New Jersey Gas promotions set to change

December 31, 2011 by  

New Jersey is unique as the gas prices in this state are the lowest in the nation. This is in spite of the fact that the state bans self-service at gas stations. New Jersey is also amongst a handful of states which prohibit gas promotion techniques which are popular in other states. However thanks to new legislation, this may change in the future.

The bill A-3133 is working its way through state Legislature. The new law would allow retailers to offer rebates and incentives for purchasing gasoline. If the law goes through it is likely that gas stations would start marketing their services. In other states it is not unusual to see these companies use methods such as flyer printing to promote their product.

The chief sponsor of the bill is Senator Robert Gordon of Fairlawn. He supports the bill as he believes it will give consumers a break on the cost of petrol. Gordon has stated that the bill was developed by the New Jersey Food Council. This organization represents supermarkets in the state.

This new legislature will be extremely beneficial to consumers. However as gas prices are already low in New Jersey it is yet to be seen how it will affect retailers. Oddly enough there has not been much opposition to the bill. This is likely to be because the bill comes with two provisions. Firstly the cost of the discounts will be borne by the promoter not the gas station. Lastly the price of gas will not be allowed to drop below cost.