Community Opposition to the Texas Gas Rush

Public Citizen has a long history of supporting communities that are opposed to the development of polluting industries that threaten public health. In the early 2000s, as state leaders promoted coal as a solution to reliability concerns, Public Citizen partnered with Texans who were concerned about the prospect of new coal-burning power plants being built in their communities. We listened to their concerns, researched permit applications, shared relevant information, and assisted in arranging legal representation.

Texans face a Gas Rush supported by state leadership in the name of reliability.

The Texas Energy Fund provides $5 billion in low-interest loans and substantial completion grants for methane gas-burning electric generation. On the surface, the TEF appears to be an investment in energy generation. In reality, it’s doubling down on the grid’s dependence on methane gas, the fossil fuel that failed to keep the lights on during Winter Storm Uri. Despite the failure of the Texas Energy Fund to procure a single megawatt of capacity for the ERCOT grid, the 89th legislature allocated an additional $2.2 billion in low-interest loans and completion grants to the fund.

On August 29, 2024, the Public Utility Commission selected 17 projects totaling 9,781 megawatts (MW) to receive this taxpayer funding. The Commission received applications for 72 projects totaling 38,379 MW. Many have since dropped out due to various issues, including lack of profitability, supply chain constraints, or disagreements with the financing structures necessary for TEF disbursements. And some of those projects that weren’t selected for state funding are still planning to move forward. One project initially selected for financing from the Texas Energy Funding was subsequently disqualified due to inaccurately listing another company as a partner.

See the Texas Gas Rush projects currently tracked by Public Citizen.

These plants bring health risks to the communities where they are built. Studies show that generating plants running on fossil fuels cause worse health outcomes for the people living nearby. That’s why, across the state, communities are organizing to fight back, 

 

Local Opposition

This grand plan to expand methane gas-burning power generation is already facing opposition. The following projects remain active and in the TEF unless otherwise noted. 

• Sugar Land (project abandoned by city officials): Residents oppose a proposed 148 MW gas plant that wasn’t selected for Texas Energy Fund financing but is still potentially moving forward. Learn More
• Granbury (no longer seeking TEF funding) Residents oppose a 300 MW gas plant selected for financing from the Texas Energy Fund. Community members have organized a group called Protect Hood County that has successfully led to the TCEQ granting a contested case hearing to scrutinize the project further. Granting a contested case hearing may indicate the TCEQ believes residents have a case to make that they will be seriously adversely affected by the presence of this plant. Citing community pushback, Constellation Energy backed out of TEF funding for this project. Learn More
• Lee County (not seeking TEF funds): Residents oppose a 1,200 MW gas plant that applied for but did not receive funding from the Texas Energy Fund. The Move the Gas Plant Committee, a local protest group, has been challenging the operation of this plant. Learn More
• Kerrville: Residents oppose a 124 MW gas plant selected for financing from the Texas Energy Fund. This peaker plant will be built in Colorado County, west of Houston. Guadalupe Riverkeeper, based in Kerrville, is interested in challenging this plant, but is not connected to any group locally in Colorado County that is challenging this plant. Learn More
• Corpus Christi (no longer seeking TEF funds): Residents, led by CHISPA Texas, opposed two proposed natural gas plants, an ENGIE Flexible Generation NA LLC 885 MW plant and a Howard Power Generation 271 MW plant, which were selected for financing from the Texas Energy Fund. Developers of the plants have backed out of the TEF because of supply chain constraints. It is unclear if these plants will be built without TEF funding. Learn More
• CPS Energy (sought but was not approved for TEF funding): Residents oppose two natural gas peaking units totaling 444 MW. There are no confirmed locations yet, but CPS has stated that it is considering sites in Laredo, Corpus Christi, and near the South Texas Power Station. Learn More
• Wattbridge: (no longer seeking TEF funding): WattBridge, a global firm specializing in peaker plants, was approved for TEF funding for four gas projects in the Houston area that would generate 1,600 megawatts of electricity. But on March 25, 2025, WattBridge notified the Public Utility Commission of Texas it would withdraw from the TEF. The company cited “lower than anticipated returns with elevated risks” as reasons for its withdrawal from the program.

Cause for Concern

• Air Pollution: Methane gas production, processing, transport and combustion are significant sources of air pollution. Most communities opposing local gas plant proposals are primarily concerned with local air pollution from the power plant. Nitrogen oxides (NOx) are a significant concern. NOx is a harmful air pollutant that reacts with volatile organic compounds (VOCs) to create ground-level ozone. NOx and ground-level ozone can cause and worsen respiratory illnesses such as asthma. NOx is also a cause of acid rain and haze. Even more dangerous air pollution is often emitted at wellheads and methane processing facilities. 
• Water: Water use and water pollution are inextricably linked with methane gas. Fracking is responsible for 80 billion gallons of water use annually in Texas, often in arid and semi-arid areas with minimal water supplies. The disposal of fracking wastewater causes toxic contamination of water and land, resulting in various health problems, including birth defects. Methane gas-burning steam turbines use an average of 2,803 gallons of water per megawatt-hour (MWh) of electricity produced. 
• Climate Change: While methane gas power generation is often touted as the bridge fuel between coal and a renewable energy future, using more methane gas will worsen the climate crisis. Methane is a potent greenhouse gas and a significant contributor to climate change. While burning methane produces much less carbon dioxide (CO2) than coal, methane released directly into the atmosphere causes 87 times more warming over 20 years than CO2. And a lot of methane is leaking directly into the atmosphere, so much that there’s no climate benefit to replacing coal with gas. 

How to Take Action

1. 1. Permit Notifications: Sign up to receive email notifications for air emissions permits in your county (or any Texas county) using AirMail. This is the best way to ensure you don’t miss a permit application for a polluting facility near you.
   2. Texas Energy Fund List: Look at the map of projects selected for TEF financing (and grants) and see our updated tracker for the up-to-date status of TEF projects and other gas plant proposals. Even if they haven’t submitted permit applications, these projects are among the most likely to move forward because the state offers cheap and free money to help them.
   3. Submit Comments: Submit a comment opposing the permit and requesting a public hearing before the deadline listed on the permit application notice.
   4. Form a Community Group Talk to your neighbors and community members about the proposed new plant. Get together and organize a group in opposition to the plant—community outcry is most effective when a group is behind it.