Huawei Unveils Innovative Grid-Forming Strategy at The Smarter E 2026 Conference

At the recent The Smarter E 2026 conference held in Munich, Steven Zhou, the President of the Smart PV & Energy Storage Solutions (ESS) at Huawei Digital Power, presented a comprehensive and forward-thinking strategy for energy systems. This plan emphasizes grid-forming technology, which focuses on improving the stability of electric power grids and facilitating the integration of growing renewable energy sources in the European energy mix.

As Europe aims to increase its wind and solar energy share to an impressive 64% by 2030, the electric systems face increasing challenges such as decreased resilience and stability, attributed to the rising complexity in balancing these systems coupled with a lesser reliance on conventional synchronous units. In light of these challenges, European markets are boosting investments towards grid infrastructure and accelerating the implementation of Battery Energy Storage Systems (BESS) equipped with grid-forming capabilities. Zhou emphasized the urgency for the industry to evolve as he stated, “These actions clearly indicate a directional shift; future photovoltaic installations and energy storage systems must transition from passive support roles to pivotal power sources that actively contribute to grid stability.”

As renewable sources shift from supplemental support to critical foundational elements of the energy system, the entire sector is entering a transformative phase, transitioning from singular technology innovations to integrated, system-wide solutions. Hybrid installations of photovoltaic systems partnering with energy storage (PV+BESS) are increasingly assuming roles historically fulfilled by traditional power plants. Tools associated with grid-forming technology, such as black start capabilities, inertia provision, and short-circuit current support, have been validated under various operational scenarios, highlighting their maturity and readiness for large-scale applications.

In elucidating Huawei’s evolution responsive to the fast-paced energy sector changes, Zhou recalled the introduction of LUNA back in 2020 – the industry's first intelligent string energy storage system. The name, inspired by the Moon, represents a vision for providing access to clean energy even after sunset. Contrarily, their photovoltaic inverter, named SUN, symbolizes the sun’s integral role in powering the day. Zhou remarked that the advancing energy paradigms have redefined the role of energy storage, which is no longer merely supplementary but has now become crucial for maintaining the safety and stability of the entire grid system.

During his presentation, Zhou also announced the official rebranding of the LUNA system to LUTERRA, with the name drawing from “Terra,” the Latin word for earth. Zhou expressed that this new name represents a shift in focus not merely on providing night-time energy access but broadly toward safeguarding the planet through the promotion of sustainable energy technologies.

In alignment with its Smart PV strategy, Huawei aims to aggregate the potential of four core technologies known as 4T (Bit, Watt, Heat, Battery), developing innovative solutions that support energy transition while crafting intelligent, modern electric systems. This strategy tailors its offerings to various user groups and broad application spectrums.

Moreover, Zhou showcased practical commercial and industrial (C&I) projects across Europe utilizing Huawei's integrated solution designed for all uses, harmonizing photovoltaic systems, BESS, electric vehicle (EV) charging infrastructure, and smart energy management driven by artificial intelligence algorithms. Citing examples, he referenced the AHS business park in Germany, whose deployment saw a ten percent revenue increase post-implementation over two years. In Spain, Zhou noted that “implementing the system allowed Carrefour supermarket to reduce its electricity bills by nearly 40%, with an investment payback period of about five years.”

Huawei is proactively gearing up for the future transition within energy markets by developing solutions to meet the evolving sector demands. Zhou noted that future business models associated with BESS will diversify significantly. “Thanks to adaptable hardware setups and the ongoing development of the software layer, Huawei's one-match-all platform will be capable of adapting to various business scenarios, aiding users in tapping into the full potential of energy storage and enhancing their gains,” Zhou explained.

Global pilot projects in Spain, Mongolia, Germany, and the Philippines exemplify the practical values of Huawei’s grid-forming technology and its substantial role in the future of energy. Zhou asserted that Huawei’s core competencies “enable the advancement of comprehensive Smart PV and BESS solutions intended for a wide range of applications. These solutions are focused not just on enhancing customer benefits but also on contributing to improved stability for power networks entrenched with high shares of renewable energy.”