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DOE To Exchange Up To 315,000 Barrels From The Northeast Home Heating Oil Reserve

Author Image Admin  -   03:00 pm  -   October 21st, 2026


Department of Energy

Offers Due by Tuesday, October 27, 2026

On October 21, the U.S. Department of Energy (DOE) announced that it will exchange up to 315,000 barrels (about 13.2 million gallons) of ultra-low sulfur heating oil from the Northeast Home Heating Oil Reserve. This is approximately one-third of the roughly one million barrels held in the Reserve. DOE has issued a Request for Proposal (RFP) open to fuel retailers and terminal holders.

Key details

  • Exchange, not a sale. Companies awarded barrels must return the same volume to the Reserve between January and September 2027 and pay DOE a premium in dollars. The premium increases the later the barrels are returned.
  • Product spec. The barrels are undyed ultra-low sulfur heating oil with a maximum of 15 parts per million sulfur, designated for non-transportation use.
  • Locations. Barrels are held at terminals in New Haven, Connecticut; Chelsea, Massachusetts; and South Portland, Maine.
  • Timing. Barrels will be transferred in November 2026. DOE's announcement says deliveries will be completed by November 13.
  • Deadlines. Questions are due by 1:00 p.m. Eastern on Friday, October 23. Offers are due by 12:00 p.m. Eastern on Tuesday, October 27.

The RFP contains detailed financial, contractual, and logistical requirements, including federal contractor registration, letters of credit, and terminal agreements. Companies considering an offer should review the full solicitation carefully and make sure they understand its requirements before submitting.

DOE will post answers to questions and any amendments on the solicitation page. Businesses that need assistance preparing a response to the RFP may contact Jill Hamilton at jhamilton@sesi-online.com or (703) 980-7374. NEFI members who reference this alert will receive a discount.

NEFI will keep members informed of any further developments. For additional information, contact Jim Collura, NEFI President and CEO or Rick Schweitzer, NEFI Regulatory Counsel.

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