DC Circuit Court Rejects Federal Order to Keep Michigan Coal Plant Open, Citing Overreach of Emergency Powers
The U.S. Court of Appeals for the DC Circuit has ruled that the Energy Department exceeded its authority by using emergency powers under federal law to prevent the closure of the J.H. Campbell coal-fired power plant in Michigan. The plant was slated for retirement, but the Energy Department intervened, citing a national energy emergency declared by President Trump in January 2025 due to increased demand from artificial intelligence and data center growth. States including Michigan, Minnesota, and Illinois, along with environmental groups such as the Sierra Club and the Environmental Defense Fund, challenged the federal order. The court, in an opinion written by Judge Cornelia T.L. Pillard, found that the Energy Department's interpretation of emergency intervention under the Federal Power Act was too broad, stating it would allow the department to dictate power sources in any state without regard for existing state-level reliability planning processes.