Texas Governor Declares Diesel Emergency Amid Global Oil Shock

Governor Greg Abbott declared a statewide diesel emergency and disaster in Texas on September 29, 2026, after diesel prices reached record highs of nearly $6 per gallon. The proclamation covers all 254 counties and suspends state restrictions and penalties for using dyed off-road fuel on public highways for 30 days to reduce costs for agricultural and freight operations. The order also increases the allowed gross vehicle weight to 95,000 pounds for vehicles transporting fuel, timber, or agricultural products by suspending certain oversize and overweight permitting requirements.

Abbott requested that U.S. Environmental Protection Agency Administrator Lee Zeldin temporarily waive federal ultra-low sulfur diesel requirements and Texas Low Emission Diesel program specifications to expand fuel supplies. While state penalties for dyed fuel use are suspended, federal IRS penalties and underlying fuel taxes remain in effect.

The price surge is driven by oil transit disruptions in the Strait of Hormuz resulting from a war in Iran. Other states have implemented similar relief measures; Georgia Governor Brian Kemp suspended the state fuel excise tax, and California Governor Gavin Newsom authorized an early switch to cheaper winter-blend gasoline. Newsom has criticized the Trump administration, stating that the conflict in Iran has driven up global oil prices and that the federal government has failed to protect working families from the crisis.