DLA Energy - Bulk Petroleum Products Inland/East/Gulf Coast/Offshore (IEG) Program
Overview
Buyer
Place of Performance
NAICS
PSC
Set Aside
Original Source
Timeline
Qualification Details
Fit reasons
- NAICS alignment with historical contract wins in similar service areas.
- Scope strongly matches core technical capabilities and delivery model.
Risks
- Past performance thresholds may require one additional teaming partner.
- Potential clarification needed on staffing minimums before bid/no-bid.
Next steps
Validate eligibility requirements, assign capture owner, and schedule partner outreach to confirm teaming strategy before submission planning.
Quick Summary
The Defense Logistics Agency (DLA) Energy has issued a Justification and Approval (J&A) for the sole-source acquisition of 19,320,000 U.S. gallons (USG) of Fuel, Naval Distillate (F76) from Valero Marketing and Supply Co. This action, under the Inland/East/Gulf Coast/Offshore (IEG) Program, was necessitated by unusual and compelling urgency due to critically low inventory fuel reserve conditions.
Scope of Action
This J&A authorizes the procurement of an additional 19.32 million USG of F76 to replenish Defense Fuel Supply Point (DFSP) reserves that had reached minimum control limits. The requirement was urgent to meet a specific Required Delivery Date (RDD) and ensure operational readiness. This purchase supplements the existing IEG Bulk Petroleum Products solicitation SPE602-24-R-0709.
Contract Details
- Type: Justification for Other Than Full and Open Competition (Sole-Source)
- Vendor: Valero Marketing and Supply Co.
- Product: Fuel, Naval Distillate (F76)
- Quantity: 19,320,000 USG
- Period of Performance: March 18, 2026, to April 30, 2026
- Set-Aside: Not applicable (sole-source justification)
Rationale for Sole-Source
Valero was identified as the only supplier capable of meeting the urgent delivery timeline and quantity requirements for F76. The decision was made in accordance with Federal Acquisition Regulation (FAR) 6.104-1(a)(1) due to the critical need to prevent fuel shortages.
Additional Notes
DLA Energy plans to improve market intelligence and supplier engagement to foster future competition for similar requirements. This document provides transparency on the circumstances leading to this urgent, non-competitive procurement.