PUC Extends Fuel Cost Recovery Surcharge For Household Goods Carriers

The Pennsylvania Public Utility Commission (“PUC”) recently extended the Fuel Cost Recovery Surcharge for household goods carriers for an additional year, until April 18, 2013, to enable carriers to continue to recover increased diesel fuel costs.

On January 31, 2012, Tristate Household Goods Conference, Inc. (“Tristate”), a tariff publishing agency that represents approximately 275 household goods carriers in Pennsylvania, submitted a request to the PUC to extend the Fuel Cost Recovery Surcharge for household goods carriers for an additional year, until April 18, 2013.  The surcharge was originally implemented in 2003 and is intended to permit carriers to recover continuing increases in the cost of diesel fuel.  The surcharge is calculated by a formula that attempts to approximate the amount of fuel used by carriers on trips multiplied by the increased cost of fuel.  In support of its request, Tristate submitted data from the U.S. Department of Energy that showed the average price of diesel fuel for the period from January 2011 to January 2012 was $4.00 per gallon, a 29% increase over the previous 12-month period.

Carriers are required to post a notice of the surcharge in a conspicuous place in their offices and vehicles.  In addition, carriers must also show the surcharge as a separate line item on the Estimate of Charges provided to customers and on the Bill of Lading.

The extension was approved by the PUC at its April 12, 2012 Public Meeting and will be effective from April 18, 2012 to April 18, 2013, unless further extended.  A copy of the PUC’s April 12, 2012 Order is attached.

Fuel Cost Recovery Surcharge 4-12-12 Order.pdf