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CFS introduces 'sliding scale fuel surcharge
Page 8
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CRANLEIGH FREIGHT Services (CFS) has introduced a pioneering fuel surcharge mechanism for all its customers to counter the relentless rise in fuel costs.
The Surrey-based logistics company has launched what it claims is the fairest way to reflect extra costs in delivery, no matter what the load.
The 'sliding scale' structure monitors fuel prices monthly and its base rate will be re-set the following month.
For every 1p/lit base rate increase, CFS will apply a surcharge of 0.15% to freight charges; the surcharge will also be reduced for fuel price reductions.
Becky Young, CFS sales and marketing manager, says it has not had any negative feedback from customers: "They are
quite happy. In fact, in January, February and March, there was no fuel surcharge because it didn't rise above our calculated base rate.
"For April, it is an average of 6p/lit over and above the base rate, resulting in a 0.9% surcharge."
She adds: "We are one of the first to operate this type of scheme; we are literally only covering our extra price of fuel when we are delivering.
"We could have charged a flat fee of 5% over and above the cost of fuel. But that's not an open and honest mechanism. It's quite transparent."
Customers can monitor the base rate and applicable charges on CFS' website: www.cranleigh.co.uk