A federal appeals court has blocked Texas' effort to stop the Environmental Protection Agency from forcing states to regulate carbon dioxide and other greenhouse gases.

The U.S. Court of Appeals for the Fifth Circuit on Wednesday declined to issue a stay that would delay the EPA's plans as Texas' lawsuit against the federal agency moves forward. Texas is suing to stop the EPA from implementing a plan to regulate the gases that will start on Jan. 2.

The EPA took the unprecedented step this month of announcing it will directly issue permits to Texas industries after the state openly refused to comply with the regulations.

A spokeswoman for Texas Gov. Rick Perry said he was disappointed with the court's ruling but confident that the state will prevail "in the end."