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Drivers in New Jersey are currently enjoying gas prices that are lower than the national average. However, experts warn that these prices are expected to rise soon due to the upcoming switch to the summer blend of gasoline.
The current price for a gallon of regular gas in New Jersey stands at $3.26, which is significantly lower than the national average of $3.53. But according to GasBuddy, this could change in just a few weeks as temperatures rise.
The summer blend of gasoline, which is designed to be less susceptible to evaporation in the warmer months, is more expensive to produce. As a result, gas prices typically rise when the switch is made. In addition to the switch to the summer blend, other factors could also contribute to rising gas prices. For example, the cost of oil has recently crossed the $80 mark, and warmer temperatures and better weather could lead to increased demand for gasoline. "This is the time of year we normally see pump prices start to rise,” said Andrew Gross, a spokesperson for AAA.
Furthermore, a new law signed by Governor Phil Murphy in March will increase New Jersey's gas tax rate by 1.9 cents per gallon each year for the next five years. The first increase is expected to take effect on July 1, 2025. The law reauthorizes the state's eight-year Transportation Trust Fund, which funds road projects and NJ Transit's capital needs. The new tax is expected to increase revenue for the state to over $2 billion per year by fiscal year 2026.