# SpeedFerries Temporary Fuel Surcharge



## epavelin (May 19, 2005)

For your information: I received the following email from SpeedFerries (apologies if this has already been posted):

--- Cut and paste ---

Temporary fuel surcharge on the Dover-Boulogne route


Dear Customer,

Normally when addressing our customers, SpeedFerries is delivering good news about innovations in bookings, convenience of travel and last but by no means least, significant reductions in cross-channel fares.

On this occasion however the message is less positive. The recent escalation in fuel prices has forced us to introduce a temporary fuel surcharge of £4 / 6€ per vehicle payable at the time of travel - starting from the 14th September 2005. The cost of Marine Diesel - the fuel we use for SpeedOne - has shown substantial increases for several months, however during the most recent weeks, following a number of international events, the rise has been extreme. To give you an indication of the effect, the development is illustrated below:


From index 100 in 1999 prices increased to level 300, when SpeedFerries started operating in May 2004. As the chart clearly shows, the fuel costs have since then doubled from level 300 to level 600.

Obviously, the consequences on a low cost ferry operation are immense. 

As you are probably aware, average cross-channel ticket prices have been cut by more than 50% and in some cases up to 75%, since the opening of the SpeedFerries service out of Dover. We believe that it will be of greater benefit to all, to temporarily apply this fuel surcharge fee rather than make a dramatic reduction in our number of sailings. Knowing our pricing still to be competitive, we truly believe this to be the best solution for the customers of SpeedFerries.


The fuel surcharge is variable in relation to fuel prices, but will never exceed £5 per vehicle each way and will be reduced or completely removed as and when fuel prices drop to a more realistic level in the future. To keep the arrangement as fair and flexible as possible, the supplement is levied in relation to the date of travel rather than the date of booking. The supplement will be charged at the time of check-in for your travel and can be paid in cash or by credit card. 


I sincerely hope for your understanding. 

Please allow me to use this opportunity to thank you for using SpeedFerries. 


SpeedFerries Limited


Curt Stavis

Chief Executive Officer

---- End Cut and Paste ---

Ed.


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## 88905 (May 10, 2005)

Paragraph 5.....Apply this fuel surcharge fee rather than make a dramatic reduction in our number of sailings..

not sure how reducing sailings would have any effect on fuel price rises...the company is in business to make a profit so reducing sailings is going to have the effect of reducing their outgoings and dramatically reducing their incomings.
I guess this was written by the PR department junior.
nobby


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## peejay (May 10, 2005)

Strange this as the BBC reckon fuel prices will drop by about 4p a litre next week.

Also, I thought marine diesel was substantially cheaper than other automotive diesels as it doesn't attract anywhere near as much tax as road fuels. Ask any diesel boat owner, or is 'marine' fuel different to normal boat fuel?

pete.


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## 88905 (May 10, 2005)

Marine diesel is red coloured diesel without the tax but it's not tax that's gone up this time but the base price from the wells.

The BBC bless it's cotton socks has been talking about blockades all week but the fuel complainers have only been talking about having a presence at the refineries and not intending to blockade. Perhaps that what Tony wants them to say as they have now lost their integrity.

nobby


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## peejay (May 10, 2005)

I think there is still a tax on red, but not as much as road fuel although i'll stand corrected on this :roll: , If the base price goes up, then the tax (as a percentage) goes up as well, so either way, gordy wins.

Interesting to see if all the other ferry operators follow suit?

pete.


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