The U.S. Court of Appeals for the D.C. Circuit determined on Friday that the Department of Energy lacked legal justification for ordering the J.H. Campbell coal-fired power plant in Michigan to remain operational beyond its scheduled closure date. The plant, which had operated for 64 years, was set to retire last May when the Trump administration invoked emergency provisions under the Federal Power Act to extend its operation. Judge Cornelia Pillard wrote in the ruling that the emergency statute functions as “a narrow, last-resort backstop,” implying it cannot be used as broadly as the administration attempted.
The administration had declared a national energy emergency on the president’s first day in office in 2025, instructing federal agencies to employ emergency powers to boost energy production, particularly from fossil fuel sources. The court’s decision represents one of the first successful legal challenges to how the administration has wielded these emergency authorities. Environmental advocates emphasized that while the ruling does not eliminate the concept of an energy emergency, it substantially constrains how such declarations can be applied in practice.
Since remaining open, the Michigan facility has generated significant emissions, including 1,000 tons of nitrogen oxides, 2,000 tons of sulfur dioxide, and 140 tons of particulate matter through late June. Environmental groups estimate these emissions could contribute to approximately 100 new asthma cases among the 3,000 residents near the plant in West Olive. The plant’s continued operation has also accumulated expenses of $259 million, which the operator, Consumers Energy Company, is attempting to recover from ratepayers across Michigan and 10 additional states.
The court ruling does not mandate immediate plant closure. Environmental organizations anticipate either voluntary administration compliance or potential court-ordered shutdown, though the administration could delay proceedings by requesting a rehearing or Supreme Court review. Multiple lawsuits challenging other fossil fuel plants kept online by similar orders had been suspended pending this decision. Legal observers noted that because the cases rely on comparable arguments, the D.C. Circuit’s precedent requiring genuine emergency circumstances could significantly impact pending litigation.
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