Sabey Tests Renewable Fuel for Austin Backup Generators
The operator is trialing 100 percent waste-based hydrotreated vegetable oil as a diesel substitute at its Round Rock campus.
Updated on Oct. 30, 2026 in Data Centers
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Sabey Data Centers has begun testing hydrotreated vegetable oil (HVO) as a diesel replacement for backup generators at its campus in Round Rock. This initiative evaluates the feasibility of using a 100 percent waste-based fuel as a drop-in substitute for conventional diesel in existing power infrastructure.
Why it matters
Data center operators are under increasing pressure to reduce the environmental impact of emergency power systems, which typically rely on fossil fuels. This pilot aims to validate whether HVO can effectively support long-term, high-capacity operations without requiring major mechanical overhauls.
The fuel consists of 100 percent waste-based feedstock and is designed as a direct drop-in substitute for conventional diesel. Sabey is testing this fuel across its Austin-area generators, which support a campus expected to reach an 84MW capacity.
The players
Sabey Data Centers
An operator of mission-critical data center infrastructure with 50 years of experience in the industry.
The details
Hydrotreated vegetable oil (HVO) is a renewable paraffinic diesel produced by hydroprocessing—a chemical process that uses hydrogen to remove impurities from fats and oils. Because it is chemically similar to fossil-based diesel, the fuel can be used in standard compression-ignition engines without significant mechanical changes. This pilot is testing how current generator hardware handles the fuel under real-world operating conditions.
Timeline
October 2024: The first phase of the Round Rock data center campus launched.
2025: Sabey Data Centers broke ground on the second phase of the Round Rock campus.
October 2026: Sabey Data Centers began testing HVO in Austin backup generators.
The Tech Race
This pilot follows industry-wide efforts to replace fossil fuels in emergency power systems, such as the May 2026 pilot conducted by Bridge DC and EcoCeres. Sabey is now testing whether this transition can scale across its portfolio without disrupting the reliability requirements of an 84MW campus.
This testing has no immediate effect on utility or power availability for local users in Austin and Round Rock. If successful, the shift could eventually reduce the carbon footprint associated with large-scale data center operations in the region.
The takeaway
The move demonstrates a growing industry focus on finding drop-in decarbonization strategies for existing mechanical assets. Interested parties should watch for future announcements regarding whether Sabey adopts HVO permanently or expands the fuel source to other data centers in its portfolio.
Further reading
For more on the infrastructure supporting local operations, see Data Centers.
Source note: This article includes information reported by Datacenterdynamics.
Live Poll
Should major companies prioritize switching to renewable fuels for their backup power systems?
