12/15/2014 01:09 EST | Updated 02/14/2015 05:59 EST

BC Ferries eliminates fuel surcharge as oil prices fall

BC Ferries has announced it is eliminating its 3.4 percent fuel surcharge effective Wednesday, Dec 17 as the price of oil continues to fall.

"With the current favourable market conditions, we have been hedging our diesel fuel costs and are now in a position to eliminate the fuel surcharge," said BC Ferries President Mike Corrigan Monday in a news release.

"We know that fare affordability is an issue for our customers"

Corrigan said the ferry corporation expects to eliminate the outstanding balance in its fuel deferral account by 2015.