US appeals court strikes down Trump emergency order keeping Michigan coal plant open
A federal appeals court ruled on Friday that the Department of Energy exceeded its statutory authority by invoking emergency powers to prevent the retirement of Michigan's 64-year-old J.H. Campbell coal plant.
Court rejects federal emergency powers
A three-judge panel of the U.S. Court of Appeals for the District of Columbia Circuit ruled unanimously on Friday to invalidate a Department of Energy emergency order keeping a Michigan coal plant open. The court determined that the agency exceeded its authority under Section 202(c) of the Federal Power Act, which permits emergency interventions during wartime or sudden electrical shortages. Previous administrations had invoked the provision for brief periods of several days during severe weather events, rather than extended operational mandates. Writing for the panel, Judge Cornelia Pillard characterized the statutory mechanism as a narrow, last-resort security measure and observed that the administration failed to demonstrate a genuine crisis.
Our reading of the text, structure, and history leaves us unpersuaded by DOE's sweeping conception of its 'emergency' authority.
Planning and costs at the Campbell facility
The lawsuit focused on the 64-year-old J.H. Campbell Generating Plant in West Olive, Michigan, operated by Consumers Energy. The utility had planned to shut down the uneconomic facility in May 2025 after securing approval from state regulators and the regional grid operator, the Midcontinent Independent System Operator. The transition plan aimed to replace the facility with less polluting electricity sources at lower costs without creating supply shortfalls. Continued operation under five consecutive 90-day emergency orders cost Consumers Energy $295 million between May 2025 and June 2026, according to the Michigan attorney general's office. In reviewing the plant's impact, the court cited estimates indicating that ongoing emissions from the facility contribute to 30 deaths annually.
- President Donald Trump declares national energy emergency by executive order
- Department of Energy issues emergency order blocking the planned retirement of the Campbell plant
- Department of Energy extends the Campbell emergency directive through November 14
- DC Circuit Court of Appeals unanimously strikes down the Department of Energy order
Scope of the federal energy directives
The order formed part of an administrative effort initiated after Donald Trump issued a January 2025 executive order declaring a national energy emergency due to growing power demand from artificial intelligence and data centers. Under Energy Secretary Chris Wright, the Department of Energy argued that aging power stations were needed to ensure regional electrical reliability. Federal officials applied emergency powers to prolong operations at coal plants in Michigan, Indiana, Colorado, Washington state, and Florida, as well as an oil and gas facility in Pennsylvania. Hours after the appeals court issued its ruling on Friday, Wright announced a separate emergency order to keep open a coal plant in Centralia, Washington, which had been scheduled to close at the end of 2025.
Legal coalition and utility response
Michigan filed the federal lawsuit against the orders, joined by Illinois, Minnesota, and environmental advocacy organizations including Earthjustice. The coalition argued that the federal government improperly encroached on state authority over electrical generation planning.
The DOE needs to stay in its lane and use its emergency powers only in actual emergencies. Preventing the market-driven retirements of coal plants to advance a coal-friendly agenda is not a proper use of emergency powers.
Consumers Energy spokesperson Brian Wheeler said the utility is reviewing the ruling while continuing to comply with the existing 90-day order that keeps the Campbell plant operating. That latest administrative extension had prolonged the plant's operational mandate through November 14.
