Quantcast
Last updated on May 31, 2012 at 7:52 EDT

Fuel Prices Pinch Plow Operators

December 14, 2005
Repost This

By Julie M. Mckinnon, The Blade, Toledo, Ohio

Dec. 14–Higher fuel costs have prompted some snowplow operators to boost prices this winter, but fierce competition is keeping them from recouping all of their costs, they said.

Fuel costs for Green Edge Snow Plow & Landscape, for example, have soared 30 percent this year, but the Perrysburg firm has increased prices for residential and commercial snow-removal customers by 10 to 15 percent, said Mark Ratcliffe, owner.

Green Edge has absorbed about half the fuel costs to keep customers satisfied, and it has tried to soften the blow to retirees on fixed incomes, Mr. Ratcliffe said. “It’s a tight market, it’s a competitive market.”

Jeff Gartz, owner of American Snow Removal Inc. and Perfect Sweep Inc., both of Toledo, said he did not increase prices for longtime customers even though diesel-fuel costs are up 20 to 30 percent. Some are paying a fuel charge, however. Newer customers are being charged nearly 10 percent more this year, he said.

The businesses, which handle 250 mostly commercial and industrial jobs from Colorado to New York, are trying to be more efficient, Mr. Gartz said. Salt piles have been placed throughout the Toledo area, for example, so truck drivers covering parking lots at shopping areas and other businesses do not have to travel so far to get more, he said.

“That way we can minimize the amount of fuel we use,” Mr. Gartz said.

Moosman Bros. Property Services, of Waterville, has reconfigured snow-removal routes to be more fuel efficient, so a 5 to 10 percent increase in prices for residential and commercial customers has covered increased costs, said Kreg Moosman, part owner.

“It’s taking care of the difference in it,” he said. “If you take it up too high, they’re going to find someone to come and undercut you.”

Kester Mowing and Lawn Maintenance increased commercial and residential snow-removal prices by 5 percent because of higher fuel costs, but that may not be the end, said Steve Kester, owner of the Holland business. “If it keeps getting higher, we’re going to have to do it again.”

Green Edge has had an ongoing battle with higher fuel costs, Mr. Ratcliffe said. Costs have gone up for petroleum-based materials for irrigation and other lawn tasks, not to mention fertilizer, he said.

“It’s been trying all year,” Mr. Ratcliffe said.

—–

To see more of The Blade, or to subscribe to the newspaper, go to http://www.toledoblade.com.

Copyright (c) 2005, The Blade, Toledo, Ohio

Distributed by Knight Ridder/Tribune Business News.

For information on republishing this content, contact us at (800) 661-2511 (U.S.), (213) 237-4914 (worldwide), fax (213) 237-6515, or e-mail reprints@krtinfo.com.