Why is TNT using an index based on the Rotterdam ARA jet fuel spot price for international shipments?
We have chosen to base our international index-linked VFC on the Rotterdam ARA jet fuel spot price for jet kerosene because it links the VFC to fluctuations in the prevailing market price for jet fuel which in turn influences fluctuations in our actual fuel costs. Q: Why is TNT using an index based on the average New Zealand weekly diesel price for domestic shipments? A: We have chosen to base our domestic index-based VFC on the average New Zealand weekly diesel price. We use the weekly average diesel price figure to calculate the average diesel price for each calendar month. An index based locally for local deliveries links the VFC to the prevailing domestic market price for diesel which in turn influences fluctuations in our actual fuel costs. Q: How does the index correspond with the VFC each month? A: The index tables below show average monthly jet kerosene price bands and average monthly diesel price bands with a corresponding applicable VFC. Q: Is the VFC used to calculate my tot
