Average price per gallon up 4 cents

After weeks of falling gas prices, Texas residents saw a 4 cent increase in gas prices.

The average price across the state is $3.08 per gallon, according to AAA Texas Fuel Gauge report.

Drivers in Texarkana are paying the most at the pump. Forking out an average of $3.12 per gallon, while motorists in Beaumont are paying the least at $3.02 per gallon.

According to AAA Texas, the increase may have been due to the budget cuts and tax hikes of the "Fiscal Cliff" that would kick in on Jan. 1, 2013 unless Congress and the White House can reach an agreement.

Officials said a deal could continue to raise prices, while no deal may lower the average price per gallon.

Current gas price averages are slightly higher than they where one year ago. However the average price per gallon is still lower than last month's prices.

The Associated Press contributed to this story.