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IT IS hoped that the mechanism for calculating music royalties can be reviewed by the government because playing songs in restaurants, cafes, or hotels is not solely related to business interests.
According to the Secretary General of the Indonesian Hotel and Restaurant Association (PHRI) Maulana Yusran said basically playing a song in most hotels or places to eat aims to create an atmosphere or arouse a sense of comfort for visitors.
“Playing songs in restaurants and hotels also wants to show a different atmosphere. For example, when we enter a Sundanese restaurant, it means the song is Sundanese, or when we enter a Padang restaurant, it means the song is Padang, and so on. This is different from karaoke, if they don’t play songs then there is no business. But if the restaurant doesn’t play songs, the restaurant business is still there,” said Maulana.
Maulana also believes that the calculation of the royalty rate can at least consider the volume of visitors because, for example, seats in a restaurant or cafe are not always full.
In March, the government issued Government Regulation No. 56 of 2021 concerning the management of song and/or music copyright royalties. The regulation states that people who use songs or music in the form of commercial public services must pay royalties. Commercial forms of public services include several types of shops; such as supermarkets, department stores, and shopping complexes (malls); as well as restaurants, cafes, hotels, and so on.
The royalty rate has been determined in the 2016 Decree of the Minister of Law and Human Rights. For shops, the tariff is calculated based on the space per square meter (per m2) per year. Meanwhile, for restaurants and cafes, it is determined based on the number of seats of IDR60,000 per seat per year.
For hotels, the royalty rate is calculated based on the number of rooms. Meanwhile, resorts, exclusive hotels and boutique hotels are set as a lump sum of IDR16,000,000 per year.
According to Maulana, the request for a review from the entrepreneur side, as conveyed by the Indonesian Retail Association (Aprindo) to President Joko Widodo (Jokowi) yesterday (8/9), is a natural thing because the problems complained of must be heard from both parties and the government. must take a middle ground so that there is no debate.
Earlier on Wednesday (8/9), Aprindo General Chair Rou Nicholas Mandey along with a number of other business associations met with President Jokowi and Coordinating Minister for the Economy Airlangga Hartanto to discuss a number of problems experienced by entrepreneurs when facing the COVID-19 pandemic, one of which was related to music royalties. played in supermarkets.
Roy questions the mechanics of calculating music royalties and hopes for a reset. Roy believes that if the calculation is based on the area of the outlet, the value will be significant. In addition, music listeners are only customers walking in retail outlets, not including the products on display.
“Each party certainly brings ideas from their respective sectors. We understand the copyright, it’s just how to arrange the criteria so that all parties accept this,” Maulana noted.
Maulana also emphasized that his party hopes that the song or music data center will soon be carried out and published by the government so that it can be used as a reference by all parties, it will even be much better and well organized. [antaranews/photo special]
