FUEL & ENVIRONMENTAL CHARGE INFO
We are committed to controlling costs so we can continue to provide you with the best overall value in waste and recycling related services, Fuel prices and environmentally related costs are something we cannot control. Our FEC is intended to defray part of the increased third-party costs. This charge is a one- line item on customer invoices that contains two separate components (fuel surcharge and an environmental cost recovery component).
Fuel Component: Our standard fuel surcharge calculation is tied directly to the national average price of diesel fuel as reported weekly by the Energy Information Administration of the U.S. Department of Energy (“EIA/DOE”) in its Weekly Retail On-Highway Diesel Prices Index. This index is objective, publicly available and widely recognized in the trucking and transportation industries. Tying our fuel surcharge to this index will ensure that you, our valued customer, will pay a fuel surcharge that is currently adjusted, easy to calculate, and equitable to you and the Company.
The EIA/DOE average is published the 3rd Monday of each month based off Midwest pricing and will be used for invoices created during the following month. The CWS Fuel Surcharge Table shows what the fuel surcharge, as a percentage of your monthly or other periodic invoice charges, before taxes, would be based upon the last reported EIA/DOE national diesel price index prior to your invoice date.
Not a Governmental Tax; Future Changes: The Fuel/Environmental Charge is not a tax or surcharge imposed by or remitted to any governmental or regulatory agency; it is a Champion Waste & Recycling charge. The Fuel/Environmental Charge percentages may be changed at the discretion of Champion Waste & Recycling.
Why do you charge a fuel surcharge component?
The fluctuation in the cost of diesel today makes it difficult for our Company to recover fuel expenses in standard operating margins. Our residential and commercial vehicles that run on diesel get 3-4 miles per gallon and our roll off vehicles around 8. In addition, third party vendors that handle our waste charge us a fuel surcharge or an increased price for added fuel costs.
If the price of fuel goes down, will my fuel surcharge component go down too?
Yes. The surcharge will do down because the charge is tied to EIA/DOE index, if the EIA/DOE’s national average diesel price falls, your fuel surcharge component will come down as well. This information is updated weekly.
How can I access the EIA/DOE Weekly Retail On-Highway Diesel Prices Index?
Here is the link to the EIA/DOE. This site is updated the 3rd Monday of each month based off Midwest pricing and will be used for invoices created during the following month.
FOR MORE INFORMATION CONTACT US 214.637.6500
