Which customers are subject to the fuel surcharge?
All residential subscription customers will see a fuel surcharge on their bills. Commercial and rolloff (industrial) customers have had fuel surcharges for more than a year.
What is a fuel surcharge?
We monitor the price of fuel very closely via the Energy Information Administration website at www.eia.gov. When the price of diesel fuel rises above $2.50 per gallon, a fuel surcharge will be added to residential subscription customers' quarterly bills. In turn, when the price drops below $2.50 per gallon, the fuel surcharge will be dropped.
Like many businesses, for us the cost of doing business is directly impacted by the cost of fuel. For many years we have absorbed this cost and we will continue to absorb the majority of it. The fuel surcharge is a small way to offset some of the cost. Oil prices climbed in 2010 and analysts predict they will rise again in 2011 due to strong demand from developing countries such as China and India.
Other businesses similarly impacted include the airlines (which raised fares at the end of 2010 and are predicted to raise fares again in 2011), grocery stores (fresh food prices are rising as farmers pay more for fuel for their implements), and even restaurants (prepared food will be higher because it costs more to truck it from location to location). Prices for almost all consumer goods and products are rising. Just as you see the prices rising at the pump – all businesses are experiencing the same rising prices. This is a global issue.
When did this surcharge take effect?
The surcharge took effect with the February 1, 2011 residential billing cycle.
Where can you get more information?
For information about diesel fuel prices, please visit www.eia.gov, the website of the Energy Information Administration. This is the non-partisan resource we use for diesel fuel prices.
Why are we charging for all of the diesel fuel in our trucks?
While you will see a nominal fee on your bill, this in no way makes up for the millions of dollars we spend as a company every year on fuel. We are only offsetting a small percentage of the cost of our fuel as we continue to deliver outstanding service to your home.
Why aren't our competitors charging a fuel surcharge?
Some of our competitors have recently adjusted their pricing for fuel, choosing not to break out the fuel as a line item. We chose to break it out as a line item so we can remove it when the price of fuel goes back down.
How will the charge appear on the bill?
The charge will appear as a separate line item on your bill each quarter.
