Below is information regarding the royalty rules of a few different countries and territories when songs are played on the Radio. While this non-exhaustive list presents a general idea of how nations in different regions operate, each territory or country has their own specific laws, regulations and mechanisms in place, with local licensing entities responsible for calculating and collecting royalties due from radio exploitation including public performance & public broadcast (Neighboring) royalties.

Australia
Canada
Egypt
France
Germany
Switzerland
United Kingdom
United States

France

In France, public performance royalties for the composition (as opposed to royalties for the recording) are paid to the creators (songwriters, composers, and music publishers) when a song is played on FM or AM radio. This process is separate from the royalties paid to recording rights owners (usually record labels and performers).

Here’s how it works for the composition royalties:

1. Licensing and Fee Collection

• Radio stations are required to obtain a performance license from SACEM, the French performing rights organization that manages the rights of composers, songwriters, and music publishers.
• SACEM calculates the licensing fees for broadcasters based on their revenue, music use, and the size of their audience.
• These fees specifically cover the public performance rights of the musical composition, excluding the recording rights.

2. Tracking Music Usage

• Radio stations submit detailed playlists or music usage reports to SACEM, listing the songs broadcasted.
• SACEM uses this information to identify which compositions were performed and ensures the right creators are compensated.

3. Distribution to Creators

• SACEM distributes the royalties to the songwriters, composers, and publishers based on the performance data collected.
• The share for each contributor is determined by the agreements between them (e.g., splits between lyricist, composer, and publisher).

Distinction from Recording Royalties

• Public performance royalties (handled by SACEM) are only for the underlying composition—the melody, lyrics, and musical arrangement.
• In parallel, royalties for the public broadcast of the sound recording (the master recording) are handled by a different organization, such as SPRDs (Sociétés de Perception et de Répartition des Droits) like SCPP or SPPF, which represent record labels and performers.

In summary, SACEM ensures that songwriters, composers, and publishers receive their fair share of royalties for the public performance of their works on radio, distinct from any payments made to recording rights holders.

United States

In the United States, public performance royalties for compositions are also paid when a song is played on FM or AM radio. These royalties go to the songwriters, composers, and publishers through performing rights organizations (PROs), such as ASCAP, BMI, or SESAC, which manage the performance rights for compositions. However, unlike in France, the U.S. does not pay sound recording performance royalties for traditional terrestrial radio broadcasts (FM/AM). Here’s a breakdown specific to the composition royalties:

1. Licensing and Fee Collection

• Radio stations must obtain public performance licenses from U.S. PROs like ASCAP, BMI, SESAC, or GMR (Global Music Rights).
• These PROs negotiate blanket licenses with broadcasters, allowing them to play any composition in their repertoire.
• The licensing fees are generally calculated based on the station’s revenue and how much music they broadcast.

2. Tracking Music Usage

• Radio stations in the U.S. provide music usage data to the PROs, often through playlists or automated systems such as audio recognition technology.
• PROs use this data to determine which compositions were performed and how often.

3. Distribution to Creators

• Royalties collected by the PROs are distributed to the songwriters, composers, and music publishers based on pre-agreed splits.
  • For example, ASCAP typically splits royalties 50% to the songwriter and 50% to the publisher.
• Payment is proportional to the frequency and duration of the performances on radio.

Distinction from Recording Royalties

• In the U.S., FM/AM radio stations are not required to pay performance royalties to recording artists or record labels for the broadcast of the sound recording itself (this is unique to U.S. terrestrial radio and some developing countries).
• Digital platforms like satellite radio (e.g., SiriusXM) or streaming services do pay royalties for both the sound recording (via organizations like SoundExchange) and the composition (via the PROs).

In summary, in the U.S., public performance royalties for the composition are handled by PROs (e.g., ASCAP, BMI, SESAC), ensuring that songwriters, composers, and publishers are paid when their works are played on FM or AM radio. However, terrestrial broadcasters in the U.S. do not pay royalties to recording rights holders, unlike many other countries.

United Kingdom

In the United Kingdom, public performance royalties for compositions are paid when a song is played on FM or AM radio. These royalties are distinct from royalties for sound recordings and are handled by PRS for Music, the UK’s primary performing rights organization for songwriters, composers, and publishers. Here’s how it works:

1. Licensing and Fee Collection

• Radio stations in the UK must obtain a PRS for Music license to broadcast copyrighted compositions.
• PRS for Music calculates license fees based on the station’s revenue, audience size, and the proportion of time spent broadcasting music.
• These fees specifically cover the public performance of the musical composition—not the sound recording.

2. Tracking Music Usage

• Radio stations provide PRS for Music with detailed music usage reports (e.g., playlists, logs, or automated systems like music recognition software).
• The reported data ensures accurate identification of the compositions played and the creators entitled to royalties.

3. Distribution to Creators

• PRS for Music distributes the collected royalties to the relevant songwriters, composers, and publishers of the musical work.
• The royalties are distributed according to pre-agreed splits between the contributors (e.g., between lyricists, composers, and publishers).

Distinction from Recording Royalties

• Royalties for the public performance of the sound recording (the master recording) are managed separately by PPL UK, which represents record labels and performers.
• Radio stations in the UK must also obtain a PPL license and pay royalties to the recording rights holders.
• Unlike the U.S., UK radio stations pay both:
  • Composition royalties (via PRS for Music) to songwriters, composers, and publishers.
  • Sound recording royalties (via PPL) to performers and record labels.

Summary

In the UK, PRS for Music ensures that songwriters, composers, and publishers are paid public performance royalties for the composition whenever their music is played on FM or AM radio. Additionally, radio broadcasters in the UK are also obligated to pay royalties to recording rights holders via PPL. This ensures that all rights owners—whether of the composition or the recording—receive compensation for radio airplay.

Germany

In Germany, public performance royalties for compositions are paid when a song is played on FM or AM radio. These royalties are handled by GEMA (Gesellschaft für musikalische Aufführungs- und mechanische Vervielfältigungsrechte), which manages the performance and mechanical rights of composers, songwriters, and publishers in Germany. This system is separate from royalties for sound recordings, which are managed by other organizations. Here’s how it works for composition royalties:

1. Licensing and Fee Collection

• Radio broadcasters in Germany must obtain a GEMA license to legally play copyrighted compositions on air.
• GEMA calculates the fees based on:
  • The station’s revenue.
  • The percentage of music content in their programming.
  • The station’s audience size and reach.
• These fees are strictly for the public performance of the composition, not the sound recording.

2. Tracking Music Usage

• Radio stations are required to provide detailed music usage reports to GEMA, listing the compositions they play.
• GEMA also employs music recognition technology to supplement and verify these reports, ensuring comprehensive tracking of airplay.

3. Distribution to Creators

• GEMA distributes the collected royalties to the songwriters, composers, and publishers of the performed works.
• Royalties are allocated based on:
  • How frequently a composition is played.
  • The station’s size and influence (e.g., national vs. regional broadcasters).
  • Agreements between the creators on splits (e.g., percentages for lyricists, composers, and publishers).

Distinction from Recording Royalties

• Royalties for the public performance of sound recordings (the master recording) are managed separately by GVL (Gesellschaft zur Verwertung von Leistungsschutzrechten), which represents performers and record labels.
• Radio stations in Germany are required to pay both:
  • Composition royalties to GEMA for the songwriters, composers, and publishers.
  • Recording royalties to GVL for performers and producers.

Summary

In Germany, public performance royalties for compositions are collected and distributed by GEMA, ensuring that songwriters, composers, and publishers are compensated when their works are played on FM or AM radio. Additionally, radio broadcasters must also pay separate royalties for the sound recording to GVL. This comprehensive system ensures that both types of rights holders—composition and recording—are fairly compensated for radio airplay.

Canada

1. Public Performance of Compositions:
   • In Canada, public performance royalties for compositions are managed by SOCAN (Society of Composers, Authors, and Music Publishers of Canada).
   • Radio broadcasters must obtain a SOCAN license to legally broadcast music. License fees are calculated based on the station’s revenue and music use.
   • SOCAN collects royalties and distributes them to songwriters, composers, and publishers.
2. Tracking Usage:
   • Radio stations are required to submit detailed music usage reports to SOCAN.
   • SOCAN uses data from playlists and monitoring systems to determine which compositions were performed.
3. Distinction from Sound Recordings:
   • Sound recording performance royalties in Canada are managed by Re, which collects royalties for performers and producers.
   • Broadcasters must obtain licenses from both SOCAN (for compositions) and Re(for sound recordings).
   • This system ensures that both sets of rights holders are compensated for music played on FM/AM radio.

Australia

1. Public Performance of Compositions:
   • In Australia, composition royalties are handled by APRA AMCOS (Australasian Performing Right Association and Australasian Mechanical Copyright Owners Society).
   • FM/AM radio stations must secure public performance licenses from APRA AMCOS.
2. Tracking Usage:
   • Broadcasters provide logs and playlists to APRA AMCOS.
   • APRA AMCOS distributes royalties to songwriters, composers, and publishers based on the frequency of airplay.
3. Distinction from Sound Recordings:
   • Performance royalties for sound recordings are managed by PPCA (Phonographic Performance Company of Australia).
   • Both composition and sound recording royalties are mandatory for radio stations, making Australia one of the countries where both types of rights are remunerated.

Switzerland

1. Public Performance of Compositions:
   • In Switzerland, public performance royalties for compositions are collected by SUISA, the Swiss Cooperative Society for Authors and Publishers of Music.
   • Radio broadcasters must obtain SUISA licenses for the public performance of compositions.
2. Tracking Usage:
   • SUISA gathers data from radio stations, including playlists and airplay logs.
   • The collected royalties are distributed to songwriters, composers, and publishers.
3. Distinction from Sound Recordings:
   • Performance royalties for sound recordings are handled by Swissperform, the neighboring rights organization for performers and producers.
   • Like Canada and Australia, Switzerland requires radio broadcasters to pay royalties for both compositions (via SUISA) and sound recordings (via Swissperform).

Egypt

In Egypt, the legal framework for collecting public performance royalties for compositions on FM or AM radio is not as well-established as in countries with long-standing performing rights organizations (PROs). Here’s an overview of how this works:

Public Performance of Compositions

1. Licensing and Collection:
   Egypt does not have a PRO with the same level of operational structure as ASCAP (US) or PRS (UK).However, there is reliance on agreements between broadcasters and copyright holders or their representatives. Licensing fees, if collected, are typically handled directly by the copyright owners or international PROs representing Egyptian rights-holders through reciprocal agreements.
2. Payments to Rights-Holders: Royalties for the performance of compositions, if collected, are distributed to composers, lyricists, and publishers based on usage data. This is less transparent and standardized compared to systems in Western countries.

Distinction from Sound Recording Rights

1. Neighboring Rights for Recordings:
   1. Broadcasters in Egypt are not generally required to pay royalties for the performance of sound recordings on FM or AM radio. However, this may change in specific cases where agreements exist with foreign rights holders.
   2. Digital platforms, if applicable, may pay performance royalties for sound recordings via organizations like SoundExchange, but these mechanisms are not fully operational within Egypt.

Current Challenges

The lack of a well-developed rights management infrastructure in Egypt leads to significant gaps in royalty collection and distribution. Rights-holders often rely on international organizations to collect royalties for works used abroad, while local enforcement remains inconsistent.

If you are working with rights related to compositions or sound recordings in Egypt, partnering with an international PRO and Publisher would help ensure better rights protection and royalty collection.

Below is a list detailing the different societies worldwide tasked with issuing the licenses required by Radio Stations and other broadcasters of sound recordings to publicly broadcast and perform the recordings and compositions, where such laws protect the mentioned rights.

Public Performance VS Public Broadcast & Communication Rights by Country