In each calendar month, if the reference price of diesel for an I/O is more than $1.05, a licensee must pay the I/O a fuel surcharge, calculated in accordance with the following formula:
(A – $1.05) x B x 2%
$0.05
where:
A = the reference price of diesel, in dollars
B = the minimum compensation payable by the licensee to the I/O in that month, as determined by the required rate payment (exclusive of the PMR), in dollars
Reference price of diesel means the lower of the following:
a) the average retail price per litre, including taxes, of diesel in Vancouver as reported by Kalibrate (formerly the Kent Group) for the month immediately before the date on which a fuel surcharge is calculated, rounded down to the nearest $0.05
b) if an I/O obtains diesel at a discount from the ordinary retail price for the purposes of providing container trucking services, the amount paid per litre by the IO, rounded down to the nearest $0.05