Appeals court hears states' case to end Energy Dept's emergency order to keep open aging coal plants

A federal appeals court will hear a case Friday in which a coalition of states and nonprofits will argue the Energy Department's emergency order to keep open aging coal plants is illegal and that no such emergency exists.

The case is being brought by Michigan, Minnesota, Illinois and nine nonprofit groups.

The case focuses on one plant, J.H. Campbell in West Olive, Mich., but has implications for five plants.

The Trump administration began issuing orders last year to keep the five plants open past their scheduled closures, citing an “energy emergency” – particularly rising energy demands – that it said threatened the reliability of the U.S. electricity supply, according to The New York Times.

But critics say the emergency orders are not environmentally friendly and keeping the plants open is cost hundreds of millions of dollars, much of which will be ratepayers will pay.

In Washington, the Centralia plant, operated by the power company TransAlta, reported nearly $20 million in costs during the first three months of the emergency order, even though it has not burned coal since the directive was issued in December 2025, The Times also reports.

The states and nonprofit groups also argue that the Energy Department has not justified its use of emergency orders.