The U.S. Department of Energy (DOE) issued a series of emergency orders last month requiring four coal-fired power plants in the Midwest and Western United States to remain operational beyond their planned retirement dates, citing near-term reliability risks tied to rising electricity demand and accelerated generation retirements. The orders were issued under Section 202(c) of the Federal Power Act, which allows the energy secretary to direct generation during grid emergencies caused by shortages of electricity or generation capacity. All four orders cite similar drivers: growing load, limited new capacity additions, supply chain delays and heightened risk during extreme weather.
One of the coal-fired plants is the TransAlta plant in Centralia, Washington, who recently announced a new agreement to convert to natural gas. The order from DOE will keep the 730MW coal unit available for dispatch through March 16, 2026.
Two plants in Indiana were also subject to orders:
- Northern Indiana Public Service Company is required to keep the R.M. Schahfer Generating Station Units 17 and 18, each rated at approximately 423 MW, available through March 23, 2026
- CenterPoint Energy’s F.B. Culley Generating Station is required to keep Culley Unit 2, an approximately 104 MW coal-fired unit available through March 23, 2026
In Colorado, the Tri-State Generation and Transmission Association and its co-owners are required to keep Craig Station Unit 1, a 446 MW coal-fired unit, available through March 30, 2026.
All four orders require plant owners and grid operators to provide regular compliance reports to the DOE, file tariff revisions if needed and follow environmental monitoring and reporting requirements. None of the units covered by the orders may be treated as capacity resources.
The DOE said the emergency measures are temporary and tied to near-term reliability risks as new generation and transmission projects work through permitting, interconnection and supply chain constraints. The department has previously issued emergency orders to delay coal plant retirements in states like Michigan.
Read more: DOE orders more coal units to stay online under emergency authority