Common use of Fuel Escalation Program Clause in Contracts

Fuel Escalation Program. Average daily kilometers are based on work driving only and does not include mileage incurred for travel to/from work or other personal business. Those individuals found padding their mileage will be permanently excluded from this program. Changes to average kilometers will only be adjusted with a re-route or significant geographic change. The base fuel price for this program will be the unleaded fuel price of .508/ltr. In addition, rates will increase for changes over this base pump price based on two separate averages. The following process will be in effect for determining the average price of fuel for Alberta branches: i) All branches will report the posted price (which includes GST) in their location at the open of business on the 1st and 15th of the month (or the first business day from these dates). ii) The price will be taken from the same establishment every month, the location of which will be mutually agreed upon by both parties. iii) One average separate fuel price will be calculated each for Edmonton and Calgary routes that operate directly out of the city branches (Edmonton International Airport location would be included in this category). The average price will be based solely on Edmonton and Calgary reported prices. A separate average fuel price will be calculated for Rural AB branches and depot locations where the route start and finish does not include the main branch. This average price will be based on reported prices from Medicine Hat, Lethbridge, Fort XxXxxxxx, Peace River, Red Deer, Grande Prairie, and Vermilion. $0.01/km for changes in base fuel price as follows: City Rural Van 0.04 0.05 Cube 0.03 0.04 5Ton 0.03 0.035 Decreases in the rates will occur when the fuel price falls below the same price triggers that have generated a rate increase, but cannot go below the base price. These average prices will be recalculated and posted at all locations on the 1st and the 15th of the month (or the first subsequent business day from these dates).

Appears in 4 contracts

Samples: National Collective Agreement, National Collective Agreement, National Collective Agreement

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