BNSF Railway Company (BNSF) announced that it will extend its mileage-based fuel surcharge program to carload (Agricultural Products, Coal, Industrial Products and Automotive) customers who do not currently pay a mileage-based fuel surcharge beginning Jan. 15, 2009, and to intermodal customers beginning Feb. 18, 2009. Changes for carload customers will be phased in as current pricing authorities expire.
BNSF established its mileage-based fuel surcharge program in 2006 as the most direct and accurate method of reflecting the impact of fuel price changes on BNSF and its customers.
The Highway Diesel Fuel (HDF) price at which BNSF will assess a fuel surcharge on carload shipments—the strike price—will increase from $1.25 per gallon to $2.50 per gallon, and pricing for carload shipments subject to a mileage-based fuel surcharge will be adjusted to reflect the new strike price.
“As the first railroad to establish a mileage-based fuel surcharge program, BNSF is further developing the program based on our continual monitoring of fuel prices, fuel efficiency efforts and input from our customers,” says John Lanigan, BNSF’s executive vice president and chief marketing officer.
Tables reflecting the new strike price for automotive (conventional and articulated equipment), unit coal train and all other carload shipments are available on the BNSF Web site at http://www.bnsf.com/tools/prices/fuelsurcharge/index.html. Tables for intermodal customers are under development now and a Customer Advisory will be sent to intermodal customers when the new tables are posted on the BNSF Web site.
BNSF Sales/Marketing representatives will provide customers with additional details as they become available over the next few months.