Groups Take Trump Administration to Court Over Illegal Craig Coal Plant Extension

Public interest organizations today filed a challenge in federal court to overturn the Trump administration’s illegal emergency order extending the life of Colorado’s Craig Unit 1, a coal-burning power plant. By unnecessarily keeping the unit online, the order threatens to raise utility customers’ electric bills and worsen air quality for surrounding communities.

The state of Colorado also filed its own challenge to the Trump administration order today.

“Clean energy resources like solar are the most affordable way to meet Colorado’s energy needs while protecting communities harmed by pollution from fossil fuels like coal plants,” said Kate Bowman, Vote Solar’s West Senior Regulatory Director. “The DOE’s orders are unjustifiable — keeping these coal plants open puts communities’ physical health and financial stability at risk. Decisions about Colorado’s energy future should be based on what’s best for residents, not political ploys.”

Today’s petition for review, filed in the D.C. Circuit Court of Appeals, follows the Department of Energy’s denial of the groups’ January request for rehearing. The request for rehearing was filed in response to DOE’s December 30, 2025 202(c) order, which prevented the planned retirement of Unit 1. The unit was already out of service due to a valve failure and had been scheduled to retire just one day later. DOE’s order forces the plant to remain available for 90 days and operate at the direction of regional grid authorities, and may be renewed.

“Orders from the federal government forcing coal units to remain open will increase energy costs for no public benefit,” said Margaret Kran-Annexstein, director of Colorado Sierra Club. “The Trump administration is actively shutting down wind and solar projects across the country and eliminating renewable jobs — all while claiming that we have an electricity shortage. If this administration truly cared about increasing the supply of affordable electricity, they would stop trying to upend wind and solar projects and stop propping up dirty and expensive coal units that were scheduled to close.”

DOE’s order was not requested by Craig’s co-owners or any of their state level regulators. In fact, Tri-State and Platte River became the first utility companies to request a rehearing of a Trump administration 202(c) order, arguing that the order is unlawful and amounts to a taking of private property. The utilities warn that the order causes them to incur costs for which billpayers will ultimately pick up the tab.

“Forcing this coal unit to stay online needlessly jacks up electricity bills and toxic pollution,” said Ted Kelly, director and lead counsel for U.S. clean energy at Environmental Defense Fund. “This Craig unit is extremely costly, highly polluting and unreliable — just recently breaking down from an equipment failure. Families and businesses shouldn’t have to pay out of their pockets to keep coal plants on life support when more reliable, cheaper and cleaner energy options are available.”

The DOE order for Craig is one of several issued by the Trump administration to prevent the long-planned retirement of some of the dirtiest and oldest coal-burning power plants across the country. Similar orders have been issued for plants in Michigan, Indiana, and Washington.

Craig’s co-owners have already incurred costs to repair the failed valve, and keeping the unit available for operation requires ongoing maintenance and staffing expenditures. Those costs are likely to be borne by electricity customers in Colorado and nearby states. A member of the White House’s National Energy Dominance Council recently admitted that “all costs end up on ratepayers” when utilities are required by the federal government to keep coal plants online.

“The state of Colorado, utility companies, environmental organizations, and communities across our state all agree that keeping Craig Unit 1 open is a bad idea,” said Leslie Coleman, senior attorney with Earthjustice’s Rocky Mountain office. “The Trump administration’s illegal order serves only the coal industry. For Coloradans, it will deliver nothing but higher energy bills and more pollution.”

Earthjustice, on behalf of Vote Solar, filed today’s petition for review alongside Sierra Club and Environmental Defense Fund.