Heating oil is $6.11 a gallon in New England, up 77% in a year. The offer of up to 315,000 barrels marks the first time the reserve has been used to fight prices, Maine’s senators say. It is small next to the region’s needs, and Energy Secretary Chris Wright used it to push the Constitution Pipeline.
By Energy News Beat | Thursday, Oct. 22, 2026 | Prices as of 6:35 a.m. CT unless noted
If your house runs on a tank of fuel oil, this is the number that matters this morning: $6.11 a gallon. That was the average New England price for residential heating oil on Oct. 19, according to EIA, up from $3.45 a year earlier, a rise of 77%. A 100-gallon delivery costs about $267 more than it did last October (ENB calculation). Maine averaged $6.03, up 86% (EIA), and about half of Maine households heat with fuel oil, according to Sen. Susan Collins.
On Wednesday the Energy Department stepped in. It offered to lend up to 315,000 barrels, about 13.2 million gallons (ENB calculation), from the Northeast Home Heating Oil Reserve (DOE). Collins and Sen. Angus King say the reserve has been released only twice in its 26 years and “has never before been used to lower home heating oil prices.” The question for families is how much a loan this size can do, and how fast.
What DOE announced
DOE is asking companies to borrow ultra-low sulfur heating oil stored at three sites: South Portland, Maine; the Boston area; and New Haven, Conn. Borrowers “must return the same volume of fuel oil plus a premium,” which DOE says will refill the reserve ahead of the 2027–2028 heating season (DOE). DOE says deliveries are to be completed by Nov. 13. Questions are due by noon CT Friday, Oct. 23, and bids by 11 a.m. CT Tuesday, Oct. 27 (RFP).
The 132-page RFP adds the fine print. No site can lend more than 150,000 barrels, offers start at 25,000 barrels, and no single bidder can win more than 40% of the oil. DOE’s release also says offers may “not exceed 30,000” barrels, but ENB did not find that cap in the RFP. Borrowers owe a minimum 5% premium, plus an extra premium that grows the later they return the oil: nothing extra for January 2027, rising to 22.5% for September 2027. The premium is paid in dollars and priced off New York Harbor heating oil futures.
Where the oil is (DOE RFP, Oct. 21, 2026)
| Terminal (RFP) | Reserve barrels stored | Most that can be lent |
| Buckeye Terminals, New Haven, Conn. | 300,347 | Up to 150,000 |
| Global Partners, Chelsea, Mass. (Broadway and Eastern terminals, treated as one site) | 200,780 (75,000 + 125,780) | Up to 150,000 |
| Sunoco Midstream, South Portland, Maine | 200,000 | Up to 150,000 |
| Total offered in the exchange | Up to 315,000 (about 13.2M gallons, ENB calc.) | Bids due 11 a.m. CT Oct. 27 |
Key numbers (EIA heating oil survey Oct. 19; EIA stocks week to Oct. 16; AAA as of 6:35 a.m. CT Oct. 22)
| Measure | Latest | Change / context |
| New England heating oil (EIA) | $6.112/gal | $3.446 a year ago: +77.4% (ENB calc.); $4.057 on Feb. 23 |
| Maine heating oil (EIA) | $6.026/gal | $3.235 a year ago: +86.3% (ENB calc.) |
| U.S. heating oil (EIA) | $6.190/gal | $3.526 a year ago |
| New England distillate stocks (EIA) | 2.46M bbl | 3.75M a year ago; lowest mid-October since at least 1991 (ENB calc.) |
| Reserve loan offered (DOE) | 315,000 bbl | About 13.2M gallons (ENB calc.); 13% of New England supply (senators) |
| EIA winter outlook, oil-heated homes | +21% spending | Price +34%; about 3% of U.S. homes heat with oil |
| AAA diesel, national average | $6.3090 | $3.6289 a year ago; record $6.5276 (Sept. 22) |
Why New England is running short
Supplies are thin. EIA’s weekly data show 2.46 million barrels of distillate fuel in New England in the week to Oct. 16. That is 34% below a year ago, 44% below the 2021–2025 average for that week, and the lowest mid-October level in EIA’s weekly data back to 1991 (ENB calculation).
EIA’s Oct. 7 winter outlook says homes that heat mainly with oil, “about 3% of U.S. homes, which are mostly in the Northeast,” could see the biggest jump in spending this winter: 21%. EIA expects heating oil prices to average 34% more than last winter. It also expects U.S. distillate inventories to be about 11% below the five-year average in the fourth quarter.
How big is 315,000 barrels?
The senators say the loan is “a third of the home heating oil” in the reserve and a 13% supply increase for New England. ENB’s math backs that up: 315,000 barrels is 12.8% of the region’s distillate stocks in the latest EIA week, and 31.5% of the roughly 1 million barrels DOE lists for the reserve (DOE). DOE also lists 300,000 barrels in the New York Harbor area that are not part of this offer, so the loan covers 45% of the oil stored at the three New England sites (ENB calculation).
A reserve built for storms
President Bill Clinton ordered the reserve in July 2000 as a 2-million-barrel cushion, enough for about 10 days of supply (DOE). In 2011, DOE cut it to 1 million barrels and switched the stored fuel to cleaner ultra-low sulfur distillate. Its first emergency use came after Hurricane Sandy in 2012, when more than 120,000 barrels went to emergency responders and the same volume was paid back that December (DOE). Under the law, DOE may sell reserve oil only after the president finds a “severe energy supply interruption.” The law also allows exchanges that bring back more oil than went out. DOE’s release does not say which authority it is using, or whether the president made a finding.
Wright’s pitch: build the Constitution Pipeline
“Of course, this is a temporary measure to solve a temporary supply disruption,” Energy Secretary Chris Wright said. “I encourage the governors of New York and New England to work with the Trump Administration to build the Constitution Pipeline and replace home heating oil with low-cost natural gas. Doing so would save their residents billions of dollars in home heating and electricity costs” (DOE).
Two days earlier, on Oct. 19, DOE committed up to $42 million in Defense Production Act money to permitting and pre-construction work on the 125-mile pipeline, which would carry natural gas from Pennsylvania to New York (DOE). A DOE fact sheet says Northeasterners who heat with natural gas will pay $1,236 less this winter, on average, than those who heat with oil. New York disagrees. Ken Lovett, an adviser to Gov. Kathy Hochul, called the funding announcement “nothing more than a political ploy” (The Hill; Times Herald-Record), and the state has sued over the federal effort to work around its permitting process (WXXI).
Caveats and criticism
- It is small. “This is a very, very small volume,” said Tom Kloza, chief energy adviser at Gulf Oil, calling it “just a pebble in the ocean” next to U.S. demand that he put close to 4 million barrels a day (Maine Public). On X he called it “puzzling and probably inconsequential.”
- It takes time. “This will not immediately end up in household oil tanks,” said Patrick Woodcock, president of the Maine State Chamber of Commerce, though he added it “will stabilize the market” (Maine Public). Bids close Oct. 27, and the oil moves by Nov. 13.
- It is a loan. Every barrel comes back in January, or April through September, 2027 (RFP), so it shifts supply into this winter rather than adding barrels.
- The politics are loud. Maine Gov. Janet Mills said it “will not solve the long-term problem driving up costs — the President’s war” (Maine Public). Collins faces a tough reelection fight, and heating costs are a midterm issue (Reuters).
- The same administration wanted to close the reserve. Its FY2026 budget proposed ending the reserve, and its FY2027 budget proposed selling the oil and closing the reserve by FY2029. Congress kept it funded (CRS). Heating oil trade groups lobbied to keep it open (Fuel Oil News).
- A pipeline will not help this winter. Constitution is still unbuilt and tied up in New York’s legal fight (WXXI). No utility had announced a deal to buy its gas as of July (Washington Examiner, citing Bloomberg).
How consumers and investors see it
Households and dealers: The key is “communication, talking to your fuel dealer and coming up with a plan that best suits your individual needs,” Charlie Summers, CEO of the Maine Energy Marketers Association, said last month. His group recommends automatic delivery and fixed-price plans (Maine Public).
Traders: November ULSD futures, the contract that heating oil trades on, were down 10.86 cents intraday at $4.8164 a gallon by about 10:15 a.m. CT Wednesday, according to OPIS. That came after EIA reported a weekly build in distillate stocks and after news of the reserve loan broke (OPIS via MarketWatch). PVM Oil’s Tamas Varga still expects tight markets: “No de-escalation is anticipated until the US midterm elections, which should keep oil prices elevated” (Reuters via Yahoo Finance).
What to watch: questions due Oct. 23; bids due Oct. 27; DOE says it may post the winning bids within two weeks of receiving offers (RFP); deliveries by Nov. 13; and EIA’s weekly heating oil prices, released on Wednesdays. For the refinery side of the story, see ENB’s Washington Is Pushing Refiners for More Diesel.
| Stu’s Take (opinion)
Families in New England are paying $6.11 a gallon to heat their homes, against $3.45 a year ago, and the region’s terminals hold just 2.46 million barrels of distillate. That is the lowest for mid-October since at least 1991 (ENB calculation). Lending out 315,000 barrels is the right call for this winter, and Senators Collins and King deserve credit for asking for it on Sept. 22. But be honest about the size. It is about 13% of the region’s supply, and it comes back by September 2027. A reserve is a spare tire. The same administration has twice proposed shutting this one down. Keep it, and keep it full. The real fix is pipes. Wright is right that the Northeast burns oil because it cannot get gas. DOE says Northeast homes that heat with gas will pay $1,236 less this winter than homes on oil, and a 125-mile pipeline from Pennsylvania has been stuck for a decade. Hochul adviser Ken Lovett called the federal funding announcement a “political ploy.” I call it a heating bill that families did not have to pay. Then homeowners pay to migrate to natural gas heaters and backup units. In my opinion, that justified money should come from the Waste, Fraud, and Abuse in our government to help homeowners switch to natural gas or propane. I would rather see less home heating oil used, and more clean natural gas or propane used than giving money to illegals. Just saying. — Stuart Turley, host of the Energy News Beat podcast. This box is opinion. |
All times Central (CT). Fast-moving prices carry as-of times. “ENB calculation” marks Energy News Beat’s own arithmetic from the cited data. bbl = barrels (42 U.S. gallons). Statements by officials and advocates are attributed to them.
A. Full source list
| # | Source | Perspective | Link | Accessed |
| 1 | U.S. Department of Energy, “Energy Department Authorizes Exchange from Northeast Home Heating Oil Reserve,” Oct. 21, 2026 | Primary: federal agency release | https://www.energy.gov/articles/energy-department-authorizes-exchange-northeast-home-heating-oil-reserve | Oct. 22, 2026 |
| 2 | DOE Strategic Petroleum Reserve Project Management Office, Request for Proposal DE-RP96-27PO00002, “Exchange of Three Hundred Fifteen Thousand Barrels of NEHHOR Ultra Low Sulfur Heating Oil,” Oct. 21, 2026 (132 pages) | Primary: federal solicitation | https://www.spr.doe.gov/nehhor/docs/Northeast%20Home%20Heating%20Oil%20Reserve%20Exchange%20Request%20for%20Proposal.pdf | Oct. 22, 2026 |
| 3 | DOE SPR, NEHHOR Exchange page (RFP, exhibits, offer form) | Primary: federal agency | https://www.spr.doe.gov/nehhor/default.htm | Oct. 22, 2026 |
| 4 | Office of Sen. Susan Collins, “Administration Responds to Senators Collins and King by Releasing Home Heating Oil from Northeast Reserve,” Oct. 21, 2026 | Primary: senators’ statement (advocates of the release) | https://www.collins.senate.gov/newsroom/administration-responds-to-senators-collins-and-king-by-releasing-home-heating-oil-from-northeast-reserve | Oct. 22, 2026 |
| 5 | Reuters (via Investing.com), “US aims to loan about a third of heating oil reserve in bid to tame prices,” Oct. 21, 2026 | News: wire service | https://www.investing.com/news/commodities-news/exclusiveus-aims-to-loan-about-a-third-of-heating-oil-reserve-in-bid-to-tame-prices-4962259 | Oct. 22, 2026 |
| 6 | Reuters (via Yahoo Finance), “Oil jumps on escalating Middle East conflict,” Oct. 22, 2026 (URL slug reads “oil-climbs-over-1-more”) | News: wire service | https://finance.yahoo.com/energy/articles/oil-climbs-over-1-more-052014906.html | Oct. 22, 2026 |
| 7 | EIA Today in Energy, “Mixed outlook for energy expenditures this winter,” Oct. 7, 2026 | Primary: U.S. government analysis | https://www.eia.gov/todayinenergy/detail.php?id=68264 | Oct. 22, 2026 |
| 8 | EIA weekly residential heating oil prices by region and state (Heating Oil and Propane Update) | Primary: U.S. government statistics | https://www.eia.gov/dnav/pet/pet_pri_wfr_a_EPD2F_prs_dpgal_w.htm | Oct. 22, 2026 |
| 9 | EIA weekly New England (PADD 1A) No. 2 heating oil residential price (W_EPD2F_PRS_R1X_DPG) | Primary: U.S. government statistics | https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=W_EPD2F_PRS_R1X_DPG&f=W | Oct. 22, 2026 |
| 10 | EIA weekly Maine No. 2 heating oil residential price (W_EPD2F_PRS_SME_DPG) | Primary: U.S. government statistics | https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=W_EPD2F_PRS_SME_DPG&f=W | Oct. 22, 2026 |
| 11 | EIA weekly New England (PADD 1A) stocks, released Oct. 21, 2026 (week ending Oct. 16) | Primary: U.S. government statistics | https://www.eia.gov/dnav/pet/pet_stoc_wstk_dcu_r1x_w.htm | Oct. 22, 2026 |
| 12 | EIA weekly New England distillate fuel oil stocks history (WDIST1A1) | Primary: U.S. government statistics | https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=WDIST1A1&f=W | Oct. 22, 2026 |
| 13 | AAA national average gas and diesel prices (page: “Price as of 10/22/26”) | Primary: price survey (motorist group) | https://gasprices.aaa.com/ | Oct. 22, 2026 |
| 14 | DOE Office of Petroleum Reserves, “The Northeast Home Heating Oil Reserve” | Primary: federal agency | https://www.energy.gov/hgeo/opr/northeast-home-heating-oil-reserve | Oct. 22, 2026 |
| 15 | DOE, “NEHHOR History” | Primary: federal agency | https://www.energy.gov/hgeo/opr/nehhor-history | Oct. 22, 2026 |
| 16 | DOE, “NEHHOR Releases” | Primary: federal agency | https://www.energy.gov/hgeo/opr/nehhor-releases | Oct. 22, 2026 |
| 17 | DOE, “NEHHOR Guidelines for Release” | Primary: federal agency | https://www.energy.gov/hgeo/opr/nehhor-guidelines-release | Oct. 22, 2026 |
| 18 | DOE, “The Energy Policy and Conservation Act – Statutory Authority for NEHHOR Release” (42 U.S.C. 6250a–6250b) | Primary: statute text | https://www.energy.gov/hgeo/opr/energy-policy-and-conservation-act-statutory-authority-nehhor-release | Oct. 22, 2026 |
| 19 | Maine Public, “Feds to release 315,000 barrels from heating oil reserve,” Oct. 21, 2026 | News: public broadcaster (analyst, chamber, governor quoted) | https://www.mainepublic.org/climate/2026-10-21/feds-to-release-315-000-barrels-from-heating-oil-reserve | Oct. 22, 2026 |
| 20 | Maine Public, “Maine faces soaring prices for heating oil ahead of winter,” Sept. 14, 2026 | News: public broadcaster (dealer group quoted) | https://www.mainepublic.org/climate/2026-09-14/maine-faces-soaring-prices-for-heating-oil-ahead-of-winter | Oct. 22, 2026 |
| 21 | Tom Kloza (Gulf Oil) on X, Oct. 21, 2026, 7:14 a.m. CT | Analyst post | https://x.com/TomKloza/status/2112880284987191442 | Oct. 22, 2026 |
| 22 | OPIS via MarketWatch, “NYMEX Overview: ULSD Futures Fall on Supply Build and US Heating Oil Release,” Oct. 21, 2026 (subscription) | News: price-reporting agency | https://www.marketwatch.com/story/nymex-overview-ulsd-futures-fall-on-supply-build-and-us-heating-oil-release-opis-bb6fff8a | Oct. 22, 2026 |
| 23 | DOE, “Energy Department Advances Constitution Pipeline Project with $42 Million in Defense Production Act Funding,” Oct. 19, 2026 | Primary: federal agency release | https://www.energy.gov/articles/energy-department-advances-constitution-pipeline-project-42-million-defense-production-act | Oct. 22, 2026 |
| 24 | DOE, “FACT SHEET: The Energy Department is Advancing the Constitution Pipeline …,” Oct. 21, 2026 | Primary: federal agency (advocacy) | https://www.energy.gov/articles/fact-sheet-energy-department-advancing-constitution-pipeline-strengthen-national-security | Oct. 22, 2026 |
| 25 | Times Herald-Record, “A decade after NY blocked it, Constitution Pipeline gets new federal backing,” Oct. 20, 2026 | News: regional newspaper (state and opponents quoted) | https://www.recordonline.com/story/news/2026/10/20/a-decade-after-ny-blocked-it-constitution-pipeline-gets-new-federal-backing/92340215007/ | Oct. 22, 2026 |
| 26 | WXXI News / New York Public News Network, “The Trump administration wants to revive the Constitution Pipeline. New York is fighting back,” Oct. 9, 2026 | News: public broadcaster | https://www.wxxinews.org/new-york-public-news-network/2026-10-09/trump-constitution-pipeline-new-york | Oct. 22, 2026 |
| 27 | Washington Examiner, “Daily on Energy: The Constitution Pipeline gets a national security boost,” Oct. 19, 2026 | News: political outlet (utilities, Williams quoted) | https://www.washingtonexaminer.com/daily-on-energy/4771156/daily-on-energy-the-constitution-pipeline-gets-a-national-security-boost/ | Oct. 22, 2026 |
| 28 | Congressional Research Service, “Energy and Water Development: FY2027 Appropriations” (R48944), June 23, 2026 | Primary: congressional research | https://www.everycrsreport.com/reports/R48944.html | Oct. 22, 2026 |
| 29 | Fuel Oil News, “Industry Coalition Urges Congress to Protect Northeast Home Heating Oil Reserve,” April 7, 2026 | News: heating oil trade press | https://fueloilnews.com/2026/04/07/industry-coalition-urges-congress-to-protect-northeast-home-heating-oil-reserve/ | Oct. 22, 2026 |
| 30 | The Hill, “Trump gives contentious New York pipeline a Defense Production Act boost,” Oct. 19, 2026 | News: political outlet (state quoted) | https://thehill.com/policy/energy-environment/6159109-trump-boosts-constitution-pipeline/ | Oct. 22, 2026 |
| 31 | Energy News Beat, “Washington Is Pushing Refiners for More Diesel. Relief at the Pump Will Take Time,” Oct. 21, 2026 | Energy News Beat | https://energynewsbeat.co/downstream/washington-is-pushing-refiners-for-more-diesel-relief-at-the-pump-will-take-time/ | Oct. 22, 2026 |
B. Key excerpts from the DOE release, the RFP and other sources
DOE release, Oct. 21, 2026
“The U.S. Department of Energy today announced a Request for Proposal for an exchange of up to 315,000 barrels of ultra-low sulfur distillate (fuel oil) from the Northeast Home Heating Oil Reserve (NEHHOR). … Under the terms of the exchange, borrowing companies must return the same volume of fuel oil plus a premium, ensuring that NEHHOR is refilled ahead of the 2027–2028 heating season.” … “DOE will exchange up to 315,000 barrels of fuel oil from NEHHOR storage sites in South Portland, Maine; Boston, Massachusetts; and New Haven, Connecticut. Fuel transfers or deliveries are scheduled to be completed by November 13, 2026. The minimum offer quantity is 25,000 barrels, but not to exceed 30,000, and the volume available per site shall not exceed 150,000.” … “Bids for the solicitation are due no later than 11:00 A.M. Central Time on Tuesday, October 27, 2026.”
DOE release, Oct. 21, 2026: Secretary Wright
“After receiving Senators Collins’ and Kings’ letter and extensive discussions with Senator Collins, I have directed the Department to exchange barrels from our Northeast Home Heating Oil Reserve to mitigate heightened home heating oil costs during the upcoming winter. Of course, this is a temporary measure to solve a temporary supply disruption. I encourage the governors of New York and New England to work with the Trump Administration to build the Constitution Pipeline and replace home heating oil with low-cost natural gas. Doing so would save their residents billions of dollars in home heating and electricity costs.” (Spelling “Kings’” as in DOE’s release; the Collins release has “King’s.”)
RFP cover letter, Oct. 21, 2026
“Submission of proposals will only be accepted via email and must be received not later than 11:00 a.m., Central Time, on October 27, 2026. … Questions concerning the solicitation must be submitted via email … by 12:00 p.m., Central Time on October 23, 2026.”
RFP Section B.1(d)
“The minimum offer quantity is 25,000 barrels of ULSHO inventory stored at NEHHOR sites. An Offeror may submit multiple offers, but the total award to any one Offeror or affiliate will not be more than forty percent (40%) of the ULSHO offered. No more than 150,000 barrels of ULSHO will be awarded from any one site.”
RFP Section B.1 table (sites and premiums)
Buckeye Terminals LLC, New Haven, CT: 300,347 bbl. Global Partners LP Broadway Terminal, Chelsea, MA: 75,000. Global Partners LP Eastern Terminal, Chelsea, MA: 125,780 (“Chelsea, MA terminals operate as one unit for the purpose of this solicitation”). Sunoco Midstream LLC, South Portland, ME: 200,000. Exchange delivery period: November 2026. Minimum premium 5.0%; additional return-period premium RP1 Jan 2027 0.0%, RP2 Apr 2027 7.5%, RP3 May 2027 10.0%, RP4 Jun 2027 12.5%, RP5 Jul 2027 15.0%, RP6 Aug 2027 18.5%, RP7 Sep 2027 22.5%. “Note: premium to be paid in U.S. Dollar based on NY Harbor ULSD value and exchange quantity.”
RFP Section B.5(a) and M.1
“The primary factor determining winning bids will be the Offeror who provided additional premium, followed by the Offeror who can deliver the Return ULSHO the soonest to NEHHOR, and aggregate volume across all sites …”
RFP Section B.5(b)–(c) worked example
A 150,000-barrel award returned in August 2027 with a 1% additional premium carries a 24.5% total premium: 36,750 premium barrels, valued at an example $160.53 a barrel ($3.8220 a gallon), or $5,899,477.50, paid in dollars. (DOE’s example; not a forecast.)
RFP Section M.3(e)
“DOE will not release to the general public the identities of the Offerors, or their offer quantities and Premium, until the successful Offerors have been determined. … The posting would occur within two weeks of receipt of offers …”
Sen. Collins’ office, Oct. 21, 2026
“An increase of 315,000 barrels from NEHHOR represents a 13% supply increase in New England, helping bring down prices at a time when heating oil costs are up more than 70 percent from last year. … NEHHOR reserves have only been released twice in its 26-year history – most recently for an emergency response to Hurricane Sandy. The reserve has never before been used to lower home heating oil prices.” Collins: “Approximately half of Maine households rely on fuel oil to heat their homes …”
Reuters via Investing.com, Oct. 21, 2026
“The Trump administration is offering to loan up to nearly a third of the 1-million-barrel US emergency heating oil reserve … The administration will evaluate whether further releases from the reserve are necessary, a source at the department said.” Kloza “said on X the move was ‘puzzling and probably inconsequential’ and should have no impact on prices.”
EIA Today in Energy, Oct. 7, 2026
“Homes that use heating oil as their main heating fuel—about 3% of U.S. homes, which are mostly in the Northeast—could see the largest increase in spending this year. We expect a 21% increase in spending on heating oil compared with last winter … We forecast the price of heating oil will average 34% more this winter than last winter … We expect inventories will be about 11% below the five-year average in the fourth quarter of 2026.”
DOE, NEHHOR Releases page
“In total, over 120,000 barrels (more than 5 million gallons) of fuel were provided to support emergency relief efforts. The agreement between DOE and the Department of Defense required replenishment of an equal volume of ultra low sulfur diesel … during December 2012, which was accomplished.”
Maine Public, Oct. 21, 2026
Kloza: “One thing I would stress is that this is a very, very small volume. … So, when you’re talking about 300,000 barrels, you’re really talking about something which is just a pebble in the ocean so to speak.” Woodcock: “This will not immediately end up in household oil tanks. … I do think will stabilize the market.” Mills: “… it will not solve the long-term problem driving up costs — the President’s war …”
The Hill, Oct. 19, 2026, and Times Herald-Record, Oct. 20, 2026
Ken Lovett, Gov. Hochul’s senior communications adviser on energy and environment: “Today’s announcement is nothing more than a political ploy to divert attention from Trump’s tariffs and his reckless war in Iran …”
CRS R48944, June 23, 2026
“The DOE budget request proposed to close the Northeast Home Heating Oil Reserve (NEHHOR). The 1 million barrels … would be sold, and leases for storage facilities closed out, by FY2029. … The Administration also proposed terminating the NEHHOR in FY2026, but Congress continued the program’s funding.”
C. Data tables
C1. EIA weekly residential heating oil prices ($/gal; Monday survey; Oct. 19 data released Oct. 21, 2026)
| Week of | New England | Maine | Mass. | Conn. | Central Atl. | U.S. |
| 2026-10-05 | $6.048 | $5.974 | $6.137 | $6.015 | $6.094 | $6.050 |
| 2026-10-12 | $6.079 | $5.969 | $6.116 | $6.086 | $6.232 | $6.138 |
| 2026-10-19 | $6.112 | $6.026 | $6.115 | $6.154 | $6.304 | $6.190 |
| 2026-02-23 (pre-war) | $4.057 | $3.795 | $4.207 | $4.077 | $4.223 | $4.103 |
| 2026-03-23 (2025–26 season high, N.E.) | $5.601 | $5.407 | $5.768 | $5.601 | $5.653 | $5.566 |
| 2025-10-20 (year ago) | $3.446 | $3.235 | $3.548 | $3.392 | $3.627 | $3.526 |
Source: EIA. ENB calculations: New England +77.4% and +$2.666/gal year over year; 100 gallons × that = $266.60; Maine +86.3%; New England +50.7% since Feb. 23. EIA collects these prices October through March only.
C2. New England (PADD 1A) distillate fuel oil stocks, week nearest Oct. 16 (thousand barrels)
| Year | Week ending | Stocks |
| 2019 | 2019-10-18 | 7,000 |
| 2020 | 2020-10-16 | 11,859 |
| 2021 | 2021-10-15 | 6,717 |
| 2022 | 2022-10-14 | 3,485 |
| 2023 | 2023-10-13 | 2,823 |
| 2024 | 2024-10-18 | 5,270 |
| 2025 | 2025-10-17 | 3,751 |
| 2026 | 2026-10-16 | 2,457 |
| Lowest five, 1991–2026 | 2026 (2,457), 2023 (2,823), 2022 (3,485), 2025 (3,751), 2000 (4,431) |
Source: EIA WDIST1A1; EIA weekly PADD 1A stocks (released Oct. 21, 2026). ENB calculation: 2021–2025 average 4,409.2; 2026 is 44.3% below it and 34.5% below a year ago. The series low is 2,259 (Aug. 28, 2026). Weekly data begin Nov. 9, 1990, so 1990 is excluded.
C3. The reserve and the offer (barrels)
| Item | Barrels | Source / note |
| South Portland, Maine (Sunoco Midstream) | 200,000 | DOE; RFP |
| Boston area / Chelsea, Mass. (Global Partners, two terminals) | 200,780 | DOE; RFP (75,000 + 125,780) |
| Groton/New Haven, Conn. (Buckeye, New Haven) | 300,347 | DOE; RFP |
| New York Harbor area (not in this offer) | 300,000 | DOE |
| Total listed by DOE | 1,001,127 | ENB sum; DOE says “approximately one million barrels” |
| Offered in the exchange (maximum) | 315,000 (13,230,000 gallons) | DOE; gallons = ENB calc. (× 42) |
| Share of total listed / of three New England sites | 31.5% / 44.9% | ENB calculation |
| Share of New England distillate stocks (week to Oct. 16) | 12.8% | ENB calculation; senators say 13% |
| Hurricane Sandy loans, 2012 | over 120,000 | DOE |
C4. AAA national averages (checked 6:35 a.m. CT, Oct. 22, 2026; page states “Price as of 10/22/26”)
| Regular | Mid-grade | Premium | Diesel | E85 | |
| Current | $4.2701 | $4.7982 | $5.1858 | $6.3090 | $3.3044 |
| Yesterday | $4.2644 | $4.7878 | $5.1786 | $6.3174 | $3.3000 |
| Week ago | $4.3344 | $4.8619 | $5.2520 | $6.3173 | $3.3282 |
| Month ago | $4.4750 | $4.9724 | $5.3643 | $6.5276 | $3.4749 |
| Year ago | $3.0656 | $3.5711 | $3.9288 | $3.6289 | $2.4601 |
| Record (date) | $5.0165 (6/14/22) | $6.5276 (9/22/26) |
Source: AAA. Diesel and heating oil are both distillates; AAA does not survey heating oil.
C5. EIA winter outlook (Oct. 7, 2026)
| Measure | EIA forecast |
| Spending, homes heating mainly with oil | +21% vs. last winter |
| Heating oil price | +34% vs. last winter |
| Share of U.S. homes heating mainly with oil | About 3%, mostly in the Northeast |
| Electricity-heated homes (more than 40% of homes) | +4% bills |
| Natural gas / propane homes | −9% / −3% spending |
| U.S. distillate inventories, Q4 2026 | About 11% below the five-year average |
Source: EIA Today in Energy.
D. Background
The Northeast Home Heating Oil Reserve is separate from the Strategic Petroleum Reserve. DOE says it holds about 1 million barrels of ultra-low sulfur distillate, “designated for Heating Oil,” in leased commercial terminals (DOE).
Under the Energy Policy and Conservation Act, the president can find a “dislocation in the heating oil market” when the gap between Northeast residential heating oil and crude oil prices rises more than 60% above its five-year rolling average and keeps rising. A finding can also rest on a regional supply shortage of significant scope and duration (DOE; statute text).
In an exchange, a company receives reserve oil now and returns it later with a premium. In this RFP the premium is paid in dollars, priced off New York Harbor ULSD futures, and rises with later return dates (RFP). Borrowers must post an irrevocable standby letter of credit for 100% of the value of the oil they receive.
Heating oil and on-road diesel are both distillate fuels. Heating oil is undyed ultra-low sulfur fuel “designated for non-transportation use” (RFP).
E. Timeline
| Date | Event |
| July 10, 2000 | President Clinton directs a 2-million-barrel Northeast heating oil reserve (DOE). |
| Nov. 2000 | Congress amends the Energy Policy and Conservation Act to give clear authority for the reserve (DOE). |
| 2011 | DOE sells the high-sulfur inventory; the reserve shrinks to 1 million barrels of ultra-low sulfur distillate (DOE). |
| Feb. 29, 2012 | The 1-million-barrel ULSD reserve is fully established (DOE). |
| Nov. 2012 | Hurricane Sandy: more than 120,000 barrels lent to the Defense Department for emergency response; repaid in December 2012 (DOE). |
| 2025–2026 | Administration budgets propose closing the reserve; Congress keeps funding it (CRS). |
| Late Feb. 2026 | Iran war begins. New England heating oil was $4.057 on Feb. 23 (EIA). |
| Sept. 22, 2026 | Sens. Collins and King urge DOE to release heating oil (Collins). |
| Oct. 7, 2026 | EIA winter outlook: heating oil households’ spending +21%, price +34% (EIA). |
| Oct. 19, 2026 | DOE commits up to $42 million in DPA funds to the Constitution Pipeline (DOE). EIA New England heating oil $6.112 (EIA survey). |
| Oct. 21, 2026 | DOE announces the exchange and posts the RFP. EIA: New England distillate stocks 2.457M bbl (week to Oct. 16). ULSD futures fall (OPIS). |
| Oct. 23, 2026 | Questions due, noon CT (RFP). |
| Oct. 27, 2026 | Bids due, 11 a.m. CT (RFP). |
| Nov. 3, 2026 | Midterm elections (Reuters). |
| Nov. 13, 2026 | Deliveries from the reserve to be completed (DOE). |
| Jan. and Apr.–Sept. 2027 | Return periods for borrowed barrels: January, or April through September (RFP). |
F. Methodology
Heating oil prices: EIA weekly residential No. 2 heating oil prices (Monday survey), from EIA’s history files downloaded at 6:21 a.m. CT Oct. 22. The year-ago comparison uses Oct. 20, 2025. The 100-gallon example is illustrative; actual delivery sizes and dealer prices vary.
Stocks and Chart 2: EIA weekly New England distillate fuel oil stocks (WDIST1A1). For each year 1991–2026, ENB took the reading nearest to Oct. 16 and ranked them; 2026 is the lowest. ENB did not confirm whether these stocks include reserve barrels.
Chart 3 and the shares: site volumes from DOE’s reserve page and the RFP. 315,000 ÷ 2,457,000 = 12.8%; 315,000 ÷ 1,001,127 = 31.5%; 315,000 ÷ 701,127 = 44.9%. 315,000 × 42 = 13,230,000 gallons.
AAA: national averages read at 6:35 a.m. CT Oct. 22 (page “Price as of 10/22/26”).
Price impact: ENB did not estimate one. No cited source gives a number.
Futures: OPIS figures (via MarketWatch, subscription) are intraday, not settlement prices; 11:15 a.m. ET is converted to 10:15 a.m. CT.
G. What ENB could not confirm
- How much the exchange will lower retail heating oil prices, or when. DOE, the senators and analysts gave no numeric estimate. The senators say it will put “downward pressure” on prices, and Kloza says it should have no impact.
- The 30,000-barrel cap on offers. DOE’s release says offers are “not to exceed 30,000” barrels. ENB did not find that cap in the RFP, which sets a 25,000-barrel minimum, a 150,000-barrel per-site cap and a 40% per-bidder cap.
- The Nov. 13 delivery date. It comes from DOE’s release. The RFP lists the delivery period only as “November 2026.”
- The basis for the senators’ “13%” and “more than 70%” figures. ENB’s checks against EIA data are consistent (12.8% of New England distillate stocks; New England heating oil +77% year on year), but the senators did not state their data sources.
- The second of the two releases the senators count. DOE’s Releases page describes only Hurricane Sandy (2012) as an emergency use. ENB did not confirm which other event the senators mean; DOE’s history page describes 2011 sales tied to the conversion to ULSD.
- Whether EIA’s New England distillate stock figure includes reserve barrels. ENB did not confirm this, so the 12.8% comparison is labeled an ENB calculation.
- Which legal authority DOE is using, and whether the president made a “severe energy supply interruption” finding. DOE’s release does not say.
- Reserve site count. DOE’s reserve page lists 300,000 barrels in the New York Harbor area; Reuters says sites are in New Jersey, Connecticut, Massachusetts and Maine. DOE’s 2011 history said storage would be in New England only. ENB used DOE’s current page.
- DOE fact-sheet savings claims for Constitution ($1,236 per household this winter; about $165 million a year). These are DOE’s figures; ENB did not see the underlying calculation.
- The OPIS futures figures are intraday readings from a subscription report, not settlement prices.
