Wärtsilä to Supply 429MW Gas Turbines for US Data Center Power Plant
February 3, 2026
The relentless expansion of data centers, driven by artificial intelligence and cloud computing, is placing unprecedented demands on power grids, creating a critical need for new, flexible, and reliable generation capacity. This dynamic is fueling significant deals between power equipment manufacturers and utilities to build dedicated infrastructure. Finnish technology group Wärtsilä has announced a major agreement to supply 429 megawatts (MW) of natural gas-fired generating capacity for a new power plant in the United States, which will be dedicated to serving a data center. The order, signed in the first quarter of 2026, involves 24 of Wärtsilä’s 50SG gas engines, each with a capacity of approximately 18.3 MW. The plant is owned and operated by an undisclosed investor-owned utility. Risto Paldanius, Vice President for the Americas at Wärtsilä Energy, highlighted the urgency behind such projects, stating, “The extreme surge in data center growth requires reliable electricity, creating an urgent need for increased grid capacity across the US.” The company emphasized that its engines are designed for fast-start operation, high efficiency, and flexible grid support, making them suitable for backing up intermittent renewable sources. The new facility is scheduled to commence commercial operations between late 2028 and early 2029. This contract marks Wärtsilä's continued strategic push into the data center power market. Just months prior, in November 2025, the company signed a deal to supply 507 MW of natural gas generators to an unnamed US data center developer. Wärtsilä, headquartered in Helsinki, is a leading global power systems provider with a total installed capacity of around 79 GW worldwide, including 6 GW in the US market. In a related industry development, Swedish manufacturer Volvo Penta has launched a new natural gas engine, the G17, specifically designed for the data center market. The 17-liter engine delivers around 450 kWe and is engineered to operate on both conventional and renewable natural gas, offering a lower-emission option for backup and prime power. Kristian Vekas, Product Manager for Industrial Power Generation at Volvo Penta, noted, “The energy transition isn’t one-size-fits-all. It requires multiple technologies and fuel pathways working in parallel.” The move by both companies underscores a broader industry trend where data center operators and their power partners are exploring flexible, gas-fired generation as a bridge solution to ensure grid stability and meet soaring electricity demands while navigating the longer-term transition to cleaner energy sources.
Source: datacenterdynamics
