TONO's new settlement model follows the Collective Management Act, and is the result of negotiations within the board. This week, TONO's board decided that the model will be introduced immediately, without the previously planned transition period from 2025-28.
/ 02/09/2025 / Willy MartinsenTONO's annual meeting in 2024 adopted the principles for a new settlement model, while TONO's board adopted the settlement model. The new arrangement ensures that TONO disburses money in accordance with Norwegian and international legislation. When the model was adopted, a transitional arrangement was also decided in the form of a gradual introduction from 2025 to 2028. The first changes were to be implemented in the September payment in 2025, for carryovers in the same year.
TONO has received reactions to the transitional arrangement. The justification has been that the law was passed in 2021, and that an implementation period from 2025 to 2028 is unreasonably long. A new legal review supports this view. Based on this, and with better insight into how the new model can technically be introduced earlier, the board has made a new assessment and unanimously concluded to accelerate the introduction.
The new settlement model will thus come into effect as of the September payment in 2025, in all areas where it is technically possible.
The new model is based on the Collective Management Act, which states that remuneration funds should be distributed individually to the greatest extent possible. This means that only concert revenues can be used for concert settlements, only radio revenues for radio payments, and so on.
The most important change is that income from background music (for example, music in stores and fitness centers) will now be paid out on a separate, representative basis. This will be decided annually by the board based on available user data. Previously, these funds have been added to the payment amounts for concerts and NRK. The total amount to be distributed to concerts and NRK will therefore be lower this September.
Other changes mean that all use of music on radio and TV will be treated equally. In short, this means that late-night playing and program vignettes will be given a higher value than before. Live performances will be adjusted downwards.
When the new settlement model has now been introduced starting with the September payment, it also means that the premiere performance scheme has been discontinued. This scheme has been financed with funds from other areas, and is therefore also not in accordance with the Collective Management Act. This means that the last premiere performance payment was made in December 2024, for performances in 2023.
More information about the changes will be provided in the settlement letter that is sent with the payment in week 40.
What does this mean for me as a TONO member?
You will receive payments that reflect the income your works have generated. The change specifically means that payments for concerts and NRK will be lower than before, as background music money is paid separately, on its own basis.
Why is the watch performance scheme being discontinued?
The funds for the scheme have been taken from other income, which is not permitted by the Collective Management Act. The last premiere payment was therefore made in December 2024, for premieres in 2023. The board will look into the possibilities of whether non-distributable funds could possibly also be used for premieres, and present this to TONO's annual meeting.
How does this affect my concert billing?
Only concert revenues can be used for concert settlements. When background music revenues are not added to concert payments, TONO will have less to pay out for concerts. This will affect the concert payment in September, which applies to concerts in 2024.
How does this affect my radio bills?
Only income from radio channels can be used for radio payments. Previously, the settlements for playing on NRK radio have been supplemented with money from our background music income. This will now cease, and will lead to a lower payment amount for radio playing in the September payment. At the same time, all use of music on radio is now weighted equally (night and day, live or recorded music), with the exception of program and channel vignettes, trailers and advertising.
Why wasn't the model introduced immediately after the law was passed?
Developing a new settlement model is an extensive process involving legal clarifications, analyses, trial settlements and adjustments. The process was complex and took several years. The principles were not initially adopted by the annual meeting in June 2024, but were adopted at an extraordinary annual meeting in August 2024, before the model is now ready for use.
Why did TONO initially plan a transitional arrangement?
This is a big change that many will notice, but it was also important for us to resolve all technical issues. Most of the technical solutions are ready, and we will resolve the small remaining issues quickly. The legal review has made it clear that the introduction cannot be delayed any longer than necessary. Therefore, the settlement model is being implemented now, starting with the September payment.
How will the money from TONO's background music revenue be paid out?
They will be paid on a representative basis, which is determined annually by TONO's board. The board has decided for this year that they will be paid on the basis of reports from the three areas: TV, radio/streaming and a composite area.
More information about this will be available later this fall. If you have any questions, please contact the Membership Department at medlem@tono.no.