The Australian Competition and Consumer Commission (ACCC) has extended legal protection for APRA’s music rights arrangements for another five years, despite concerns over the organisation’s substantial market power.

APRA licenses businesses that play or broadcast music, including retailers, cafes, entertainment venues and broadcasters. Revenue collected through licence fees is distributed to songwriters, composers and music publishers as royalties.

Its arrangements require ACCC authorisation because they involve coordination between parties that could otherwise be considered competitors and potentially breach Australian competition laws.

The regulator determined that the system continues to provide public benefits by simplifying how businesses obtain music licences and how creators receive royalties.

“This was a complex decision because APRA has substantial market power, which can create risks for music users and members, including around licence fees, royalty distributions and transparency,” ACCC Commissioner Dr Philip Williams said.

However, the exemption remains subject to conditions intended to strengthen transparency and accountability.

APRA must regularly review its licensing schemes and royalty distribution arrangements while considering feedback received from stakeholders.

It must also consult members and licensees when introducing or amending schemes and maintain an alternative dispute-resolution process.

“The conditions are designed to reduce the likely public detriments by requiring regular reviews of APRA’s arrangements and giving members and licensees clearer opportunities to provide feedback and raise concerns,” Williams said.

Established in 1926, APRA controls the performing rights for almost all musical works played or performed in Australia.

It has approximately 124,000 members, encompassing composers, songwriters and music publishers, and around 145,000 licensees paying to use musical works.

The arrangements have operated with ACCC authorisation since 1999, subject to conditions.

Australian competition law permits the regulator to authorise conduct that could otherwise create competition concerns when its expected public benefits outweigh the potential harm.

The ACCC proposed renewing the exemption with strengthened conditions in a draft determination released in December 2025. Its final decision considered submissions from interested parties and additional material received during consultation.

The regulator does not develop, administer or enforce APRA’s licensing and royalty arrangements. Its role is limited to providing legal protection for the authorised conduct and imposing conditions required for that exemption.