What is OOJ, and why are hauliers charging it?
OOJ stands for Out-Of-Jurong, and is an additional charge from hauliers for trips that go out of the Jurong area in Singapore.
The OOJ charge is only applicable in Singapore, but may take on other forms in other countries.
Why are hauliers charging OOJ?
As most depots and ports are located in the west of Singapore i.e. the Jurong area, trips made out of Jurong are usually further and have longer traveling times.
OOJ jobs usually:
- Cover a longer distance
- Consume more fuel, which equates to higher petrol costs
- Takes up more time for drivers to travel to and fro
As a result, when a driver takes up OOJ jobs, the number of jobs they can complete is reduced, resulting to decreased productivity.
Case Study: Round trip from Pasir Panjang to Changi
To further illustrate why hauliers charge OOJ, we use an example of a round trip from Pasir Panjang port to Changi Airfreight Centre, where goods are usually loaded for import or export via air.
Below is how the job flow will look like:
- Driver picks up an import container at Pasir Panjang port.
- Driver brings it to Changi Airfreight Centre for unstuffing, where goods are removed.
- Driver brings the empty container back to a depot, which is located in the west of Singapore.
From Pasir Panjang port to Changi
From Changi to Depot
Based on Google maps, a round trip like this will take about 2 hours both ways, excluding the time for loading, unloading and unstuffing of containers. It should also be noted that heavy vehicles will also take a longer time to travel, as opposed to the suggested duration for cars provided by Google maps.
Which areas are OOJ charges applicable?
The following map is derived from jobs completed through Haulio’s platform in 2018. The yellow points on the map refer to areas where OOJ charges were charged.
Based on the data, we noticed that there was no clear standardisation of the Jurong area – there were jobs located within Jurong where OOJ charges were charged!
Standardizing OOJ
To provide greater transparency for our customers, Haulio talked to various users to get a better understanding of where the Jurong area should be demarcated.
As a result, we have come up with a clear boundary of the Jurong area, marked in red below. In fact, Out-of-Jurong should technically be renamed “Out-of-West”!
To make things easier for our users, we have added a feature – as long as jobs created are located out of the Jurong area, an OOJ charge will be included automatically.
This provides consistency for customers using Haulio across all our bookings, and ensures that our hauliers are paid for their services accordingly.
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