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Thread: "Trucking industry reduces speed to save money."

  1. #1
    ohiomohawk's Avatar
    ohiomohawk is offline Board Regular ohiomohawk is an unknown poster at this point.  Don't let him/her around power tools just yet.
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    Default "Trucking industry reduces speed to save money."

    This article was in the local newspaper:

    Truckers throttle back their big rigs

    With diesel fuel prices at more than $4 a gallon, trucking industry reduces speed to save money.

    When Debra Turner hits the nation's highways with her puppy, Sophie, her truck goes a little slower than it once did.

    Her company, US Xpress, has set the electronic speed governors on its trucks down to 66 mph from 70 mph, she said, and has told drivers to fill up only at Pilot and Love's truck stops, where the prices are lower.

    It's all part of a nationwide effort by the trucking industry to improve gas mileage as diesel fuel prices have soared to more than $4 a gallon in many places.

    According to the federal Energy Department, diesel prices hit a national average of $3.97 a gallon on March 17, up $1.29 from a year ago. The jump is being attributed to record crude oil prices and strong global demand.

    The price of diesel Saturday, March 22, was $4.07.9 cash and $413.9 credit at Pilot Truck Center off Interstate 75 at Ohio 123 in Franklin. Truckers interviewed there said rising fuel costs are hurting truckers, especially owner-operators who hire out their services.

    Arthur Browne of Hamilton is an owner-operator who drives for Mayflower, the moving company. He said the drivers get a fuel surcharge that's paid by the customer and passed along to the drivers. The surcharge has increased over time, but "it isn't going up fast enough, because it (diesel fuel) has gone up 30 percent in the last six weeks."

    Browne said he has long tried to be fuel-efficient, driving 65 mph even in states where the speed limit is 75 mph. He gets six or seven miles to the gallon in his tractor-trailer rig.

    "If I've got a good, heavy load, (the surcharge) will cover most of it," he said.

    Trucker Ray Flanary of Abilene, Texas, said rising fuel prices caused him to sell some trucks he owned, stop being an owner-operator and go to work for Koch Trucking Inc. of Minneapolis. He said he's noticed truckers slowing down to save fuel.

    Flanary said he sold out three or four years ago because fuel prices had eroded his income to about a third of what it was when he became an owner-operator around 1999.

    "Now I'm a company driver and (paying for fuel) is my company's responsibility, but I still worry about it," he said. It makes him angry that oil companies are enjoying record profits when fuel prices are driving up the cost of food and other consumer goods.

    "You don't do anything without a truck," Flanary said. "You don't eat, you don't have food, you don't have energy, you don't have anything without a truck. It affects everybody."

    By Tom Beyerlein
    Staff Writer

  2. #2
    BIG JEEP on 44's is offline Senior Board Member BIG JEEP on 44's is a distinguished poster and probably helps little old ladies across the street. BIG JEEP on 44's is a distinguished poster and probably helps little old ladies across the street. BIG JEEP on 44's is a distinguished poster and probably helps little old ladies across the street.
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    When big companies like Werner ,Swift, Us Xpress and others speak of the 4$ per gallon price on fuel at the pumps I just chckle ...WHY...because the mega carriers ...DO NOT...pay pump price NOT even close . they pre-pay in millions of gallons and get it at a huge discount when small time O/O were paying $ 2.50- $ 3.00 per gallong out fits like swift/werner/Schneider wre paying about $1.50 per gallon ...guess what these companies are paying more but still onluy about $ 2.00 per gallon .

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    guess what these companies are paying more but still onluy about $ 2.00 per gallon .
    Not even close. Most of the large volume discounts are in the $.10 to $.20 range, not a couple bucks.

  4. #4
    BIG JEEP on 44's is offline Senior Board Member BIG JEEP on 44's is a distinguished poster and probably helps little old ladies across the street. BIG JEEP on 44's is a distinguished poster and probably helps little old ladies across the street. BIG JEEP on 44's is a distinguished poster and probably helps little old ladies across the street.
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    Quote Originally Posted by Twilight Flyer
    guess what these companies are paying more but still onluy about $ 2.00 per gallon .
    Not even close. Most of the large volume discounts are in the $.10 to $.20 range, not a couple bucks.

    .10-.20 cents ...ok sure . Fact is these companies would have gone broke running trucks at what they move freight for if they were paying just .10-.20 cents less than pump price .

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    Fozzy is offline Senior Board Member Fozzy is on the right path.  You could probably safely loan them a quarter.
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    Quote Originally Posted by Twilight Flyer
    guess what these companies are paying more but still onluy about $ 2.00 per gallon .
    Not even close. Most of the large volume discounts are in the $.10 to $.20 range, not a couple bucks.
    It doesn't have to be true.. its just has to sound unfair/mean/whatever .. just another special interest / entitlement group lining up to be victims...

  6. #6
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    Quote Originally Posted by BIG JEEP on 44's
    Quote Originally Posted by Twilight Flyer
    guess what these companies are paying more but still onluy about $ 2.00 per gallon .
    Not even close. Most of the large volume discounts are in the $.10 to $.20 range, not a couple bucks.

    .10-.20 cents ...ok sure . Fact is these companies would have gone broke running trucks at what they move freight for if they were paying just .10-.20 cents less than pump price .
    If you honestly believe that large trucking companies are getting over $2.00 per gallon discount, you are a fool. The current cost of fuel at most T/A's is in the mid to upper $3.00's. Not the pump price - the cost. Are you suggesting that these companies are getting fuel for less than what it is costing the gas stations who are supplying it?

    There is hardly any profit margin in fuel the way it is. There is certainly not the $2.00+ per gallon profit in it for the retailer.

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    And the rest of the truth is:

    DO NOT EXPECT FUEL PRICES TO GO BACK DOWN.


    When there is a chance for the prices to go back down, someone with a suit and tie in one of the big offices will say the "THE PUBLIC IS NOW USED TO PAYING MORE, SO WE MAY AS WELL JUST LET IT STAY RIGHT UP THERE." Just like taxes. They can't live without it.
    Destroy the cities...
    and they will rebuild them.
    Destroy the farms...
    and grass will grow in the streets of the cities.

    Destroy the economy of the blue-collar worker...
    and grass will grow in the executive offices.

    The bill has come due.
    ( R E T I R E D , and glad of it)


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    unclehotte is offline Member unclehotte is an unknown poster at this point.  Don't let him/her around power tools just yet.
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    Default cutting speed back

    This is just typical. Instead of raising the price for shipping the products they cut the speed down, which is nothing then a PAYCUT to the driver since now she can log LESS miles legally. If OTR would be pay per hour NOBODY would cut the truck speed back. Thank god i get paid the SAME if I drive 60. 65 or 75.

  9. #9
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    i also heard a co. driver in al. state that he pays 1.75 a gal & has the receipt to prove it. i have absolutely no idea if this is true or false. i will say it was explained to me this way.. big co's buy in the mil gal & have their own tankers deliver to places like the ta. they have contracts so that when ever their trucks fill up it comes from the fuel already delivered & the ta gets .1 cent per gallon for storage & dispense use. so the big co's are not buying from the truck stops they are just using them to store & to pump. this is the story i'm told... i still dont know...

  10. #10
    Fozzy is offline Senior Board Member Fozzy is on the right path.  You could probably safely loan them a quarter.
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    Default Re: cutting speed back

    Quote Originally Posted by unclehotte
    This is just typical. Instead of raising the price for shipping the products they cut the speed down, which is nothing then a PAYCUT to the driver since now she can log LESS miles legally. If OTR would be pay per hour NOBODY would cut the truck speed back. Thank god i get paid the SAME if I drive 60. 65 or 75.
    So of course you drive 75?

  11. #11
    Windwalker's Avatar
    Windwalker is offline Board Icon Windwalker is a distinguished poster and probably helps little old ladies across the street. Windwalker is a distinguished poster and probably helps little old ladies across the street. Windwalker is a distinguished poster and probably helps little old ladies across the street. Windwalker is a distinguished poster and probably helps little old ladies across the street.
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    Quote Originally Posted by heavyhaulerss
    i also heard a co. driver in al. state that he pays 1.75 a gal & has the receipt to prove it. i have absolutely no idea if this is true or false. i will say it was explained to me this way.. big co's buy in the mil gal & have their own tankers deliver to places like the ta. they have contracts so that when ever their trucks fill up it comes from the fuel already delivered & the ta gets .1 cent per gallon for storage & dispense use. so the big co's are not buying from the truck stops they are just using them to store & to pump. this is the story i'm told... i still dont know...
    While it is true that many companies buy the fuel before it's pumped, the guy that said he has a receipt for a $1.75 a gallon must have it from a few years ago. When a driver fuels up at the truck stop, the paperwork he gets to see is the same as everyone else's. Unless he's an O/O, then it's listed on his weekly settlement sheet.

    About two years ago, at the PETRO in York, NE, there was a sign on top of the fuel pumps that "DART CONTRACTORS ONLY PAY $1.75 A GALLON FOR THAT FUEL." (Not sure of the price, but it was to that effect.) With the price of oil going up the way it has been, I seriously doubt that even DART has been enjoying a "PRICE FREEZE" like that
    Destroy the cities...
    and they will rebuild them.
    Destroy the farms...
    and grass will grow in the streets of the cities.

    Destroy the economy of the blue-collar worker...
    and grass will grow in the executive offices.

    The bill has come due.
    ( R E T I R E D , and glad of it)


  12. #12
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    Quote Originally Posted by Windwalker
    About two years ago, at the PETRO in York, NE, there was a sign on top of the fuel pumps that "DART CONTRACTORS ONLY PAY $1.75 A GALLON FOR THAT FUEL."
    Sure they do - when you add in the FSC. That's like CRE saying that their L/P drivers can earn up to $1.50 per mile. It's possible, but there's more to it than meets the eye.

    But, I'll use the Dart method and say that the last tank of fuel I purchased cost me $1.39 per gallon.

  13. #13
    heavyhaulerss's Avatar
    heavyhaulerss is offline Senior Board Member heavyhaulerss is an unknown poster at this point.  Don't let him/her around power tools just yet.
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    as for myself.. i cut back on my mph about 3 years ago. after doing an experiment on my runs, i found out that i could save $150- $185 a week by slowing down. i really only did this when i had all day to get somewhere. like when i loaded on a fri & the load was schedualled to be delivered on mon morn. i get min 7 mpg now. but that is keepint it at 60-62 mph. it is hard to keep it at that speed, but even harder to pay for fuel going 70 mph. the $150-$185 is based on 3000 mi. i now only run 185 mi 1 way loaded & 185 empty back home.

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