Determining cubic freight transport costs

Within the road transport planning section of the Australian Road Research Board (ARRB), the collection of vehicle operating cost data, both private and commercial, has been proceeding for the past few years. This work is particularly related to providing data for analysis of the economies of scale in operating costs. The amount of light density or cubic cargo transported by road vehicles and the almost constant call by sections of the industry for larger (and higher) vehicles indicates the importance of this hitherto neglected area of road transport. This report examines the relationship between vehicle operating costs and vehicle volume. Results are presented for ten companies operating a total of 199 vehicles varying in size from two axle rigids to five axle double bottom (three axle semi hauling a two axle trailer), if operated utilising existing equipment. The results indicate that, provided the utilisation of vehicles is kept at a reasonably high annual figure (so that fixed costs do not outweigh variable costs), very significant reductions in operating costs are available with the use of larger vehicles. Various operators were asked what future changes in vehicle regulations would best benefit that section of the road transport industry engaged in cubic freight haulage: these opinions are presented here without comment. (A) /TRRL/