NJ Gas Tax Going Up More Than 9 Cents Starting In October

TRENTON, N.J. (AP) -
Gas stations display the price of gasoline in Englewood, N.J. (AP Photo/Seth Wenig/File)

New Jersey’s gas tax is going up 9.3 cents a gallon, a roughly 22% increase, Democratic Gov. Phil Murphy’s administration said Friday.

The increase to 50.7 cents a gallon from 41.4 cents goes into effect on Oct. 1.

It stems from a 2016 law that requires the state fund supporting bridge and road infrastructure maintain a $2 billion program annually. It also requires an annual adjustment to the fuel tax if receipts don’t meet that level.

Treasurer Elizabeth Muoio said gasoline consumption dropped about 39% from March to May — coinciding with the COVID-19 outbreak — and leading to a drop in receipts for the fuel tax.

It’s the third year Murphy, a Democrat elected in 2017, has had to review the gas tax. In 2018, the tax increased about 10%. Last year the rate stayed flat.