NIGP 40512: Fuel Oil, Heating (Use 405-02 for Biodiesel)

NIGP 40512 Fuel Oil, Heating (Item) covers #2 heating fuel oil and related petroleum products supplied to municipal facilities, schools, county departments, and state agencies for space heating and generator fuel. State and local governments procure this commodity through competitive sealed bids and invitations for quotes, typically as multi-year term contracts with per-gallon pricing tied to market indices (NYMEX or OPIS) plus a fixed markup or bid factor. Issuing bodies include town and county governments, school districts, regional school cooperatives, state departments, and universities. Recent solicitations show heating oil remaining the dominant activity, though diesel fuel (both on-road and off-road grades) and marine fuel appear alongside it in multi-product procurement vehicles.

Recent activity spans Massachusetts, Florida, Maryland, Georgia, and Wisconsin. The Town of Needham, Massachusetts issued IFB 27NEE061G on September 10, 2026 (bids due October 2) for approximately 29,500 gallons annually across two municipal buildings, with delivery within 24 hours and contractor location within 25 miles required. Hillsborough County Public Schools, Florida, awarded an ITB on July 13, 2026 for approximately 1.75 million gallons of ultralow sulfur diesel fuel annually to eleven fuel storage sites across the district, with an estimated annual contract value of $5.5 million and per-gallon markups ranging from $0.0994 to $0.5908 from nine competitive bids. Baltimore City Public Schools issued IFB-26085 (bids due June 2, 2026) for 510,000 gallons annually of #2 heating oil and off-road diesel with 48-hour standard delivery and 24/7 emergency capability. Plymouth County Commissioners (Massachusetts) solicited IFB #2 heating fuel oil on October 12, 2026 (bids due October 29) for the county and multiple political subdivisions. Sourcewell, the Minnesota cooperative purchasing vehicle, posted RFP 26RFP091726 on July 30, 2026 (proposals due September 17) for fuel delivery with related services available to member entities statewide. Montgomery County, Maryland and several Massachusetts municipalities (Gloucester, Commonwealth of Massachusetts statewide procurement) have active solicitations in the market as of mid-2026.