Energy, Oil & Gas

Wärtsilä, TGES join forces on Japan data centre power

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Technology group Wärtsilä and Tokyo Gas Engineering Solutions (TGES) have signed a Memorandum of Understanding (MoU) to jointly evaluate power supply solutions for data centres in Japan.

Signed in Helsinki in August 2026, the agreement comes as demand for data centre capacity accelerates, driven by the expansion of artificial intelligence and cloud computing.

Grid connection constraints and lengthy power procurement timelines are also prompting developers to consider on-site and off-grid power solutions.

Under the MoU, Wärtsilä and TGES will assess gas- or dual-fuel engine-based generation solutions for selected data centre projects under development by TGES in Japan.

The companies will develop initial technical concepts, establish performance parameters and assess project feasibility.

The collaboration will combine TGES’s local market and project development expertise with Wärtsilä’s experience in developing power plant concepts for data centres.

“As AI adoption accelerates, delivering reliable power quickly is becoming a critical factor in enabling new data centre development. Wärtsilä has an evolving role in Japan’s energy market, and this collaboration with TGES will support both parties’ ability to meet the technical requirements and scope for powering data centre projects. By combining our respective strengths, we can evaluate solutions that provide the flexibility, scalability and speed required to support Japan’s growing digital infrastructure needs”, says Anders Lindberg, President of Wärtsilä Energy and Executive Vice President of Wärtsilä.

Wärtsilä said its engines can provide continuous primary power while using less water and fuel than traditional alternatives such as gas turbines.

Their rapid ramp-up capability can support reliable power availability, while modular designs allow capacity to be expanded as data centre electricity demand increases.

The companies said the collaboration will explore solutions capable of addressing the speed, reliability and scalability requirements associated with Japan’s expanding digital infrastructure market. -OGN/TradeArabia News Service