Diesel price escalator clause

The diesel price escalator clause, also known as the diesel floater, is a fuel surcharge that is based on the price of diesel and that logistics companies charge their customers to compensate for rising diesel prices, but also falling diesel prices. This surcharge is variable and change according to the fluctuations of diesel prices.

Fuel costs are one of the most important components of the freight price, along with vehicle and personnel costs. Freight forwarders and carriers monitor price developments very closely and adjust freight prices quickly, especially when diesel prices rise.

Even if it is difficult for every haulier to agree surcharges with their customers, the diesel escalation clause is the only way to create transparent traceability.
Flat-rate diesel surcharges are not an effective means of reflecting fluctuations in the price of diesel.

If chosen correctly, a diesel price escalation clause is a good instrument for regulating the handling of fuel cost changes in a fair and transparent manner in a business relationship between shipper and transport service provider, at least in the medium term, as we do at Spedition-Albrecht.

In concrete terms, this means that our customers automatically benefit when the price level falls. In return, the diesel surcharge increases if fuel costs rise significantly. We calculate the diesel floater on a daily basis and adjust it to the respective circumstances.

The diesel floater at the forwarding agency Albrecht is updated daily under the reference source www.benzinpreis-aktuell.de for our transports. For us, fairness and transparency for our customers is a key quality feature.

Spedition Albrecht calculates the diesel price escalation clause(diesel floaters) using a diesel price index. How does it work? You can find out here

You can find out how to calculate the respective diesel cost share of a transport company here.

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