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Texas gas average reaches $3.93 as officials clash over 20-cent tax suspension

Texas drivers are paying nearly $4 a gallon for regular gasoline, with prices rising despite the seasonal decline usually seen after summer travel. Agriculture Commissioner Sid Miller is urging a temporary gas-tax suspension, while Gov. Greg Abbott’s office says the governor lacks the authority to act alone.

Texas gas average reaches $3.93 as officials clash over 20-cent tax suspension
The average price of regular gasoline in Texas climbed to $3.93 a gallon this week, intensifying pressure on state leaders to provide relief as crude oil prices approach $100 a barrel. AAA reported Thursday that the statewide average rose about 10 cents in one week and is more than $1.14 higher than it was at the same time last year. The increase comes during a period when prices typically fall after the summer driving season. “Texas drivers are seeing an unusual trend for this time of year,” said Daniel Armbruster, a spokesperson for AAA Texas. He said persistently high crude oil prices are pushing pump prices higher instead of allowing them to ease. Armbruster warned that Texas could record its most expensive statewide average for September if prices do not decline soon. The price surge has renewed a political dispute over Texas’ 20-cent-per-gallon tax on gasoline and undyed diesel. Agriculture Commissioner Sid Miller again called on Gov. Greg Abbott to suspend the tax temporarily, arguing that lower fuel costs would help drivers as well as farmers, ranchers and truckers. “Cut the tax. Give Texans some breathing room. And do it now,” Miller said in a statement. Miller also urged Abbott to work with the Legislature on any action required to temporarily suspend the levy. The governor’s office rejected the idea that Abbott can do so through executive action. “Anyone suggesting the Texas Governor can suspend a gas tax either doesn’t know what they are talking about or is purposefully misleading Texans,” press secretary Andrew Maheleris said. He cited Chapter 418 of the Texas Government Code, saying it allows the governor to suspend regulations during certain circumstances but does not give the governor power to suspend taxes. Abbott predicted in July that Texas gasoline prices would fall below $2 a gallon before the end of summer. The current average is nearly double that forecast, underscoring the difficulty state officials face in addressing prices driven largely by global oil markets. Higher energy costs are also becoming a broader economic concern. Moody’s Analytics Chief Economist Mark Zandi estimated that the conflict involving Iran has added roughly $115 billion in costs through higher gasoline, diesel and jet-fuel prices, or about $860 per household. The fuel-tax debate comes as the economy ranks as the top issue for Texas voters, according to a September Emerson College Polling/Nexstar Media survey. Thirty-six percent of respondents identified the economy as the state’s most important issue, up six percentage points from August. The economy was cited by 38% of Republicans and 37% of Democrats. A temporary tax suspension could offer a small, direct reduction at the pump, but it would not address the main driver identified by AAA: the global price of crude oil. It also would require state action that Abbott’s office says cannot be taken unilaterally.

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