06/06/2023 | Press release | Distributed by Public on 06/06/2023 22:17
Radio Fair Play is a campaign by PPCA to ensure artists and rights holders (usually labels) are paid fairly for the use of their music.
· Artists and rights holders aren't getting paid fairly for songs played on radio
· Profitable commercial radio stations and the ABC are protected from paying more by a legislated cap
· Get involved to help us remove the cap and negotiate better deal for you
Fifty-four years ago, the Copyright Act was written
Back then, radio stations were less profitable and localised Radio argued for a cap on how much they had to pay in licensing fees - and they won
The cap is set at 1% of gross commercial radio revenue
ABC, including Triple J, is capped at just half a cent ($0.005) per head of population, and is not indexed to CPI
No cap exists on any other type of copyright, the free market negotiates rates.
If agreements aren't reached, it goes to the Copyright Tribunal to establish a fair rate.
This happens for radio broadcast fees of sound recordings too - but that rate can never go beyond the caps.
Unique to Australia
There is no similar cap anywhere else in the world
Global rates are currently between 1.5% and 4% for use of sound recordings.
Commercial radio is highly profitable - and music is why people listen to it
Ad revenue for commercial radio grew to over $700 million last financial year
Yet they pay just $4.4 million (approx.) for the use of all sound recordings across 260 stations
Last year more than 2 in 3 Australians reported regularly listening to music on the radio
Music deserves a higher value.
It is time
Reviews have recommended its removal and in 2006, the Government said they would abolish it. But they didn't.
With cost-of-living pressures, and industry still recovering from COVID - it ends now.
It's time to SCRAP THE CAP.