Fuel Hedging

May 03, 2021 | Francis Afonso



The fluctuating price of fuel can have a significant impact on a company’s bottom line which is why many fuel consuming companies hedge their fuel cost risk. In an increasingly competitive marketplace, being able to accurately forecast and or manage fuel costs can give a company an advantage over their competitors.


The purpose of fuel hedging is to reduce your company’s exposure to volatile fuel prices and stabilize fuel expenses.


By developing and implementing a sound fuel hedging program, you will not only be able to reduce your risk, you will also be able to accurately forecast your future fuel costs. You may even also be able to provide your company with a competitive advantage. If you decide to develop and implement a fuel hedging program, fuel costs will no longer be on the list of things that keep you awake at night.


For more details contact Francis Afonso at 604-981-2373 or francis.afonso@rbc.com