Sabey Data Centers Tests Renewable Fuel in Round Rock
The company is piloting the use of hydrotreated vegetable oil to power backup generators at its growing local campus.
Updated on Oct. 30, 2026 in Data Centers
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Sabey Data Centers is testing hydrotreated vegetable oil (HVO) as a replacement for conventional diesel fuel in backup generators at its Round Rock campus. This pilot marks a move to reduce the environmental footprint of the company's regional power operations as the campus grows toward its expected 84MW capacity.
Why it matters
As Austin’s tech corridor expands, finding sustainable ways to power energy-intensive data centers is becoming a key operational challenge. This trial aims to determine if waste-based fuels can reliably support the backup power systems that keep critical infrastructure running during grid emergencies.
The new fuel consists of 100 percent waste-based feedstock, serving as a drop-in substitute for standard diesel. It remains unknown if this test will lead to a full-scale transition across all company facilities.
The players
Sabey Data Centers
A major data center operator that is currently developing an 84MW capacity campus in the Round Rock area.
The details
The facility is currently running performance tests to confirm that existing generators can utilize the HVO without requiring major mechanical modifications. This effort follows the launch of the campus's first phase in October 2024 and the start of construction on the second phase in 2025. Sabey Data Centers intends to evaluate these real-world results to decide whether to adopt the fuel for additional sites in its long-term portfolio.
Timeline
October 2024: First phase of the Round Rock campus launched.
2025: Ground broken on the second phase of the campus.
October 30, 2026: Testing of HVO fuel confirmed.
The Texas Context
This pilot follows a pattern set by recent industry-wide testing in Sweden, Wales, and Norway that sought to prove hydrotreated vegetable oil as a viable alternative for mission-critical power. The move mirrors global efforts to decarbonize the massive backup generator fleets currently operating across the Texas tech corridor.
Local residents near the Round Rock campus may see no changes to daily operations, as the fuel switch occurs entirely within the facility's backup power systems. The initiative is part of a larger plan to reach an 84MW capacity, which will eventually support significant regional data infrastructure.
The takeaway
This pilot underscores the ongoing effort to balance the rapid expansion of Austin-area data centers with environmental sustainability goals. Residents and industry observers should watch for future announcements on whether the company decides to fully commit to HVO across its entire portfolio.
Further reading
Learn more about the infrastructure supporting our regional tech industry on the Data Centers page.
Source note: This article includes information reported by Datacenterdynamics.
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Should major companies prioritize switching to renewable fuels for their backup power systems?
