INDIANAPOLIS — It’s never cost more to buy a gallon of unleaded gas in Indiana.
According to AAA’s gas price tracker, the state’s average cost of a gallon of regular gasoline is $4.522 as of May 17. The national average as of May 17 is $4.523.
AAA lists the $4.522 price as the “highest recorded average price” for a gallon of regular unleaded in Indiana. The highest recorded price for a gallon of diesel is $5.384. Both of those prices are listed with the date of “5/17/22.”
Hoosiers living closer to Chicago are paying the most for gas right now. AAA shows the average price per gallon is $4.817 for the Michigan City/La Porte area and $4.767 for Gary.
One year ago, the average price of regular unleaded gas was $2.962 for Hoosiers.
Reasons for the record-breaking gas price include inflation, a ban on Russian oil imports, and the price of crude oil at around $113 a barrel. Crude oil cost $64 a barrel one year ago, as shown on Trading Economics.
Business Insider says another reason behind the increase is a higher “crack spread” – the cost of oil refineries breaking down crude oil into the gas we use at the pump.
Indiana is also one of a handful of states that has a state gas sales tax. As CBS4 reported last week, the gas sales tax is 7% of the statewide average price of a gallon of gas and is recalculated monthly. It’s currently $.241. Add that to the gas excise tax of $.32, and Hoosiers pay 56.1 cents per gallon.
Democratic state lawmakers have called for Governor Eric Holcomb to suspend Indiana’s gas excise tax and gas sales tax for at least three months.
A spokesperson for AAA has said gas prices are likely to rise again for Memorial Day weekend.