Catalan President Carles Puigdemont on Thursday cancelled a scheduled speech in which he was expected to call a snap election for the region.
He had been due to explain his government's position following a vote for independence from Spain in the northeastern region.
The cancellation came as Madrid considered stripped autonomous powers from the Catalan administration after an Oct. 1 independence referendum.
Earlier, Catalan leaders had clearly indicated they would declare independence in the forthcoming days but the ruling Catalan party later told local media that Puigdemont would trigger an election.
Large crowds had gathered outside the regional government building in Barcelona, with many hoping that Puigdemont would declare independence.
Following the independence vote, which was ruled illegal by the Constitutional Court, the Catalan leader immediately suspended implementation and called for talks with Madrid.
Local media has reported strains within Puigdemont's coalition, with dissent over the handling of the post-referendum strategy.
Two members of Catalonia's ruling party, Jordi Cuminal and Albert Batalla, resigned Thursday, saying they disagreed with a plan to call a fresh regional election in the face of Article 155, which would remove Catalan autonomy, being evoked.
Puigdemont was invited to speak on Thursday night at the Spanish Senate but he declined the invitation.
The Spanish Senate is set to vote on triggering Article 155 on Friday.
Spain's main opposition Socialist Party has said it will not support Article 155 if Catalonia announced an election. However, the Prime Minster Mariano Rajoy's Popular Party has a majority in the chamber.
