A federal appeals court on Friday rejected the Trump administration’s order requiring Michigan’s J.H. Campbell coal plant to remain open, delivering a major setback to the administration’s effort to extend the lives of aging coal facilities. The U.S. Court of Appeals for the District of Columbia Circuit ruled that Energy Secretary Chris Wright had not shown that federal intervention was necessary when he ordered the plant to continue operating in May 2025, just days before its scheduled retirement. The court said the Energy Department’s emergency authority under the Federal Power Act applies when there is a risk of serious harm from an inadequate electricity supply that requires immediate federal action — not when the department simply prefers a particular power source over state planning decisions. Judge Cornelia Pillard, writing for a three-judge panel, said the department’s interpretation could allow federal officials to select power sources in Michigan or elsewhere and order them to operate without following state reliability procedures and other legal safeguards. Chief Judge Sri Srinivasan and Judge Robert Wilkins joined the decision. The ruling is a victory for Michigan and Illinois, as well as environmental organizations that challenged the order. It also could shape the outcome of three other cases before the same court involving federal directives to keep six coal plants operating beyond their retirement dates. Michael Lenoff, an Earthjustice attorney representing the challengers, called the decision a rejection of what he described as the administration’s misuse of emergency powers. “Preventing the market-driven retirements of coal plants to advance a coal-friendly agenda is not a proper use of emergency powers,” Lenoff said in a statement. He said the groups would continue challenging similar orders if the Energy Department issued them. The department initially ordered the Campbell plant to operate for 90 days and repeatedly extended the directive. The law cited by Wright gives the energy secretary authority to keep power facilities running during emergencies such as wartime disruptions or natural disasters. The Justice Department declined to comment on the ruling. The administration could ask the full appeals court to reconsider the decision or appeal to the Supreme Court. Consumers Energy, which owns the Campbell plant, said it was reviewing the ruling. The utility said it would continue complying with the current 90-day Energy Department order while that review takes place and would ultimately follow the law. The company also said it would work to ensure that customers and other beneficiaries of electricity from the plant across the Midwest pay their appropriate share of its operation. The plant’s forced extension has become a political flash point in Michigan. Republicans initially welcomed the federal intervention, while Democrats argued that the administration was improperly overriding state authority to preserve coal generation despite market-driven retirement plans. Friday’s ruling strengthens the Democrats’ position as the debate continues in state politics.