Texas Governor declares disaster over diesel prices and flood threats

Texas Governor Greg Abbott has declared a statewide disaster to address record-high diesel prices and fuel shortages. The 30-day proclamation aims to provide relief to the agriculture and freight industries by temporarily expanding the use of tax-exempt, red-dyed diesel on public roads. Additionally, the order increases the allowable weight for vehicles hauling fuel, agricultural products, and timber to up to 95,000 pounds, suspending certain state oversize and overweight permitting requirements.

To further boost supply, Abbott has requested that the U.S. Environmental Protection Agency (EPA) waive federal ultra-low sulfur diesel requirements and Texas Low Emission Diesel (TxLED) rules. While the order allows for the use of dyed diesel, it does not waive the underlying 20-cent-per-gallon motor fuel tax.

Separately, Texas is facing a significant weather threat. State officials have issued warnings for heavy rainfall and potential flash flooding across large portions of the state, including West Texas, the Panhandle, and areas near Dallas, San Antonio, and Austin. Governor Abbott has activated additional state emergency resources, including 1,900 responders, to prepare for the incoming storm system.