THE VERMONT CLEAN HEAT STANDARD

Trick or Treat 

Hundreds of fuel dealers may face a potential $10,000 fine if they didn't register by October 31.  Fuel dealers operating in Vermont were required to register on January 31, 2024, and report all gallons sold the prior year. However, nearly nine months after the original deadline, it is clear that the list is far from complete. In response, the PUC has issued an order giving dealers until October 31 to register. Under 30 V.S.A. § 8124(f)(1), the PUC is authorized to enforce non-registration, including imposing penalties and injunctive relief. Failure to register by October 31 is a violation of the Vermont Consumer Protection Act, which is enforceable by the Vermont Attorney General and carries a fine of up to $10,000 per violation.

Who Registers?

Under Act 18, the definition of "heating fuel" includes fossil-based fuels such as oil, propane, natural gas, coal, and kerosene, regardless of end-use. This broad interpretation implies that even entities selling heating fuel not used for heat, such as propane for cooking or standby power generation, must register. This new and expanded definition of "heating fuel” means that every store that sells propane canisters must register with the PUC and report how many gallons were sold in 2023 and where they were purchased. This means every hardware, convenience, or corner store that exchanges BBQ tanks is now considered a “fuel dealer” and regulated just like the largest fossil fuel company in Vermont. It's the same with anyone who sells kerosene from a stationary pump or in a can.

Important

Fuel dealers who have not yet registered must do so by October 31, 2024, to avoid enforcement actions.  If you are already on the list because you registered earlier this year, you do not have to do it again in 2024. The next deadline to register and declare where you purchased your gallons will be on June 30, 2025, for fuel sold in 2024.

How many entities sell heating fuel in Vermont? 

The number is unknown. This is because of the expanded definition of “heating fuel.” The list of businesses that need to register is exponentially larger than the list of dealers that pay the Fuel Tax. When you add all of the wholesale and midstream suppliers, along with every corner store selling kerosene and BBQ tanks, the number is likely more than 500.

How does a dealer register?  

Online at the following link: https://puc.vermont.gov/clean-heat-standard/annual-registration

Does this registry go away if the Clean Heat Standard is never implemented?  

No. The registry is here to stay. As for the CHS, the Public Utility Commission still has to deliver a draft regulation for the legislature to consider. This is the “check back.”