Lawsuit challenging decisions in Palisades Nuclear Power Plant restart effort dismissed, feds say
A lawsuit that attempted to halt the restart of Palisades Nuclear Power Plant in West Michigan has been dismissed, with the judge concluding that the case was filed in the wrong court, according to the U.S. Department of Justice.
The nuclear power plant in Van Buren County's Covert Township is in the process of becoming the first shuttered nuclear power plant in the U.S. to resume service.
The DOJ said that the Nuclear Regulatory Commission decided in July 2025 to allow certain exceptions, along with requested license amendments, and an application to transfer the operating authority for Palisades, as part of the restart efforts.
A lawsuit from an environmental group coalition, filed in the U.S. District Court for the Western District of Michigan, sought to challenge those decisions. But the Justice Department said the litigation should have been filed with the US. Courts of Appeals, which actually has jurisdiction over the NRC's orders, the Justice Department said.
"We are pleased that the court left in place the NRC's exemption decision, which will allow the Palisades plant to move forward toward restart," said Principal Deputy Assistant Attorney General Adam Gustafson of the Justice Department's Energy and Natural Resources Division. "By clearing the way for this project, the court's decision advances domestic energy production and allows American communities to benefit from reliable nuclear power."
Palisades opened in December 1971, and Entergy closed the plant in May 2022. Holtec International purchased the plant in 2022 with the intent to dismantle it, but those plans changed in 2023 as a customer base built for the power supply.
With the change in direction, an extensive process of cleaning, reassembly and updates began. New nuclear fuel, for example, was delivered in fall 2025.
A target date for the restart has not been made public. But restart steps that are expected to take place later in 2026, according to a document filed with the NRC, include baseline inspections, alert and notification system testing, along with a security performance inspection.