Proposed EPA rule could weaken Texans’ voice on certain air permits used by data centers

The U.S. Environmental Protection Agency (EPA) has proposed a rule change that would grant states greater authority over public notice and input procedures for minor air permits. For Texans, this could allow the Texas Commission on Environmental Quality (TCEQ) to reduce opportunities for residents to challenge permits, including those increasingly sought by data centers in the state for their diesel generators and gas turbines. The EPA argues the change will "reduce administrative burden" and "speed up permitting" by empowering states to decide what's best for their communities, while maintaining environmental protections.

However, environmental advocates in Texas, such as Jennifer Hadayia of Air Alliance Houston and Kathryn Guerra of Public Citizen's Watchdog Campaign, expressed concerns that the proposal could "strip away one of the few tools residents have to challenge industrial development." They fear the TCEQ, which has faced criticism for weak enforcement, might use this authority to scale back public participation requirements, especially as Texas sees a surge in data center construction for the AI boom.

Opponents highlight that large data center projects often install numerous diesel generators, yet still qualify for minor source permits, potentially hiding cumulative environmental impacts. An example cited is the Vantage data center near San Antonio, which received a minor permit allowing significant nitrogen oxide emissions. Advocates also point to a 2022 review by the Texas Sunset Advisory Commission that criticized TCEQ's reluctance to regulate industry, leading to legislative reforms in 2023 for increased transparency, which they worry could now be at risk.

The EPA will hold a virtual public hearing on July 22, with written comments accepted through August 21, as advocates continue to push for robust public participation in environmental permitting decisions.