Tariff 6 - Private equipment rules on CPEffective January 1, 2023
Tariff 6 - Private equipment rules on CPExpires December 31, 2022
Inside the private equipment supplemental services guide
- Definitions
- Private railcars require approval
- Private containers must meet industry standards
- Private equipment with hazardous commodities
- Private equipment terms
- Railcar mileage equalization
Related tariffs
FAQs about this tariff
What is the purpose of Tariff 6?
The purpose of this tariff is to consolidate and simplify the various rules, terms, and fees specific to using private equipment on CP.
What is railcar mileage equalization?
Mileage equalization is intended to help balance revenue and non-revenue miles in the movement of private railcars. There are 2 mileage equalization programs in place, each calculated separately: one that applies to private railcars in Canada, and a second that applies to private tankcars in the United States. See Tariff 6 Item 30 for details.
What can I do to minimize or eliminate mileage equalization charges?
Some ways to minimize potential mileage equalization charges include:
- Using the same railway for both loaded movements and empty returns
- Making use of reverse routings and avoiding diversions
- Being conscious of the annualized program calculation – weighing the benefit of returning empty cars within the calendar year against the potential costs
Who is invoiced for the movement of private railcars not covered by mileage equalization?
In Canada, the payer of freight on the shipping instructions, the shipper and the consignee are responsible for the revenue movement of empty private railcars. In the United States, the responsible parties include the payer of freight or the railcar owner. See Tariff 6 Item 25 for details.
How much are the freight charges for moves not covered by mileage equalization?
Revenue movement of empty private railcars is covered under CP tariff 4000, unless other specific rates have been published on behalf of the party responsible for the freight charges. See Tariff 6 Item 25 for a description of revenue vs non-revenue movements of empty private railcars.