Governor Braun declares new energy emergency, allows major savings at the pump for Hoosier families

Governor Mike Braun today declared a new statewide energy emergency and reinstituted his suspension of Indiana’s Gasoline Usage Tax and Gasoline Excise Tax through September 5, continuing nation-leading relief for Hoosiers from high gas prices.
 
“New conditions that continue to disrupt global energy distribution provide a new basis for a suspension of gas taxes. 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, and my recommended budget will tap our reserves to keep state and local infrastructure projects fully funded.” — Governor Mike Braun
 
This new energy emergency is prompted by new disruptions to global oil shipping lanes in recent weeks, in the Black Sea/Kerch Strait as the Russia-Ukraine conflict has escalated into maritime drone battles and the disruption to the Alberta Oil Sands Region from Canadian wildfires. These disruptions have created new pressures on fuel prices that are driving the price of gas for Hoosiers to unnatural levels outside the norm of standard economic conditions.
 
This new energy emergency will take effect August 7, following the expiration of the current energy emergency. Both gas taxes will be again be suspended  through September 5 in all 92 counties, resulting in separate suspensions that are consecutive. Governor Braun will reevaluate in 30 days to determine whether another pause is necessary. The new energy emergency provides a 120-day window of authority. 
 
Governor Braun remains committed to using all administrative capacity to make local units of government whole and use current reserves to allow the Indiana Department of Transportation highway fund to continue all fiscal year 2027 projects and maintenance uninterrupted. Governor Braun has reached an agreement with House and Senate fiscal leadership to prioritize the use of funds available from the reserve balance during the 2027 budget session to replace lost revenue from the gas tax holiday. The reserve balance is currently on track to be over $5 billion.

Attorney General Todd Rokita notes that “nothing in Indiana’s emergency powers statutes prohibit the Governor from declaring separate emergencies based upon different factors. It is within the Governor’s authority to give Hoosiers temporary and much needed relief at the pump based upon changed conditions. Frankly, the General Assembly really needs to update this law so it can be better utilized by the Governor and enforced by the Attorney General in the future.”
 
Governor Braun first suspended the Gasoline Usage Tax in April and expanded the relief in May to include the Gasoline Excise Tax. He has continued the suspension to provide Hoosier families additional breathing room at the pump while protecting funding for state and local infrastructure projects.