Oil companies and lawmakers pledged yesterday that new gas tax cuts will be passed on to customers filling up their cars at the pump.

"We're going to have each of our station managers take down prices by 10 cents on each grade of gasoline," said Aloha Petroleum CEO Bob Maynard at a downtown service station news conference. "If they want to stay employed by us, they will do it."

The tax break, with the legislative language already accepted by all sides, is set to pass both houses of the Legislature today, and Gov. Linda Lingle has said she supports it.

Hawai'i drivers saw gas prices jump about 11 cents per gallon Jan. 1 when an ethanol tax break expired, and this law will reinstate that tax cut at a cost of $30 million a year.

The bill again exempts ethanol-blended fuels from the general excise tax, and nearly all unleaded auto fuel is now required to contain ethanol. The tax is 4.72 percent on O'ahu and 4.17 percent on the Neighbor Islands, with regular gas now hovering above $3 a gallon at island pumps.

Tesoro and Chevron officials also said they would lower prices July 1.

"We will comply with the spirit and intent of the law," said Chevron spokesman Albert Chee.

"Our gasoline customers will see a decrease," said Tesoro spokesman Nathan Hokama.

Because of this tax break and another bill that calls for stricter monitoring of the petroleum industry, the oil companies will have to be careful not to run afoul of the law by gouging customers with excessive prices, said Sen. Roz Baker, D-Honokohau-Makena.

"All the folks I've spoken to ... understand they don't want to be the one station that's sticking out," Baker said.

Customers certainly won't have a problem with cheaper gas, said Jordan Barnhorst of Kane'ohe, who paid $3.27 per gallon for super unleaded fuel to fill up his BMW X-5.