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Latest Variable Fuel Rate

01 Jul 2011

August  5.60%

Please note there is no Variable Fuel Rate charged for Bike Couriers.

Past Variable Fuel Rates:

 Month  Variable Fuel Rate
 July 2011

 6.40%

 June 2011

 7.10%

 May 2011

 6.50%

 April 2011

 4.90%

 March 2011

 4.70%

 February 2011

 4.30%

 January 2011

 3.80%

 December

 3.70%

 November 2010

 3.50%

 October 2010

 3.50%

 September 2010

 3.50%

 August 2010

 3.20%




Pricing

The total price you pay for a product or service is made up of two components:

  • a Base Price; and
  • a Variable Price.

In order to calculate the total price you pay, we add these two components together, round the total to the nearest cent and then add GST.

Our Base Price component is the price for our products and services set out in our contract with you.

Our Variable Price component is calculated as a percentage of the applicable Base Price. The percentage which we apply to the applicable Base Price is called the Variable Fuel Rate (VFR). The VFR changes from month to month because it is linked to the changing cost of diesel. We use the VFR that applies on the date you order your product or service.

You can calculate the total price you pay according to the following formula:

Base Price + (Base Price x VFR) = Total Price (excl GST)

For example, if the base price of your product or service was $5.00 and the VFR applying for June 2006 was 3.70%, then the total price you pay would be $5.19 calculated as follows:

Total price (excl GST) = 5.00 + (5.00 x 3.70%) = $5.185 (rounded to $5.19)

In accordance with clause 7.1 of our terms and conditions, our prices may be amended by giving you 30 days notice in writing.

Further information about the way we calculate the VFR is set out below. For the current VFR see above.



Calculating the VFR

Index Linked

The VFR is linked to the diesel price set out in the Petrol and Diesel Retail Price Graph Data tables published by the Ministry of Economic Development (“Index”). The Index is published on the Ministry’s website at the Oil Price Monitoring page, and shows the average weekly diesel price in New Zealand.

Diesel Taxes

The prices shown in the Index exclude diesel taxes, duties and levies. For the purposes of calculating the VFR we add these diesel taxes, duties and levies to the average weekly diesel prices in the Index. To find out the current amount of these diesel taxes see http://www.med.govt.nz/templates/Page____12961.aspx.

Average Monthly Diesel Price

For the purposes of calculating the VFR we use the weekly figures which are published in the Index to calculate the average diesel price including taxes, duties and levies for each calendar month.

Two Month Lag

We calculate the VFR for any given month using the average diesel prices from two months earlier. For example, to calculate the September 2006 VFR we will use the average diesel price from July 2006.

Baseline Diesel Price

We have used a baseline average diesel price of 0.71 cents per litre. No VFR will apply in the relevant month (see above) if the average diesel price including taxes, duties and levies is less than 0.71 cents per litre in that month.



VFR Table

The VFR alters from month to month according to the average monthly diesel price as shown in the table below.

Average Monthly NZ Diesel Retail Price per litre (incl diesel taxes, excl GST) greater than:

Average Monthly NZ Diesel Retail Price per litre (incl diesel taxes, excl GST) less than or equal to:

  VFR

0.00

0.71

0.00%

0.71

0.72

0.10%

0.72

0.73

0.20%

0.73

0.74

0.30%

0.74

0.75

0.40%

0.75

0.76

0.50%

0.76

0.77

0.60%

0.77

0.78

0.70%

0.78

0.79

0.80%

0.79

0.80

0.90%

0.80

0.81

1.00%

0.81

0.82

1.10%

0.82

0.83

1.20%

0.83

0.84

1.30%

0.84

0.85

1.40%

0.85

0.86

1.50%

0.86

0.87

1.60%

0.87

0.88

1.70%

0.88

0.89

1.80%

0.89

0.90

1.90%

0.90

0.91

2.00%

0.91

0.92

2.10%

0.92

0.93

2.20%

0.93

0.94

2.30%

0.94

0.95

2.40%

0.95

0.96

2.50%

0.96

0.97

2.60%

0.97

0.98

2.70%

0.98

0.99

2.80%

0.99

1.00

2.90%

1.00

1.01

3.00%

1.01

1.02

3.10%

1.02

1.03

3.20%

1.03

1.04

3.30%

1.04

1.05

3.40%

1.05

1.06

3.50%

1.06

1.07

3.60%

1.07

1.08

3.70%

1.08

1.09

3.80%

1.09

1.10

3.90%

1.10

1.11

4.00%

1.11

1.12

4.10%

1.12

1.13

4.20%

1.13

1.14

4.30%

1.14

1.15

4.40%

1.15

1.16

4.50%

1.16

1.17

4.60%

1.17

1.18

4.70%

1.18

1.19

4.80%

1.19

1.2

4.90%

1.2

1.21

5.00%

1.21

1.22

5.10%

1.22

1.23

5.20%

1.23

1.24

5.30%

1.24

1.25

5.40%

1.25

1.26

5.50%

1.26

1.27

5.60%

1.27

1.28

5.70%

1.28

1.29

5.80%

1.29

1.3

5.90%

1.3

1.31

6.00%

1.31

1.32

6.10%

1.32

1.33

6.20%

1.33

1.34

6.30%

1.34

1.35

6.40%

1.35

1.36

6.50%

1.36

1.37

6.60%

1.37

1.38

6.70%

1.38

1.39

6.80%

1.39

1.4

6.90%

1.4

1.41

7.00%



The VFR will be calculated in the same manner as set out in the table above where the average diesel price (incl diesel taxes, excl GST) is more than $1.41 a litre.