More pain at the pump: WA’s 6-cent per gallon gas tax hike now in effect

(The Center Square) – Motorists in Washington state are experiencing gas prices higher than the national average, in contrast to declining gas prices across much of the rest of the nation in recent months.

As of Tuesday, Washingtonians are paying even more to fuel up. The state’s gas tax increased by 6 cents per gallon, from 49.4 cents to 55.4 cents. Starting July 1, 2026, it will rise each year by 2% to account for inflation.

The state tax on diesel is also increasing by 3 cents per gallon, bringing the total tax to 58.4 cents per gallon. Additionally, there will be another 3-cent increase in the diesel tax in 2027. Starting in 2028, the diesel tax will increase by 2% annually to keep pace with inflation.

Washington’s gas tax ranks as the third highest in the U.S., surpassed only by California and Pennsylvania

This increase is part of a broader transportation revenue package approved by the Legislature this session. It is the first increase in the state’s gas tax in nine years.

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That’s probably little comfort to drivers in the Evergreen State who are, as of Tuesday afternoon, paying an average of more than $4.42 for a gallon of regular gas, according to AAA. The national average is just under $3.18.

Washington currently ranks No. 3 regarding the highest average gas prices in the nation, behind only California and Hawaii.

Gas prices have increased in Washington over the last year, bucking the national trend of declining gas prices.

According to Lending Tree, between June 18, 2024, and June 18, 2025, Washington experienced a 1.6% increase in average gas prices, while nationwide prices decreased by 7.3%. AAA data shows that during the same period, the average price in Washington increased from $4.34 to $4.41 per gallon.

Several factors beyond the now-in-effect gas tax hike contribute to high prices in Washington, including refinery issues, geography and supply chain considerations, and state-specific policies.

Problems at refineries, especially in California, impact gas prices on the West Coast and drive up prices in Washington.

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The state’s dependence on certain oil suppliers and its limited pipeline capacity also contribute to higher costs compared to other regions.

And then there is Washington’s Climate Commitment Act, which caps the total amount of pollution allowed in the state by requiring covered businesses to obtain allowances equal to their emissions. These allowances can be acquired through quarterly auctions conducted by the Washington State Department of Ecology.

Ecology is gradually reducing the number of available allowances each year, creating a shrinking supply and increasing prices.

The cap-and-trade program has raised more than $3 billion so far. The money goes to projects that reduce greenhouse gas emissions and promote clean energy initiatives.

Larry Behrens, communications director with the energy advocacy organization Power The Future, didn’t hold back on who he blames for Washington’s high gas prices.

“While many Americans are enjoying paying an average of 30 cents less per gallon for gas, politicians in Olympia have decided to use the holiday to declare independence from common sense,” he emailed The Center Square. “They decided that funding bureaucracy and pleasing climate extremists is more important than working family budgets. Let’s be clear: Washington’s leaders fully supported the attack on American energy during Joe Biden’s time in office, which drove up inflation. Now, they are doubling down on failure by using their inflation as the reason to raise prices further.”

Washington’s gas tax hike is expected to generate an additional $1.4 billion in revenue over the next six years. The revenue is primarily intended to fund transportation infrastructure projects. The majority is allocated to the state’s motor vehicle fund for highway construction and maintenance. A small portion is distributed to cities and counties for their roadwork.

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