Attorney General Ellison challenges unlawful Trump administration move to force Indiana coal-fired power plants to continue operating beyond retirement dates

A similar action in Michigan has already cost ratepayers an additional $134 million

April 3, 2026 (SAINT PAUL) — Attorney General Keith Ellison and Illinois Attorney General Kwame Raoul today challenged unlawful “emergency” orders the Trump administration issued as part of its ongoing efforts to claim powers it does not have, all while dismantling environmental protections and eroding progress states have made to move toward more affordable clean, renewable energy sources. Copies of the filings are available here: F.B. Culley Generating Station (Culley) R.M. Schahfer Generating Station (Schahfer)

In particular, states have long planned for how they want to provide electricity to the grid, and have entered into long-standing arrangements to retire old, uneconomical, and dirty coal-burning plants in favor of newer sources. However, the Trump administration is ordering these derelict plants—on the eve of their retirement—to run anyway. This comes at a significant loss that will be passed on to Minnesota rate payers. The administration already tried this with a coal plant in Michigan, which we know now will cost ratepayers an additional $134 million (see “J.H. Campbell Emergency Order” under item 8, note 3), on top of the bills they’ve already paid, for just six months of operations. And now the administration is trying the same thing at two more plants in Minnesota’s electric region.

On his first day in office, President Trump issued executive orders declaring an unlawful “national energy emergency” and “terminating the Green New Deal.” Building on those objectives, U.S. Department of Energy (DOE) Secretary Chris Wright issued emergency orders in December 2025 that would halt the retirements of costly coal units at two Indiana power plants: R.M. Schahfer (Schahfer) power plant in Wheatfield, Indiana and F.B. Culley (Culley) generating station in Newburgh, Indiana. The “emergency” orders, which were extended March 23, require the midwestern electricity grid operator to work with the owners of the power plants to ensure the plants remain available for operation despite needing significant and expensive maintenance.

“It makes no sense for the federal government to force old, out-of-date, expensive, and polluting coal plants to continue operating far past when they were supposed to shut down,” said Attorney General Ellison. “This is not an issue of affordability versus sustainability. Continuing to operate these plants will ultimately raise energy costs for ratepayers, which is why the state of Indiana, which is not exactly a bastion of progressive environmental policy, was working to retire them. In addition to this being foolish from an economic and environmental standpoint, Donald Trump doesn’t even have the legal authority to order these plans to continue operating. I’m suing to stop this unlawful action and prevent the Trump administration from raising Minnesotans’ energy costs and increasing pollution that leads to climate change.”

Section 202(c) of the Federal Power Act gives the DOE secretary authority to take temporary control of the nation’s electricity system during emergency situations. Until now, that authority has predominantly been invoked during wartime or natural disasters. The DOE’s orders were issued in 2025, long before the war with Iran. According to Ellison and Raoul, the orders declare an emergency based on an alleged shortage of electric energy generation when no evidence of a shortage exists. Even if an emergency existed, the attorneys general argue, the orders impose several requirements that are inconsistent with and exceed the DOE’s legal authority.

The Schahfer plant is located near the shore of Lake Michigan, while the Culley plant is located on the shore of the Ohio River. According to the Ellison and Raoul, the DOE did not have substantial evidence or engage in reasoned decision making when declaring the existence of an emergency. The orders cite a “potential” for insufficient capacity that “could” result in a need for mitigation far in the future– and without referencing any actual existing or imminent emergency during the timeframe in which the 90-day order would be in effect. Even if an emergency during that timeframe, the attorneys general point out that there is no evidence the coal plants could reasonably address any emergency need, because they are inefficient, in disrepair, and operate on a long timetable.

The plants were slated for retirement due to their age, inefficiency, and need for upkeep and/or repair. The units experienced deferred maintenance leading up to their planned retirement, and they require significant overhauls and upkeep costs to continue running. Plus, they had spend down their fuel in the run-up to retirement. By ordering the grid operator and the plant owners to take all necessary steps to make the coal plants available to produce electricity, the plants will have to run all the time.  This requires significant maintenance and fuel costs, which will passed along to Minnesota ratepayers.

Additionally, coal-fired power plants emit hazardous and toxic pollution including mercury and particulate matter, not to mention greenhouse gas emissions that cause climate change. Extending the operations of the plants beyond their planned retirement dates increases the amount of pollution emitted in the region, harming the economy, public’s health and welfare, and ecological resources like the Great Lakes.

Earlier this week, Ellison and a coalition filed a lawsuit challenging the Trump administration’s repeal of the 2024 Mercury Air Toxics Standards Rule and reversion to outdated standards that jeopardize public health and the environment. This lawsuit challenging the administration’s illegal use of authority to keep undesirable, unwanted, expensive, and polluting coal plants online is just one more necessary effort to protect Minnesotans from harmful executive overreach.