Fuel Adjustment Factor (FAF)
October 12th-18th = 40.65% October 5th-11th = 44.86%
Due to ongoing tensions in the Middle East, global fuel markets are experiencing increased volatility. As diesel pricing is heavily influenced by international conditions, this has resulted in more frequent and unpredictable price movements.
To ensure a fair and transparent approach to managing these fluctuations, Combined Freightlines—following guidance from the New Zealand Trucking Association—will implement a temporary weekly review of our Fuel Adjustment Factor (FAF). How It Works The FAF will be reviewed and calculated each Thursday Any changes will take effect from the following Monday The applicable FAF rate is based on the day the delivery is completed For example, any freight held over the weekend will be charged at the following week’s FAF rate The updated FAF rate will be: Published on this page weekly Emailed to customers subscribed to our FAF updates
If you would like to be added to the FAF email list, please contact us via the general enquiry form. Temporary MeasureThis weekly review process is temporary and will remain in place only while fuel markets experience heightened volatility. Once conditions stabilise, we will return to our standard monthly FAF calculation process.
We appreciate your continued support and understanding as we manage these external cost pressures while maintaining the high level of service you expect from Combined Freightlines. How is FAF calculated?
Our FAF is calculated using a standard industry method supplied by NZ Trucking Assn that compares current fuel prices to the base fuel rate used when our pricing was set.
FAF (%) = ((Current Fuel Price − Base Fuel Price) ÷ Base Fuel Price) × Diesel Cost Component (%) Base Fuel Price: The diesel price included in our standard ratesCurrent Fuel Price: The average diesel price for the current monthDiesel Cost Component: The portion of our freight rate that relates to fuel
This method ensures any adjustments are directly linked to real fuel cost movements, providing a fair and consistent approach for both our customers and our business.
Please NoteOur FAF is based solely on our previous week’s diesel prices from our bulk supplier. This may vary from other companies due to differences in pricing and buying power.
To ensure a fair and transparent approach to managing these fluctuations, Combined Freightlines—following guidance from the New Zealand Trucking Association—will implement a temporary weekly review of our Fuel Adjustment Factor (FAF). How It Works The FAF will be reviewed and calculated each Thursday Any changes will take effect from the following Monday The applicable FAF rate is based on the day the delivery is completed For example, any freight held over the weekend will be charged at the following week’s FAF rate The updated FAF rate will be: Published on this page weekly Emailed to customers subscribed to our FAF updates
If you would like to be added to the FAF email list, please contact us via the general enquiry form. Temporary MeasureThis weekly review process is temporary and will remain in place only while fuel markets experience heightened volatility. Once conditions stabilise, we will return to our standard monthly FAF calculation process.
We appreciate your continued support and understanding as we manage these external cost pressures while maintaining the high level of service you expect from Combined Freightlines. How is FAF calculated?
Our FAF is calculated using a standard industry method supplied by NZ Trucking Assn that compares current fuel prices to the base fuel rate used when our pricing was set.
FAF (%) = ((Current Fuel Price − Base Fuel Price) ÷ Base Fuel Price) × Diesel Cost Component (%) Base Fuel Price: The diesel price included in our standard ratesCurrent Fuel Price: The average diesel price for the current monthDiesel Cost Component: The portion of our freight rate that relates to fuel
This method ensures any adjustments are directly linked to real fuel cost movements, providing a fair and consistent approach for both our customers and our business.
Please NoteOur FAF is based solely on our previous week’s diesel prices from our bulk supplier. This may vary from other companies due to differences in pricing and buying power.