Carload Rate Based Standard HDF Fuel Surcharge

Union Pacific's carload rate based standard HDF fuel surcharge program is based on the Department of Energy (DOE) On-Highway Diesel Fuel Price (US Average). Information about actual fuel surcharges applied and details about the program are included below.

This fuel surcharge program will apply as follows:

• Fuel surcharge will be adjusted on a monthly basis.
• The basis for the surcharge will be determined by the U.S. Average price of DOE On-Highway Diesel Fuel for a calendar month, as reported weekly on the U.S. Department of Energy website.
• In the event the average monthly price of Retail On-Highway Diesel Fuel, equals or exceeds $1.35 per gallon, a surcharge beginning at 1.5% will apply.
• For every five-cent increase above $1.35 per gallon, the surcharge applied will increase by 0.5%. See the threshold schedule for more details.
• When the average DOE price drops below $1.35 per gallon, no fuel surcharge will apply.
• The surcharge will be billed to applicable shipments beginning the second month following the month on which the DOE average price calculation was based. 
• Fractions of dollars resulting from the application of a fuel surcharge will be dropped if less than fifty (50) cents and increased to the next whole dollar if fifty (50) cents or more.

This surcharge became effective with shipments billed on or after June 1, 2003. The fuel surcharge will be applied to the line haul freight charge(s) that make reference to this fuel cost recovery program. This program does not affect Union Pacific's Intermodal surcharge program. The DOE price is reported weekly on the U.S. Department of Energy website.

Fuel Surcharge Rate