Court voids DOE order keeping Michigan coal plant open
Rule ChangesUnanimous ruling finds the agency misused wartime emergency powers to block a state-approved shutdown
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Overview
Updated 56 minutes agoA federal appeals court canceled the Department of Energy's order forcing an aging Michigan coal plant to keep running. The unanimous decision said the agency used a wartime emergency power to override a retirement plan approved by the plant's owner, Michigan regulators, and the regional grid operator.
The J.H. Campbell plant operated 450 days past its planned shutdown under the order, extended four separate times. The ruling sets precedent for challenges to similar DOE orders that kept other coal plants online to meet electricity demand from data centers.
Why it matters
The Energy Department can no longer override state-approved plant retirements just by declaring an emergency—a tool it used to keep coal plants running.
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People Involved
Organizations Involved
The federal agency that used emergency powers to force coal plants to keep operating.
Owns and operates the J.H. Campbell Generating Plant in West Olive, Michigan.
Timeline
May 2025 September 2026
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DC Circuit vacates the DOE order
Today LegalUnanimous panel rules DOE exceeded its emergency authority; no fix on remand possible.
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Fourth extension reaches 450 days
Regulatory actionTotal forced operation hits 450 days under the emergency order.
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Third extension of the order
Regulatory actionDOE extends order a third time, citing persistent conditions.
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Second extension keeps Campbell running
Regulatory actionDOE again extends forced operation into winter months.
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First extension of emergency order
Regulatory actionDOE extends the 90-day order, citing continued emergency conditions.
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DOE issues emergency order for Campbell plant
Regulatory actionAgency invokes Federal Power Act Section 202(c) days before Campbell's scheduled retirement.
Historical Context
3 moments from history that rhyme with this story — and how they unfolded.
Youngstown Sheet & Tube v. Sawyer (1952)
President Truman ordered the federal government to seize steel mills to prevent a strike he said would cripple Korean War production. He cited his powers as commander in chief without explicit congressional authorization.
The Supreme Court ruled 6–3 that the president lacked authority to seize private industry, and operations returned to the companies.
Youngstown became a foundational precedent limiting presidential power, establishing that the executive cannot manufacture emergencies to override statutes.
Like Youngstown, this case tests whether an administration can use emergency powers to force private industry to act against approved plans and established law.
DOE emergency orders during Texas winter storm (2021)
During Winter Storm Uri, the Department of Energy issued Section 202(c) orders to keep certain generators running and relax emissions limits. The orders were tied to a genuine, short-lived crisis that left millions without power.
The orders helped some plants operate during rolling blackouts.
The episode showed 202(c) working as a short-term crisis tool used for days, not as a multi-year policy instrument.
The DC Circuit contrasted this history with DOE's 450-day compulsion of the Campbell plant, which had no sudden emergency at its base.
West Virginia v. EPA (2022)
The Supreme Court ruled the Environmental Protection Agency exceeded its authority when it set generation-shifting rules without clear congressional approval, invoking the major questions doctrine.
The Court limited EPA's ability to reshape electricity generation through broad readings of its statutes.
The decision reinforced that agencies need explicit congressional authorization for decisions with major economic and political weight.
Both cases confine federal agencies to their statutory lanes when their actions reach into energy policy that states traditionally control.
