e-Fuels for climate-friendly data centers Rolls-Royce and INERATEC launch partnership
Posted on August 05, 2025
- In anticipation of rising energy demand: INERATEC's e-Fuels will fuel emergency power systems in data centers
Rolls-Royce and INERATEC, a leading manufacturer of Power-to-X plants and climate-neutral e-Fuels, have formed a strategic partnership to decarbonize backup power for data centers. Their goal: to replace fossil diesel in emergency power systems with synthetic fuels produced from renewable hydrogen and CO2. The collaboration opens up a new and largely overlooked use case for e-Fuels in the digital age—powering critical infrastructure in an increasingly AI-driven world.
Fueling emergency power systems with e-Fuels
Data centers are among the fastest-growing energy consumers, primarily due to the increasing use of artificial intelligence. At the same time, these data centers — some of which form part of critical infrastructure — must be protected against power outages. This is precisely where the partnership between Rolls-Royce Power Systems and INERATEC comes in. The companies intend to use INERATEC's synthetic e-Diesel, which is produced using green hydrogen and CO2, as an alternative to fossil diesel for generators. Initially, the focus will be on German data centers.
Rolls-Royce Power Systems plans to support the use of INERATEC's sustainable fuels in its emergency power systems for data centers. The result is a reliable, cost-efficient, CO2-neutral solution to one of the challenges facing digital infrastructure.
“mtu backup generators from Rolls-Royce are already approved for operation with sustainable fuels. Customers in the critical infrastructure sector, such as data centers, who are aiming to reduce their carbon footprint, will soon also able to use e-fuels. We are committed to the use of e-Fuels in data centers together with INERATEC,” explained Tobias Ostermaier, President Stationary Power Solutions at Rolls-Royce Power Systems.
“The secure energy supply for AI-powered data centers is one of the defining challenges of our time. Our e-Fuels offer a climate-neutral solution that is scalable, dependable and ready for immediate deployment,” said Maximilian Backhaus, Chief Commercial Officer at INERATEC. “Together with Rolls-Royce, we’re bringing this solution to the places where it’s needed most—starting now.”
The collaboration will begin with a focused market launch in Germany. Short delivery routes from INERATEC’s ERA ONE production facility in Frankfurt will enable rapid rollout. INERATEC’s e-Fuels are produced using renewable electricity and captured CO2 and comply with internationally recognized environmental standards such as ISCC. In the long term, the two partners aim to implement their cooperation internationally.
About INERATEC
INERATEC is committed to defossilizing and decarbonizing the world. The company produces e-Fuels and e-Chemicals: carbon-neutral fossil fuel substitutes for use in the aviation, shipping and chemical industries. Its modular, scalable plants use renewable hydrogen and biogenic CO2 to produce synthetic kerosene, gasoline, diesel, waxes, methanol and natural gas. The company is based in Karlsruhe, Germany, and backed by diverse international investors.
About Rolls-Royce Holdings plc
- Rolls-Royce is a force for progress; powering, protecting and connecting people everywhere. Our products and service packages help our customers meet the growing need for power across multiple industries; enable governments to equip their armed forces with the power required to protect their citizens; and connect people, societies, cultures and economies together.
- Rolls-Royce has a local presence in 48 countries and customers in over a hundred more, including airlines and aircraft leasing companies, armed forces and navies, and marine and industrial customers.
- Through our multi-year transformation programme, we are building a high-performing, competitive, resilient and growing Rolls-Royce. We are building the financial capacity and agility to allow us to successfully develop and deliver the products that will support our customers through the energy transition.
- Annual underlying revenue was £17.8 billion in 2024, and underlying operating profit was £2.46 billion.
- Rolls-Royce Holdings plc is a publicly traded company (LSE: RR., ADR: RYCEY, LEI: 213800EC7997ZBLZJH69)5.
- Rolls-Royce Power Systems is headquartered in Friedrichshafen in southern Germany and employs more than 10,350 people. The product portfolio includes mtu-brand high-speed engines and propulsion systems for ships, heavy land, rail and defence vehicles and for the oil and gas industry. The portfolio also includes diesel and gas systems and battery containers for mission critical, standby and continuous power, combined generation of heat and power, and microgrids. With its climate friendly technologies, Rolls-Royce Power Systems is helping to drive the energy transition.
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