BC Ferries announced today that it will be eliminating its 1.5% fuel surcharge beginning December 17.
In a release, Alana Gallagher, BC Ferries’ Vice President and CFO, credits the elimination of fuel surcharges to “the recent decrease in the price of fuel.”
“We understand that affordability is important to our customers and every bit helps,” she added.
BC Ferries says it has been using a fuel rebate/surcharge mechanism to “manage the volatility in the price of fuel.”
When prices are lower, customers are provided with a fuel rebate, and when prices are higher, the fuel surcharge is applied to cover additional costs.
BC Ferries notes it does not financially benefit from the surcharges or rebates.
The company currently has five ships using liquefied natural gas, which is a cleaner and cheaper alternative to ultra-low-sulphur diesel. Additionally, two electric battery hybrid vessels are set to enter service on the Powell River – Texada Island and Port McNeill – Alert Bay – Sointula routes in 2020.
In November, BC Ferries announced it ordered four additional electric-battery hybrid Island Class vessels serving the routes from Campbell River to Quadra Island and from Nanaimo Harbour to Gabriola Island.
With files from Kenneth Chan.
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