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* USA - The burden of diesel costs
In an industry in which diesel is a bloodline, representing 25 percent of operating costs, soaring oil prices have serious implications for local trucking and transportation companies
Chattanooga,TN,USA -The Chattanooga Times Free Press, by Joan Garrett -January 11, 2008: -- ... Industry leaders say higher diesel costs have the potential to set off a wave of price increases for the 80 percent of Americans who receive household goods from trucks... Also, currently there are more trucks on the road than there is freight, and as the economy has gotten softer shippers have done a good job of using the competitive environment to lower the fuel surcharge they pay to their carriers, Joey Hogan, Chattanooga-based Covenant Transportation Group's senior executive vice president, said... In the meantime, the American Trucking Associations is lobbying Congress to eliminate boutique fuel requirements in states across the country and promote a national diesel fuel standard... Richard Moskowitz, regulatory affairs council for the associations, said boutique diesel -- required in states like California with air quality standards that differ from the national standard -- costs 4 or 5 cents more per gallon and their prices are controlled by only a handful of refiners... The trucking associations is also supporting long-term strategies: increasing U.S. refining capacity, drilling in Anbar province in Iraq and biodiesel blends up to 5 percent... (Photo by Allison Kwesell - Kevin Shelton, right, is assisted by Elisa Baggett loading a truckload of food for Providence Ministries Inc. at the Chattanooga Area Food Bank. Nonprofit organizations are having trouble with gas prices rising more than $3 per gallon)
Labels: fuel costs troubles
posted by Unknown @ 9:07 AM
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