Diesel Prices Highest in Four Years
According to the Department of Energy’s Energy Information Administration (EIA), the average price per gallon of diesel fuel is the highest that it has been in over four years.
This week the average cost of diesel fuel rose to $4.15 per gallon (a 5.6 cent increase) This is the second week in a row that prices have risen; however, last week the increase was only 1.5 cents. The price of $4.15 per gallon for diesel fuel is not quite at the cost seen in August of 2008 where prices were at $4.207 per gallon.
Diesel prices saw 11 consecutive weeks of increases creating a total increase of 48.7 cents. Despite this drastic increase, the annual prices are up an average of 34.9 cents. Luckily, the EIA is forecasting that diesel prices with average $3.73 per gallon in 2013 compared to $3.96 per gallon in 2012. There will undoubtedly be fluctuation throughout the year, but hopefully a lesser average price will be beneficial to many businesses.
Adjusting to diesel fuel prices is to be expected for many businesses, and there are ways to prepare and lessen the impacts of these fluctuations – especially with the help of your logistics company. You can take steps to reduce mileage and transit lengths with creative routing solutions, or you can prepare to offset increased shipping costs by cutting budgets in other areas.
Give us a call so that we can help you avoid unnecessary costs and bring you shipping discounts to help cope with fluctuating diesel prices!