CMS Energy Corp
CMS-B
3
exclusion reasons
2 themes
This page is part of our public exclusion list — a transparency tool that shows which companies we screen out and why. It is not investment advice, and it is not an accusation. But it is subject to change as our understanding of the facts evolves.
CMS Energy, through its subsidiary Consumers Energy, operates the J.H. Campbell coal-fired power plant in Michigan. The plant has been the subject of multiple consecutive U.S. Department of Energy emergency orders under Section 202(c) of the Federal Power Act, which have compelled its continued operation. In July 2025, Michigan Attorney General Dana Nessel filed an appeal challenging the legality of these orders, arguing they exceed the DOE's statutory authority and illegally extend the plant's life. A subsequent court challenge filed in December 2025 marked the first-ever legal action against the DOE's use of this authority.
As of June 2024, CMS Energy carried a recorded liability of $44 million related to the potential environmental cleanup of its co-owned Ludington Pumped Storage facility, indicating legacy environmental obligations tied to its operations. While the company publicly promotes a "Cleaner, Leaner Vision" and a multi-billion dollar capital plan aimed at transformation, its ongoing legal and operational entanglement with coal-fired generation remains a material part of its business profile.
CMS Energy’s principal subsidiary, Consumers Energy, has a documented history of environmental violations and liabilities stemming from its operations. In 2014, the company reached a settlement with the U.S. Environmental Protection Agency and Department of Justice to resolve alleged violations of the Clean Air Act, agreeing to spend approximately $2 billion on system upgrades and environmental mitigation projects. As of June 2024, CMS Energy carries a recorded environmental liability of $44 million for ongoing remediation and compliance obligations.
ViolationTracker documents multiple enforcement actions against the company for breaches of federal environmental regulations. These include alleged violations concerning air emissions, such as smoke density limits, from its coal-fired generating facilities. The company also maintains long-term obligations for site remediation, such as operating and maintaining systems to address historical contamination at properties managed by its CMS Land subsidiary.
Research Sources
1 organization
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Companies appear on our exclusion list based on our investment judgment — not because they've done anything illegal. This is a difference of values and opinion, not an accusation of wrongdoing. Exclusion does not constitute a recommendation against investing in any company, and absence from the list does not constitute a recommendation to invest.
This information is provided for educational and transparency purposes only and should not be relied upon as investment advice. Data is drawn from independent watchdogs, NGOs, government registries, and Ethical Capital's ongoing research — see Research Sources for the full list.
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