An online platform that will streamline and fast-track the collection of fees charged for the background use of musical work, sound recordings and audiovisual works has been launched by the Collective Management Organizations (CMOs).
The CMOs whose mandate is to collect and distribute royalties on behalf of musicians have launched an online platform that will streamline and fast-track the collection of fees charged for the background use of musical work, sound recordings and audio visual works.
The CMOs represented by Performers Rights Society of Kenya (PRISK), Kenya Association of Music Producers (KAMP) and Music Publishers Association of Kenya (MPAKE) are working in collaboration with players in the hotel and entertainment industry to bring this initiative to fruition.
This follows the signing of a Memorandum of Understanding in October 2017 that captured the re-negotiated tariff principle with the intention to standardize the formula for calculating the percentage paid for license fees.
The new negotiated tariff is an innovation as it addresses the need to take into account the economic inequality in the county’s. It is a percentage fee of between 20%-30% of the single business permit and liquor license fee.
The Kenya Association of Hotel keepers and Caterers CEO, Mike Macharia lauded the move re-emphasizing the commitment by businesses in the hotel industry to support creatives.
“Following the six months’ pilot phase of the new tariffs agreed and signed during the MOU, the hotels and entertainment industry is committed to ensuring that the negotiated tariff works to the benefit of both parties” he said.
Kenya Copyright Board (KECOBO) Executive Director, Edward Sigei welcomed the move saying that the new online platform will increase efficiency in payment and reduce corruption cases that have marred the process.
“I am happy that the two parties have come up with this platform after successful engagements over the past six months which should allow for the gazettement of the final tariffs,” he said.
There are approximately 60,000 outlets in the industry and currently, revenue collection comprises of less than a quarter of that amount.
In order to meet the July 4th deadline, the BMO’s and CMO’s will carry out a countrywide awareness campaign to lobby more business to register online for the new tariffs.
This exercise is an excellent opportunity to demonstrate inter-industry corporation for the benefit of multiple stakeholders.