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Are $15-$30/Mile Rates Justified for Dedicated CNG Fleet? Seeking Input

Feb 04, 2025 at 11:44 AM CST

Hi everyone,

I work for a shipper operating out of New York and Michigan, contracting a dedicated fleet of 34 CNG trailers. They currently pay for variable operating costs, S&G, and equipment costs, with all-in rates ranging from $15 to $30 per mile when amortized over the year. These rates are based on round-trip pricing.

I understand there are many variables that influence costs, such as utilization, specialty services, and equipment factors, but these numbers seem higher than expected for a dedicated setup. In my experience, I’ve typically seen $5-$7 per mile in dedicated fleet operations.

I’d love to hear from others—do these rates seem reasonable for a contract/dedicated environment when moving CNG on 50-200 mile routes? Any insight or comparisons would be greatly appreciated!

Thanks in advance.