24 October 2013. The ACCC has granted conditional interim authorisation to the Australasian Performing Right Association Ltd (APRA) for its arrangements for the acquisition and licensing of performing rights in music.APRA holds the rights for the performance of almost all music in Australia. A large number of businesses, including retail businesses, hospitality venues and broadcasters, must purchase a licence from APRA to broadcast music. APRA distributes the royalties to its member composers, songwriters and music publishers who also need APRA to collect their royalties.
On 30 April 2013, APRA sought reauthorisation for its standard arrangements for the acquisition and licensing of the performing rights in its music repertoire. APRA’s current authorisations expire on 31 October 2013. Due to the large number of submissions received in response to the application and the concerns raised by interested parties, the ACCC will not have completed its assessment before the existing authorisations expire.
On 15 October 2013, the ACCC released a draft determination proposing to grant conditional authorisation to APRA for three years. The ACCC is currently seeking submissions on the draft determination from interested parties before issuing a final determination.
“The ACCC considers that interim authorisation will avoid disruption to APRA, its members and licensees while the ACCC completes its assessment of the substantive application,” ACCC Commissioner Dr Jill Walker.
Interim authorisation is on the same terms as the existing authorisations, including the conditions of authorisation imposed in 2010. Interim authorisation commences immediately, and will remain in place until it is revoked or the date on which the ACCC's final determination on the application comes into effect.
The granting of interim authorisation in no way binds the ACCC in its consideration of the substantive application for authorisation.
Authorisation provides statutory protection from court action for conduct that might otherwise raise concerns under the competition provisions of the Competition and Consumer Act 2010. Broadly, the ACCC may grant an authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment.
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