24. 02. 2014

THE AGREEMENT ON SINGLE TARIFF OF FEES BETWEEN ANEM AND OFPS&PI

Belgrade, February 24, 2014 - The Association of Independent Electronic Media (ANEM) signed today an Agreement on single tariff of fees for broadcasting of phonograms and upon them recorded interpretation with collective organizations - the Organization of Phonogram Producers of Serbia (OFPS) and the Organization for Collective Administration of Performing Rights (PI), and by doing so successfully completed negotiations which were conducted from October of last year.

ANEM and collective organizations OFPS and PI, with the support of the Intellectual Property Office, have begun work in early October on the Agreement on tariff. The objective of both sides in negotiations was to reach a balanced, realistic and applicable tariff, which would respect both the needs of broadcasters and the needs of collective organizations.

The most important parts of the Agreement pertain to:

• A change of the rules regarding the calculation of the basis for payment of fees, which will be exclusively linked to revenues from broadcasting; so the basis do not include income from projects, revenues, production revenues and other income not related to broadcasting. The basis for calculation, under certain conditions, is initially reduced by 10 % on the basis of marketing costs;
• Tariff percentage rates are determined in accordance with the relevant tariff number, with differentiating between three radio categories: full service radio, entertainment radio and music radio, with the use of different percentages ( from 2.75 % to 4 % ), depending on the representation of the music repertoire in prime-time (06-18h), and the type of program being broadcasted on radio; for TV, the use of percentages is determined in relation to the representation of the musical repertoire in the ranges from 1.3 % for TV stations in which the representation of the repertoire is up to 25 % , to 3.3 % - for TV stations where that representation is over 75 %.
• The minimum fee shall be determined in proportion to the population in the service area coverage, which represents a real, and not a geographic coverage area, by multiplying the coefficient (0.003 - for radio and - 0.012 for TV ) and the value of points ( 11 dinars excluding VAT) ;
• Under certain conditions, at the end of the accounting period a 15% discount shall be granted from the calculated fee.

The text of the Agreement can be found here (only in Serbian).