Frequently Asked Questions for Music Users

PPNZ Music Licensing (PPNZ) is a non-profit company established in 1957 to centrally administer the rights of local and international record labels and recording artists within the New Zealand territory. PPNZ is responsible for licensing and collecting income from the broadcasting, reproduction and public performance of sound and video recordings and distributing this income back to the right's owners. PPNZ can grant licences to any individual or business playing or using recorded music in the public arena.

A public performance is the playing of a sound recording or the exhibition of a music video in public (i.e. a non-domestic environment). Just because a performance is given for free, or the audience is small, or there is no admission fee, or the performance is confined to members of a club, or a limited area, it does not mean it is not a public performance.

Anyone playing recorded music in public e.g. shops, clubs, bars, hotels, restaurants, leisure centres, sports venues, function and conference facilities, retail malls - any where that recorded music is played in public. If your phone system includes a Music On-Hold facility, this also needs to be licensed with PPNZ.

There are two copyrights in any recording:

• A: The copyright in the song, being the composition and/or lyrics. APRA (Australasian Performing Right Association) grants licences for the broadcast and public performance rights in the musical work and distributes licence fee income to songwriters and their publishers.
• B: The copyright in the recorded version of the musical work. PPNZ grants licences for the broadcast and public performance of recordings and distributes licence fee income to record labels as well as directly to registered New Zealand recording artists.

The practical effect of this distinction is that the broadcast or public performance of a recording requires two licences – one from APRA and one from PPNZ.

To understand the how the music industry income streams work, download the Music Map in PDF format.

Copyright exists in the original sound recording regardless of the physical form in which it is issued - i.e. whether as a record, compact disc, cassette, tape, DVD, VCD, MP3 or otherwise. Under section 16 of the Copyright Act 1994, an owner of a sound recording (for example, a recording artist or label) has the exclusive right to do or license a number of restricted acts in relation to sound recordings. These restricted acts include the exclusive right to play or communicate a work (including a sound recording) in public. The rights that PPNZ administers and licenses on behalf of its members includes those conferred by section 16.

As a result of this section of the Copyright Act, a person or business that plays, or intends to play sound recordings in public which are owned or controlled by one of PPNZs members, must first obtain a licence from PPNZ.

In the absence of a licence, the person would infringe Section 32 of the Copyright Act.

The broadcasters licensed by PPNZ are commercial and non-commercial radio and television companies. PPNZ also issues licences for thousands of organisations for public performance, and they include the following types of premises and users:

The possession of sound recordings does not carry any automatic right to use them publicly. The record industry’s primary business is to produce and sell recordings for private domestic use. Any further use in public can only be authorised where it is not detrimental to the industry and to those who contribute to the production of sound recordings, such as artists and musicians.

Companies which provide commercial music installations & services to businesses (MSPs or Music Service Providers) are licensed only for the reproduction and supply of that music. Their fees do not cover or authorise the public performance of the music on the premises. Obtaining a licence for the public performance is the responsibility of the premises. This needs to be obtained directly with PPNZ. If you have any doubts about a MSP check their verification on our list of Licensed MSPs.

At present you don't need a licence from PPNZ (but you will need one from APRA) if you exclusively play free-to-air radio or TV at your business premises and if admission to the premises is free. You will however, need a PPNZ licence if your place of business charges an admission fee to members of the public.

No. PPNZ does not collect for live performances. This is collected by APRA (Australasian Performing Right Association).

Under the Copyright Act, a person infringes copyright in a sound recording when that person plays the recording in public (s32(2) of the Copyright Act). Therefore, people playing sound recordings in public are required to be licensed. 

But liability can also fall on the venue (in the circumstances outlined below) where, as part of the playing of sound recordings in public, the owner of the venue either supplies stereo or other sound equipment, or allows the hirer to bring such equipment on to the premise.

PPNZ therefore offers licences directly to the venue owners themselves. This licence is to cover the playing of sound recordings in public by people hiring the venue.

The circumstances where liability attaches to the venue or the supplier of sound equipment for playing music are as follows:

(a) Where a person supplies equipment, such as a stereo system, which is used to play sound recordings in public, and the person supplying the equipment knew or had reason to believe, that the equipment would be used to infringe copyright (s39(2)(a) of the Copyright Act). For example, where the person playing the sound recording in public from the equipment did not have a licence; or

(b) Where a person supplies equipment, and the normal use of that equipment is the playing of sound recordings in public. In such a situation, the persons supplying the equipment will infringe copyright if he or she had no reasonable grounds for believing that the equipment would not be used so as to infringe copyright (s39(2)(b) of the Copyright Act). For example, where a sports venue or wedding venue provides to the persons who hires the venue a stereo system in order to play sound recordings; or

(c) Where a person occupies a premise (for example a venue for hire) and had given permission for equipment to be brought on to the premise where he or she knew, or had reason to believe, that the equipment brought on to the premise was likely to be used to infringe copyright (s39(3) of the Copyright Act). For example, the person actually playing the sound recording on the premises did not have a licence.

PPNZ offers an annual flat fee licence to Low Power FM stations provided that their annual advertising revenue is below $10,000 and that they comply with the Ministry Of Economic Development’s guidelines on transmission strength. There is an additional licence fee required if the Low Power FM broadcast is re-transmitted or simulcast as an internet transmission. For more information, visit the Low Power FM page.

To supply music for background entertainment, e.g. digital jukeboxes, PCs, etc you will need to hold a Music Service Providers licence. These are required in instances where the background music being compiled is being serviced commercially to third parties.

For more information on these type of licences please contact us directly by using the Public Performance Licensing enquiry form on the Contact page; or freephone 0800 88 77 69 and ask to speak to the Public Performance Manager.

The New Zealand Copyright Act 1994 provides for a maximum $150,000 fine and/or 5 years imprisonment for breaches of the law. Penalties may vary depending on the type and circumstances of the offending. PPNZ regularly pursues legal avenues through the courts on behalf of copyright owners.

To make compilations of music to use as featured entertainment, e.g. Dramatic, artistic, fashion or sports productions and events, you will need to get special clearance from individual copyright holders. PPNZ can identify who the rights holders are and put you in contact with them. To view more information, please visit our About Copyright page.

Making copies of their music for back-up purposes solely for themselves is considered a legitimate use of recorded music by a DJ. The performance of this music in a public space such as a bar is the responsibility of the bar owner. However, if the DJ on-sells that music commercially to other DJs or to other businesses (for instance as a background entertainment system) then they are required to have a Music Service Providers licence.

If your place of business conducts public performances of recorded music, the quickest and simplest way to become "copyright compliant" is to use our online form or give our friendly licensing team a call on 0800 88 PPNZ (0800 88 77 69).

Online Licence Form

In a nutshell, PPNZ's right to license New Zealand businesses for the playing of sound recordings in public is conferred both under the Copyright Act 1994 and its various contractual agreements with a substantial number of both New Zealand recording artists and labels and overseas artists and labels (PPNZ's members). PPNZ is a not-for-profit (non-government) "licensing body" created under the Copyright Act to license the copyright in sound recordings owned or held by artists and record labels. These copyright owners provide a mandate to PPNZ under contractual licences to allow PPNZ to act on their behalf.

PPNZ mandate agreements with our members are "non-exclusive". This means that music users are free, at any time, to arrange licensing directly with individual copyright holders. PPNZ offers a "blanket licence" product which provides the permission of a large number of sound recording owners at one time in respect of their communication, public performance and certain reproduction rights.

As mentioned, this blanket licence is not the only way music users can obtain permission from these labels and artists. You are free to approach them all direct and negotiate individual licence fees for the repertoire of music you wish to play.

PPNZ's right to licence New Zealand businesses for the playing of sound recordings in public is conferred by the Copyright Act 1994 and its various contractual agreements with a substantial number of both New Zealand recording artists and labels and overseas artists and labels.

PPNZ is a private, non-profit "licensing body" under the Copyright Act and copyright owners provide a mandate to PPNZ under contractual licences, to allow PPNZ to act on their behalf. Like all other businesses, PPNZ is also required to comply with NZ laws such as the Commerce Act and Fair Trading legislation.

Definately not. Equity amongst music users is very important to us, and is a key principle that guides us in formulating licensing schemes. We are very aware of keeping the issue of "non-complying" businesses apart from reviews of licensing schemes for businesses who do obtain the permission they need.

We publish a full list of the recording artists and labels we represent at a local level on this website, and refer to IFPI (International Federation of the Phonographic Industry) which provides further links to locate international producers. Music users can contact us at any time and we can track the chain of title to the music tracks being played, to confirm whether they are tracks of our members. In most cases tracks are well known to us, but if this is not clear we will search the chain of title via the New Zealand based record label first and then internationally if required.

The PPNZ SoundCheck teams currently operate in all the main centres throughout the country. Increasingly, these teams will expand to operate in regional areas around New Zealand. The aim of the SoundCheck team is to provide us with a better understanding of how our members music is being used, so we can represent our members effectively and be fair to the many thousands of current PPNZ licence holders.

The aim of the SoundCheck team visits are to gather information on music use, so we can contact businesses that are playing our members' repertoire -  as opposed to those that do not. We follow up each business with detailed information on who we are, what we do and the rights we represent. We do not want to inconvenience business owners by initiating an "on the spot" conversation about licensing with their busy front of house staff.

PPNZ is a non-profit organisation and distributes funds received, less administration costs, through to PPNZ registered artists and labels on an annual basis. You can download a list of PPNZ members and RAP Fund artists in the music makers section of this website.