The Business Development Allowance (BDA) program offers a simple and effective way to offset a variety of your business development expenditures by enabling you to earn dollars to spend toward growing your business by supporting the Phillips 66® Lubricants brands. For more information, visit Lubestream > Programs > Business Development Allowance.
HOW IT WORKS
- As a Marketer, you will earn funds on every gallon of qualified Phillips 66, Kendall® and Red Line®-branded lubricants that you purchase between January 1, 2025 and December 31, 2025.
- These BDA funds will be accrued monthly and posted to your BDA account one month in arrears.
- Marketers carrying two or more Phillips 66 Lubricants brands will have BDA funds combined into a single account, allowing the flexibility to spend BDA funds to support any of the Phillips 66 Lubricants brands.
- For more information, visit Lubestream > Programs > Business Development Allowance.
ACCRUAL RATES FOR THE 2025 BDA PROGRAM
BDA RATE TABLE
Tier | Category | Kendall Rate | Phillips 66 Rate | Red Line Rate |
Tier 1 | Full Synthetic | $0.13 | $0.13 | N/A |
Tier 2 | Mainline | $0.07 | $0.07 | N/A |
Tier 3 | Hydraulic/ NGEO | $0.03 | $0.03 | N/A |
Aviation | Aviation | N/A | $0.35 | N/A |
Red Line | Red Line Oil | N/A | N/A | $0.35 |
ELIGIBILITY
- Open to Phillips 66 Lubricants Marketers in the United States and Canada*
- A Marketer must have a Marketing Plan in place.
- A Marketer must purchase a minimum combined Phillips 66 Lubricants volume of 200,000 gallons in calendar year 2025 to be eligible for the BDA program.
- If your 2024 year-end combined Phillips 66 Lubricants volume exceeds 200,000 gallons, you are prequalified to participate in the BDA program January 1, 2025.
- If your 2025 year-end combined Phillips 66 Lubricants volume exceeds 200,000 gallons, you are prequalified to participate in the BDA program January 1, 2026.
- You must be a Phillips 66 Lubricants Marketer in good standing.
- Phillips 66 Lubricants reserves the right to determine overall eligibility in this program and BDA funds will be suspended if Marketer volume decreases 80% year over year.
QUALIFIED PRODUCTS
- Any qualified Phillips 66, Kendall and Red Line-branded product (bulk or packaged) which you have purchased, excluding the ineligible products listed next.
INELIGIBLE PRODUCTS
- Phillips 66 Coolants
- Red Line Service Chemicals
- Buyback Business purchases
- Branded antifreeze and MileGuardTM Filters
- Unbranded products, private label, Point® brand
- Any product that is identified as ineligible by Phillips 66 Lubricants
PAYMENT OF CLAIMS
- Marketers will receive payment via credit memo only.
- Claims will be system-generated on a quarterly basis on the 25th of April, July, October 2025 and January 2026, limited by total BDA accrual.
- Claims need to be approved by your Phillips 66 Account Manager before being paid via credit memo to the Marketer.
- BDA payouts will be suspended or delayed should eligible volume decrease by 80% year over year.
*Program details may be different for Marketers that operate with Phillips 66 Canada. Please contact your Account Manager if you have been doing business with Phillips 66 Canada.