Assessment of Reasonable Progress for Regional Haze in MANE-VU Class I Areas: 

Methodology for Source Selection, Evaluation of Control Options and Four Factor 

Analysis 

ADDENDUM FOR RESIDUAL OIL 

April, 2011 

INTRODUCTION 

In July of 2007, the Mid-Atlantic/Northeast Visibility Union (MANE-VU) released a report 

entitled “Assessment of Reasonable Progress for Regional Haze in MANE-VU Class I Areas: 

Methodology for Source Selection, Evaluation of Control Options and Four Factor Analysis.” 

The purpose of this report was to analyze the economic and environmental impacts of potential 

control measures that could be implemented by MANE-VU States to reduce emissions from 

specific source categories in order to make reasonable progress toward meeting visibility 

improvement goals. 

One such control measure is to reduce the sulfur content of home heating and residual oils. The 

MANE-VU states have signed a Statement of the Mid-Atlantic/Northeast Visibility Union 

(MANE-VU) Concerning a Course of Action Within MANE-VU Toward Assuring Reasonable 

Progress that outlines a strategy to reduce the sulfur content of home heating and residual oils. 

The 2007 “Assessment of Reasonable Progress” report evaluated home heating oil as one of its 

sectors. Although the use of low sulfur residual oil was identified as an option for reducing SO2 

emissions at electricity generating units (EGUs) and industrial, commercial and institutional 

(ICI) boilers, it was not analyzed as a stand-alone strategy. This addendum is intended to provide 

that information by analyzing the economic and environmental impacts of reducing sulfur in 

residual oil, with respect to the four factors listed in the Clean Air Act (Section 169A). The four 

factors are: cost of compliance, time necessary for compliance, energy and non-air impacts, and 

remaining useful life of the sources. This document primarily focuses on reducing the sulfur 

content of No. 6 residual oil. Information on reducing the sulfur content of No. 4 residual oil is 

presented wherever data were available. 

BACKGROUND 

Residual oil is also known as No. 6 fuel oil. No. 4 oil, sometimes also called a residual oil, is a 

blend of No. 6 and No. 2 (distillate or diesel) fuel oils. No. 6 fuel oil is commonly used in 

electric generating units, industrial, commercial and institutional boilers. No. 4 fuel oil is 

commonly used in large residential facilities. 

The Department of Energy - Energy Information Administration (EIA) provides information on 

the oil consumption by district (Petroleum Administration for Defense Districts or PADD) and 

sector. MANE-VU states are located in PADD1A (CT, ME, MA, NH, RI, VT) and PADD 1B 

(DE, DC, MD, NJ, NY, PA). Figures 1 presents total residual oil consumption by year for the 

years 2000-2009. Figure 2 presents average residual oil consumption by sector for 2006-2009 

PADD1B consumes more residual oil than PADD1A; this is especially true for residual oil used 

for vessel bunkering. Residual oil used for vessel bunkering is combusted by the vessel in which 

1
it is bunkered. For both districts, there is significant residual oil consumption by the electric 

power sector (43% of total for PADD1A, 21% of total for PADD1B). 

Figure 1: Total Residual Oil Consumption by Year 

Figure 2: Average Annual Residual Oil Consumption by Sector (2006-2009)* 

*The most recent four years available. 

Sulfur in Residual Oil

SO2 emissions are proportional to fuel oil sulfur content. It is uncommon, although not 

infeasible, to control SO2 emissions from oil-fired boilers using control devices. Therefore, the 

2
most common and cost-effective method for controlling SO2 emissions from residual oil in the 

U.S. is by lowering the amount of sulfur in the fuel. 

Currently, the sulfur limits in residual oil in the MANE-VU states vary between 0.3 – 2.8 percent 

(in this document, all sulfur content percentages refer to percent sulfur by weight). Many states 

have different fuel sulfur limits for different areas, depending upon population or region; Table 1 

presents the range of fuel sulfur limits allowed by each state. 

Table 1: MANE-VU State Sulfur Limits for Residual Oil (Percent Sulfur by Weight)* 

State 

Maximum Sulfur Limit 

No. 4 

Maximum Sulfur Limit 

No. 6 

Data Source 

Connecticut 0.48% 0.74% Wendy Jacobs 

Delaware 0.5 – 2.0% 0.5 – 2.0% Jack Sipple 

Maine 0.7% 1.0 - 2.0% MV 2018 Inventory 

Maryland 1.0 – 2.0% 1.0 – 2.0% Ralph Hall 

Massachusetts 0.5 - 2.2% 0.5 - 2.2% 310 CMR 7.05 

New Hampshire 1.00% 2.00 – 2.20% Env-A 1604 

New Jersey 0.3 – 2.0% 0.3 – 2.0% N.J.A.C. 7:27-9 

New York 0.30 – 1.50% 0.30 – 1.50% Mike Jennings 

Pennsylvania 

(Philadelphia) 

0.3 – 2.8% 

(0.3%) 

0.5 – 2.8% 

(0.5%) 

25 PA Code 123.22 

(3-207(1)(a)) 

Rhode Island 0.7% 1.0% MV 2018 Inventory 

Vermont 2.0% 2.0% VT APCR 5-221 

Washington, D.C. 0.7% 1.0% MV 2018 Inventory 

* Sulfur limits based on rules in effect as of May 2010. 

The MANE-VU states signed a Statement of the Mid-Atlantic/Northeast Visibility Union 

(MANE-VU) Concerning a Course of Action Within MANE-VU Toward Assuring Reasonable 

Progress which outlines a strategy to reduce the sulfur content of home heating and residual oils. 

For No. 4 residual oil, sulfur is to be reduced to 0.25 – 0.5% sulfur by weight. For No. 6 residual 

oil, sulfur is to be reduced to 0.3 – 0.5% sulfur by weight. These limits will apply no later than 

2018. It is estimated that this strategy will reduce sulfur dioxide emissions from residual oils by 

up to 50%. 

Several MANE-VU states are in the process of passing or amending regulations to implement the 

limits in the MANE-VU Statement, including New Jersey and Maine. New Jersey’s amendment 

to N.J.A.C. 7:27-9 was adopted and effective on September 20, 2010, which lowers the sulfur 

content in 2014 for No. 6 residual oil to 0.3% – 0.5% and for No. 4 residual oil to 0.25%. 

Maine’s legislature passed a bill mandating lower sulfur fuel standards in April, 2010. This bill 

requires 0.5% sulfur by weight in residual fuel oils by January 1, 2018. The Maine Department 

of Environmental Protection has been directed to adopt rules allowing equivalent alternative 

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sulfur reduction strategies for licensed sources. Additional requirements include establishing an 

advisory committee and conducting a fuel oil supply study in 2014. 

Residual Oil Supply

The following table illustrates the average total annual stocks for residual oils of varying sulfur 

content for the United States and for PADD1 for the years 2006 – 2009 (in thousand barrels ± 

standard deviation). Also shown is the percentage of U.S. stocks represented by the PADD1. 

All data were gathered from the EIA web site on February 28, 2011. 

Table 1: Average Annual Residual Oil Stocks: 

Average ± Standard Deviation for the Years 2006 - 2009 

Residual 

< 0.31% S 

Residual 

0.31-1.00% S 

Residual 

> 1.00% S 

All Residual 

(Total) 

U.S. (Total) 5,190 ± 1333 12,214 ± 1,635 21,292 ± 928 38,696 ± 2,777

East Coast 

(PADD1) 3,571 ± 763 6,516 ± 1,594 4,917 ± 454 15,004 ± 2,523

PADD1 Portion 

of U.S. 70% ± 10% 53% ± 6% 23% ± 1% 39% ± 4% 

The information presented in Table 2 indicates that a large amount of lower sulfur residual oil is 

available on the East Coast and thus, presumably, in the Northeast. 

FOUR FACTOR ANALYSIS OF POTENTIAL CONTROL SCENARIOS FOR 

EMISSIONS FROM HEATING OIL COMBUSTION 

Cost of Compliance

Residual oils with varying sulfur contents, including low sulfur content, are currently available in 

the Northeast fuel oil markets. Many Mid-Atlantic and Northeast states require low sulfur 

residual oil (e.g., 0.3% - 0.5%) in certain areas, and thus there is an existing market for low 

sulfur residual oil. In addition, the MARPOL Annex VI fuel sulfur limits specify 1.0% for 

marine vessels in Emission Control Areas (which includes the U.S. coast) in 2010 and 0.1% in 

2015, adding to the market for low sulfur residual oil. EIA provides information on the cost of 

residual fuel oil by district and by sulfur content. The EIA sulfur categories are ≤ 1.00% and > 

1.00% sulfur by weight. 

The following table illustrates the recent price differences between ≤ 1.00% and > 1.00% sulfur 

residual oils for the U.S., PADD 1A (CT, ME, MA, NH, RI, VT) and PADD 1B (DE, DC, MD, 

NJ, NY, PA). Monthly price averages were averaged to compute annual prices and price 

differentials in cents per gallon for the years 2006 – 2009. This data was then averaged and is 

presented in Table 3 below, along with the standard deviations. All data were gathered from the 

EIA web site on February 28, 2011 and all price comparisons are before taxes. 

4
Table 3: Price Ranges and Price Differentials (Minimum, Average, and Maximum) by 

Sulfur Content of No. 6 Residual Oil for the Years 2006 - 2009 

No. 6 Residual Price 

> 1.00% 

No. 6 Residual Price 

≤ 1.00% Price Differential 

Cents per Gallon, excluding taxes 

Min. Avg. Max. Min. Avg. Max. Min. Avg. Max. 

U.S. 117.4 143.8 189.9 132.2 161.2 215.7 13.2 18.8 31.1 

PADD1A 118.2 147.1 193.9 127.1 160.7 206.7 8.9 9.9 12.9 

PADD1B 117.7 142.9 186.9 136.5 168.7 222.9 19.5 26.2 39.2 

NYC 

Metro 117.9 141.5 186.0 141.4 164.7 202.9 23.5 23.2 16.9 

As can be seen in Table 3, the price differential between No. 6 residual oil ≤ 1.00% and > 1.00% 

sulfur is less than the U.S. average for PADD1A but more than the U.S. average for PADD1B. 

Lower sulfur No. 6 residual oil ranges from 8.9 to 39.2 cents per gallon more than higher sulfur 

No. 6 residual oil. 

This additional expense, however, is expected to be offset by reduced maintenance costs with the 

use of lower sulfur No. 6 oil similar to the reductions in maintenance costs that occurs when the 

sulfur content of No. 2 oil is reduced. Low sulfur oil is cleaner burning and emits less particulate 

matter than higher sulfur oil; this reduces the rate of fouling of heating units substantially and 

permits longer time intervals between cleanings. For example, when the existing oil sulfur 

content for No. 2 distillate oil is 2,000 ppm and 500 ppm sulfur is substituted, the service interval 

can be extended by a factor of three or more (e.g., cleaning at three year intervals rather than 

annually) (NESCAUM 2005). The decreased deposits would also enable a more efficient transfer 

of heat, thereby reducing the fuel usage. Similarly, there are substantial potential cost savings for 

switching to lower sulfur residual oil. 

Under the MANE-VU low sulfur residual oil strategy, refineries would need to bring additional 

lower sulfur residual oil to market by 2014. However, due to this long lead time and the new 

MARPOL Annex VI marine vessel regulations that require sulfur content reductions in 2010 and 

2015, the cost to produce residual oil that complies should not be too onerous on refineries. 

Time Necessary for Compliance

Refiners in the United States are already producing low sulfur residual oil. Existing boilers do 

not need to be retrofitted or modified to combust lower sulfur residual oil. Consequently, the 

time necessary for compliance does not hinge on replacing any equipment. Many residual-oil 

burning facilities, however, have large oil stocks on-site. These stocks may take several years to 

5
be completely depleted and mixing between the old, higher sulfur residual oil stock and new, 

lower sulfur residual oil is likely to occur. Therefore, compliance may best be monitored by 

ensuring the purchase and/or sale, rather than the combustion, of lower sulfur residual oil. 

Energy and Non-Air Impacts

Reducing the sulfur contents of residual oil has a variety of beneficial consequences for residual 

oil-fired boilers. Low sulfur residual oil is cleaner burning and emits less particulate matter than 

higher sulfur oil; this reduces the rate of fouling of heating units substantially and permits longer 

time intervals between cleanings. The decreased deposits would also enable a more efficient 

transfer of heat, thereby reducing the fuel usage. Both of these factors result in cost-savings, 

partially offsetting the higher costs of lower sulfur residual oil described above. 

Remaining Useful Life of the Source

Residual oil-fired boilers have finite life times, but they do not need to be replaced to burn lower 

sulfur fuel. In fact, burning a lower sulfur residual oil may increase their lifespan. Lower sulfur 

oils cause less corrosion in the heating system because internal condensation produces less 

sulfuric acid than higher sulfur oil. 

6
7

REFERENCES 

NESCAUM, 2005. Low Sulfur Heating Oil in the Northeast States: An Overview of Benefits, 

Costs and Implementation Issues. 

US Energy Information Administration, 2010. Information downloaded from the World Wide 

Web on February 28, 2011.at: http://tonto.eia.doe.gov/dnav/pet/pet_pri_dist_dcu_R1X_m.htm
APPENDIX

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Text 

Sales of Residual Fuel Oil by End Use by AreaData from U.S. Department of Energy, Energy Information Administration website http://tonto.eia.gov/dnav/pet/ 

Annual Residual Fuel Oil Stocks by Sales Type, by Sulfur Petroleum Marketing Monthly, February 2011 

Total Consumption 06-09 Avg 06-09 StdDev 2000 2001 2002 2003 2004 2005 20U.S. 9,751,021 1,298,212 13,210,935 13,609,379 10,361,615 11,412,833 11,794,362 13,442,165 10,273,6PADD1 5,007,307 925,486 7,526,995 8,075,116 6,185,982 7,489,187 7,757,770 9,016,843 5,555,9

PADD1A 570,678 133,312 986,373 1,000,134 738,649 1,390,239 1,238,044 1,361,581 676,2

PADD1B 2,258,283 303,840 2,928,153 3,165,215 2,357,633 2,915,477 2,826,604 3,876,920 2,316,3

OTR Total 2,828,961 421,241 3,914,526 4,165,349 3,096,282 4,305,716 4,064,648 5,238,501 2,992,5

Consumption by Sector - PADD1A 06-09 Avg 06-09 StdDev 2000 2001 2002 2003 2004 2005 20

Commercial 124,234 8,664 114,156 86,149 88,501 150,209 192,682 208,830 102,5Industrial 266,803 65,901 355,553 474,236 319,056 224,662 233,570 251,167 239,0

Electric Power 510,663 52,483 458,707 390,256 277,957 1,013,906 808,988 837,753 286,2

Vessel Bunkering 32,426 17,829 55,436 46,830 51,445 521 2,078 58,373 46,1

Other 2,213 907 2,521 2,663 1,690 941 726 5,458 2,3

Total 936,339 133,312 986,373 1,000,134 738,649 1,390,239 1,238,044 1,361,581 676,2Consumption by Sector - PADD1B 06-09 Avg 06-09 StdDev 2000 2001 2002 2003 2004 2005 20

Commercial 435,117 40,556 495,051 485,510 433,113 527,840 508,662 439,849 346,4

Industrial 179,127 26,690 226,604 240,402 145,183 181,283 189,255 176,101 173,7

Electric Power 979,374 291,668 880,352 1,304,358 683,071 1,261,743 1,121,164 2,069,711 612,1

Vessel Bunkering 1,118,166 85,473 1,243,375 1,038,444 1,036,387 892,057 968,460 1,152,556 1,156,9Other 48,755 7,774 82,771 96,501 59,879 52,554 39,063 38,703 27,0

Total 2,760,539 303,840 2,928,153 3,165,215 2,357,633 2,915,477 2,826,604 3,876,920 2,316,3

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Text 

06-09 Avg. Consumption by Sector and Area PADD1A PADD1B 

Commercial 85,602 341,029 

Industrial 162,492 131,234 

Electric Power 214,903 433,056 

Vessel Bunkering 31,807 1,167,623 

Other 1,871 22,572 

06-09 Avg. Consumption by Sector as % PADD1A PADD1B 

Commercial 17% 16% 

Industrial 33% 6% 

Electric Power 43% 21% 

Vessel Bunkering 6% 56% 

Other 0% 1% 

1
Fuel Oil Price Comparison Charts DRAFT (02/28/11) 

Data from U.S. Department of Energy, Energy Information Administration website 

http://tonto.eia.gov/dnav/pet/ 

Residual Fuel Oil Price by Sales Type, by Sulfur, Sales to End 

Users 

Petroleum Marketing Monthly, February 2011 

PADD 1A (New England) = CT, ME, MA, NH, RI & VT 

New England PADD 1A Residual Fuel Oil Retail Prices by All Sellers (Cents per Gallon Excluding 

Taxes)

 Residual >1%S Residual ≤ 1%S Differential % Difference

 (¢/gal) (¢/gal) (¢/gal) 

Jan-02 45.6 58.9 13.3 29.2% 

Feb-02 47.0 55.3 8.3 17.7% 

Mar-02 47.4 57.6 10.2 21.5% 

Apr-02 54.5 61.9 7.4 13.6% 

May-02 57.1 61.6 4.5 7.9% 

Jun-02 57.1 61.2 4.1 7.2% 

Jul-02 56.7 63.8 7.1 12.5% 

Aug-02 59.5 61.7 2.2 3.7% 

Sep-02 63.1 67.7 4.6 7.3% 

Oct-02 68.1 70.7 2.6 3.8% 

Nov-02 58.6 66.4 7.8 13.3% 

Dec-02 63.2 74.0 10.8 17.1% 

12 month Average 56.5 63.4 6.9 12.9% 

 

Jan-06 117.1 126.5 9.4 8.0% 

Feb-06 118.1 131.4 13.3 11.3% 

Mar-06 120.7 129.8 9.1 7.5% 

Apr-06 124.2 129.6 5.4 4.3% 

May-06 125.1 131.1 6 4.8% 

Jun-06 121.8 129 7.2 5.9% 

Jul-06 120.0 128.2 8.2 6.8% 

Aug-06 124.9 138 13.1 10.5% 

Sep-06 109.0 120.5 11.5 10.6% 

Oct-06 110.4 115.3 4.9 4.4% 

Nov-06 112.8 122.3 9.5 8.4% 

Dec-06 113.8 123.3 9.5 8.3% 

12 month Average 118.2 127.1 8.9 7.6% 

 

Jan-07 102.9 120.2 17.3 16.8% 

Feb-07 109.8 128 18.2 16.6% 

Mar-07 112.5 125.8 13.3 11.8% 

Apr-07 118.0 126.6 8.6 7.3% 

May-07 127.3 134.7 7.4 5.8% 

Jun-07 128.3 140.1 11.8 9.2% 

Jul-07 140.9 141.2 0.3 0.2% 

Aug-07 140.5 146.4 5.9 4.2% 

Sep-07 144.8 149.4 4.6 3.2% 

Oct-07 156.9 167.2 10.3 6.6% 

Nov-07 177.8 180.0 2.2 1.2% 

Dec-07 176.8 185.1 8.34 4.7% 

12 month Average 136.4 145.4 9.0 7.3% 

 

 

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2

Jan-08 182.2 197 14.8 8.1% 

Feb-08 175.6 185.1 9.5 5.4% 

Mar-08 181.5 187.9 6.4 3.5% 

Apr-08 193.9 204.2 10.3 5.3% 

May-08 213.4 222.8 9.4 4.4% 

Jun-08 234.8 257.7 22.9 9.8% 

Jul-08 267.7 278.1 10.4 3.9% 

Aug-08 244.3 256.0 11.7 4.8% 

Sep-08 215.0 232.6 17.6 8.2% 

Oct-08 173.5 183.2 9.7 5.6% 

Nov-08 131.5 157.5 26 19.8% 

Dec-08 112.9 118.6 5.7 5.0% 

12 month Average 193.9 206.7 12.9 7.0% 

 

Jan-09 116.0 135.4 19.4 16.7% 

Feb-09 122.7 128.2 5.5 4.5% 

Mar-09 118.1 131.3 13.2 11.2% 

Apr-09 119.3 NA 0.0% 

May-09 126.0 156.6 

Jun-09 167.7 172.0 4.3 2.6% 

Jul-09 NA 167.4 

Aug-09 177.6 177.6 0.0 0.0% 

Sep-09 NA 175.1 

Oct-09 173.6 185.0 11.4 6.6% 

Nov-09 W 185.4 

Dec-09 W 187.6 

12 month Average 140.1 163.8 9.0 5.9% 

Conclusion: Assume 7.5 cents per gallon increase in cost for switching from greater than 1% Sulfur Residual Oil 

to less than 1% Sulfur Residual Oil. 
Text 

Fuel Oil Price Comparison Charts DRAFT (02/28/11) 

Data from U.S. Department of Energy, Energy Information Administration website http://tonto.eia.gov/dnav/pet/ 

Residual Fuel Oil Price by Sales Type, by Sulfur, Sales to End 

Users 

Petroleum Marketing Monthly, February 2011 

PADD 1B (Central Atlantic) = DE, DC, MD, NJ, NY & PA 

Central Atlantic PADD 1B Residual Fuel Oil Retail Prices by All Sellers (Cents per Gallon Excluding 

Taxes)

 Residual >1%S Residual ≤ 1%S Differential % Difference 

 (¢/gal) (¢/gal) (¢/gal) 

Jan-02 40 53.7 13.7 34.3% 

Feb-02 40.0 51.7 11.7 29.3% 

Mar-02 48.6 55.5 6.9 14.2% 

Apr-02 55.3 61.6 6.3 11.4% 

May-02 55.7 66.2 10.5 18.9% 

Jun-02 55 59.4 4.4 8.0% 

Jul-02 54.9 61.3 6.4 11.7% 

Aug-02 58.9 66 7.1 12.1% 

Sep-02 61.3 66 4.7 7.7% 

Oct-02 63.6 70.4 6.8 10.7% 

Nov-02 53.3 70.6 17.3 32.5% 

Dec-02 57.9 75.7 17.8 30.7% 

12 month Average 53.7 63.2 9.5 18.4% 

 

Jan-06 117.6 139.8 22.2 18.9% 

Feb-06 118.9 140.4 21.5 18.1% 

Mar-06 120.2 136.9 16.7 13.9% 

Apr-06 122.8 142 19.2 15.6% 

May-06 126.1 NA 

Jun-06 124.6 141.9 17.3 13.9% 

Jul-06 123.3 144.6 21.3 17.3% 

Aug-06 127.1 137.5 10.4 8.2% 

Sep-06 113.0 127.5 14.5 12.8% 

Oct-06 105.0 129.9 24.9 23.7% 

Nov-06 107.1 132.6 25.5 23.8% 

Dec-06 106.7 128.3 21.6 20.2% 

12 month Average 117.7 136.5 19.6 16.9% 

 

Jan-07 98.0 126.6 28.6 29.2% 

Feb-07 102.7 129.8 27.1 26.4% 

Mar-07 108.1 132.8 24.7 22.8% 

Apr-07 116.0 134.6 18.6 16.0% 

May-07 130.1 139.6 9.5 7.3% 

Jun-07 132.1 143.9 11.8 8.9% 

Jul-07 138.0 151.3 13.3 9.6% 

Aug-07 141.7 153.3 11.6 8.2% 

Sep-07 141.3 157.8 16.5 11.7% 

Oct-07 155.9 174.5 18.6 11.9% 

Nov-07 182.9 206.4 23.5 12.8% 

Dec-07 179.7 210.1 30.4 16.9% 

12 month Average 135.5 155.1 19.5 15.2% 

 

 

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2

Jan-08 178.6 215.8 37.2 20.8% 

Feb-08 172.3 208.8 36.5 21.2% 

Mar-08 183.1 223 39.9 21.8% 

Apr-08 186.9 230.4 43.5 23.3% 

May-08 203.5 247.1 43.6 21.4% 

Jun-08 227.6 286.8 59.2 26.0% 

Jul-08 264.2 303.1 38.9 14.7% 

Aug-08 247.2 282.5 35.3 14.3% 

Sep-08 221.5 NA 

Oct-08 171.7 185.9 14.2 8.3% 

Nov-08 100.8 146.5 45.7 45.3% 

Dec-08 84.9 122.0 37.1 43.7% 

12 month Average 186.9 222.9 39.2 23.7% 

 

Jan-09 88.7 122.6 33.9 38.2% 

Feb-09 96.5 132.3 35.8 37.1% 

Mar-09 94.6 144.2 49.6 52.4% 

Apr-09 102.1 NA 

May-09 118.5 142.0 23.5 19.8% 

Jun-09 140.3 158.9 18.6 13.3% 

Jul-09 140.0 153.1 13.1 9.4% 

Aug-09 152.1 172.0 19.9 13.1% 

Sep-09 152.1 168.3 16.2 10.7% 

Oct-09 156.2 184.9 28.7 18.4% 

Nov-09 168.6 194.2 25.6 15.2% 

Dec-09 166.8 192.4 25.6 15.3% 

12 month Average 131.4 160.4 26.4 22.1% 

Conclusion: Assume 7.5 cents per gallon increase in cost for switching from greater than 1% Sulfur Residual Oil 

to less than 1% Sulfur Residual Oil. 
Text 

Fuel Oil Price Comparison Charts DRAFT (2/28/11) 

Data from U.S. Department of Energy, Energy Information Administration website 

http://tonto.eia.gov/dnav/pet/ 

U.S. Residual Fuel Oil Retail Prices by All Sellers (Cents per Gallon Excluding Taxes)

 Residual >1%S Residual ≤ 1%S Differential 

% 

Difference 

Jan-09 95.1 119.2 24.1 25.3% 

Feb-09 97.8 124.3 26.5 27.1% 

Mar-09 95.2 121.8 26.6 27.9% 

Apr-09 100.7 119.3 18.6 18.5% 

May-09 121.0 123.9 2.9 2.4% 

Jun-09 143.4 145.7 2.3 1.6% 

Jul-09 138.4 149.5 11.1 8.0% 

Aug-09 152.2 164.2 12.0 7.9% 

Sep-09 151.6 168.4 16.8 11.1% 

Oct-09 153.1 173.4 20.3 13.3% 

Nov-09 166.0 175.9 9.9 6.0% 

Dec-09 165.7 183.5 17.8 10.7% 

12 month Average 131.7 147.4 15.7 13.3% 

Conclusion: Assume 16 cents per gallon increase in cost for switching from greater than 1% Sulfur Residual Oil 

to less than 1% Sulfur Residual Oil. 

PADD1A Residual Fuel Oil Retail Prices by All Sellers (Cents per Gallon Excluding Taxes)

 Residual >1%S Residual ≤ 1%S Differential 

% 

Difference 

Jan-09 116.0 135.4 19.4 16.7% 

Feb-09 122.7 128.2 5.5 4.5% 

Mar-09 118.1 131.3 13.2 11.2% 

Apr-09 119.3 NA 

May-09 126.0 156.6 30.6 24.3% 

Jun-09 167.7 172.0 4.3 2.6% 

Jul-09 NA 167.4 

Aug-09 177.6 177.6 0.0 0.0% 

Sep-09 NA 175.1 

Oct-09 173.6 185.0 11.4 6.6% 

Nov-09 W 185.4 

Dec-09 W 187.6 

12 month Average 140.1 163.8 12.1 8.2% 

 

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Text 

Fuel Oil Price Comparison Charts DRAFT (6/11/08) 

Data from U.S. Department of Energy, Energy Information Administration website 

http://tonto.eia.gov/dnav/pet/ 

PADD1B Residual Fuel Oil Retail Prices by All Sellers (Cents per Gallon Excluding Taxes)

 Residual >1%S Residual ≤ 1%S Differential % Difference 

Jan-09 88.7 122.6 33.9 38.2% 

Feb-09 96.5 132.3 35.8 37.1% 

Mar-09 94.6 144.2 49.6 52.4% 

Apr-09 102.1 NA 

May-09 118.5 142.0 23.5 19.8% 

Jun-09 140.3 158.9 18.6 13.3% 

Jul-09 140.0 153.1 13.1 9.4% 

Aug-09 152.1 172.0 19.9 13.1% 

Sep-09 152.1 168.3 16.2 10.7% 

Oct-09 156.2 184.9 28.7 18.4% 

Nov-09 168.6 194.2 25.6 15.2% 

Dec-09 166.8 192.4 25.6 15.3% 

12 month Average 131.4 160.4 26.4 22.1% 

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Fuel Oil Price Comparison Charts DRAFT (02/28/11) 

Data from U.S. Department of Energy, Energy Information Administration website 

http://tonto.eia.gov/dnav/pet/ 

Residual Fuel Oil Price by Sales Type, by Sulfur, Sales to End Users 

Petroleum Marketing Monthly, February 2011 

Residual Fuel Oil Retail Prices by All Sellers: Yearly Averages 

(Cents per Gallon Excluding Taxes) 

U.S. 

Year U.S. Residual >1%S U.S. Residual ≤ 1%S Differential % Difference

2006 117.4 132.2 14.7 12.7%

2007 136.1 149.3 13.2 10.2%

2008 189.9 215.7 31.3 19.7%

2009 131.7 147.4 15.7 13.3%

06-09 Avg 143.8 161.2 18.8 14.0%

StdDev 31.8 37.2 8.4 4.0%

 

PADD1A 

Year PADD1A Residual >1%S PADD1A Residual ≤ 1%S Differential % Difference

2006 118.2 127.1 8.9 7.6%

2007 136.4 145.4 9.0 7.3%

2008 193.9 206.7 12.9 7.0%

2009 140.1 163.8 9.0 5.9%

06-09 Avg 147.1 160.7 9.9 6.9%

StdDev 32.6 34.1 1.9 0.7%

 

PADD1B 

Year PADD1B Residual >1%S PADD1B Residual ≤ 1%S Differential % Difference

2006 117.7 136.5 19.6 16.9%

2007 135.5 155.1 19.5 15.2%

2008 186.9 222.9 39.2 23.7%

2009 131.4 160.4 26.4 22.1%

06-09 Avg 142.9 168.7 26.2 19.5%

StdDev 30.3 37.5 9.3 4.1%

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Fuel Oil Stocks (05/03/10) 

Data from U.S. Department of Energy, Energy Information Administration website http://tonto.eia.gov/dnav/pet/ 

Annual Residual Fuel Oil Stocks by Sales Type, by Sulfur 

Petroleum Marketing Monthly, February 2011 

Annual East Coast (PADD 1) - Thousand Barrels 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Residual < 0.31% 3,115 4,009 2,538 3,861 4,128 4,383 4,595 3,604 3,306 2,780 

Residual 0.31-1.00% 6,437 9,073 5,742 6,745 7,353 5,871 8,771 6,509 5,465 5,317 

Residual > 1.00% 4,108 4,675 4,247 5,174 5,539 4,260 5,301 4,560 4,490 5,317 

Total 13,660 17,757 12,527 15,780 17,020 14,514 18,667 14,673 13,261 13,41

Annual U.S. - Thousand Barrels 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 

Residual < 0.31% 5,268 7,594 4,732 5,182 5,666 5,931 6,381 5,766 5,312 3,302 

Residual 0.31-1.00% 12,045 15,146 9,466 13,111 14,467 11,649 14,458 12,226 10,615 11,55

Residual > 1.00% 18,880 18,306 16,905 19,255 21,945 19,632 21,474 21,324 20,061 22,30

Total 36,193 41,046 31,103 37,548 42,078 37,212 42,313 39,316 35,988 37,16

PADD1 as % of U.S. 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Residual < 0.31% 59.1% 52.8% 53.6% 74.5% 72.9% 73.9% 72.0% 62.5% 62.2% 84.2% 

Residual 0.31-1.00% 53.4% 59.9% 60.7% 51.4% 50.8% 50.4% 60.7% 53.2% 51.5% 46.0% 

Residual > 1.00% 21.8% 25.5% 25.1% 26.9% 25.2% 21.7% 24.7% 21.4% 22.4% 23.8% 

Total 37.7% 43.3% 40.3% 42.0% 40.4% 39.0% 44.1% 37.3% 36.8% 36.1% 

Pricing by <= 1.00% or > 1.00% 

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