Energy Department to Exchange Up to 315,000 Barrels from Northeast Home Heating Oil Reserve, Deliveries by November 13
WASHINGTON — The U.S. Department of Energy (DOE) announced on October 21 a request for proposals for an exchange of up to 315,000 barrels of ultra-low sulfur distillate (heating fuel oil) from the Northeast Home Heating Oil Reserve (NEHHOR), structured to mitigate supply chain challenges disrupting fuel oil supply. The reserve holds about 1 million barrels in commercial storage facilities across the Northeast.
Under the terms of the exchange, borrowing companies must return the same volume of fuel oil plus a premium, ensuring the reserve is refilled ahead of the 2027-2028 heating season. DOE said the fuel will be exchanged from storage sites in South Portland, Maine; Boston, Massachusetts; and New Haven, Connecticut, with all transfers and deliveries scheduled to be completed by November 13, 2026.
In a statement, Secretary of Energy Chris Wright said the Trump Administration is committed to doing everything in its power to lower energy costs for the American people, and that after receiving a letter from Senators Susan Collins and Angus King and extensive discussions with Collins, he directed the department to exchange barrels from the reserve to mitigate heightened home heating oil costs during the coming winter. He called it a temporary measure to solve a temporary supply disruption, and urged the governors of New York and New England to work with the administration to build the Constitution Pipeline and replace home heating oil with low-cost natural gas.
The solicitation sets a minimum offer quantity of 25,000 barrels and a maximum of 30,000 barrels per offer, with no more than 150,000 barrels available per site; offerors may submit multiple offers. DOE said both fuel retailers and terminal holders can take part in the competitive bidding process so product can flow into areas facing shortages. Bids are due by 11:00 a.m. Central Time on Tuesday, October 27, 2026.
Senator Collins welcomed the decision in a statement on October 21, saying about half of Maine households rely on fuel oil to heat their homes and that she had repeatedly urged the administration to use every tool to increase supply and lower prices; DOE expects the release to put downward pressure on home heating oil costs. According to Reuters, Collins said the release equals a 13 percent supply increase for New England, and U.S. retail diesel prices have averaged about $6.32 a gallon in recent days, with Northeast distillate stocks at seasonally record-low levels.
Published by GSM · USA (original Chinese edition)
Photo: 图：美国能源部原油储罐航拍（资料图，Texas 州 Nederland 附近的 Sunoco 码头）。照片：美国能源部（DOE），公共领域，经 Wikimedia Commons。 / Aerial view of U.S. Department of Energy crude oil storage tanks at the Sunoco terminal near Nederland, Texas (file photo). Photo: U.S. Department of Energy, public domain, via Wikimedia Commons.
