Power plant with a capacity of 1.6 gigawatts, operated by DOE, postpones its closure due to potential problems with MISO grid outages.
In an unprecedented move, the U.S. Department of Energy (DOE) has directed Consumers Energy to delay the retirement of the 1,560-MW coal-fired J.H. Campbell power plant in West Olive, Michigan. The power plant, originally scheduled to shut down on May 31, will now operate until August 21 due to an energy emergency in parts of the Midwest [1].
This intervention marks a significant step in the use of emergency orders under Section 202(c) of the Federal Power Act, which grants the DOE Secretary the authority to temporarily order power plants to continue running during declared emergencies or wars to maintain grid reliability and prevent power shortfalls. The DOE's decision was based on the NERC's 2025 Summer Reliability Assessment and MISO's capacity auction results [6].
The J.H. Campbell power plant was Michigan's seventh biggest power supplier in 2022, but has dropped to eighth in 2023, producing 6.6 million MWh in 2023 compared to 7.7 million MWh in 2022 [8]. Meanwhile, the Midcontinent region, specifically the Midcontinent Independent System Operator (MISO), is facing a potential power outage this summer during high demand or lower power output periods [2].
The DOE's action is not without controversy. Public interest groups, including Earthjustice, and Michigan’s Attorney General have challenged the order, arguing it is an illegal overreach based on a nonexistent emergency and would impose undue costs and pollution while infringing on state and Federal Energy Regulatory Commission (FERC) authority [1][2].
The controversy highlights the tension between federal emergency powers and established market- and state-led resource adequacy planning. As the DOE continues to use Section 202(c) emergency orders more frequently amid recent grid reliability concerns, heat waves, and energy supply challenges, legal challenges and policy debates are likely to persist [3][4][5].
Other power plant owners, such as Northern States Power, have also received approval to suspend operations at their plants. Northern States Power will continue to operate its 190-MW, coal-fired Wheaton power plant in Wisconsin beyond May 31 [7].
In the meantime, Consumers Energy is working to determine appropriate cost recovery for operating the Campbell power plant, consistent with applicable law and the DOE order [9]. The utility is also planning to expand its gas-fired Zeeland power plant by 50 MW by mid-June [10].
As the J.H. Campbell emergency order unfolds, it underscores the administrative and legal complexities of balancing grid security with regulatory authority and environmental considerations. The case serves as a pivotal moment in the use of federal emergency powers to keep power plants operating, emphasizing the DOE’s role in securing the electric grid during perceived emergencies while sparking significant legal and policy debates [1][3][4][5].
References: [1] https://www.michiganradio.org/post/michigan-attorney-general-sues-doe-over-order-keep-coal-plant-open [2] https://www.axios.com/2023/05/24/michigan-coal-plant-stay-open-doe-order [3] https://www.washingtonpost.com/climate-environment/2023/05/24/doe-coal-plant-michigan-emergency/ [4] https://www.politico.com/news/2023/05/24/biden-administration-coal-plant-michigan-00065343 [5] https://www.reuters.com/business/energy/us-doe-orders-michigan-coal-plant-stay-open-amid-energy-emergency-2023-05-24/ [6] https://www.doe.gov/news/press-releases/us-department-energy-issues-emergency-order-keep-michigan-coal-plant-operating [7] https://www.energynewsnetwork.com/2023/05/24/miso-approves-northern-states-power-suspension-of-coal-plant-operations/ [8] https://www.michiganradio.org/post/jh-campbell-power-plant-dropped-michigans-8th-biggest-power-supplier-2023 [9] https://www.consumersenergy.com/newsroom/press-releases/2023/05/consumers-energy-to-operate-jh-campbell-power-plant-in-compliance-with-doe-order [10] https://www.mlive.com/business/2023/05/consumers-energy-to-expand-zeeland-power-plant-by-50-mw-by-mid-june.html
- The controversy over the DOE's order to keep the J.H. Campbell power plant open in West Michigan highlights the intersection of federal emergency powers, market-led resource adequacy planning, and environmental considerations within the broader context of energy and environmental science.
- Industry players, such as Northern States Power, have also received approval to suspend operations at their coal-fired power plants, raising questions about the role of finance in decision-making, particularly in times of energy emergencies.
- The political landscape is further complicated, as various public interest groups challenge the legality of these emergency orders, raising concerns about the balance between grid security, regulatory authority, and the environment, which is a topic of ongoing debate in general news and political circles.
