NJ drivers paying more at the pump as gas tax hike takes effect

<p>The gas tax rose Monday by 4.3 cents to 41.4 cents per gallon, an increase of more than 10 percent.</p>

News 12 Staff

Oct 1, 2018, 9:43 AM

Updated 2,034 days ago

Share:

Drivers in New Jersey are now paying more for gasoline.
The gas tax rose Monday by 4.3 cents to 41.4 cents per gallon, an increase of more than 10 percent.
The hike stems from a 2016 law to fund projects for bridges, roads and tunnels. It calls for a steady revenue stream to support the $2 billion-a-year fund for road and bridge work.
The Murphy administration says that the tax needed to increase this year because drivers did not purchase enough gasoline within the last two years, meaning the tax revenue was not as much as projected.
This is the second time the gas tax has gone up since 2016, when it stood at 14.5 cents per gallon. Before that, the rate hadn't escalated in three decades.
New Jersey was once known for having very cheap gas. But some in the gasoline industry say that they fear that the higher tax means that people from out of state may stop coming to New Jersey to fill up their tanks.
Former Gov. Chris Christie originally signed the bill to increase the tax.
The boost means New Jersey has the fifth-highest gas tax in the country, up from No. 8, according to 2017 data from the conservative Tax Foundation. But it's still lower than neighboring New York and Pennsylvania.
The Associated Press wire services contributed to this report.


More from News 12
1:23
Westchester commuters, residents weigh in on official congestion pricing rollout date

Westchester commuters, residents weigh in on official congestion pricing rollout date

1:40
Late-day showers for Saturday in the Hudson Valley; chance of thunderstorm for Sunday

Late-day showers for Saturday in the Hudson Valley; chance of thunderstorm for Sunday

0:20
City of White Plains to impose new speed limit of 25 mph, effective in May

City of White Plains to impose new speed limit of 25 mph, effective in May

0:41
Farm-to-table distillery brings boozy beverages to Goshen

Farm-to-table distillery brings boozy beverages to Goshen

0:22
Westchester County Center to host free prom attire giveaway this weekend

Westchester County Center to host free prom attire giveaway this weekend

0:35
Westchester Craft Beverage Trail takes residents on tour of 2 dozen distilleries

Westchester Craft Beverage Trail takes residents on tour of 2 dozen distilleries

Special teams carry Rangers to a Game 3 win and a 3-0 series lead on the Capitals

Special teams carry Rangers to a Game 3 win and a 3-0 series lead on the Capitals

1:53
Shop Mother’s Day Gifts – Exclusive Offers Up to 75% OFF!

Shop Mother’s Day Gifts – Exclusive Offers Up to 75% OFF!

0:52
Mother and daughter from Mount Vernon sentenced in pandemic-relief fraud scheme

Mother and daughter from Mount Vernon sentenced in pandemic-relief fraud scheme

0:32
Carmel police: Yorktown shoplifting suspects arrested

Carmel police: Yorktown shoplifting suspects arrested

0:52
'Kindness in a cup.' Sleepy Coffee, Too celebrates grand opening in Sleepy Hollow

'Kindness in a cup.' Sleepy Coffee, Too celebrates grand opening in Sleepy Hollow

1:53
Officials call for no-show Orange County legislator to step down after missing meetings for two years

Officials call for no-show Orange County legislator to step down after missing meetings for two years

0:34
Yonkers police: Man wanted for failing to appear in court for car break-in charges

Yonkers police: Man wanted for failing to appear in court for car break-in charges

1:57
White Plains dispensary pays it forward, spends green on legal help

White Plains dispensary pays it forward, spends green on legal help

0:49
Gov. Hochul signs $10 million literacy plan into law

Gov. Hochul signs $10 million literacy plan into law

0:28
Yonkers hip-hop legend Mary J. Blige, Pepsi team up to help women in the city

Yonkers hip-hop legend Mary J. Blige, Pepsi team up to help women in the city

0:33
Kingston man charged in barbershop stabbing

Kingston man charged in barbershop stabbing

2:08
MTA outlines new details on congestion pricing, including start date

MTA outlines new details on congestion pricing, including start date

2:04
Movie theater experience: A close look at the Jacob Burns Film Center in Pleasantville

Movie theater experience: A close look at the Jacob Burns Film Center in Pleasantville

1:35
 White Plains community memorializes impactful couple as part of 41st Arbor Day celebration

White Plains community memorializes impactful couple as part of 41st Arbor Day celebration