Media Kit » Try RailPrime™ Today! »
Progressive Railroading
Newsletter Sign Up
Stay updated on news, articles and information for the rail industry



This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.




railPrime
View Current Digital Issue »


RAIL EMPLOYMENT & NOTICES



Rail News Home Mechanical

3/19/2007



Rail News: Mechanical

NS to stop applying fuel surcharges to local, non-intermodal public rates


advertisement


Norfolk Southern Corp. has settled on a way to comply with the Surface Transportation Board’s (STB) new fuel surcharge rule: stop assessing fuel surcharges on local public rates.

On April 1, the Class I no longer will apply fuel surcharges on local, non-intermodal public rates. Instead, the railroad will adjust public prices based on current market conditions.

On April 1, NS will decrease local, non-intermodal public rates 1 percent to reflect the new price adjustment policy. Traffic moving under those rates accounts for about 5 percent of the railroad’s total revenue base.

In January, the STB issued a final rule prohibiting railroads from assessing fuel surcharges on regulated public freight rates after April 25 that are based on a percentage of freight charges. CSX Transportation will convert its public freight rates to a new fuel surcharge based on rail miles and BNSF Railway Co. will extend an existing mileage-based fuel surcharge program to comply with the board’s rule.