STAR-BULLETIN FILE
A Matson worker drives a rig that transports containers. A 27 percent rise in fuel prices over the past four months is prompting Hawaii's ocean transportation companies to raise surcharges.
Horizon, Matson
boost fuel rates
The two ocean freight lines serving Hawaii are raising their fuel surcharge again, by one percentage point to 7.5 percent effective Sept. 15.
Horizon Lines, formerly CSX Lines, filed its new fuel rate with the federal government last week and Matson Navigation did the same this week. Both had cut their surcharge to 6.5 percent in the spring.
"When we reduced it in April, the (fuel-oil) price per barrel was just below $25. Now it is back above $32," said Brian Taylor, vice president and general manager of the Horizon Lines Hawaii-Guam division.
That marks a 27 percent increase in four months, Taylor said.
Matson, which put its current 6.5 percent surcharge into effect in May, said its fleet burns about 1.9 million barrels of fuel a year and a $1 increase in the barrel price adds $1.9 million in expenses that need to be covered.
"As anyone who drives a car is well aware, fuel prices have been rising steadily in recent months," said David Hoppes, vice president for ocean services at Matson, the largest subsidiary of Alexander & Baldwin Inc.
Horizon and Matson both said they will lower the fuel surcharge when they can.
