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Communities unite to oppose coal plant policy keeping expensive operations running: 'Unjust and unreasonable'

They've taken the challenge to court.

The 1,560-MW coal-fired J.H. Campbell plant in West Olive, Michigan, has faced controversy over an alleged energy emergency.

Photo Credit: iStock

A coalition of industrial, business, and environmental groups in Michigan is challenging a proposal that would require them to cover the costs of a coal power plant kept online past its scheduled retirement date.

The Department of Energy claimed that the Midcontinent Independent System Operator faced an "energy emergency," according to Utility Dive, which summarized the dispute over the fate of the 1,560-megawatt coal-fired J.H. Campbell plant in West Olive, Michigan. 

The plant was originally scheduled to close on May 31, but the DOE issued a 90-day emergency order keeping it online until Nov. 19, with additional extensions possible. 

Groups like the Sierra Club and Earthjustice, along with Michigan's attorney general, are challenging the order in court, asserting that there is no emergency. 


Further, a coalition of groups representing customers claims that the grid operator's proposal to recoup costs fails to meet the ratemaking principle that parties pay for the costs that they cause, according to Utility Dive. 

"Given that the Campbell units are being retained for capacity and resource adequacy purposes under the DOE Order, using an energy based load ratio share instead of a demand based load share deviates from cost causation principles and therefore, is unjust and unreasonable," the groups said.

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