Costco ends gas exception for New Jersey drivers

Proof of membership will now be required to buy gas at the state's locations

Starting Tuesday, a Costco deal for New Jersey drivers is now over, as for the first time in 18 years drivers in the state will have to show proof of membership to buy gas.

While this had been the standard across the U.S., the wholesale giant had allowed everyone in the Garden State to buy gas at their relatively low prices since 2004. In June, the company announced they were ending this exception and treating New Jersey customers the same as those everywhere else.

"Effective July 5, 2022, your active Costco membership card will be required for gasoline purchases," signs at gas pumps now saw, according to USAToday.

According to Costco's website, prices for regular gas at New Jersey's Costco locations that have pumps ranged from $4.40 to $4.67 per gallon on Tuesday, compared to the state's average of $4.81.

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The company had stopped requiring membership roughly 18 years ago upon being informed that it violated New Jersey fuel sales laws.

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Fox Business reached out to the New Jersey Attorney General's Office asking for their position on the legality of reinstating the practice, but they did not immediately respond.

costco gas station lines

Vehicles wait in line to refuel at a Costco gas station in the South of Downtown (SoDo) neighborhood of Seattle, Washington, U.S., on Wednesday, March 9, 2022. Crude surged to the highest in almost 14 years this week after the U.S. and the U.K. said (Photographer: Chona Kasinger/Bloomberg via Getty Images / Getty Images)

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State Consumer Affairs spokesman Steve Barnes claimed in a statement to NJ.com that "offering members-only gasoline sales does not violate any of New Jersey’s consumer protection laws."

A state Treasury Department spokeswoman told the site that as long as motor fuel taxes are paid up, there is no problem.