of the broader Gridscale X platform, was unveiled with input from several European utilities and system operators, including Austria’s Kärnten Netz (KNG), Dutch operator Alliander and Norwegian DSO Elvia. Siemens says the system can increase usable grid capacity by up to 20 percent and cut grid investment needs by as much as 40 percent by delaying or reducing conventional reinforcement projects.

“Unlocking the potential of flexibility for grid planning and operations is a game-changer for DSOs navigating the energy transition,” said Sabine Erlinghagen, CEO of Siemens Grid Software. “With Gridscale X, utilities can maximize the use of existing infrastructure, accelerate renewable integration and data center connections and make smarter investments to deliver a more resilient energy future. It’s not just about managing today’s grid but shaping tomorrow’s autonomous energy landscape.”

The launch comes as local grids struggle to keep pace with electrification. Rising numbers of electric vehicles, heat pumps, rooftop solar systems and new data centres are creating bottlenecks on distribution networks that were not designed for such dynamic, two‑way power flows. At the same time, energy companies report that slow permitting and high costs are holding back the expansion of physical infrastructure. In a recent survey cited by Siemens, 74 percent of energy executives said smart grids and grid software are “crucial enablers” of the energy transition.

Gridscale X Flexibility Manager integrates with existing DSO systems to continuously monitor the state of the grid and forecast overloads or voltage issues. When the software predicts a constraint, it identifies available flexibility from distributed resources – such as EV chargers, heat pumps, battery storage or small‑scale generation – and supports operators in choosing and activating the most effective actions through market platforms or direct control mechanisms. Instead of immediately building new lines or transformers, operators can temporarily adjust loads or generation, keeping the system within safe limits.

The concept has been tested in Austria, where KNG is preparing for a sharp rise in solar power. By 2030, photovoltaic capacity in the state of Carinthia is expected to almost double, adding about 1.1 GW and raising the risk of congestion and voltage problems on long rural feeders. At the same time, Austrian regulation is moving toward a market-based flexibility framework, pushing DSOs to find new digital tools.

“We are facing a new and increasingly complex regulatory framework, combined with massive challenges in system operations as we transition to a cleaner energy future,” said Robert Schmaranz, Head of Operations at KNG. “Collaborating with Siemens, we were able to address real network challenges while preparing for the upcoming market-based flexibility framework. The collaboration also gave us the opportunity to exchange experiences with other European DSOs, sharing best practices as we collectively shape the next phase of flexibility implementation.”

Alongside KNG, Siemens worked with Alliander, Areti and Elvia during development, using their networks as testbeds for how flexibility could be forecast, priced and activated at scale. The company positions Gridscale X Flexibility Manager as a bridge between traditional grid reinforcement and a future in which digital tools and flexible resources are standard parts of distribution system planning and operations.