Options for Procuring Adequate Supplies of Petroleum Products.

Abstract : This study analyzes the procurement problems experienced by the Defense Fuel Supply Center in the recent period of stringency of supply of crude oil. This study focuses on the procurement of bulk refined products within the United States in a peacetime environment. The number of potentially remedial actions considered could improve DFSC's ability to procure adequate supplies of refined product in the future. The study recommends DFSC consider streamlining contracting procedures, increase the options offered for EPA (Economic Price Adjustment) clauses, reduce the riskiness of a DFSC contract, and increase the use of evergreen (most-favored-seller) contracts.