Costs fuel truckers' anger

March 31, 2008|By Henry J. Holcomb, Inquirer Staff Writer

With diesel fuel prices soaring above $4 a gallon, independent truck drivers are getting scared and angry.

Protests are cropping up across the nation, including one planned for this morning at the Capitol building in Harrisburg.

"Normally, my fuel bill has been $50,000 to $60,000 a year. This has been true several years. This year, it will probably be over $100,000," said Mark Kirsh of Myerstown, Pa., organizer of the Harrisburg rally.

The speed of the price increase has hurt, said Peter F. Swan, professor of transportation and logistics at Pennsylvania State University's Harrisburg campus. "There's a lag of several months before rates catch up. Transportation rates are indexed on a quarterly basis. In the meantime, carriers and truckers lose money."

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The impact of this growing problem could spread to consumers. Experts say a quarter of the nation's independent truckers could go broke and park their rigs, helping remaining drivers charge more and further drive up the cost of products.

This is the worst time for truckers since the 1970s. Unlike 30 years ago, the Internet now gives long-distance independent truckers across the nation a way to organize protests such as the one planned in Harrisburg.

"About 10 to 15 years ago, French truckers really made a scene," John C. Spychalski, professor emeritus at Penn State's Smeal College of Business, recalled last week.

Truckers interviewed last week were boiling over.

"I just paid $4.29 a gallon. We've got to let the political system know we exist," said Lee Klass, of Portland, Ore., interviewed by cell phone while passing through Ohio. That price means it cost Klass $1,200 for a fill-up that keeps him rolling for two days.

The rapid increase in diesel costs has forced drivers to dip into money saved for repairs and tires.

"When my engine blew up, it cost me $15,000," Klass said. He had to refinance his truck, which he has driven 1.2 million miles.

There are other costs. Drivers report paying $5,000 a year for liability insurance - and much more if they carry hazardous materials. "Physical-damage insurance varies. For a new truck, it can easily run $500 to $600 a month. My truck is eight years old and I pay $111," Klass said.

An oil change is $160 to $250. "I have to spend $500 for brakes every four to five months - that's just for brake shoes. And just for the tractor. If you need brake drums, that's a whole lot more," Klass said.

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