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Michigan Gas Prices: Costs dip 8 cents but remain high at $4.16 a gallon; Whitmer calls for freezing state tax

By Jack Nissen
Published  March 21, 2022 7:07am EDT
Gas Prices
FOX 2 Detroit

Drivers talk about the pain at the pump

All the talk about temporarily taking away the state gas tax has a lot of people talking. Some people tell FOX 2 they drive across the country— and cross state lines for family.

(FOX 2) - Michigan drivers are paying about 8 cents less per gallon than they were last week, offering an incremental amount of relief amid sky-high fuel costs in the U.S. and beyond.

In Michigan, the highest prices were in Marquette at $4.28 a gallon, followed by Traverse City at $4.22 and Ann Arbor at $4.19. Those in Metro Detroit were paying about $4.18 a gallon - 7 cents less than last week's average.

It's still $1.43 more than the same time last year. Drivers in Metro Detroit are paying on average $4.16 per gallon and $62 to fill up a 15-gallon tank of gas.

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While they spiked to record-levels in response to Russia's invasion of Ukraine, gas prices are now trending in the opposite direction based on a new COVID-19 outbreak in China, which prompted the country to lock down several major cities.

Fear over a drop in demand similar to what happened at the onset of the pandemic has sent prices falling again. 

"After a volatile week for the oil markets, Michigan motorists are beginning to see a slight drop in gas prices," said Adrienne Woodland, spokesperson, AAA-The Auto Club Group. "If oil prices continue to decline, pump prices will likely follow suit."

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Drivers might see some limited short-term relief in the form of a suspension of gas taxes typically paid at the pump. After vetoing legislation that would have suspended the state gas tax for 6 months, Gov. Gretchen Whitmer proposed pausing the levy. 

The bill she rejected wouldn't have gone into effect until next year due to it not receiving a two-third's majority vote. However, on Friday Whitmer proposed temporarily freezing it as a way to lower pump prices while keeping funding for roads, bridges, and schools in place.

RELATED: Where federal and state gas taxes stand in Michigan

"A short-term pause is a fiscally-responsible action we can take that will provide drivers relief at the pump right now — not next year — while also protecting funding for road repairs and save tens of thousands of good-paying construction jobs," she said.

Before discussions of the state gas tax, Whitmer and several other governors called on the Biden administration to suspend the federal gas tax.