Braun Declares New Energy Emergency, Reinstates Gas Tax Holiday
Indiana Governor Mike Braun has declared a new statewide energy emergency to reinstate the pause on gas taxes through September 5. The move comes as fuel prices continue to rise due to disruptions in the Black Sea/Kerch Strait and Alberta Oil Sands regions, caused by the Russia-Ukraine War and Canadian wildfires.
Braun initially declared an energy emergency on April 8, citing shipping problems caused by the war in Iran, and suspended Indiana's 7% gasoline usage tax. The new declaration will give Braun an additional 120 days to suspend the state's gas taxes, which he plans to reevaluate in a month.
The suspension of gas taxes is expected to cost the state over $533 million in lost revenue, but Braun has negotiated an agreement with House and Senate fiscal leadership to prioritize using funds from the state's reserves to replenish lost revenue. The governor believes this will ensure that ongoing or planned infrastructure projects continue uninterrupted through 2027.
Braun emphasized that his top priority is affordability for Hoosier families, saying 'Affordability is my top priority, and my gas tax suspensions delivered the cheapest gas in America for Hoosiers all summer. I'm keeping those savings going for Hoosier families.'