NEW YEAR PRESENT: Seven States In America Set To Witness Hike In Petrol Pump Price Jan 1

PHOTO: Justin Sullivan/Getty Images

PHOTO: Justin Sullivan/Getty Images

By Mike Murphy

PRICE-conscious drivers in a handful of states might want to make a stop at their local gas stations in the next few days. Gas prices will increase in seven states effective New Year’s Day, as new state taxes take effect.

Drivers in Pennsylvania will face the biggest overnight hike — almost 8 cents a gallon. Pennsylvania already has the nation’s highest state gas tax, thanks to a 2013 law to tax wholesale gas prices. Sunday’s hike will be the last part of a years-long rollout, and will raise the state tax from about 50 cents per gallon to about 58 cents per gallon. Money from the tax goes for maintenance and repairs to the state’s infrastructure, including bridges and road construction.

In Michigan, drivers will face the second-highest rate increase in the country, as the gas tax will jump by 7.3 cents, to 37.8 cents per gallon. That’s on top of a 14-cent rise in the average Michigan gas price last week, according to AAA.

Nebraska will see the last of a four-part rate hike approved in 2015 take effect, with the tax rising by 1.5 cents, to 29.2 cents per gallon.

Georgia, North Carolina, Indiana and Florida will all see hikes of less than a penny per gallon, based on automatic adjustments. After the increases, Georgia’s gas tax will be 31.3 cents per gallon, North Carolina’s will be 35.6 cents per gallon, Indiana’s will be 30.1 cents per gallon and Florida’s will be 36.7 cents per gallon.

On the other hand, New York and West Virginia will see modest price drops, based on automatic adjustments. New York’s gas tax will dip 0.8 cents per gallon, and West Virginia’s will fall by a penny a gallon.

State taxes are just one factor in the price consumers pay at the pump. Currently, California has the highest average gas prices outside Hawaii, at $2.70 a gallon. South Carolina has the cheapest, at $2.04 a gallon.

Nationwide, gas prices have been rising for the past month ahead of the OPEC production cap scheduled to start at the beginning of 2017. Still, at a national average price of $2.29 a gallon, drivers will be paying the second-cheapest prices on New Year’s Day since 2009, according to AAA.

CREDIT: MarketWatch

You may also like...

Leave a Reply

Your email address will not be published. Required fields are marked *