Tariff 6 - Private equipment rules on CPEffective January 1, 2017
Tariff 6 - Private equipment rules on CPExpires December 31, 2016
The purpose of this tariff is to consolidate and simplify the various additional rules, terms, and fees specific to shipping using private equipment on CP.
Mileage Equalization, historically, was put in place to balance loaded and empty mileage movements of railcars or, more specifically, the miles customers pay CP to move the car vs. the "return miles", which are included in the loaded movement price. There are 2 programs in place, with each being calculated separately. The first is CP's program that applies to private cars in Canada, and the second is the US industry program that applies to tank cars in the US.
Mileage equalization fees are charged to encourage efficient movement of empty equipment. Some tips for being as efficient as possible include:
Just as is the case for every other shipment, when a shipment is not covered under the Mileage Equalization program, full shipping instructions (e.g. EDI 404) including the shipper, consignee, and payer of freight or "bill-to" party must be specified. The party specified as the payer of freight on the shipping instructions will be invoiced, just as is the case for every other shipment. Should any shipments not be properly billed, the car owner may be involved in properly directing the invoice for the applicable freight charges.
Just as is the case for every other shipment, please speak with your account manager to set-up a quote or use the applicable CP freight price tariff (e.g. CP tariff 4000).