ALEIGH, N.C. — North Carolina Governor Josh Stein has signed House Bill 3 into law, temporarily suspending the state’s gasoline tax in an effort to provide financial relief to drivers and families facing rising costs.
The legislation is intended to reduce fuel expenses for North Carolinians as households continue to deal with higher prices for groceries, utilities, gasoline, and other everyday necessities.
“Rising grocery, utility, and gas prices are making the costs too high for people across our state,” said Governor Stein. “I am signing this bill to keep more money in people’s wallets, but this temporary relief is just one step. I remain committed to continuing to work with anyone who wants to make everyday living more affordable all year long – not just during election season.”
The temporary gas tax suspension is part of a broader effort by the Stein administration to address affordability concerns across North Carolina.
Additional Fuel Relief for Farmers
In addition to signing the gas tax legislation, Stein recently directed the North Carolina Department of Revenue to provide penalty relief related to the highway use of red-dyed diesel fuel through the end of 2026.
The governor also secured federal penalty relief for the use of the same fuel, an effort aimed at reducing financial pressure on North Carolina farmers facing increased operating expenses.
Efforts to Address Housing and Health Care Costs
The Stein administration has also outlined several initiatives intended to address rising living expenses.
Earlier this year, Stein signed an executive order directing state cabinet agencies to work together to increase housing availability, improve affordability, and expand access to housing opportunities.
The governor also signed legislation designed to reduce regulatory barriers to housing construction, including changes involving parking requirements, factory-built housing, accessory dwelling units, and residential development near employment centers.
In health care, Stein established the Health Care Affordability Commission in June. The commission brings together medical providers, hospitals, insurers, researchers, and patient advocates to develop recommendations for reducing health care costs.
The administration also previously announced $6.5 billion in medical debt relief benefiting approximately 2.5 million North Carolinians.
Utility Savings and Child Care Investments
The governor has also focused on utility expenses, including opposition to proposed increases in costs passed along to Duke Energy customers.
Through the Energy Saver NC program, available in all 100 counties, eligible households may qualify for rebates on energy-efficient home improvements and appliances. According to the administration, participating families could save up to $1,000 annually on utility bills.
Additionally, the state budget signed in July includes $160 million for child care subsidies to help families access affordable child care.
The funding also establishes a statewide minimum reimbursement rate for participating child care providers.
Temporary Relief Amid Rising Costs
While the gas tax suspension is intended to provide immediate financial relief, the actual savings experienced by drivers will depend on how changes in the tax are reflected in retail gasoline prices.
Stein said the temporary measure is one part of his administration’s continuing efforts to address the cost of living across North Carolina.
Residents can review the legislation through the North Carolina General Assembly’s House Bill 3 page.





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