The Road Haulage Association (RHA) is running a set of roadshows from September to November 2011, in conjunction with Iveco, focussing on the compliance issues affecting UK road hauliers. There will be a total of eight events covering a wide range of subjects including Euro 6 emissions, fuel efficiency, the London Low Emission Zone and the transport and possible logistical ramifications of the 2012 London Olympics.

The roadshows will also cover updates from Traffic Commissioners, various presentations on emplyment law, changes to the Access to Profession Regulations and also new engine technology enhancments. Tickets for RHA members cost £80 +VAT and for non-members, £90+VAT.

FairFuel campaigners

Members of the FairFuel campaign met with the Economic Secretary to the Treasury, Justine Greening MP, to discuss their concerns about the rising cost of fuel. The campaign team was made up of Geoff Dunning of the Road Haulage Association (RHA), James Hookham, Freight Transport Association, campaign organiser Peter Carroll, motoring journalist Quentin Willson and Tessa Munt MP.

A range of concerns about the rising cost of fuel was discussed and Geoff Dunning of the RHA, said “Of course, the final decision as to whether or not we will see a freeze on fuel duty rests with the Chancellor. We sincerely hope that he will help us, not only by freezing the next duty increase but by introducing a long term solution to the thorny issue of oil pricing”.

The Road Haulage Association, RHA, has said that diesel prices have hit an all-time high putting further pressure on hauliers, commercial vehicle operators and other UK motorists across the country.

Each week, the RHA publishes the national average price, actually paid by transport companies for bulk diesel deliveries that week and this is widely used by RHA members to adjust their haulage rates. This week the national average was recorded at 109.48 pence per litre before VAT, up by 0.62p on the week before. The previous high level was recorded back in 2008 when the price reached 108.97 pence per litre.

RHA director of policy, Jack Semple, said,”Diesel prices are driving up prices for everyone living in the UK and for every business. Against this background, it seems inconceivable that Chancellor George Osborne would go ahead with with a duty increase in April that would not only be the eighth since November 2008 but would also be the highest single increase  for more than a decade”.

Were the proposed fuel duty prices to go ahead, the RHA calculates that duty increases would have increased by 25% in 28 months.

The Road Haulage Association has confirmed that road haulage costs have risen by 4.9% in the 12 months to October the 1st, in their annual cost movement study. Fuel costs rose by 1.7% and rising diesel commodity prices and duty increased by a further 3.2%.

RHA Director of Policy, Jack Semple, said,”Diesel is around 32% of operating costs. With fuel prices rising and becoming increasingly volatile, we strongly recommend those companies that have not already done so, to implement a mechanism that links diesel prices to rates. Customers can be reluctant to agree to such terms but we would urge them to recognise the importance such mechanisms can have for the sustainability of their haulage suppliers”.

The survey also found that other costs for hauliers had risen and Mr Semple went onto say,”In looking ahead to the coming year, it seems that the only way haulage costs are going to move is upwards, with fuel, truck, driver and insurance costs all under pressure”.

The Road Haulage Association has commented that the latest one pence per litre rise in fuel duty is another blow for the road haulage industry and motorists alike. Fuel duty currently represents 58.19 per litre after the once pence increase and every one pence increase adds about £600 to a haulier’s costs, according to the RHA.

Kate Gibbs, RHA Head of Media Relations, said: “Diesel, quite literally, represents the lifeblood of the UK haulage industry and accounts for more than one third of hauliers’ operating costs. The industry now pays nearly 10 pence per litre more for fuel than at this time last year and, as a result, the Government have received a VAT windfall of at least 1 pence per litre. Of course we urge our members to pass on the increases whenever possible but the time is fast approaching when their customers will start to say enough is enough”.

The Road Haulage Association has welcomed the Campaign for Better Transport report, which once again highlights the issue of road tolls and whether they are a guaranteed revenue earner. RHA Head of Communications, Kate Gibbs, said,” In 2009, road users contributed nearly £50 billion to Treasury coffers. £32 billion of that came from fuel duty and VAT on fuel”.

The RHA feels that implementing tolling on strategic routes would be welcomed however as reductions in congestion should follow. They also feel that foreign operators would also have to pay for the privilege of using the UK road network, which would create a more level playing field in terms of transport costs. However the RHA is also calling for reduction in fuel duty for essential users of fuel, as tolling would only be a short term solution to a long-term problem.

Ms Gibbs went onto say, “If hauliers are expected to pay the ever escalating levels of fuel duty as well as road tolls, congestion will indeed decrease as more and more transport operations are forced off the toll roads on to other untolled, and in some cases, minor roads. The knock-on effect of increased journey times and disruption to delivery schedules will place the providers of transport and businesses, which rely on an efficient transport system, in an untenable situation”.

“Diesel is the commodity on which this industry is totally reliant”, said RHA Chief Executive Geoff Dunning. “We are already paying fuel duty rates that are up to six times higher than our European counterparts. If the Chancellor goes ahead with the 2.5 increase next month, it will mean that road transport operators will, on average, be paying an extra £1,100 per year in fuel duty alone, and that’s on top of the price of the fuel itself”.

Chrys Rampley, RHA security manager said,”Everyone working in the transport industry should be extra vigilant. Thieves are cutting through the security fences at transport depots to steal batteries, which I am told have a current market value of £350 a tonne and there have been reports of thefts from around the country. We are working with the police – both individual forces and the national co-ordinating body Truckpol – to combat the problem”.

The RHA wants trucks to match the UK Government’s proposed 50mph speed limit for cars and vans on A-roads, meaning that “traffic could flow at the new limit.”  It says its idea would cut tailbacks by having cars and trucks travelling at the same speed. 

“The present 20mph speed separation between trucks and other road users means cars and vans can safely overtake trucks.”  But the proposed 10mph difference is “not enough of a cushion to allow safe, legal overtaking,” says Roger King, RHA chief executive.

Peter Cullum, RHA Head of International Affairs said ” There is a warning procedure for any threat to EU transport bottle necks but, in the case of the Channel ports, strikers make sure they get around the rules”.

Mr Cullum went onto say ” Repeated disruptions are a threat to the UK economy and the proper working of the European Union and must be dealt with as such. The RHA has asked the sponsoring department, the Department for Business, Enterprise and Regulatory Reform for early talks to discuss the future of this important link and making the warning procedure deliver effective outcomes”.