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Initially, the State set-aside for residual oil is 1.5% of all residual fuel oil produced in or imported into the United States. It may be distributed by the State offices for emergency and hardship use. Subsequent changes in the amount of this set-aside may be made and will be published by the FEO.

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The "other products" mandatory allocation program applies to refined lubricating oils, special naphthas (solvents), and any other refined petroleum product which is not allocated under another FEO program nor excluded from allocation by law or regulation.

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The "Other products" program provides that an amount equal to 100% of current requirements will be allocated to each wholesale purchaser. Any wholesale purchaser or end-user who has difficulty securing necessary supplies may petition to the national FEO for assignment of a new supplier.

Suppliers who cannot meet the requirements of all of their wholesale purchasers, including those purchasers assigned by the FEO, are required to allocate their available supplies among the purchasers in proportion to each customer's purchases (base period volume, adjusted if necessary), during the corresponding quarter of 1972.

The determination of needs by the wholesale purchaser himself, and the initiation of mandatory allocation action only upon request by the purchaser, ensure the continuation of normal business practices to the maximum practicable extent. (3) State Set-Aside

There is no State set-aside for Other products.

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43-187 O 75-15

RECENT POLICY AND PROGRAM ANNOUNCEMENTS

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