NTT Data, 4R Energy, and Nissan Trading Partner to Turn Data Center UPS Systems into Grid Assets
June 25, 2026
NTT Data, 4R Energy, and Nissan Trading Partner to Turn Data Center UPS Systems into Grid Assets
As data centers face mounting pressure to reduce their environmental footprint and support grid stability, a new partnership between NTT Data, 4R Energy, and Nissan Trading is exploring a novel approach: converting existing uninterruptible power supply (UPS) systems into flexible grid resources. The initiative aims to transform backup batteries typically used only during outages into assets that can actively participate in energy markets and demand response programs.
The three companies have announced a strategic collaboration to develop technology and business models that allow data center UPS batteries to discharge stored energy back to the grid during peak demand periods. By leveraging Nissan Trading’s expertise in energy trading and 4R Energy’s experience in battery lifecycle management, the partnership intends to create a scalable system that turns idle capacity into a revenue-generating resource. NTT Data will contribute its digital infrastructure and systems integration capabilities to manage the real-time energy flows.
The scale of the opportunity is significant. Data centers globally house millions of UPS batteries, representing gigawatt-hours of stored energy that are typically underutilized. The partnership estimates that even a fraction of this capacity could provide substantial grid relief during peak hours, reducing the need for fossil-fuel peaker plants. The companies will initially focus on pilot projects in Japan, where grid constraints and renewable energy integration are pressing issues.
The initiative also aligns with broader industry trends toward circular energy systems and decarbonization. By repurposing existing battery infrastructure, the approach avoids the capital expenditure of building new energy storage facilities while extending the economic life of UPS systems. Industry analysts note that if successful, this model could be replicated globally, turning data centers from passive energy consumers into active participants in the energy transition.
Source: w.media
