New Jersey Enjoys Low Gas Prices
by Andrew Posner, Rhode Island, USA on 04.18.08

With gas prices expected to top $4 a gallon this summer, everyone from truckers to commuters are both unhappy and concerned. Some, however, are less concerned than others. In New Jersey, for instance, it's still possible to find stations selling gas for less than $3. In fact, New Jersey has some of the cheapest gasoline in the nation, according to AAA. So why is gas in New Jersey, of all places, almost a dollar cheaper than the nationwide average? Turns out there are several reasons (and no, one of them isn't that John McCain has been giving away gasoline).
Most importantly, "New Jersey has the nation’s third-lowest gasoline tax, at 14.5 cents a gallon, and it hasn’t gone up in almost two decades." And while Governor Jon Corzine has proposed raising both tolls and gas taxes, New Jersey residents have made it eminently clear they would support no such thing. But that's not the only thing behind the lower gas prices.
Even though New Jersey is far removed from Texas or Alaska--where oil is drilled--the state does have a lot of refineries and pipelines. Indeed, New Jersey is "the fourth largest oil-producing state in the nation, according to the New Jersey Petroleum Council." This lowers the cost of transporting the gas from the refiner to the pump. Yet another reason for the low cost is that "many of the state’s 4,000 stations are independently owned and drive up competition, which drops prices." Finally, web sites such as newjerseygasprices.com allow drivers to find the gas stations with the lowest prices on any given day.
Still, it's hard to get away from the importance of that low gasoline tax. Only the gasoline taxes in Wyoming and Alaska are lower...
Via: ::NY Times
See Also: ::Are Gas Prices High Enough?, ::We Told you so dept: Gas Price Really Does Affect Demand, ::Book Review: "Beat High Gas Prices Now!", and ::Hawaii Becomes First State to Cap Gas Prices

















NJ gets a lot of money from the NJ Turnpike tolls. Gov. Corzine wants to increase tolls to balance the budget, and of course everyone is against it. If the gas tax were higher, the tolls wouldn't need to be higher, and all NJ residents would more equally share the burden, not just those who use the turnpike.
Here in belgium the price is 1,5€ / litre, 8.5$ Galon :)
Gasoline prices may be low here in Jersey, but diesel prices are far above the national average of $2.91. My last diesel fillup cost over $57 for 14 gallons (for a VW bug!) That's $4.09 a gallon. Biodiesel isn't available at the pump even though there are biodiesel plants are right here in New Jersey.
Where's the logic?
I know what you mean Brian, I'm from Alberta Canada, where they are pulling the stuff out of the ground all around me. What concerns me most, is not the price of gas itself, but the related general increase in prices of everything transported. The recent food price increases have been substantial. We are very soon going to see some serious problems develop where people cannot afford the basics of life.
@Eddy actually with the dollar what it is these days, it's much closer to $9/gal. (1.5 * 1.58 * 3.79)= $8.98
@Brian I believe you're speaking of non-taxed off-road diesel, such as that used in agriculture and heavy equipment (and almost identical to heating oil #2), but even $2.91 seems on the low side for that.
Decreasing fuel prices when peak oil issues are starting to come into play is about as intellligent as decreasing fed rates and printing more money to combat inflation. We truly do have our collective heads in the (oil/ME) sand. ... "but we have to help the economy ..." Sure, and doing another line of coke will help you kick the habit. Right. We've been fooling ourselves for so long that the vast majority of "Umerkans" have no idea of the pain that we'll HAVE to face in the rapidly approaching future.
When americans stop wasting money on stupid things like bottled water, THEN gas is priced where it should be.
Gas tax pays for stuff like preventing bridges from falling down. Besides, I think gas should include a carbon tax anyhow.
Maybe congress would start going after Exon's record profits and top bush contributor background if gas cost enough? nah, they'd let our bridges fall before going after corporate exploitation...
You know, we USED to have a strategic oil reserve to help address these problems except we put the VP's office in charge of it and they've only been stock piling like WW3 was coming or something.
Enjoy it while you can - we're paying $12/gallon in the UK!!!
NJ does have some of the highest property taxes in America so why can't we have the lowest gas prices?
I think that it's about time for someone to start digging into why fuel companies are allowed to make huge profits and not have to invest in alternate technologies. It should be exactly like cigarette companies. They have to pay for "Quit Lines" and ways for people to get off cigarettes. Why shouldn't fuel companies have to pay for ways to end the American oil addiction?
"I think that it's about time for someone to start digging into why fuel companies are allowed to make huge profits and not have to invest in alternate technologies. It should be exactly like cigarette companies. They have to pay for "Quit Lines" and ways for people to get off cigarettes. Why shouldn't fuel companies have to pay for ways to end the American oil addiction?"
quoted for truth
enjoy it !!! wile you can
Hey Belgium, with your $8.50 gallon a gas. Germany, Japan, Austria, Belgium and the Netherlands, provide universal coverage and quality health care at a fraction of what we pay in the United States. So just remember your healthcare is included in the price of your gallon of gas! Healthcare doesn't work like that here in the U.S.
With regard to the comments from Steve about the gas prices in Belgium - I feel I need to clarify a few things. Firstly, the price of petrol (gas and/or diesel) in belgium has little to nothing to do with healthcare. The 48% of our salaries that we pay in taxes goes towards the federally funded healthcare as does the 21 % tax that we pay on just about every good, including petrol, that we purchase. Yes we have good health coverage and great medical care that is federally funded, but don't think that we don't pay for it. The US tax is much less than it is here, employment taxes, sales taxes, auto taxes, road taxes and other costs such as auto insurance included. If you include all of your taxes and your health benefit costs in the US, I'd venture to guess that you still don't come to the 48% or more that we pay here for the right to such things as affordable healthcare. You also don't see us complaining about paying around $9.00 per gallon of petrol.