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Gov. Mike Braun announces statewide energy emergency to combat high gas prices

Braun said the state will use reserves to replace lost revenue and keep road and infrastructure projects funded as fuel prices stay high.

  • Gov. Mike Braun extended the gas tax holiday in Indiana for another 30 days, with the option to extend up to 120 days, citing disruptions to global oil shipping and the Alberta Oil Sands wildfires as reasons.
  • Braun said he will review and renew the emergency every 30 days, continue funding infrastructure projects, and work with the legislature in 2027 to replenish lost gas tax revenues.
  • The current gas tax holiday will go into effect from Aug. 7 through Sept. 5, with Braun reevaluating the situation within 30 days to decide if another extension is needed.
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Gov. Declares New Energy Emergency

(Indianapolis, IN) – Gov. Mike Braun declared a new statewide energy emergency on Wednesday and extended Indiana’s gas tax holiday another 30 days. “New conditions that continue to disrupt global energy distribution provide a new basis for a suspension of gas taxes. Affordability is my top priority, and my gas tax suspensions delivered the cheapest gas in America for Hoosiers all summer,” Gov. Braun said. “I’m keeping those savings going for Hoosier families, and my recommended budget will tap our reserves to keep state and local infrastructure projects fully funded.” This latest energy emergency is prompted by new disruptions to global oil shipping lanes in recent weeks, in the Black Sea/Kerch Strait as the Russia-Ukraine conflict has escalated into maritime drone battles and the disruption to the Alberta Oil Sands Region from Canadian wildfires. Braun said these disruptions have created new pressures on fuel prices that are driving the price of gas for Hoosiers to unnatural levels outside the norm of standard economic conditions. Gov. Braun first suspended the Gasoline Usage Tax in April and expanded the relief in May to include the Gasoline Excise Tax. The new emergency takes effect Friday (August 7) in all 92 counties and provides a 120-day window of authority. Both gas taxes will be suspended through September 5. Indiana Attorney General Todd Rokita backed Braun’s authority to create a new energy emergency. “Nothing in Indiana’s emergency powers statutes prohibits the governor from declaring separate emergencies based upon different factors,” Rokita said. “It is within the Governor’s authority to give Hoosiers temporary and much-needed relief at the pump based upon changed conditions.” Braun said he has reached an agreement with House and Senate fiscal leadership to use reserve funds during next year’s budget session, covering money lost from the gas tax pause. The reserve balance is currently on track to be over $5 billion.

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Reporter.net broke the news on Tuesday, August 4, 2026.
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