Renner Barsella, renner.barsella@sierraclub.org
INDIANAPOLIS - Today, the U.S. District Circuit Court for the District of Columbia ruled in favor of the Sierra Club, overturning the Department of Energy’s “emergency” order, under section 202(c) of the Federal Power Act, that forced the J.H. Campbell coal-fired power plant in Michigan to continue operating past the retirement date set by the utility and state. The court held that that law does not empower DOE to override state resource planning to pick the Department’s preferred power sources and order them to operate–DOE can only invoke section 202(c) when faced with a genuine emergency that will be unmet by the state’s own planning.
Indiana ratepayers are among those forced to carry the financial burden of Campbell. The DOE also issued 202(c) orders to NIPSCO’s Schahfer and Centerpoint’s Culley coal plants, both of which were slated to retire at the end of last year. As with the Campbell plant, there is no evidence Schahfer or Culley is imminently needed, and the DOE should stop issuing orders requiring their operation.
Sierra Club Hoosier Chapter Director Robyn Skuya-Boss said, “Hoosiers will breathe easier now that the Department of Energy’s overreach has been recognized by the DC Circuit Court.. We don’t need these plants and can’t afford unending investments in plants that were promised to retire last year. It’s time for Governor Braun, Attorney General Rokita, NIPSCO and Centerpoint to stand up for customers and challenge the illegal 202c orders issued for Indiana. We expect the DOE to follow the law, stop burdening Hoosiers, and allow utilities to move forward with plans to shift to newer clean, reliable, and cost effective alternatives.”
Just this week, activists from across Indiana gathered in the Capitol to deliver petitions, meeting with Governor Braun to ask that he and Attorney General Todd Rokita challenge President Trump’s illegal "emergency energy order" that will force Schahfer and Culley to continue burning coal at ratepayers’ expense. Today’s ruling successfully affirmed that DOE had shown no “emergency” justifying DOE’s decision to override Campbell’s retirement, strengthening the argument that Schahfer and Culley’s orders are similarly illegal and unnecessary.
In May 2025, Trump’s Department of Energy issued a last-minute “emergency order” days before the J.H. Campbell power plant was scheduled to retire. Sierra Club, and Earthjustice, Natural Resources Defense Council, Environmental Law and Policy Center, Clean Air Task Force, and Environmental Defense Fund, along with the State of Michigan, Minnesota, and Illinois successfully argued that there was no “energy emergency” at the time of the extension order, and the order was an unlawful use of Section 202(c) of the Federal Power Act.
Since the illegal order was issued, the J.H. Campbell power plant has been costing families in the Midwest region $600,000 a day to remain online. The Schahfer and Culley plants similarly cost an eye-watering $440,000 per day. The administration has also issued similar unlawful orders across the country. According to Sierra Club’s “Burning Money” tracker, these orders have cost Americans over $546 million dollars to date. The Sierra Club has filed challenges against every unlawful extension order issued by the DOE, including Schahfer and Culley in Indiana.
“Today’s ruling is a victory for families across the Midwest who are tired of paying to keep this old, expensive, and dirty power plant online,” said Sierra Club Chief Appellate Counsel Sanjay Narayan. “Instead of working to lower costs and clean up our air and water, the Trump administration has been pulling out all the stops to try to bolster dirty and expensive fossil fuels–at public expense. This reckless agenda will not succeed. We will continue to hold the Department of Energy accountable to the law, and ensure that the J.H. Campbell plant finally retires as it was scheduled to, and we will continue to fight back against the other illegal extensions across the country.
Jonah Baskin, Sierra Club Associate Attorney added, “The court held there was no basis for the Campbell 202(c) order, and there is no basis for the Schahfer and Culley orders either.”
About the Sierra Club
The Sierra Club is America’s largest and most influential grassroots environmental organization, with millions of members and supporters. In addition to protecting every person's right to get outdoors and access the healing power of nature, the Sierra Club works to promote clean energy, safeguard the health of our communities, protect wildlife, and preserve our remaining wild places through grassroots activism, public education, lobbying, and legal action. For more information, visit www.sierraclub.org.