Sixth Circuit to Hear $100M Air Pollution Appeal From DTE Energy

Federal judges in the Sixth Circuit will determine the fate of a $100 million fine levied against DTE Energy for air pollution on Detroit's Zug Island.

In February 2026, U.S. District Judge Gershwin Drain ordered DTE to pay the penalty, alleging that its subsidiary EES Coke Battery violated the Clean Air Act. The plant produces metallurgical coke for steelmaking by heating coal, a process that releases sulfur dioxide gas. The EPA added DTE and two other subsidiaries to the lawsuit, arguing they are responsible for the excess emissions.

DTE Energy has appealed the decision, contending that it is not directly liable for the violations committed by the subsidiary. The company further argued that the financial burden of the fine combined with the cost of installing new pollution control systems would force the EES Coke Battery to shut down.

The dispute has tangible effects on local residents in River Rouge, Ecorse, and southwest Detroit. Dustin Blitchok, managing editor of Planet Detroit, noted that the pollution is visible and olfactory. He stated, 'When you're driving down I-75 or Jefferson Ave. and you see that flame shooting up from Zug Island, that is the flare stack that is burning off excess sulfur dioxide.'

Residents in the 48217 ZIP code, historically one of the most polluted communities in the United States, have reported health impacts. Teresa Landrum, a long-time resident, testified at the civil trial that she limits outdoor activity due to a burning sensation in her eyes and lungs. Blitchok added that this summer's wildfire smoke exacerbated the conditions, making breathing difficult for those with pre-existing issues.

A three-judge panel at the U.S. Sixth Circuit Court of Appeals is scheduled to hear arguments in December 2026. The outcome will determine whether the $100 million fine stands and how the emissions from the plant are managed moving forward.