Challenge to the Latest Illegal Extension of J.H. Campbell Coal Plant

(Washington, D.C. — Sept 8. 2025) Today, public interest groups challenged the Department of Energy’s (DOE) second illegal emergency order forcing the J.H. Campbell coal-fired power plant in Michigan to operate for an additional 90 days. The request for rehearing was filed with DOE in response to a new order issued on August 20.

The most recent DOE emergency order fails to offer evidence of any emergency or electricity shortage in the region. For example, on June 23 when the DOE claims that electricity from J.H. Campbell was needed, in fact there was a surplus of available resources more than ten times the amount of power being provided by Campbell, according to data from the regional transmission organization that controls the Midwest grid, MISO. (See pages 22-23 of the filing.) When demand peaked on June 23, only one Campbell unit was even producing power, as another unit had been broken for weeks and the third abruptly shut off when it was supposedly “critical” to maintaining reliability. (See pages 31-32.) Relying on unstable sources of generation with a demonstrated history of failure in times of peak demand threatens the electric grid.

In preparation for the retirement of the aging coal power plant, Consumers Energy secured more than adequate replacement power. Utility customers were already paying for more than enough power to keep the lights on when DOE Secretary Chris Wright issued a sham emergency order to force the coal plant to continue operating just days before it was to retire.

The initial DOE 90-day order cost $29 million in just the first five weeks — almost $1 million per day. Costs to comply with the order are set to be paid by ratepayers in Michigan and 10 other states (IL, IN, IA, KY, MN, MO, MT, ND, SD, and WI). There is good reason to believe $29 million reflects Consumers’ costs after accounting for any revenues earned by the plant, as Consumers says it intends to seek recovery of these costs at FERC, and the utility previously made clear to FERC that it will only seek recovery of costs after “netting out applicable market revenues.” (See pages 35-36).

According to a report released by Grid Strategies on behalf of Sierra Club and other organizations, including Earthjustice, a conservative cost estimate of this extension of the J.H. Campbell plant is nearly $140 million per year; the actual annual cost to continue to operate J.H. Campbell may be double that estimate.

Earthjustice and Sierra Club filed the latest request for rehearing with the DOE today, along with Environmental Law and Policy Center, Natural Resources Defense Council, Michigan Environmental Council, Environmental Defense Fund, Vote Solar, Union of Concerned Scientists, the Ecology Center, and Urban Core Collective. The DOE must respond to today’s motion within 30 days. If the DOE does not respond, the public interest groups will again challenge this order in court.

In June, the Sierra Club, Earthjustice, and other public interest organizations filed a rehearing request at the DOE, and most recently brought the case to the United States Court of Appeals for the District of Columbia Circuit after the DOE failed to respond. That case continues. Today is the deadline for DOE attorneys to file a motion to dismiss. 

“The Administration again tramples the long-planned retirement of an unneeded and expensive power plant,” said Michael Lenoff, Senior Attorney for Earthjustice. “This is the Trump Administration playbook – issue emergency orders without support in fact or law, and let ordinary people suffer the consequences: in this case, skyrocketing electricity bills and toxic pollution in the air and water. While propping up the dirtiest sources of electricity, this Administration is simultaneously thwarting the development of cheaper, cleaner energy from wind and solar and not acting to expand the transmission grid to bring cheaper power to more people. But the market will force the Administration’s hand and we will go to court to do so too.”

“J.H. Campbell wasn’t needed to keep the lights on this summer, and it is not about to keep the lights on this fall,” said Greg Wannier, Senior Attorney for the Sierra Club. “According to its owner though, the plant did cost Midwestern families almost $6 million every week in the first five weeks it was subject to this unnecessary and illegal extension. The real energy emergency our communities face is an affordability crisis as prices skyrocket; but that emergency is only deepening as this administration forces communities to foot the bill for its pro-fossil fuel agenda. We will continue to fight this illegal effort to prolong dirty, expensive coal and fossil generation in our communities.” 

 “Midwestern families and businesses should not be forced by the U.S. Department of Energy to pay millions of dollars in higher electricity bills for an old coal plant that is demonstrably not needed for reliability and much more expensive than sensible alternatives,” said Howard Learner, CEO and executive director of the Environmental Law & Policy Center. “There is no emergency need for this coal plant as the Michigan Public Service Commission has concluded based on the facts, especially as electricity demand drops from the hot summer to the fall.” 

“Mandating this half-a-century-old coal plant to stay open will drive up electricity bills and pollution even higher for families and businesses,” said Ted Kelly, Director and Lead Counsel for U.S. Clean Energy at Environmental Defense Fund. “It already cost nearly $30 million to keep the J.H. Campbell coal plant running for the first five weeks this summer – imagine the price shock for ratepayers after several months. This unlawful decision confirms what we already knew: utility and state leaders’ original plan to shift to cleaner, more affordable energy sources was a far better deal for people’s wallets and health. We will continue to fight this unnecessary and illegal action in court.”

“Forcing Michigan families to pay for the cost of a nonexistent ‘emergency’ with their health and their electric bills is unconscionable,” said Derrell Slaughter, Michigan Policy Director, Climate & Energy, at NRDC (Natural Resources Defense Council). “Midwesterners should not be required to subsidize the Trump Administration’s transparent effort to prop up the coal industry. This is illegal overreach. It is an economic burden for the most vulnerable that are struggling with high energy bills. We should be investing in clean, affordable, and a reliable grid that protects ratepayers and public health.”