Pa. gas taxes rise, but lower 2014 prices are seen

Wednesday, January 1, 2014

HARRISBURG, Pa. (AP) - Taxes on gasoline and diesel in Pennsylvania are now higher, the first of three increases that a new law imposes over three years.

Effective on Wednesday, gasoline taxes are going up by 9.5 cents per gallon while diesel taxes are going up by almost 13 cents per gallon.

Under the law, another increase will take place in a year and then again two years after that, in 2017. The tax revenue is supposed to stem a rising backlog of needed repairs or modernization for bridges, highways and mass transit facilities.

While many fuel distributors and gas station owners say they'll pass along the higher cost, gas prices might be headed downward in 2014, anyway.

The U.S. Energy Information Administration is expecting a slight drop in average prices in 2014.

Copyright 2014 The Associated Press.

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