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The decision by Canada's BC Ferries to raise its surcharge next month has been questioned by a member of the local political party, B.C NDP.

Last week, BC Ferries announced that fuel surcharges on some routes will be adjusted on December 12th due to the rising cost of marine diesel fuel.

The fuel surcharge will rise from 2.5 per cent to 5 per cent on the three major routes connecting the Lower Mainland and Vancouver Island. A fuel surcharge of 2.5 per cent will be implemented on the Horseshoe Bay – Langdale route.

The fuel surcharge currently in place on the minor routes will remain unchanged at 5 percent. Currently there are no fuel surcharges on the Port Hardy – Prince Rupert and Prince Rupert – Haida Gwaii routes.

Gary Coons [pictured], B.C NDP deputy opposition critic for transportation and infrastructure, is quoted as saying that under legislation passed last year, "in my mind, (it’s) illegal to put in any fuel surcharges until October 2012."

The legislation in question suspended BC Ferries’ power to make "extraordinary price cap increases" to account for costs such as fuel.

"A lot of people are seeing this as a last-minute cash grab by BC Ferries to try and do something with their $20 million deficit," commented Coons.

Rising Fuel Costs

According to BC Ferries, its annual fuel costs have risen in recent years from $45.9 million in 2003 to $86.8 million in 2008.

The company's fuel costs for the 2008/09 period was calculated to be approximately $120 million and is forecast to be at similar levels this year. However, since 2003 the corporation is said to have reduced its fuel consumption by approximately 5 percent.

Questioning the timing of the surcharge hike, Coons said: "It’s just before Christmas, when people are trying to deal with travel and the cost of the December Christmas season. I think it’s a bit suspicious that this is happening now."