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Shoalhaven Bushwalkers Inc.

PO Box 403
Nowra NSW 2541


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Rationale behind the Car Sharing Cost

Car Sharing Cost
The car sharing cost is determined by the committee and is based on a cents value for each kilometre that each passenger travels, with the total cost rounded up or down to the nearest dollar. As at 1st November 2012, the value was 10c per kilometre.

Example: The distance from Nowra to the Steamers Beach carpark is 39.27km, giving a round trip of 78.54km. At 10c per kilometre, the cost per passenger is $7.85, which is then rounded up to $8.00. The cost can be reduced by mutual agreement for longer trips ie. outside the Shoalhaven.

The underlying argument is that the driver should not have to contribute to fuel costs provided he or she has two or more passengers. Then, assuming that few cars use more than 12.5 litres per 100km, the calculations should be based on that level of consumption. If the car is more fuel-efficient, then the driver benefits more. The price of unleaded fuel was used as the benchmark, as this is what is most commonly used. It would be too complicated to set different figures for premium petrol or diesel fuel as well.

Below is a chart of the approximate break-even trigger points ...

Fuel Price
per litre
Cost per
passenger
Cost for
2 passengers
Amount Collected
per 100km with
2 passengers
Cost of fuel
per 100km @ 12.5
litres per 100km
$1.50 10c 20c $20 $18.25
$1.60 10c 20c $20 $20.00
$1.70 11c 22c $22 $21.25
$1.80 12c 24c $24 $22.50
$1.90 12c 24c $24 $23.75
$2.00 13c 26c $26 $25.00

Therefore, when the average price of fuel exceeds $1.60 per litre, the club should raise the price per passenger to 11 cents; when it passes $1.70 - 12 cents and when it passes $1.90 - 13 cents. The price should not drop below 10 cents because any big fall in fuel prices is always likely to be very temporary.

Of course, with 3 or more passengers, there is a reasonable "profit" to be made and free transport for the driver remains the rule - a great incentive to take more passengers, not to mention all the consequential environmental benefits that flow.

The calculation does not take into account other costs that must be borne by the drivers - such as registration, insurance, maintenance and cleaning costs.

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