Surcharges Explained

SURCHARGES EXPLAINED

A+Heler’s Dry Ice & C02 (APH) is continuing to experience significant increases in our primary supplies for dry ice production and C02 cylinder refills (liquid C02), and distribution costs. These increases are a result of geopolitical uncertainty, higher labor costs, and rapidly (weekly) increasing fuel costs. The increased costs have necessitated a pricing adjustment through a surcharge. Be assured, we will continue to monitor these costs and will adjust the surcharge rates accordingly. The surcharge application is included in APH’s Service Agreement for periods of time when these critical inputs for production and delivery increase due to outside influences that APH has no control over.
The surcharge is composed of 2 sections. These are:

Diesel Fuel Surcharge

The Diesel Fuel Surcharge adjustment follows Federal fuel surcharge recommendations. This is based on the USDOE published average diesel fuel cost per gallon in the Midwest. This average is published every Monday, weekly, at (https://www.eia.gov/petroleum/gasdiesel/). The surcharge calculation uses as a baseline the average price of diesel fuel per gallon in the Midwest as of January 3, 2022, of $3.47 per gallon. The fuel surcharge rate is calculated as follows:
Diesel Fuel Surcharge Rate in ($/mile) =
(Current Midwest Diesel Price /gal – Baseline Price /gal) / APH Delivery Vehicle Avg miles/gal
Diesel Fuel surcharge Rate = $0.xx/Mile
Diesel Fuel Surcharge = (Diesel Fuel Surcharge Rate) x (# miles between Office and customer location in Miles)

Dry Ice Surcharge

The Dry Ice surcharge is related to liquid C02 surcharge from our supplier (Air Products and Chemicals). For dry ice the surcharge rate is $0.0153 per Lb.
Dry Ice Surcharge = ($0.0153) x (weight in Lbs. of dry ice purchased)
Surcharge Invoicing
The APH applied surcharge equals the sum of 1. And 2. above and will commence on April 1, 2022. Each surcharge value will appear as a separate line item on your invoice or each purchase. Variations in surcharge rates may occur weekly depending on average diesel fuel prices and C02 liquid surcharge rate changes. Therefore, the surcharge may go up or down even with the same quantity of dry ice purchased week to week.
Should you have any questions with respect to these surcharges, please contact the APH Office. We sincerely appreciate your business and look forward to continuing to serve you.