SUBSCRIBER NOTE: Platts proposes discontinuing USAC high, low sulfur heating oil

Following a change in market fundamentals, S&P Global Platts proposes to discontinue its US Atlantic Coast barge assessments for Gasoil No. 2 and low sulfur heating oil, effective September 25, 2020.

Platts understands that usage of heating oil with more than 15 ppm sulfur in the US has decreased significantly in recent years, particularly since July 1, 2018, when New England moved to a maximum 15 ppm sulfur for home use. The region is the largest heating oil consumer in the US, as most other areas of the country use natural gas, electricity or propane for home heating. Pennsylvania is the last USAC market to use LSHO, but a new regulation passed late in 2019 will move the commonwealth to ULSHO on September 1, 2020.

Platts assesses ULSHO both on barges in the New York Harbor and taken off Colonial Pipeline for delivery along the USAC. Platts will also not discontinue its USGC Gasoil No. 2 Colonial Pipeline prompt cycle assessment.

The affected assessments are as follows:

ASSESSMENT CODE

Gasoil No.2 POAEG00

No.2 vs NYMEX ADIAO00

LS Heating Oil AAXPY00

LSHO vs NYMEX ADIAP00

These prices appeared on Platts Global Alert page 430, 482, in Platts US Marketscan and Platts Oilgram Price Report, and in the Platts price database.

Please send any feedback by March 27, 2020, on this proposal to americas_products@spglobal.com and pricegroup@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request.