Under a Cumulative Weight billing methodology, the ‘per kilogram’ charge (which reduces through successively heavier weight breaks) is applied progressively through each weight break.
For example, in a situation in which the price reduces for weights above 500kgs, a 540kg consignment will be charged at the applicable rate for the first 500kgs plus the reduced rate for the remaining 40kgs. (Under a Total Weight methodology, the reduced rate would apply to the full 540kgs.)
This change brings us into line with standard market practice for carriers who apply a lower rate for heavier consignments.
The cumulative weight billing methodology applies to all StarTrack customers, unless otherwise agreed.
Worked examples
The tables below show how three different consignments would be charged under the Cumulative Weight billing methodology, (using a hypothetical rate schedule).
| Weight | Rate |
|---|---|
| 0-500 kgs | 50c/kg |
| 501-600kgs | 45c/kg |
| 601-700kgs | 40c/kg |
| Consignment weight | Cumulative Weight methodology |
|---|---|
| 490 kgs | 490 kgs @ 50c/kg = $245.00 TOTAL $245.00 |
| 540 kgs | 500 kgs @ 50c/kg = $250.00 + 40 kgs @ 45c/kg = $18.00 TOTAL $268.00 |
| 630 kgs | 500 kgs @ 50c/kg = $250.00 + 100 kgs @ 45c/kg = $45.00 + 30 kgs @ 40c/kg = $12.00 TOTAL $307.00 |