Music is a big part of life in Indonesia, but recently, there’s been a heated debate about music royalties. This issue has caused confusion and tension among musicians, business owners, and even the public. In this blog post, we’ll break down the controversy in simple terms, why it matters, and what’s being done to fix it.
What Are Music Royalties?
Music royalties are payments made to songwriters, singers, or other creators when their music is used. This could be when a song is played in a café, performed at a concert, or streamed online. Royalties ensure that artists get paid for their work, supporting their ability to keep creating music.
In Indonesia, royalties are managed by organizations like the National Collective Management Organization (LMKN) and other Collective Management Organizations (LMKs). These groups collect payments from businesses like cafés, restaurants, or malls and distribute them to the artists.
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Why Is There a Controversy?
The royalty system in Indonesia has sparked debates for a few reasons:
1. Unclear Rules: Many businesses, like cafés and restaurants, are unsure about when they need to pay royalties. Some believe playing music in their venues isn’t “commercial” enough to require payment, while others are unaware of the rules. This confusion has led to legal disputes, like the case of a Mie Gacoan outlet in Bali, where the director was named a suspect for playing licensed songs without permission.
2. Unfair Distribution: Some musicians, like Piyu, have complained that they receive very little money from royalties, sometimes as low as Rp 300,000 per year. Others question how the LMKN and LMKs decide who gets paid and how much. This lack of transparency frustrates artists who feel their work isn’t fairly rewarded.
3. Legal Battles: High-profile cases have made the issue more visible. For example, singer Agnez Mo was fined Rp 1.5 billion for performing the song “Bilang Saja” without permission from its creator, Ari Bias. Such cases highlight the tension between songwriters and performers over who controls the rights to a song.
4. Impact on Businesses: Many café and restaurant owners are now scared to play Indonesian music due to the risk of fines or lawsuits. Some have stopped playing music altogether or switched to non-Indonesian songs to avoid legal trouble. This has raised concerns that local music could lose popularity.
Different Perspectives
The royalty debate has divided the music community. On one side, songwriters, supported by groups like the Indonesian Composers Association (AKSI), want stronger protection for their rights. They argue that royalties are essential for their income. On the other side, performers and groups like Vibrasi Suara Indonesia (VISI) feel the rules are too strict and limit their creative freedom. VISI even filed a legal challenge to revise the Copyright Law to make it easier for performers to use songs.
Meanwhile, some musicians, like Ahmad Dhani and Charly Van Houten, have chosen to allow their songs to be played in cafés for free, hoping to support businesses and promote their music. However, others argue this could harm the music industry by reducing the value of royalties.
What’s Being Done?
The Indonesian government is aware of the issue and is working on solutions. Officials like Minister Prasetyo Hadi and Deputy Minister Otto Hasibuan have promised to revise the Copyright Law to make it clearer and fairer. They plan to meet with musicians, businesses, and LMKN to find a balanced solution. One idea is to create a step-by-step payment system to ease the burden on businesses.
There’s also talk of using digital technology to track music usage more accurately. This could make royalty distribution more transparent and ensure artists get paid fairly.
Why It Matters
This controversy isn’t just about money—it’s about the future of Indonesian music. If businesses stop playing local songs, it could hurt the industry and make it harder for new artists to succeed. At the same time, songwriters deserve fair pay for their work. Finding a balance is crucial to keeping Indonesia’s music scene vibrant and creative.
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