DTE Energy is asking a federal appeals court to wipe out a $100 million fine tied to sulfur dioxide pollution from the EES Coke Battery on Zug Island.
The move revives a major legal battle over whether a powerful company can avoid responsibility while nearby Downriver, Michigan, communities continue to live with the consequences.
Here's what to know
Planet Detroit reported that DTE is again arguing that it should not be held liable because it does not operate the River Rouge facility, the same position it took during a two-week bench trial.
Through that filing, the utility is asking the Sixth Circuit Court of Appeals to reverse a February ruling that held it responsible for Clean Air Act violations at the coke oven battery.
After a September 2025 bench trial, U.S. District Judge Gershwin Drain entered final judgment on Feb. 24. His order gave DTE and three subsidiaries 90 days to pay $100 million to the federal government and 250 days to submit New Source Review permit applications.
Drain said DTE's failure to comply with the Clean Air Act let it avoid about $70 million in costs. He then applied a 1.5-times multiplier to that amount as a deterrent, resulting in the $100 million penalty. In its new filing, DTE said the penalty is too large.
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"Nothing EES Coke did warrants the largest stationary-source penalty in the CAA's history," DTE lawyers said, referring to the Clean Air Act.
The company also said that even if it is ultimately found liable, the current fine should be vacated and recalculated by the lower court.
More background
Drain concluded that DTE's role in the pollution was direct, not remote. According to Planet Detroit, he said the company exercised broad control over the heavily polluting facility, benefited from delayed compliance, and left nearby communities to bear irreversible health costs.
Federal regulators asked for a $140 million civil penalty, while DTE and its subsidiaries sought a $5 million penalty instead. DTE lawyers said the larger amount would operate like a shutdown order on Zug Island.
DTE filed its appeal on March 25, putting both the liability finding and the size of the penalty before the court.
What's being done?
Drain's order said DTE has 250 days to file New Source Review permit applications to comply with Clean Air Act requirements.
The order also requires DTE to establish a community committee within 120 days. It further directs the company to provide $20 million over seven years for air quality improvement programs.
A three-judge panel in Cincinnati is set to hear oral arguments on Dec. 17, when DTE will again try to overturn both the ruling and the penalties tied to it.
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