Fuel Smarts

Fuel Surcharges May be Automatic for Military Freight

December 28, 2000

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Truckers hauling military freight may soon be eligible for automatic fuel surcharges.
In November, the Military Traffic Management Command formed a joint MTMC/industry fuel board to consider the issue.
"We don’t expect you to absorb increased fuel prices out of your profit margin," said MTMC Chief-of-Staff Col. Clark Hall. "We do not want drivers refusing military cargoes."
The board was to review a draft policy in mid December. Details haven’t been released, but MTMC said they have agreed to use the U.S. Energy Dept.’s weekly fuel price as the governing national standard and to establish a baseline fuel price with a 10 cent per gallon margin. For instance, if the baseline price is $1.30 and the price of fuel goes above $1.40, motor carriers will automatically get a fuel surcharge.
MTMC said it got the fuel surcharge idea from a National Defense Transportation Assn. committee meeting last August.

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