Analysis: Fuel Efficiency vs. Gas Tax Holidays

With gas prices continually rising, states are talking about offering gas tax holidays to help ease the burden of high prices at the pump. But will they really help that much? For a person that drives 1,000 miles per month in a car that averages 25 MPG, this would mean saving only about $4 – $20 each month depending on the taxes in their state, and only if 100% of the savings were passed along to consumers.

This is a big hole in the argument for gas tax holidays. Putting aside how it would affect funds for critical transportation infrastructure, consumers also wouldn’t have control over how much of the savings they’d actually get from a gas tax holiday.

What we can control, however, is how much fuel we waste when we drive. The way that we speed, brake, and accelerate – both frequency and intensity – affect how quickly we run through a tank of gas. And with prices over $5/gallon in some places, every gallon matters.

Arity helps millions of drivers track their fuel efficiency to save more on gas. The feature provides personalized scores and details on their ideal vs actual gas usage based on how they drive, trip by trip. When apps take advantage of the feature’s full benefits, users can save up to $30 per month on gas by tracking how much they spend on gas now, and how much they’ll save when they make their tank last as long as possible.

Apps like GasBuddy are already taking advantage of Fuel Efficiency. Want to see how much your users can save? Schedule time to chat with an expert.