Stop Overpaying for Fuel
For the last 40 years, the transportation industry has utilized the DOE index – a national average price calculation – to determine the cost of diesel fuel reimbursements between shippers and carriers. Reimbursing based on an average index price creates an inability to accurately manage diesel fuel costs in transportation. Fuel Recovery changed all of that. Breakthrough enables shippers to leverage real-time, lane-level data to reduce the fuel cost, consumption, and emissions in their supply chains.
Unlike an Index-based surcharge program, Fuel Recovery moves beyond one average price and accounts for the time, tax, price, and geography specific to each shipper’s individual freight movements. Fuel Recovery calculates the exact cost of fuel used to move goods to market, bringing transparency and fairness to diesel fuel reimbursements between shippers and carriers.
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Fluctuations take place in the wholesale diesel market over the course of each week. Breakthrough clients know that fuel prices change every day and translate that into daily savings with Fuel Recovery. |
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Taxes vary dramatically by state and have a huge impact on fuel price. Fuel Recovery accounts for taxes by state – the way carriers pay taxes – to ensure accurate reimbursement of transportation fuel costs between shippers and carriers regardless of what states your movements pass through. |
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Despite the current low-price environment, price distortion in the DOE Index has more than doubled since the inception of Breakthrough. This means your opportunity for savings is increasing even in a relatively low-price environment. |
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Regardless of the prevailing market conditions, regional volatility plays a major role in each market. Common drivers of regional volatility include refinery maintenance mishaps and weather events. Fuel Recovery accounts for these differences in regional pricing in real time, ensuring that you and your carriers are understanding and paying for the true cost of fuel. |
Achieve the Breakthrough Advantage
CLEAR AND ACCURATE FUEL COSTS
Your savings begin on the first movement, on the first day. Fuel Recovery helps lower your overall transportation fuel spend immediately. In 2018, an average 10-million-gallon client achieved the following results over their previous fuel program.
A Little Data Could Save You Millions
With Fuel Recovery, shippers’ transportation fuel expenses are reflective of the expenses their carriers incur when purchasing fuel. With a transportation energy management strategy in place, you will gain visibility into your true consumption and costs in real-time and at the lane-level. Managing and reimbursing for fuel with a market-based approach, not a retail index, will lower your overall transportation fuel spend immediately. After your true consumption and costs are aligned with your freight movements, further improvements can be made to achieve continued savings.
Get our exclusive eBook on the value of a market-based approach over an index-based fuel surcharge program to discover even more about the benefits of adjusting your strategy with Fuel Recovery.
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