JAKARTA - The National Collective Management Institution (LMKN) has confirmed that the distribution of royalties based on song usage data, which began to be implemented gradually in June 2026, can run parallel to the Unlogged Performance Allocation (UPA) scheme.
Secretary General of LMKN, M. Bigi Ramadha Putra said that the distribution of UPA was carried out based on the Decree of LMKN Number 001.SK.LMKN.IV.2026 concerning the Distribution of Song and/or Music Royalties for the 2026 Period.
According to Bigi, the UPA allocation was set at 20 percent of the royalties collected from song users who did not submit song usage data to LMKN.
"Because LMKN uses song usage data from radio monitoring, television, and digital platforms as the basis for the royalty distribution formula, UPA is needed to compensate for the possibility of songs being played but not covered in the reference data," said Bigi in an official statement received in Jakarta, Saturday.
He added that the UPA scheme is also applied in various countries. However, the allocation of UPA in Indonesia is relatively larger because the LMKN period 2025-2028 is encouraging the strengthening of the distribution of royalties based on the use of works.
In addition, LMKN reminded the importance of accuracy and updating member data submitted by each LMK because it has a direct impact on the process of calculating and distributing royalties.
"We appeal to every LMK to ensure that the data provided is correct, valid, and accountable so as not to cause obstacles in the distribution of royalties in the future," said Bigi.
LMKN targets that the royalty distribution system in the future will be more accurate, transparent, and based on verified work usage data.
In this case, LMKN also distributes royalties through the UPA scheme for the period July-December 2025 amounting to Rp. 4,627,077,246.
Meanwhile, the distribution of royalties based on the use of songs will be implemented gradually starting in early June 2026.
Bigi explained that of the total distribution, Rp2,234,449,383 was allocated to 10,074 creators and/or copyright holders of members of the Collective Management Institution (LMK).
In addition, Rp1,151,313,932 was distributed to 556 producer members of LMK, while the other Rp1,151,313,932 was distributed to 1,830 performing artists of LMK members.
He explained that the distribution to a number of LMKs is still ongoing, and is at different stages of administration.
For the group of creators and copyright holders, the distribution process is still running at the LMKN level.
LMKN also coordinates with the Indonesian Royalty Award (RAI) and Indonesian Creative Works (KCI) to accelerate the distribution.
Meanwhile, producer groups such as the Indonesian Music License Center (SELMI) and the Indonesian Music Royalty Award (ARMINDO) have submitted distribution invoices. Other LMKs are still in the administrative coordination phase.
In the group of performers, the Performer's Rights Society of Indonesia (PRISINDO), the Protection of Indonesian Singers and Recording Musicians (PAPPRI), SELMI, and Citra Nusa Swara (CNS) are still waiting for the delivery of the distribution invoice, while other LMKs are still undergoing coordination processes.
In an effort to strengthen data-based distribution governance, LMKN also introduced the term "sleeping repertoire" for the repertoire of LMK members, who during two consecutive distribution periods did not appear in song usage data, but still received distribution through the UPA scheme.
"Repertoires that have not appeared in the usage data for two consecutive distribution periods can be categorized as sleeping repertoires," said Bigi.
He explained that the repertoire that falls into this category will no longer be taken into account in the next UPA distribution, if during two consecutive periods there is no verified usage data.
"This policy is implemented to encourage royalty distribution that is increasingly based on actual and measurable use of works," he said.
The English, Chinese, Japanese, Arabic, and French versions are automatically generated by the AI. So there may still be inaccuracies in translating, please always see Indonesian as our main language. (system supported by DigitalSiber.id)
