Phonographic Performance Company of Australia

PPCA (Phonographic Performance Company of Australia) is a non-profit organization that licenses the public performance, broadcast, and communication of recorded music and music videos in Australia. It represents recording artists and record labels (not songwriters or composers), collecting license fees from businesses and broadcasters that use sound recordings and distributing royalties directly to registered artists and licensors.

How PPCA Works

PPCA is distinct from APRA AMCOS (which represents songwriters and publishers). PPCA represents the owners of sound recordings (record labels) and featured recording artists. When a business plays a recorded song publicly, two licenses are typically required: one from APRA AMCOS for the underlying composition, and one from PPCA for the sound recording itself.

PPCA collects license fees from:

• Commercial and public radio stations for broadcasting sound recordings
• Television networks for using recorded music in broadcasts
• Public performance venues including retail stores, restaurants, gyms, hotels, and nightclubs
• Online and communication services including streaming, music on hold, and ancillary reproduction
• Music video users for broadcast and public display of music videos
• Events and festivals through the OneMusic Australia joint initiative with APRA AMCOS

PPCA distributes royalties annually in December. The distribution process works as follows:

1. PPCA collects total license fee revenue during the financial year (July 1 to June 30)
2. Operating costs and expenses are deducted, creating the Preliminary Distributable Amount
3. Up to 1% is allocated to charitable, educational, and industry grants (including Support Act, Sounds Australia, and the Australian Copyright Council)
4. The remaining Distributable Amount is split into distribution pools based on revenue source and usage data
5. Royalties are allocated using airplay logs from commercial, public, and community radio, ARIA Club Chart reports, music recognition technology data, and licensee self-reporting
6. Payments are made to registered artists and licensors

Under the Artist Direct Distribution Scheme (ADDS), PPCA pays 50% of the net distribution value for each recording directly to the featured registered artist, with the remaining 50% paid to the PPCA licensor (typically the record label). In May 2025, PPCA removed the former $5 minimum payment threshold for registered artists, meaning all distribution earnings are now credited regardless of amount.

PPCA also updated its Distribution Policy in May 2025 to clarify that recordings created using AI may only be registered if a human is the primary creator with substantial and meaningful contribution. AI cannot be the sole or central element of any registered repertoire.

In 2023-24, PPCA collected AUD $62,115,954 in total revenue (up 7.9% from the previous year) and distributed $48,376,344 to 4,170 licensors and 5,642 registered artists. The expense-to-revenue ratio was 22.1%, elevated by significant investment in two Copyright Tribunal matters. Excluding Tribunal costs, the ratio would have been approximately 14%.

PPCA is led by CEO Annabelle Herd, who also serves as CEO of ARIA (Australian Recording Industry Association). The organization continues to campaign for removal of the statutory 1% cap on commercial radio sound recording royalties through the Radio Fair Play campaign.

In 2025, the Copyright Tribunal of Australia ruled on a new commercial radio broadcast license rate of 0.55% of gross industry revenue, up from the previous 0.4% rate. This represents a 38% increase in royalties paid when commercial radio broadcasts sound recordings. The new rate is backdated to July 1, 2023. However, the Tribunal noted that the statutory 1% cap remains a permanent fixture that constrains fair market rate negotiations. PPCA continues to advocate for legislative removal of the cap, noting that Australia's radio royalty rate of 0.4% (now 0.55%) is far below rates in Canada, the UK, and Germany, which range from 3% to 7.5%.

Real-World Example

An Australian recording artist releases a single through an independent label registered with PPCA. The single receives 500 plays on a commercial radio station in a given year and is played in 50 licensed venues (retail stores, cafes, gyms) that hold PPCA blanket licenses.

The radio station pays PPCA a license fee calculated at 0.55% of its gross revenue (under the new 2025 Tribunal rate). PPCA logs the 500 plays through its airplay monitoring system. The venue license fees are allocated based on proxy reporting data where direct usage logs are unavailable.

For the radio royalties, the ADDS scheme pays 50% directly to the featured artist and 50% to the record label. If the artist's single generates AUD $2,000 in annual radio royalties, the artist receives $1,000 directly from PPCA and the label receives $1,000 (subject to the terms of their recording contract).

If the same recording is played on Spotify in Australia, PPCA does not collect those royalties. Streaming mechanical and performance royalties for sound recordings are typically handled through direct agreements between labels and streaming platforms. PPCA's role focuses on broadcast, public performance, and communication licensing.

Why It Matters for Independent Artists

If you are an Australian recording artist or label, PPCA collects royalties when your sound recordings are played on radio, television, in public venues, or communicated through certain online services. Without PPCA registration, you earn nothing when your recordings are broadcast or performed publicly in Australia.

Register as a PPCA Registered Artist if you are a featured performer on sound recordings released in Australia. Under the ADDS scheme, you receive 50% of the net distribution value directly, separate from your record label. This payment is independent of your recording contract terms. As of May 2025, there is no minimum payment threshold, so even small earnings are credited.

If you own or control sound recordings (as an independent label or self-released artist), also register as a PPCA Licensor. This ensures you receive the licensor's 50% share of distributions for your recordings.

PPCA does not represent songwriters or composers. If you write your own songs, you also need to join APRA AMCOS to collect performance royalties for the underlying compositions. Both registrations are necessary for independent artists who write and record their own music.

The statutory 1% cap on commercial radio royalties means Australian artists receive significantly less from radio play than artists in comparable markets. PPCA's ongoing campaign to remove this cap, supported by the Mandala economic report showing a potential 78% income increase for radio-played artists, directly affects your earning potential. Support the Radio Fair Play campaign and contact your parliamentary representatives about the Fair Pay for Radio Play Bill.

Related Resources

• Performing Rights Organizations (PRO) - What a PRO is and how it functions
• Neighboring Rights - How neighboring rights work for performers
• Performance Royalties - How performance royalties are generated and collected
• Collective Management Organization (CMO) - How CMOs operate globally
• PPCA Official Website - Visit PPCA for registration and licensing information
• Use our Streaming Royalty Calculator to estimate your digital earnings