TONO and the Norwegian Music Council have not been able to agree on a new central framework agreement for performing arts groups from January 1, 2024. Here you can read answers to some of the most central questions we believe performing arts groups and members of TONO may have.
/ 28/09/2023 / Willy MartinsenWhy have TONO and the Norwegian Music Council not been able to agree on a new framework agreement?
TONO may, in framework agreements that contribute to less work and administration in TONO with reduced costs, grant a discount on the remuneration to be paid. However, the previous agreement, which expires at the new year 2023, had a discount that, in our opinion, could no longer be justified. TONO therefore continued to offer NMR a discount, but not in the same order of magnitude as before.
Why can TONO no longer defend the discount that was previously given?
TONO is owned and managed by composers, lyricists and music publishers, and aims to ensure these groups receive fair remuneration when their musical works are used in concerts.
In our view, the agreement no longer meets the requirements of the Collective Management Act that we must meet concert organizers with objective, non-discriminatory criteria. The remuneration level we have now offered provides a discount of 20 percent because framework agreements save us work, time and money. It is a level we believe we can defend because it concerns an enormous volume of concerts. We do not have the opportunity to give more than that. Furthermore, we believe that the remuneration must be adjusted upwards to ensure the composers a remuneration level that we believe is justifiable.
What exactly does the increase represent?
Under the existing agreement, NMR pays a total sum of just over NOK 4 million for approximately 10,000 concerts with gross ticket revenues of up to NOK 50,000. For concerts with revenues above that, a separate fee is paid.
The fee has been discounted and corresponds to an amount of just over a thousand kroner per choir, band, etc. The agreement we wanted would correspond to an annual fee per choir, band, etc. of just under 1400 kroner.
Has TONO offered transitional arrangements?
Yes, we have offered a transitional arrangement for 2024 to provide a smoother transition to a higher remuneration level.
What does the absence of a central framework agreement mean for the Norwegian Music Council's 4500 performing arts groups?
The existing agreement, which expires in the New Year, means that TONO permits are granted once a year to all NMR's performing groups. Their only active obligation has been to report to TONO what repertoire has been performed at all concert performances.
Without a central agreement, all of these will become independent customers of TONO as concert organizers from 1 January 2024. This means that for each concert, they must apply to TONO for permission to perform concerts with works we manage in advance of the concert, pay an invoice for each concert and they must continue to report all concert performances so that we can settle the money to the correct composers.
Does this mean that TONO has to deal with 4500 new individual actors?
For TONO, this means a huge increase in specific licensing of individual concerts. Although the fee per concert will be higher, we will also incur higher costs, among other things, as it will require more of our employees to handle all the concerts.
How many concerts are we talking about?
We expect that approximately 10,000 concerts will be licensed individually per year.
How much will a concert cost for choir, band, big band and orchestra?
According to our tariffs for 2023, a minimum of kr 755,- for concerts with gross ticket revenues up to kr 7,539. For concerts with gross ticket revenues above this, the fee is calculated based on percentages of these. TONO's concert tariff is described on this page: https://www.tono.no/kunder/konsert-event/
What is TONO doing to ensure the smoothest possible transition?
There is no doubt that each individual team and association now has more work to do as they have to apply for a TONO permit for each concert. We want to make this as simple as possible, and in January we are launching a new digital service on the My TONO service at tono.no. Here, everyone can, in a simple and user-friendly way, log in and apply for a permit and report the concerts afterwards. This service also makes it possible for TONO to handle the new volumes.
How will TONO inform all the 4500 choirs, bands, large bands and orchestras etc.?
In November, we will contact the sports teams and their organizations via email, and inform them of what they should do from January. We will also send out new information in January, which will also include instructions for using the new digital service. We also expect the organizations to take responsibility for informing their members.
Choirs, corps, big bands and orchestras make up the voluntary music scene. Isn't it reasonable that TONO grants large discounts based on this?
The composers have a close and committed relationship with the voluntary music community, and many see this as their main source of TONO income. The voluntary music community pays conductors, instructors, musicians, etc. for their work, and they purchase other products and services on an equal footing with others. The composers should also have paid when their musical works are used in concerts.
Why do choirs, bands, big bands and others who arrange concerts need permission from TONO?
Composers are the copyright holders of the musical works they create. According to the Norwegian Copyright Act §3, they must give their consent to all making their works available. When they join TONO, they entrust TONO with giving their consent for use. This means that if you want to perform TONO's repertoire, of Norwegian and foreign music, you must have TONO's permission before the performances, otherwise you are breaking the law. TONO payments are important income for composers, lyricists, arrangers and music publishers.