AI-EFFECT builds EU testing facility for AI in critical energy infrastructure

As Europe moves towards its climate-neutrality goals, integrating AI into energy systems is being presented as a way to improve efficiency, resilience, and sustainability. The EU-funded AI-EFFECT project is developing a European testing and experimentation facility (TEF) to support the development and adoption of AI solutions for the energy industry while ensuring safety, reliability, and compliance with EU regulations.

The TEF is described as a virtual network linking existing laboratories and computing resources across several EU countries. It is designed to provide standardised testing environments, risk and certification workflows, and replicable methods for developing, testing, and validating AI applications for critical energy infrastructures under diverse, real-world conditions.

The facility operates through four national nodes in Denmark, Germany, the Netherlands, and Portugal, each focused on a different set of energy challenges. In Denmark, the node led by the Technical University of Denmark is testing AI in virtual and physical multi-energy systems, including coordination between electric power grid operations and district heating systems in the Triangle Region in Jutland and on the island of Bornholm.

In the Netherlands, the node at Delft University of Technology is extending the university’s ‘control room of the future’ with AI capabilities to address grid congestion as renewable generation increases.

In Portugal, the node led by INESC TEC is developing a trusted local energy data space intended to address privacy concerns and connectivity gaps through secure, consent-based energy data sharing. The AI-EFFECT project says consumers and prosumers will be able to manage data rights and permissions in line with EU regulations while working with AI-driven service providers on co-creation and testing.

In Germany, the Fraunhofer-led node is focused on AI for power distribution systems and is developing a near-realistic cyber-physical model to benchmark AI performance in congestion management and distributed energy resource integration against traditional engineering approaches.

Alberto Dognini, project coordinator of EPRI Europe, Ireland, wrote in an Enlit news item: ‘Together, these four nodes form the backbone of AI-EFFECT’s mission to make AI a trusted partner in Europe’s energy transition.’ He added: ‘From optimising multi-energy systems to enabling secure data sharing and improving grid resilience, these nodes will accelerate innovation while reducing risk for operators and consumers alike.’

AI-EFFECT is also sharing its work through public-facing initiatives, including the EPRI Current Podcast. In the episode ‘Exploring the AI-EFFECT on Europe’s Energy Future’, participants discuss the architecture and building blocks supporting distributed nodes across multiple countries and examine how the TEF could shape the future of Europe’s energy systems.

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Anthropic outlines AI agent workflows for scientific computing

Anthropic has published a post describing how AI agents can be used in multi-day coding workflows for well-scoped, measurable scientific computing tasks that do not require constant human supervision. In the article, Anthropic researcher Siddharth Mishra-Sharma explains how tools such as progress files, test oracles, and orchestration methods can be used to manage long-running software work.

Mishra-Sharma writes that many scientists still use AI agents in a tightly managed conversational loop, while newer models are enabling the assignment of high-level goals and allowing agents to work more autonomously over longer periods. He says this approach can be useful for tasks such as reimplementing numerical solvers, converting legacy scientific software, and debugging large codebases against reference implementations.

As a case study, the Anthropic post describes using Claude Opus 4.6 to implement a differentiable cosmological Boltzmann solver in JAX. Boltzmann solvers such as CLASS and CAMB are used in cosmology to model the Cosmic Microwave Background and support the analysis of survey data. According to the post, a differentiable implementation can support gradient-based inference methods while also benefiting from automatic differentiation and compatibility with accelerators such as GPUs.

The post says the project required a different workflow from Anthropic’s earlier C compiler experiment because a Boltzmann solver is a tightly coupled numerical pipeline in which small errors can affect downstream outputs. Rather than relying mainly on parallel agents, Mishra-Sharma writes that this kind of task may be better suited to a single agent working sequentially, while using subagents when needed and comparing results against a reference implementation.

To manage long-running work, the article recommends keeping project instructions in a root-level ‘CLAUDE.md’ file and maintaining a ‘CHANGELOG.md’ file as portable long-term memory. It also highlights the importance of a test oracle, such as a reference implementation or existing test suite, so that AI agents can measure whether they are making progress and avoid repeating failed approaches.

The Anthropic post also presents Git as a coordination tool, recommending that the agent commit and push after every meaningful unit of work and run tests before each commit. For execution, Mishra-Sharma describes running Claude Code inside a tmux session on an HPC cluster using the SLURM scheduler, allowing the agent to continue working across multiple sessions with periodic human check-ins.

One orchestration method described in the article is the ‘Ralph loop,’ which prompts the agent to continue working until a stated success criterion is met. Mishra-Sharma writes that this kind of scaffolding can still help when models stop early or fail to complete all parts of a complex task, even as they become more capable overall.

According to the post, Anthropic’s Claude worked on the solver project over several days and reached sub-percent agreement with the reference CLASS implementation across several outputs. At the same time, Mishra-Sharma notes that the system had limitations, including gaps in test coverage and mistakes that a domain expert might have identified more quickly. He writes that the resulting solver is ‘not production-grade’ and ‘doesn’t match the reference CLASS implementation to an acceptable accuracy in every regime’.

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ITU to host AI for Good Global Summit in Geneva

The International Telecommunication Union (ITU) will organise the AI for Good Global Summit from 7 to 10 July 2026 at Palexpo in Geneva, Switzerland, according to an official announcement by the Swiss authorities.

On 6 and 7 July, the United Nations Global Dialogue on AI Governance will take place ahead of the summit. The dialogue is convened within the framework of a UN General Assembly resolution and will bring together policymakers, experts, and representatives of civil society to discuss approaches to AI governance.

The events will be held in parallel with the World Summit on the Information Society (WSIS) Forum (from 6 to 10 July), which focuses on issues related to digital cooperation and the development of the information society.

According to the official announcement, the co-location of these events is intended to facilitate exchanges between technical and policy communities working on AI and digital governance.

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EU Market Integration Package prompts feedback from Circle

Circle has submitted feedback to the European Commission on its proposed Market Integration Package, aiming to strengthen capital markets integration and supervision across the EU.

The response praises digital finance reforms while recommending refinements to support institutional adoption and liquidity growth. Key recommendations include reforming the DLT Pilot Regime with adaptive thresholds, a clear path to permanent legislation, and accelerated updates.

Circle also calls for broader use of MiCA-compliant e-money tokens (EMTs) in securities settlement, ensuring alignment with the CSD Regulation and considering non-EU-issued stablecoins for cross-border interoperability.

The company urges careful calibration of centralised supervision under the European Securities and Markets Authority, focusing on systemic crypto firms and reducing administrative complexity for smaller providers.

Legal certainty regarding the use of EMTs as collateral is also highlighted, enabling the EU markets to remain competitive globally.

Circle emphasises the potential of clear and proportionate regulation to bridge traditional finance with on-chain infrastructure. The company positions regulated stablecoins like USDC and EURC as key tools for modernising Europe’s capital markets and unlocking new efficiency and liquidity.

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Sora strengthens AI video safety through consent and traceability controls

OpenAI has outlined a safety framework for Sora that embeds protections into how AI-generated video content is created, shared, and managed.

The system introduces visible and invisible provenance signals, including C2PA metadata and watermarks, designed to ensure that generated media can be identified and traced.

The framework emphasises consent and control. Users can generate video content from images of real individuals only after confirming they have permission, while the ‘characters’ feature enables controlled use of personal likeness, with the ability to revoke access at any time.

Additional safeguards apply to content involving minors or young-looking individuals, with stricter moderation rules and enforced watermarking.

Safety mechanisms operate across the entire lifecycle of content. Generation is subject to layered filtering that assesses prompts and outputs for harmful material, including sexual content, self-harm promotion, and illegal activity.

These automated systems are complemented by human review and continuous testing to address emerging risks linked to increasingly realistic video and audio outputs.

The system also introduces protections specific to audio and user interaction. Generated speech is analysed for policy violations, and attempts to replicate the style of living artists or existing works are restricted.

Users of Sora retain control over their content through reporting tools, sharing settings, and the ability to remove material, reflecting a broader approach that aligns AI-generated media with safety, transparency, and accountability standards.

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AI investment reshapes euro area markets and financial systems

Philip R. Lane, Member of the Executive Board of the ECB, highlighted in his speech at the ECB-SAFE-RCEA International Conference on the Climate-Macro-Finance Interface (3CMFI) that € area firms with high AI intensity have experienced stronger revenue growth, operating margins, and earnings per share.

The advantage narrows when financial institutions are excluded, and internal funding remains essential, as well-capitalised firms are more likely to adopt AI while smaller firms face investment barriers.

European venture capital and private credit are growing but remain far below US levels, limiting start-up scaling and prompting some to relocate abroad.

Banks are embracing AI extensively, particularly for fraud detection, marketing, chatbots, and credit scoring. Proprietary tools are mostly developed in-house, while specialised external providers support cybersecurity and regulatory reporting.

AI boosts operational efficiency, risk assessment, and credit pricing, yet concentration in a few frontier firms and rising reliance on market-based finance introduce potential financial risks.

Lane noted that monetary policy implications are uncertain, as AI may enhance productivity and incomes differently depending on whether it is labour- or capital-augmenting.

High capital expenditure and increased energy demand during AI adoption could add inflationary pressure, while global concentration of AI activity in the US and China may limit domestic investment, influencing the € area’s natural rate of interest.

The European Central Bank is systematically integrating AI into its analytical and operational environment. Machine-learning tools support forecasting, scenario analysis, and extraction of signals from alternative data, while workflow automation and agentic AI enhance efficiency and reduce manual workload.

The ECB’s digitalisation programme aims to scale AI across business processes, ensuring technology complements expert judgement while maintaining reliability, traceability, and accountability.

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NVIDIA introduces infrastructure-level security model for autonomous AI agents

OpenShell, an open-source runtime introduced by NVIDIA, is designed to support the secure deployment of autonomous AI agents within enterprise environments.

According to NVIDIA, OpenShell applies security controls at the infrastructure level rather than within the model or application layer. The runtime ensures that each agent operates inside an isolated sandbox, where system-level policies define and enforce permissions, resource access, and operational constraints.

The company states that such an approach separates agent behaviour from policy enforcement, preventing agents from overriding security controls or accessing restricted data.

OpenShell enables organisations to define and monitor a unified policy layer governing how autonomous systems interact with files, tools, and enterprise workflows.

Additionally, OpenShell forms part of the NVIDIA Agent Toolkit and is complemented by NemoClaw, a reference stack designed to support the deployment of continuously operating AI assistants.

NVIDIA indicates that the system can run across cloud, on-premises, and local computing environments, while maintaining consistent policy enforcement.

The company also reports collaboration with industry partners, including Cisco, CrowdStrike, Google Cloud, and Microsoft Security, to align security practices for AI agent deployment. Both OpenShell and NemoClaw are currently in early preview.

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Licence revocations hit unregistered crypto firms in Canada

Canada has increased crypto oversight, revoking registrations for nearly three dozen firms due to compliance failures. The move follows investigative reporting that uncovered widespread irregularities in the sector.

The Financial Transactions and Reports Analysis Centre of Canada removed 23 companies in one week, adding to previous actions against about a dozen other crypto firms.

Officials described the shift as part of a broader effort to address risks tied to virtual currencies, including fraud and money laundering.

Findings from the International Consortium of Investigative Journalists’ investigation highlighted clusters of crypto businesses operating without proper registration, particularly in Toronto.

Many of these services reportedly focused on converting digital assets into cash, raising concerns about gaps in oversight and compliance with anti-money laundering rules.

Authorities also flagged suspicious transaction patterns, including activity linked to wallets allegedly associated with Iran-backed groups. While regulators have promised further action, analysts warn that delayed enforcement and structural weaknesses may continue to expose the system to illicit financial flows.

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Sydney set to become hub for AI innovation with Oracle centre

Oracle has launched the AI Customer Excellence Centre (AI CEC) in Sydney to help organisations adopt and scale AI technologies across Australia and Oceania. The centre will act as a hub for collaboration and skills, letting businesses test AI solutions in real-world settings.

The AI CEC provides access to Oracle and partner technologies, with flexible deployment options through Oracle Cloud Infrastructure (OCI). Organisations can receive training, test early-stage AI innovations, and pilot proof-of-concept projects in secure cloud environments.

The centre supports industries such as healthcare, public sector, financial services, and telecommunications, helping companies accelerate AI adoption while improving efficiency and decision-making.

Experts highlight the centre’s potential to bridge the gap between AI experimentation and measurable business impact. Rising compute demand shows AI moving from pilots to production, while hands-on testing helps organisations reduce risk and validate initiatives.

Oracle plans to continue collaborating with governments, partners, and industry to ensure responsible, secure, and trustworthy AI adoption, reinforcing Australia’s position as a leader in the digital economy.

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Tokenised assets set to transform European capital markets

Piero Cipollone, Member of the Executive Board of the ECB, at an event on ‘Building Europe’s integrated digital asset ecosystem: from vision to implementation,’ highlighted Europe’s progress in tokenised financial markets.

Since 2021, European issuers have placed nearly €4 billion in DLT-based fixed-income instruments, including the first digital sovereign debt by EU Member States. Eurosystem trials in 2024 processed €1.6 billion in transactions, showing strong demand for central bank money settlement in digital markets.

Tokenisation enables the full lifecycle of transactions on distributed ledgers, often automated through smart contracts.

Fragmentation across DLT platforms and the absence of a widely accepted on-chain settlement asset are holding back market expansion. Private assets, including stablecoins, carry volatility and credit risks, making a central bank money anchor crucial.

The Pontes platform, launching in Q3 2026, is expected to provide secure settlement across DLT platforms and TARGET services, supporting features like smart contracts and 24/7 operation.

The Appia roadmap outlines a longer-term vision for an integrated European tokenised ecosystem by 2028, covering technical standards, interoperability, collateral management, and cross-border connectivity.

Collaboration between the public and private sectors is critical. Feedback from 64 industry participants shaped Pontes, while Appia engages stakeholders to establish standards and ensure interoperability.

Harmonised legal frameworks are equally important to reduce post-trade fragmentation and support seamless asset transfers across EU Member States. Without coordinated laws, tokenised markets risk inefficiency despite advanced technology.

Europe is building momentum but faces intense global competition. Secure settlement, stakeholder collaboration, and legal harmonisation could make the EU a leader in digital finance with a single tokenised market.

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