Economic Haul Radius as Affected by Diesel Fuel Cost

Date
2014-04-15
Authors
Reynolds, Andrew
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Civil, Construction and Environmental Engineering
Abstract

Recently, the cost of diesel fuel has remained both consistently high and volatile, and industries that rely heavily on diesel power have experienced increasing transportation costs. The purpose of this study is to determine whether or not the cost of diesel has a significant effect on aggregate haul costs, and if so, to quantify an economic haul radius over a probabilistic range in diesel prices. Economic haul distance is the point where the cost of hauling the material equals the supplier cost of the material at the source. The paper uses the Puerifoy method of determining the operation costs of a typical aggregate truck and from that output to determine the economic haul radius. The paper finds that the economic distance that aggregate can be hauled is correlated with the price of diesel fuel. It recommends that the resulting stochastic algorithm be used to estimate economic haul distances for construction projects that use large amounts of aggregate.

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