AG Nessel Seeks to Protect Michigan Customers from Costs of DOE’s Unlawful Emergency Order Forcing Continued Operation of Coal Plant

LANSING – Michigan Attorney General Dana Nessel today filed a Motion to Intervene and Protest (PDF) at the Federal Energy Regulatory Commission (FERC) seeking to protect Michigan customers from unnecessary costs stemming from the Department of Energy’s (DOE) order forcing Consumers Energy to continue to operate its J.H. Campbell coal plant in West Olive that was scheduled to retire last month. The filing comes in response to Consumers Energy’s request that the costs of complying with the DOE’s emergency order should be distributed across the majority of the 15-state region overseen by the Midcontinent Independent System Operator (MISO), which monitors and facilitates the sharing of energy between the states. 

The Attorney General’s filing requests FERC to reject Consumers Energy’s request on the grounds that the DOE’s order forcing Consumers Energy to run the coal plant is invalid and exceeds its authority under the Federal Power Act. Earlier this week, Attorney General Nessel also filed a rehearing request challenging the DOE’s arbitrary and illegal order seeking to stop the plant’s planned retirement. Alternatively, should FERC allow cost recovery, Attorney General Nessel argues the Commission should impose consumer safeguards on the running of the coal plant and that such costs should be spread across the entire MISO region given the DOE’s claim that the emergency condition effects the whole 15-state area. 

“This unprecedented order of the Department of Energy arbitrarily shifts potentially enormous costs onto customers for no real benefit,” Nessel said. “As a result, my office is challenging DOE’s unlawful emergency order while simultaneously protecting customers from paying for it.” 

Under the Federal Power Act, the DOE has 30 days to respond to the Attorney General’s request. There is no specific timeline for FERC to act on Consumers Energy’s complaint. 

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