US to loan third of heating oil reserve as diesel prices surge

The Trump administration plans to loan up to 315,000 barrels—nearly one-third of the Northeast Home Heating Oil Reserve—to help ease fuel shortages and high prices ahead of winter. Diesel prices have topped $6.50 per gallon amid supply disruptions linked to the wars in Iran and Ukraine; diesel and heating oil come from the same refining stream. The fuel will be offered through competitive bids to retailers and terminal operators, with deliveries expected by November 13, and officials will consider whether additional releases are needed. The reserve has been tapped only once since Hurricane Sandy in 2012, and heating oil is relied on by about one-third of New England households and half of Maine households.