Carload Mileage Based Standard HDF Fuel Surcharge
Union Pacific's carload mileage based standard HDF fuel surcharge program is based on the Department of Energy (DOE) On-Highway Diesel Fuel Price (US Average). Information about actual fuel surcharges applied and details about the program are included below.
This fuel surcharge program will apply as follows:
- Fuel surcharge will be adjusted on a monthly basis.
- The basis for the surcharge will be determined by the U.S. Average price of DOE On-Highway Diesel Fuel for a calendar month, as reported weekly on the U.S. Department of Energy Web site (www.eia.doe.gov).
- In the event the average monthly price of Retail On-Highway Diesel Fuel, equals or exceeds $2.30 per gallon, a surcharge beginning at $0.05 per mile will apply.
- For every five cent increase above $2.30 per gallon, the surcharge applied will increase by $0.01 per mile. See threshold schedule for more details.
- When the average DOE price drops below $2.30 per gallon, no fuel surcharge will apply.
- The surcharge will be billed to applicable shipments beginning the second month following the month on which the DOE average price calculation was based. (Example: the average reported DOE price for the month of February 2007 would determine the fuel surcharge applied throughout the month of April 2007.)
- PC*Miler Rail product shortest non-familized router (SNII) will be used to calculate total miles. If interline price routing is involved, mileages will be calculated via the revenue route junction(s) of the price used to rate the shipments.
- Fractions of dollars resulting from the application of a fuel surcharge will be dropped if less than fifty (50) cents and increased to the next whole dollar if fifty (50) cents or more.
This surcharge will become effective with shipments billed on or after April 26, 2007. The surcharge will initially apply to most Union Pacific regulated public pricing documents for local and interline freight movements.
The fuel surcharge will be applied to the line haul freight charge(s) that make reference to this fuel cost recovery program.
This program does not affect UP's existing Intermodal surcharge program.
The DOE price is reported weekly on the U.S. Department of Energy Web site.
Fuel Surcharge Rate
| Month Applied | Surcharge Applied |
Basis month | HDF Avg. monthly price |
|
| Nov 2008 | 39 cents/mile | Sept 2008 | $4.024 | |
| Oct 2008 | 45 cents/mile | Aug 2008 | $4.302 | |
| Sept 2008 | 53 cents/mile | July 2008 | $4.703 | |
| Aug 2008 | 52 cents/mile | June 2008 | $4.677 | |
| July 2008 | 47 cents/mile | May 2008 | $4.425 | |
| June 2008 | 40 cents/mile | April 2008 | $4.084 | |
| May 2008 | 36 cents/mile | Mar 2008 | $3.881 | |
| Apr 2008 | 26 cents/mile | Feb 2008 | $3.377 | |
| Mar 2008 | 25 cents/mile | Jan 2008 | $3.308 | |
| Feb 2008 | 25 cents/mile | Dec 2007 | $3.341 | |
| Jan 2008 | 26 cents/mile | Nov 2007 | $3.396 | |
| Dec 2007 | 20 cents/mile | Oct 2007 | $3.075 | |
| Nov 2007 | 18 cents/mile | Sept 2007 | $2.953 | |
| Oct 2007 | 16 cents/mile | Aug 2007 | $2.869 | |
| Sept 2007 | 16 cents/mile | July 2007 | $2.868 | |
| Aug 2007 | 15 cents/mile | June 2007 | $2.808 | |
| July 2007 | 14 cents/mile | May 2007 | $2.796 | |
| June 2007 | 15 cents/mile | April 2007 | $2.834 | |
| May 2007 | 12 cents/mile | March 2007 | $2.667 | |
| April 2007 | 8 cents/mile | February 2007 | $2.488 |