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Fuel prices are heading down, and so is CSX Intermodal’s monthly fuel surcharge. On Monday, the company will implement a February surcharge of 15.5 percent. January’s fuel surcharge was 17.5 percent.

CSXI previously applied fuel surcharges of 17.5 percent in December, 16.5 percent in November, 17.5 percent in October and 23 percent in September.

CSXI adjusts its surcharge the first Monday of each month based on the difference between the U.S. Department of Energy’s (DOE) price index the previous Monday (in this case, Jan. 29) and $1.10. CSXI calculates the percent difference between the DOE’s “Retail Diesel Fuel Price Index” and $1.10, multiplies the figure by 10 percent and then again by 100. On Jan. 29, the DOE reported a diesel retail price of $2.41 per gallon.

February’s 17.5 percent surcharge applies to CSXI's ramp-to-ramp, ramp-to-door, door-to-ramp and door-to-door rates. The drayage-only fuel surcharge for February will be 20 percent.

Meanwhile, Union Pacific Railroad’s carload fuel surcharge will rise to 14 percent in February. The Class I’s surcharge had held steady at 13 percent in December and January. However, the carload fuel surcharge will drop to 12.5 percent in March.

For every five cent increase above a DOE price index of $1.35, UP raises the carload fuel surcharge by 0.5 percent. During the past year, the railroad’s surcharge reached a low of 12 percent in February 2006 and high of 18 percent in October 2006.