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Fuel Prices

Discussion in 'Heavy Equipment & Pavement' started by Fieldman12, May 22, 2007.

  1. Fieldman12

    Fieldman12 LawnSite Bronze Member
    Posts: 1,504

    I know most of you already figure fuel prices in to what you charge. Anyone already or getting ready to add more to there prices for fuel? I know diesel has gone up some but not near as much as gas. Gas is around 3.19 to 3.39 a gallon around here. Diesel is around 2.80 a gallon. Question also is we all know this will hurt the customers pocket book on the fuel prices. Do you think we will be able to get some more money for fuel or do you think prices on the actual jobs we bid or per hour will drop due to less cash flow?
  2. RockSet N' Grade

    RockSet N' Grade LawnSite Silver Member
    Posts: 2,454

    Less consumer discretionary income........too many machines/operators out there trying to make a go of it.......lower prices is what I am seeing.
  3. dozerman21

    dozerman21 LawnSite Bronze Member
    Posts: 1,170

    Unfortunatly, I agree. The companies/trades that can get away with raising their prices with the economy won't be affected, but their added cost along with fuel will trickle down to everyone else and impact the way they operate and bid jobs. The market is competitive already, and if the gas prices stay high and diesel goes up, it could get even uglier. For all the lower pay, high production jobs that are already being pinched, it could really get tight.
  4. Fieldman12

    Fieldman12 LawnSite Bronze Member
    Posts: 1,504

    Yes it could get real ugly. Unfortunately we are all in the gas/diesel game. Maybe it will shake some out of the tree that are having a hard time making it and hopefully make it better for the rest in the long run. It's kinda the same in the farming world. Someone is always doing well off another persons loss.
  5. janb

    janb LawnSite Senior Member
    Posts: 254

    I try to look for the most economical machine to get the job done, I feel the manufacturers have let us down on that. My 'old beater' track loader is much cheaper / hour for amount of work it does (no turbo for one thing...). And the tractor will be doing more finish work. Of course a turbo does increase the combustion efficiency, but... it does drink pretty heavy. Excavator work appears less costly on a per hr basis than the Skids, but of course productivity is the key, get in and out!
  6. Scag48

    Scag48 LawnSite Fanatic
    Posts: 6,067

    As far as dirt work goes, be efficient. Janb makes a good point, get in and get out. Make 1 move instead of 2, don't haul your iron across town for a stupid 2 hour job, take everything you need to the site once and leave the trailer there until the job is done. We got pretty good at "site hopping", our equipment never makes it back to the shop. This saves at least 2 trips back to the shop and leaving the trailer at the site saves driving home with an empty trailer. My dad is finally getting better about keeping up with buckets for our 303. We're routinely on at least 2 sites at the same time, or we move equipment between the 2 at least. Dad will sometimes leave a bucket at one job thinking he'll have the machine back there to pick it up later. I broke him of that habit last year. He called me up when I was on a big job for Verizon and asked if I could go pick up the cleanup bucket for our 303 with my truck (flatbed F450). Told him I had stuff to do and couldn't get there, he finally broke down, got the trailer, and wasted at least an hour and a half going to grab one bucket when it could have easily travelled with the excavator to the next job. It's things like this that will kill the bottom line. Not only are you burning extra fuel, but you're not on a job billing hours when you're out screwing around with a minor issue.
  7. finance2999

    finance2999 LawnSite Member
    Posts: 13

    $4.54 / US gallon up here in Manitoba! (1.199/Lt)
    Gotta charge it out, it's the only way to make it up. Every company here either builds it in the price or charges a "fuel surecharge"
    Only going to get worse I think.
  8. Gravel Rat

    Gravel Rat LawnSite Fanatic
    Posts: 9,544

    What in the heck are you guys complaining about its still cheaper than what we are paying in B.C. .

    Gas is hovering around 1.26 a litre diesel is 1.05 a litre or 4.29 US for a gallon of gas and 3.58 for a gallon of diesel fuel.

    I worked it out to what you guys pay per litre in CND and its 93 cents per litre which we haven't seen in years.

    My rates get higher as the price of fuel gets higher if the customer doesn't want to pay tough luck I'am not working for them. Customers know how much fuel costs they have to buy the same fuel.

    When I started out hauling with 1 ton trucks back in 96 my rate used to be 25 dollars per hour which was 1 ton truck rate fuel was 65-68 cents a litre. Todays rate for a 1 ton truck is 50 dollars per hour and if the price of diesel gets up to 1.20 a litre then the rate on the truck will go to 60 dollars per hour.
  9. murray83

    murray83 LawnSite Senior Member
    Posts: 347

    $500/day for a backhoe here,have yet to decide on my prices for sanding this winter most likely they'll be going up.

    Its not just fuel,insurance each year from now on in will be making its yearly jump.Federal gogernment plowing jobs this year have increased to 3 million from 2 last year so they are out luckly our provincial contracts are still low,the jail's bond for plowing is still $4000 thank god.

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