Gas & Gear Handling Fee

From 1 January 2016, customers purchasing compressed gas cylinders from BOC Gas & Gears in Australia will no longer see a separate List Price Handling Charge on invoices unless a specific handling price has been agreed.

New efficiencies in the production and distribution of our gas cylinders to Gas & Gear stores has allowed us to pass on some savings to customers, while maintaining our strong commitment to delivering safe and efficient products and services.

What will this mean for Gas & Gear customers?

  • Most customers will see no change in the final price of their invoice.
  • Some customers will see a reduction in the overall price for some or all of their gas products.
  • Customers with existing supply agreements already loaded in our system which include handling charges, will see a continuation of these charges for the duration of their contract.
  • A small number of customers may see a price increase if they transact through both Gas & Gear and Gas Agent or Direct Delivery. This increase will likely be offset by a price reduction in their gas spend through Gas & Gear.

This does not apply to the Gas Agent Network. A review of charges for this channel is currently underway and will be completed in the future.

If you are a BOC Gas Agent: The change implemented as at January 1, 2016 encompassed a change to transactions out of BOC Gas & Gears only. This means that handling charges may still appear on invoices for transactions conducted at a BOC Gas Agent. This change is an extremely complex exercise for BOC. We are implementing this throughout our own Gas & Gear network initially to ensure any potential challenges are addressed prior to implementing this change to other supply channels. We intend to roll this out to our Gas Agent network during 2016. We appreciate your ongoing support while this change is being implemented. Any questions should be directed to our Customer Engagement Centre on 131 262.

FAQs

1. Why is BOC removing this charge from Gas & Gears?
We continue to work on efficiencies in the production and distribution of our gas cylinders to Gas & Gear stores in Australia. A review of our charges and pricing has allowed us to pass on some of these savings to our customers.

2. Why has the final price on my invoice decreased? Savings that BOC has been able to achieve vary by customer, location, gas product and/or cylinder size. We have applied saving to a number of products where savings have been achieved.

3. Why can I still see handling on my invoice or delivery docket? If you have agreed on a handling price with your BOC representative which forms part of your supply agreement, these specific handling charges will continue to apply for the life of your contract, maintaining the existing pricing you negotiated. If you have transacted from a BOC Gas Agent, you will also still see handling charges as they are still valid.

4. Why have some of my gas prices changed while others have not? Savings that we have been able to achieve vary by customer, location, gas product and/or cylinder size. As such, we have applied saving to the products where savings have been achieved, but not to others where no saving has been achieved.

5. Why do my invoices differ when I purchase out of a Gas & Gear versus a Gas Agent versus Direct Delivery? As there are different charges applicable to each service channel, there is a high likelihood that your invoiced amounts will differ by channel. The change described here is currently being rolled out in the Gas & Gear channel only. Therefore, you may now see a slight variation between transactions invoiced from a Gas & Gear compared to invoices from a Gas Agent or via our Direct Delivery channel. Long term, we aim to make our invoices and charges across all channels as simple and easy to understand as we can.

6. Who do I contact if there is a problem with my pricing? Please contact your BOC Account Manager or our Customer Engagement Centre on 131 262.

7. Which gas products are offering a price reduction? This is difficult to specify as it depends on many factors such as product, distribution plant and Gas & Gear location.

8. What kind of efficiencies has BOC achieved in its production and distribution of gas cylinders? Efficiencies have been gained through improved production technologies and processes, contractor management and delivery route/stock optimisation models.

9. What does this change mean for me as a BOC Gas Agent? In terms of serving your customer and being remunerated for your work by BOC, there will be no change to you as a BOC Gas Agent. What may change for some of your customers who purchase gas from both Gas Agents and Gas & Gears is that their price may be slightly different when transacting through a Gas & Gear.

Any other questions should be directed to our Customer Engagement Centre on 131 262.