​U.S. Department of Energy (DOE) Secretary Chris Wright recently called coal "the MVP during peak capacity events this past year."

He signed a fifth consecutive emergency order keeping the J.H. Campbell plant in Michigan running through August 2026. The DOE's stated basis is a Midwest reliability emergency.

The Midcontinent Independent System Operator (MISO) data tells a different story. The 2026/27 capacity auction cleared up 4.8 GW year over year, with 142.6 GW of system summer offered capacity. The North American Electric Reliability Corporation's (NERC) 2026 Summer Reliability Assessment finds MISO "is not anticipating operational or reliability issues" this summer.

Replacement capacity in MISO's interconnection queue already exceeds the coal capacity DOE is preserving. Instead of costly coal plants, developers in MISO are building BESS, solar, and natural gas plants to safely meet surging demand across the region.

Key takeaways

• The DOE has issued five emergency orders under the Federal Power Act to delay the retirements of five MISO coal plants. The orders preserve roughly 2.5 GW of MISO coal, none of which was requested by MISO, the utility, or the state regulator.
• In 2026, MISO’s contracted capacity grew 4.8 GW year over year with 5.6 GW of capacity additions, especially interconnected solar projects.
• Consumers Energy reported $180 million in continued-operation costs at Campbell through end of March, roughly $615,000 per day. Costs flow to all ratepayers through MISO's transmission-tariff footprint, not Michigan-only retail rates.

DOE rationale does not reflect coal plant behavior in MISO

To defend the emergency order, Secretary Wright notes Campbell "ran daily during Winter Storm Fern." That is normal for a coal power plant with relatively long ramp rates and was required as part of the emergency order.

But before retirement the plants were not running to meet baseload demand. Historical capacity factors from 2020 to 2025 averaged 24% at Culley 2, 33% at Schahfer 17, and 26% at Schahfer 18. Those capacity factors are closer to an intermittent wind project than a baseload power plant.

However, MISO held firm during Winter Storm Fern with forced outage rates below 10% and coal did not serve as the “emergency” resource during the stress event. Instead, it was flexible natural gas, not coal, that ramped during volatile moments across MISO.

MISO does not need the coal plants to meet short-term demand

DOE's Resource Adequacy Report also warns "power outages could increase by 100 times in 2030." However, that claim is not supported in national reliability studies.

NERC's 2026 Summer Reliability Assessment finds MISO adequately resourced due to increased solar and battery buildouts. The Anticipated Reserve Margin sits above the 12% Reference Margin Level.

MISO does not need these coal units to meet its reliability requirements. The DOE orders exclude the preserved units from MISO's capacity market, and the reserve margin already clears without them. The plants generate energy under emergency authority, but the system planning framework treats them as if they have retired.

MISO’s increased buildout is reflected in a 42% YoY drop in capacity prices. Resource additions are outpacing the system's tightest hours, especially in the shoulder months of 2026 when the coal plants were forced to operate at a loss.

Costs are passed on to ratepayers through MISO tariffs

By the end of March 2026, Consumers Energy reported $180 million in losses for operating Campbell beyond retirement. This is alongside $221 million repaid through MISO rates, meaning consumers are on the hook of $400 million due to the emergency order.

The three Indiana units are losing $229,000 per day for the initial 90-day order. In addition to operating costs, a further $156 million in capital expenditure is needed if the orders extend through 2030.

Replacement capacity already exceeds the preserved coal by zone

In MISO Local Resource Zone 6 (Indiana and Kentucky), the DOE is preserving 951 MW of coal across Schahfer and Culley. Schahfer 18 has been physically offline since July 2025 and is still not operational. The plant requires roughly six months of repairs before it can safely reopen, with costs passed to MISO ratepayers.

Instead, NIPSCO has filed an interconnection agreement for a 2.7 GW natural gas project at the same Schahfer site. NIPSCO also filed a 527 MW battery project at the site.

Together, the new fast-tracked projects form 3.3 GW of filed replacement for the 0.95 GW plant. While the coal plant are operating, these new technologies may not be developed.

In Local Resource Zone 7 (Michigan), DOE is preserving 1,560 MW at Campbell. Modo Energy's buildout forecast projects 12.5 GW of new capacity in the zone through 2031. That includes 3.1 GW of battery energy storage.

MISO-wide, the same forecast projects 68 GW of new generation against 10 GW of retirements through 2031.

Further coal retirements are replaced by BESS, solar, and gas

The 2.5 GW preserved by current orders is the first wave of planned retirements.

MISO has another 8 GW of coal retirements scheduled through 2031, out of roughly 10 GW of total fleet retirements. Retirements peak at 3.9 GW in 2028.

The DOE's 90-day emergency orders are not a structural answer to demand growth and preserve aging plants one season at a time. These federal orders may lead to increased electricity rates and delayed projects in MISO, if they continue.

Instead, battery energy storage, solar, and natural gas serve MISO's customers at lower cost and with more flexibility than the preserved coal.