Aircraft Engine Repurposing and the US Data Centre Power Gap

Industry Insights from Next Move Strategy Consulting

As electricity demand in the United States accelerates under the weight of data centre expansion, an unexpected energy discussion has emerged from the Arizona desert. A new analysis by the US Energy Information Administration (EIA) examines whether engines from retired US military aircraft could be repurposed to support mounting power requirements, reframing the long-standing role of America’s aircraft “Boneyard.”

Located at Davis-Monthan Air Force Base, the Aerospace Maintenance and Regeneration Group (AMARG) has for decades housed thousands of retired military aircraft. Once seen purely as the final chapter for aging airframes, the facility is now being evaluated as a potential source of stationary power generation, driven by the urgent need for deployable electricity capacity.

From Retired Airframes to Theoretical Megawatts

According to the EIA’s Today in Energy briefing, engines from retired US military aircraft could theoretically provide up to 40,000 megawatts (MW) of electricity generation capacity around 10% more than Arizona’s current total generating capability. The agency stresses that this figure represents technical potential rather than an immediately available solution, highlighting the conceptual nature of the assessment.

The analysis arrives as electricity demand increasingly outpaces grid expansion. Data centres supporting artificial intelligence and cloud computing are scaling rapidly, while grid connection timelines stretch into multiple years in some regions. Against this backdrop, power sources that can be deployed faster than conventional infrastructure are drawing heightened attention.

Turbine Categories Shape the Opportunity

As of March 2025, roughly 4,000 retired military aircraft are stored at AMARG, powered historically by four main turbine categories: turbojets, turbofans, turboshafts, and turboprops. The EIA excludes older turbojets and afterburning turbofans from its estimates, citing efficiency limitations and design differences relative to stationary power systems.

Even with these exclusions, the remaining engine inventory suggests notable scale. Turbofan engines account for the majority of estimated capacity, with a potential contribution of around 32,000 MW. These engines align closely with aeroderivative gas turbines, which adapt aircraft engine cores for ground-based power generation. The EIA draws parallels between legacy aviation engines such as the CF6 and commercial power turbines derived from similar designs, while noting that conversion, refurbishment, and optimisation add cost and complexity.

Smaller Engines, Different Economics

Beyond turbofans, helicopter turboshaft engines could collectively contribute approximately 1,600 MW, based on an estimated 1,100 engines in storage. However, with average outputs under 1.5 MW per unit, the EIA suggests modern reciprocating engines may often be more economical for comparable applications.

Turboprop engines, including those used on aircraft such as the C-130 Hercules, occupy a middle ground. After translating mechanical output into electrical terms, the EIA estimates these engines could represent up to 7,300 MW of cumulative capacity.

Practical Constraints Temper the Outlook

Throughout the analysis, the EIA avoids overstating feasibility. Many aircraft were retired more than a decade ago, with engines potentially cannibalised, preserved for contingency use, or stored without clear commercial pathways. Extracting, transporting, refurbishing, and certifying these engines for power generation would require significant investment, time, and regulatory alignment.

Aircraft Engines Already Enter the Data Centre Equation

While the military dimension is exploratory, the broader concept is already present in commercial energy markets. Data centre developers are increasingly deploying refurbished aircraft engines as interim power solutions amid shortages of new gas turbines and prolonged grid delays. These aeroderivative systems are valued for rapid deployment timelines and operational flexibility, often serving as temporary “bridging power” until permanent connections are established.

Reframing the Boneyard’s Role

Rather than presenting retired military engines as a replacement for new power plants or grid investment, the EIA positions them within a broader discussion about resilience and speed in an energy system under strain. Viewed through this lens, the Boneyard evolves from a symbol of surplus into a catalogue of industrial assets whose relevance may now be measured in megawatts rather than flight hours.

Next Move Strategy Consulting’s View Point

According to Next Move Strategy Consulting, the EIA analysis underscores a growing shift in how energy resilience is defined. As data centre growth collides with infrastructure constraints, unconventional assets such as retired aircraft engine market are being reconsidered not as permanent solutions, but as strategic enablers of flexibility. While practical and economic barriers remain significant, the discussion highlights a wider industry trend: speed of deployment and adaptability are becoming as critical as efficiency in meeting near-term power needs.

In this context, aircraft engine repurposing reflects a broader rethinking of legacy assets within modern energy systems where value is increasingly determined by responsiveness to demand rather than original design intent.

Source: Aerospace Global News

Prepared by: Next Move Strategy Consulting