ACCC continues exemption to APRA arrangements for music rights

The Australian Competition and Consumer Commission has issued a final determination granting a further five year authorisation, until 3 October 2031, for arrangements used by the Australasian Performing Right Association to acquire and license performing rights and communication rights in musical works. The authorised conduct includes APRA's input arrangements, reciprocal terms with overseas collecting societies, blanket licences and distribution arrangements, and a form of this conduct has been authorised by the ACCC since 1999.

Authorisation is required because APRA's arrangements involve coordination between songwriters, composers and music publishers who would otherwise be potential competitors, conduct that could otherwise risk breaching Australia's competition laws. APRA licenses businesses that play music, including cafes, retailers and broadcasters, and distributes resulting licence fee revenue as royalties to music creators and publishers. The ACCC noted it has no role in developing, administering or enforcing the APRA arrangements themselves.

ACCC Commissioner Philip Williams said the decision was complex because APRA has substantial market power that can create risks for music users and members around licence fees, royalty distributions and transparency, but found the arrangements are likely to continue delivering public benefits such as more efficient licensing for music users and more efficient royalty collection for creators and publishers. The ACCC has largely retained existing conditions of authorisation and added requirements for APRA to regularly review its licence schemes and distribution arrangements, consult on any new or amended schemes, and maintain its alternative dispute resolution scheme.