Evolving to Meet AI-Era Data Center Power Demands: A Conversation with Rehlko CEO Brian Melka

On the latest episode of the Data Center Frontier Show Podcast, we sat down with Brian Melka, CEO of Rehlko, to explore how the century-old mission-critical power provider is reinventing itself to support the new realities of AI-driven data center growth.

Rehlko, formerly known as Kohler Energy, rebranded a year ago but continues to draw on more than a century of experience in power generation and backup systems. Melka emphasized that while the name has changed, the mission has not: delivering reliable, scalable, and flexible energy solutions to support always-on digital infrastructure.

Meeting Surging AI Power Demands

Asked how Rehlko is evolving to support the next wave of data center development, Melka pointed to two major dynamics shaping the market:

• Unprecedented capacity needs driven by AI training and inference.
• New, “spiky” usage patterns that strain traditional backup systems.

“Power generation is something we’ve been doing longer than anyone else, starting in 1920,” Melka noted. “As we look forward, it’s not just about the scale of backup power required — it’s about responsiveness. AI has very large short-duration power demands that put real strain on traditional systems.”

To address this, Rehlko is scaling its production capacity fourfold over the next three to four years, while also leveraging its global in-house EPC (engineering, procurement, construction) capabilities to design and deliver hybrid systems. These combine diesel or gas generation with battery storage and short-duration modulation, creating a more responsive power backbone for AI data centers.

“We’re the only ones out there that can deliver that breadth of capability on a full turnkey basis,” Melka said. “It positions us to support customers as they navigate these new patterns of energy demand.”

Speed to Power Becomes a Priority

In today’s market, “speed to power” has become the defining theme. Developers and operators are increasingly considering building their own power plants to keep pace with hyperscale demand — in many cases, flipping the traditional model to make the grid the backup rather than the primary source.

Melka noted further how beyond standardization, modularization is enabling a building block approach. Rehlko recently announced the acquisition of Wilmott Group’s Wiltech division, which manufactures “ePods” — modular systems that integrate generators, UPS systems, switchgear, and power electronics into pre-assembled, rapidly deployable units.

“The big advantage is speed and the ability to get in place quickly,” Melka stated. “You can drop them in as needed and expand over time.” Rehlko plans to extend Wiltech’s UK-based capability to global markets.

“We’ve had to change how we think about modularization, how we think about supply chain, how we think about project management,” Melka explained. “The Wiltech acquisition lets us take a system approach — integrating batteries, generators, switchgear, controls — into repeatable modules that can move faster than ever before.”

Rethinking Diesel, Emissions, and Alternatives

While sustainability pressures are driving exploration of fuel cells and alternative fuels, Melka underscored that diesel remains central to mission-critical reliability.

“There’s no more cost-effective, power-dense, reliable way to provide backup power than a diesel generator,” he said.

Rehlko has also been proactive in greening this segment. The company was the first in the world to certify all its diesel engines and generators on HVO (hydrotreated vegetable oil) fuel, which delivers a 90% reduction in carbon emissions compared to conventional diesel.

“That means even in a mission-critical backup situation, operators can pursue a significantly more sustainable solution,” Melka added.

Navigating Constraints: Noise, Density, and Community

As data centers move closer to urban centers and campuses grow larger, new constraints are reshaping how energy systems are deployed.

“Noise becomes a huge issue. Emissions become a huge issue. Fuel sourcing and delivery become a huge issue,” Melka said. “These are the challenges our engineering teams are solving for every day — whether it’s with enclosures, fuel strategies, or hybrid architectures that lessen runtime.”

Rehlko’s ability to manage full project delivery — from engineering and manufacturing to construction and ongoing service — has become a differentiator as customers face increasingly complex permitting, siting, and community engagement hurdles.

Agnostic Approach to the Energy Mix

Melka described Rehlko’s positioning as technology-agnostic, focused on helping customers find the right mix of solutions — from diesel and natural gas engines to batteries, fuel cells, and beyond.

“Our customers need partners who aren’t locked into one answer,” he said. “They need someone who can integrate multiple technologies, deliver at scale, and stand behind the system for the long term. That’s what Rehlko has built its reputation on for over 100 years, and it’s what will carry us forward in the AI era.”

Looking Ahead

As AI accelerates demand for larger, denser, and more responsive digital infrastructure, Rehlko is betting on a strategy that combines scale, speed, and flexibility. By expanding production, embracing modularization, greening its generator portfolio, and staying agnostic on technologies, the company aims to remain a cornerstone of mission-critical power in the decade ahead.

“We’re helping customers navigate an environment that’s moving faster than anyone’s ever seen,” Melka said. “The need for trusted, proven, but also innovative partners has never been greater — and that’s where we’re focused.”

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At Data Center Frontier, we talk the industry talk and walk the industry walk. In that spirit, DCF Staff members may occasionally use AI tools to assist with content. Elements of this article were created with help from OpenAI's GPT5.

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