BC Ferries is doing away with its 3.4% fuel surcharge as diesel prices throughout the world go down.
The ferry service announced Monday (December 15) it would eliminate the surcharge beginning December 17.
“We know that fare affordability is an issue for our customers,” BC Ferries CEO Mike Corrigan said in a statement.
“With the current favourable market conditions, we have been hedging our diesel fuel costs and are now in a position to eliminate the fuel surcharge.”
The company said it still has an outstanding balance in its fuel deferral account but it expects the balance to be eliminated during the first half of 2015.
BC Ferries spent $126 million on diesel fuel in 2013. However, BC Ferries vice-president of engineering Mark Wilson told Business In Vancouver in July the upcoming introduction of hybrid ferries, which can run on both diesel and liquefied natural gas, could cut those costs in half.
