Fifth Circuit Upholds TCEQ's Third Construction Extension For Texas LNG Project

On January 14, 2026, the U.S. Court of Appeals for the Fifth Circuit denied a petition for review challenging the Texas Commission on Environmental Quality's ("TCEQ") approval of a third extension of the construction deadline for the Texas LNG Port of Brownsville liquefied natural gas ("LNG") terminal. The Court held that although environmental justice advocates had standing to challenge the extension, TCEQ's executive director acted within her delegated authority and the agency's decision was supported by substantial evidence under Texas administrative law. The ruling, South Texas Environmental Justice Network v. Texas Commission on Environmental Quality et al., Case No. 24-60580, clarifies the procedural and substantive standards governing construction-deadline extensions for New Source Review ("NSR") permits under Texas law and reinforces agency discretion when permittees satisfy the express requirements of the applicable regulation.