HEDGE-IoT proposes a novel Digital Framework which aims to deploy IoT assets at different levels of the energy system (from behind-the-meter, up to the TSO level), to add intelligence to the edge and cloud layers through advanced AI/ML tools and to bridge the cloud/edge continuum introducing federated applications governed by advanced computational orchestration solutions. The HEDGE-IoT Framework will upgrade the RES-hosting capacity of the energy systems and will unleash a previously untapped flexibility potential. It will increase the resilience of the grid, create new market opportunities and promote advances in IoT standardization, by introducing and managing a plethora of diversified, interoperable energy services over scalable and highly distributed data platforms and infrastructure. The multi-dimensional framework of HEDGE-IoT comprises the following pillars: (a) the Technology Facilitator Pillar will exploit the computational sharing by offloading applications on the grid edge, towards providing a set AI/ML federated learning and swarm computing applications; (b) the Interoperability Pillar, which leverages on leading-edge interoperable architectures, such as the Data Space architectures; (c) the Standardisation Pillar will enable all involved platforms, systems, tools and actors to seamlessly communicate and exchange data in standardized formats using widely used standards, such as SAREF, etc.; (d) the Digital Energy Ecosystem Enabling Pillar will ensure the creation of an ecosystem facilitating the increased integration of RES and characterised by resilience. Liaisons with EU initiatives for IoT and digitalisation will be established (e.g., the AIOTI) and the engagement of stakeholders will be ensured by addressing IoT ethics and cultivating trust among end-users, thus promoting inclusivity. Scalability and replicability studies will be performed and connections with innovators and SMEs will be established through the Open Call mechanism of the project.