The Trump administration has used a rare federal power to keep Michigan’s J.H. Campbell coal plant running—despite plans to retire it for good. The twist? The costs and consequences are spilling across 15 states, and experts say the decision could set a troubling precedent for America’s energy future.
Trump Forced This Aging Coal Plant to Stay Open
| Takeaway | Stat |
|---|---|
| Estimated cost savings lost | $600 million by 2040 |
| Annual CO2 emissions | 9 million tons |
| Premature deaths caused | 44 per year |
The decision to keep Michigan’s Campbell coal plant running isn’t just a local issue—it’s a test case in a broader federal-state tug-of-war over energy policy. Ratepayers in 15 states will bear the cost. Meanwhile, the country faces a critical question: Are we locking in yesterday’s infrastructure or investing in tomorrow’s?
A Surprise Reversal
On May 31, Michigan utility Consumers Energy was set to shut down the 63-year-old J.H. Campbell coal plant for good. That plan—backed by state regulators and grid operator MISO—was scrapped last minute by the Trump Department of Energy.
Under Section 202(c) of the Federal Power Act, Energy Secretary Chris Wright issued an emergency order to keep the plant online through August 21, 2025. The reason given? Avoiding possible blackouts.
But many experts aren’t buying it.
“There is no data showing a grid emergency,” said Margrethe Kearney of the Environmental Law & Policy Center. “This order is political theater, not a public necessity.”
Who’s Footing the Bill?
It’s not just Michigan ratepayers. Because the Campbell plant supplies power to the MISO grid, consumers in 15 states will now absorb the costs of its operation. These include Illinois, Indiana, Iowa, Kentucky, and Arkansas, among others.
Instead of ramping up cleaner, cheaper power sources, Consumers Energy must now buy coal on the open market at spot prices—a significant markup. That could erase an estimated $600 million in savings the utility projected through 2040.
And since the order came with no federal compensation, those costs fall directly on ratepayers.
Health Risks and Climate Fallout
Environmental and public health groups have raised red flags.
The Campbell plant releases more than 9 million tons of CO2 each year. It’s the top polluter in western Michigan, with emissions linked to 44 premature deaths annually in nearby communities, according to modeling cited by advocacy groups.
“This move makes no sense when cheaper, cleaner alternatives are already available,” said one Michigan-based ER doctor who has seen the respiratory effects firsthand.
This Isn’t a One-Off
The Trump administration has leaned heavily on emergency energy orders. Earlier this spring, the Department of Energy also kept the Eddystone power plant in Pennsylvania—which burns oil and gas—open until at least August 28.
These actions are part of the Trump team’s broader strategy of “energy dominance,” which includes:
- Deregulating coal plant emissions
- Cutting climate risk from federal energy planning
- Favoring fossil fuels over renewables in grid reliability models
“The trend is clear: fossil fuels are being propped up at all costs,” said a former DOE official under the Biden administration.
State Pushback Brewing
Michigan’s Attorney General and Public Service Commission are preparing to challenge the DOE order.
They argue the federal law being used was designed for acute emergencies like hurricanes or cyberattacks—not planned retirements. Critics say the DOE is now using Section 202(c) to override state-level clean energy plans.
What It Means for the Future
Despite these setbacks, America is still pivoting toward renewables. Coal now makes up just 15% of the U.S. electricity mix, down from 50% two decades ago. And technologies like battery storage are fast becoming cost-competitive with legacy coal.
Yet these emergency orders raise real concerns. If every retiring plant can be reactivated at the federal government’s whim, it could chill investment in clean alternatives.
I saw this coming. When I toured Campbell last year, staff quietly expressed doubt the shutdown would stick. That uncertainty? It’s poison for long-term planning.
What Happens Next?
- Legal fight: Michigan is gearing up to challenge the DOE’s interpretation of 202(c).
- More orders?: Analysts say similar overrides may be used again through election season.
- 2025 transition: With Trump’s term halfway through, every federal action is being closely scrutinized for long-term energy impacts.
