Fuel surcharge regulation on the way?

Ontario Industry Minister Al Palladini reiterated a proposal to regulate fuel surcharges during a meeting with the Ontario Trucking Association and National Trucking Association in Toronto this afternoon.

After both the provincial and federal governments indicated yesterday they had no intention of cutting taxes at the pumps, Palladini did hint he was in talks with his federal counterpart John Manley about regulating surcharges on freight rates if the trucking industry continued to struggle in collecting present surcharges from the shipping community.

OTA spokesperson Rebecka Torn said she was pleased with the possible plan, but did admit that, in order to make up the surcharges, shippers may pass those extra costs on to the average consumer.

In addition to asking the government to take action on regulating surcharges, the OTA is calling on all Canadian motor carriers to impose their own fuel charges in the meantime. They also recommend that carriers seek general rate increases at a suggested rate of 5.5%, charge shippers ancillary service and wait time fees, and fleets pass 100% of all collected fuel surcharges on to their owner-operators, in relation to the proportion of owner-operators in the fleet.

The NTA, which has been threatening protests and shutdowns all week, said it would discuss the outcome of today’s meeting with board members later on tonight, before deciding whether to shutdown.