Background music fees: fixed until 2016 for restaurateurs

Tuesday, 2 June 2009

APRA AMCOS Logo

Restaurateurs can be reassured that copyright licence fees issued by the Australasian Performing Right Association (APRA) for use of background music in hospitality businesses will remain unchanged as per an agreement originally struck with Restaurant & Catering Australia in 2005.

 APRA’s fee for the use of background music is set to remain until 1 January 2016 (CPI increased annually). This fee was established following a three year phased increase which began 1 January 2006.

“We believe the longer term agreement with the restaurant industry is fair, striking the right balance between the commercial imperatives of the hospitality industry and the need to provide equitable compensation to songwriters for use of their music in businesses,” said Jenny Gome, APRA|AMCOS’s Director of Licensing Services.

APRA represents most music creators across Australasia and, by agreement, most music creators around the world. We license the use of their music, collect royalties for that use and distribute royalty payments to the owners of the works that were performed or broadcast, thereby ensuring that songwriters and composers are remunerated for their work. Currently, approximately 86 cents in every dollar collected from APRA licence fees is distributed to copyright owners.

Rather than having to obtain a licence directly from every composer whose songs are performed on the business premises or played to callers on hold, APRA can help to navigate the legal process when it comes to copyright law by providing access to our vast repertoire of the world’s copyright protected music, for a fee.

Who is who when it comes to copyright?

APRA issues licences for the public performance and communication (including broadcast) of members’ musical works including music used in accommodation hotels, pubs, clubs, restaurants, fitness centres, shops, cinemas, festivals, whether performed live, on CDs or played on the radio or television. Communication of music covers music used for music on hold, music accessed over the internet or used by television or radio broadcasters.

The Phonographic Performance Company of Australia (PPCA) grants licences for the broadcast, communication or public playing of sound recordings (e.g., CDs, tapes, records) or music videos. Such permission is often required in addition to permission from APRA to perform musical works and lyrics.

In short, APRA represents the songwriters and their publishers; PPCA represents record labels and recording artists.

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