HOUSTON – As gas prices continue to fluctuate, a new proposal from Texas leaders could offer drivers some relief at the pump, at least temporarily.
Texas Agriculture Commissioner Sid Miller is calling on Governor Greg Abbott to suspend the state’s gas tax, a move he says could help Texans struggling with rising fuel costs.
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The proposal comes as other states, including Georgia and Indiana, have already taken similar steps during periods of high gas prices.
Texas currently charges a state gas tax of 20 cents per gallon. Most of the gas tax money is used to build and maintain roads. After costs are taken out, roughly three-quarters go to transportation projects, and the rest helps fund schools.
Houston Gas Prices
About $3.74 per gallon for regular gas
Texas (statewide average)
Roughly $3.70–$3.80 per gallon (varies by day and region)
U.S. average
About $4.11 per gallon nationwide
Houston is sitting just under the national average
Texas remains cheaper than most states, but is still elevated compared to past years.
Prices are volatile, shifting week-to-week based on oil markets and global factors.
If that tax were paused, the savings for drivers would be noticeable — but modest:
- 15-gallon tank: about $3 in savings per fill-up
- 20-gallon tank: about $4 in savings per fill-up
For drivers who fill up weekly, that could add up over time:
- Compact car (weekly fill-up): roughly $12/month in savings
- SUV or truck (larger tank): up to $16/month
Households with multiple vehicles: potentially $25–$40/month combined
While not a massive cut, for many families already stretched thin, every dollar matters.
Why now?
The push comes amid ongoing global instability and market volatility that continues to impact fuel prices.
For many Texans, especially in cities like Houston, where driving is essential, gas prices are a daily concern tied directly to the cost of living.
From groceries to rent, rising expenses are hitting household budgets, and fuel costs are a major part of that strain.
Would drivers see the savings immediately?
That’s still an open question.
Experts say that while suspending the gas tax lowers the base price, it doesn’t guarantee gas stations will pass along the full savings to consumers.
There are also concerns that:
- Increased demand could push prices back up
- Oil market fluctuations could offset any tax relief
- Savings may vary depending on location and competition between stations
Still, in states that have tried similar pauses, drivers generally saw at least some level of price drop.
Where does the gas tax money go?
The proposal also raises questions about how Texas would make up for lost revenue.
Currently, gas tax funds are a major source of money for the state:
- About 75% goes toward road construction and maintenance
- The remaining portion helps fund public education
Pausing the tax, even temporarily, could impact infrastructure projects unless lawmakers shift funding from elsewhere.
Would the governor support it?
So far, it’s unclear whether Governor Abbott will take action on the proposal.
Any suspension would likely require coordination at the state level and could involve legislative input.
KPRC2’s Re’Chelle Turner has reached out to the Governor’s office for comment.
The bottom line.
A pause on Texas’ gas tax could offer short-term relief, especially for commuters and families juggling multiple vehicles.
But the actual impact on your wallet may depend on market conditions and whether savings are fully passed down at the pump.
For now, it remains a proposal, but one that’s gaining attention as Texans look for relief anywhere they can find it.