1. Emergency Meeting on the Fuel Crisis
Juliette
Brussels, 26 June 2008
© International Road Transport Union (IRU) 2008

2. Latest fuel price increase - a dramatic development
Source: national associations, TCS
© International Road Transport Union (IRU) 2008

3. Latest fuel price increase - a dramatic development
Source: national associations, TCS
© International Road Transport Union (IRU) 2008

4. Who gets what from one litre of diesel fuel in the G7 countries in 2008?
28%
30%
38%
51%
49%
52%
56%
US$/litre
Based on the UK fuel price at the pump, a barrel of oil would cost almost 400 $
Source: national Governments, OPEC 2008
© International Road Transport Union (IRU) 2008

5. Maritime bunker fuel: No Tax! Railway energy: subsidised by the state
No level playing field!
Airline fuel: No Tax!
Maritime bunker fuel: No Tax!
Railway energy: subsidised by the state
Source: national associations, TCS
© International Road Transport Union (IRU) 2008

6. Consumer prices of diesel fuel and heating oil per 1,000 litres in 2008
35% less
40% less
50% less UK
FRANCE
GERMANY
Source: EU Oil bulletin 2008
© International Road Transport Union (IRU) 2008

7. Impact of the fuel price increase on profitability of transport operators
Simplified fuel cost calculation for a transport service in the UK
Truck performance: 200,000 km/year
Contract duration: 90 days
Mileage per contract: ~ 48,000 km
Fuel consumption: 36 litre / 100 km
Fuel consumption per contract: l
Fuel costs as per day of contract: € (38719 $)
Real fuel costs: € (42243 $)
Loss due to fuel price increase: € (3524 $)
Source: national associations, TCS
© International Road Transport Union (IRU) 2008

8. To mitigate consequences of the fuel price increase…
Message from the Associations to the fleet operators
…introduce fuel escalator clause or
don’t transport !
Source:
© International Road Transport Union (IRU) 2008

9. Message to Governments:
To mitigate consequences of the fuel price increase…
Message to Governments:
Dramatic fuel price increase is killing many transport companies.
Road transport is a vital production tool. Therefore, the overall fiscal and heavy tax burdens should be reduced and the provocative proposals on internalisation of external costs must be withdrawn.
Introduce a single professional fuel duty - significantly below the current minimum - applicable to all commercial transport industries (road, air, rail, maritime).
Implement these measures immediately and enter into a constructive dialogue.
© International Road Transport Union (IRU) 2008

10. Juliette
© International Road Transport Union (IRU) 2008