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D.C. Circuit Weighs Challenge to DOE Orders Keeping Michigan Coal Plant Running

The case tests the reach of federal emergency powers over planned coal retirements.

Overview

  • The D.C. Circuit, which heard arguments Friday, is weighing a bid to void DOE emergency orders that kept the J.H. Campbell coal plant running and extended to four other plants.
  • Michigan, Minnesota, Illinois and nine nonprofit groups say the orders break the law and are unnecessary, citing a recent Midcontinent market auction that showed more capacity without the plant.
  • The administration says the orders protect grid stability as power demand rises from data centers and new factories, and notes the law lets DOE act before blackouts.
  • Challengers say DOE has renewed the Campbell directive four times and used a tool that past administrations reserved for short, local crises like storms.
  • Keeping plants online has added costs for customers, with Consumers Energy reporting at least $18 million to keep Campbell operating and TransAlta logging nearly $20 million in three months at Centralia.