Abbott declares disaster in Texas over diesel prices, waives restrictions on commercial shipping

Gov. [KSAT 12]

Governor Greg Abbott invoked emergency powers Monday to combat skyrocketing diesel fuel costs that threaten Texas agriculture and transportation industries. The 30-day disaster proclamation, renewable at the governor's discretion, grants Abbott authority to temporarily suspend certain commercial transportation regulations that normally govern Texas roads.

The escalating fuel prices stem from international conflicts that have disrupted petroleum supplies. Diesel costs in Texas have climbed dramatically from $3.30 per gallon in early February to an average of $5.86 per gallon, according to AAA data released as Abbott announced his declaration.

Under the emergency order, Abbott expanded allowances for dyed diesel—a fuel chemically identical to standard pump diesel but colored red—to be used on public roadways. Typically restricted to off-road agricultural and construction equipment, dyed diesel avoids federal and state fuel taxes, making it considerably cheaper than road-legal alternatives. The proclamation also temporarily relaxed Texas emissions standards within federal limits and increased maximum weight allowances for commercial loads carrying fuel, crops and timber.

Abbott requested that the U.S. Environmental Protection Agency waive its ultra-low sulfur diesel requirements to boost available supply. The governor noted the actions would help reduce expenses across farming operations, trucking corridors and ultimately consumer grocery bills, where elevated fuel costs translate to higher food prices. "Texas agriculture and freight run on diesel," Abbott stated. "Record prices put both industries at risk and raise costs for every Texas family."

The disaster declaration preserves existing fuel taxes—currently 20 cents per gallon on both gasoline and conventional diesel. By increasing the supply of fuel available for commercial use, Abbott's order aims to bring market prices down without eliminating state revenue mechanisms.

Diesel price increases have rippled through the global economy following geopolitical tensions. Seven months prior to Abbott's proclamation, coordinated military strikes by the U.S. and Israel on Iran triggered sustained disruptions in Middle Eastern oil and natural gas exports, contributing to elevated petroleum prices worldwide.