Rwanda: Can Rwanda Turn the Tide On Music Royalties?

The global recorded music market was worth $28.6 billion in 2023, a 10.2 per cent growth year-on-year. Despite Africa registering the fastest growth at 24.7 per cent, it still accounts for a tiny portion of the global music market, according to the International Federation of Phonographic Institute (IFPI).

In Rwanda, only Rwf55 million was generated and distributed from royalties between 2019 and 2022, according to the Rwanda Society of Authors (RSAU), which manages the collection of royalties in the country.

This was confirmed by the Chief Executive Officer of RSAU, Jean de Dieu Turinimana, in an exclusive interview with The New Times.

He revealed the collected royalties is the only amount that has been distributed locally and internationally since the Rwanda Development Board (RDB) approved a tariff that requires anyone who commercially exploits any artistic product to pay royalties.

According to the tariff, media houses, night clubs, hotels and many other businesses that use music for commercial purposes should be charged between Rwf300,000 and Rwf4 million per year.

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"In 2019 we distributed Rwf10 million for local artists, Rwf22 million in 2021 and Rwf23 million in 2022," Turinimana said, adding that RSAU collects royalties using WIPOConnect software from the United Nations World Intellectual Property Organization.

The money, he says, is distributed to 613 active local members registered under RSAU, and has all been generated from a few loyal clients like Radisson Blu hotel, Lemigo hotel, MTN Rwanda and Kiss Fm, among a few other companies that have adopted the culture of paying royalties over time.

The New Times also understands that in 2021, over Rwf18 million worth of royalties was collected in Rwanda, and according to RSAU reports, the money was distributed to more than 700 international artistes and only 290 local musicians.

The outlook

RSAU did not collect or distribute royalties in 2020 because of the outbreak of covid-19 pandemic which halted all entertainment events in the country.

The association did not also distribute royalties in 2023. They were upgrading the technology used in licensing and distribution of royalties with the help of WIPO. This was done to ensure transparency and professionalism in the collective management system.

RSAU also collects copyrighted works used on the territory of Rwanda for foreign artists as per Berne Convention and reciprocal agreements with sister societies.

Turinimana explained that the association is collecting little money mostly because of some companies, especially media houses, that deliberately refused to pay royalties.

"Another big challenge is having many different offices in charge of implementing copyrights. This makes it difficult to implement copyrights management and royalties collection," he said.

The good news, according to Turinimana, is that a new draft law on intellectual property protection, which proposes a number of changes to address the current gaps in the area, has passed through parliament.

Once approved by the cabinet, the law will allow for one intellectual property office to regulate copyrights management, a move that RSAU boss believes would harmonize royalties' collection and help Rwandan artistes earn more from their art.

"With the new law, a lot will be improved and Rwandan artistes will be able to collect more royalties," he noted.

Asked about the penalties for neglecting to pay royalties in Rwanda, Turinamana indicated that the association can sue major copyright infringers but other enforcement measures can be taken by enforcement bodies such as confiscation of tools used to infringe on copyrights.

Artistes demand better

For Intore Tuyisenge, President of the Rwanda Music Federation, many musicians through the federation, filed cases at Rwanda Investigation Bureau (RIB) against consumers of local music who refused to pay royalties, but justice was not served.

This, according to him, is due to several local broadcasters who threatened to stop playing songs of local musicians after they were required to pay royalties and the same difficulties still apply today.

"Rwandan musicians should first understand that any of their works used for commercial purposes should generate royalties. Another thing, RURA requires media houses to use 75% made in Rwanda content, and this is a clear proof that Rwandan music has rights to be streamed locally," Tuyisenge highlighted.

ALSO READ: Media owners threaten to stop playing local music amid royalties saga

Tuyisenge pointed to RSAU's weakness in its royalties' collection and distribution strategy, saying it is the reason why many local musicians refuse to register with the association.

"Even the little money collected, we don't know how RSAU distributes it to artists. It has been a year since they distributed royalties. We are also aware that they allocate money collected from telecom companies, not all businesses that pay music rights," claims the music federation's president.

RSAU, however, has denied the allegations, saying it distributes the money collected from different users who pay royalties, not only money collected from MTN, which is the only telecommunication company that pays for music rights in Rwanda, but also other paying organisations.

Tuyisenge noted that refusal to pay royalties is damaging Rwanda's music industry and hindering its growth, after musicians fail to generate resources that would help them produce high quality products that can compete on international markets.

In a recent interview with The New Times, Mani Martin, a local artiste, lamented that all Rwandan musicians must collectively understand that copyright is a big component of human rights as it was suggested by the Universal Declaration of Human Rights by the United Nations.

He believes that the major problem remains resistance from some of the users who are so used to benefit from artists' work without considering their moral and economic rights that come with it.

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"My personal experience with this was back in 2019 when I realized that my music was being secretly being banned from some of the media houses after I became a strong advocate of copyright and artists royalties," said the 'Destiny' hit maker.

Despite being registered with the Rwanda Society of Authors like many other fellow artists, Mani Martin also doesn't have a clear picture of how royalties' collection and distribution process works in Rwanda.

Awareness is critical

According to Bille Ekongolo Mats, a Kigali-based Cameroonian copyright lawyer, the major problem in Rwanda is artists not being aware of their rights.

"When it comes to copyrights, Rwandan artistes are not even aware of the fact that they have ownership on their material, and that anytime a song is broadcasted on TV or radio, they have the rights to get paid," he told this publication.

Despite the artistes' lack of awareness about copyrights, Ekangolo said that there are also some who are scared of not being played by the media and clubs, which is a big threat to the growth of the local music industry.

"I would advise all artistes to use the law once parties involved don't value the economic worth of art and protection. There is always a way," Ekangolo noted.

The penalties of failing to comply with the law are also unclear. However, legal experts say one can be charged under either article 383 of the penal code on communication of work.

According to article 383, any broadcasting organization or communication company by means of radio electrical waves communicates a protected work, without prior authorisation of right's owner or his/her rightful claimants, shall be liable of a fine of five hundred thousand (500,000) to one million (1,000,000) Rwandan francs.

Enforcing copyrights rules holds potential to elevate Rwanda's music industry, which is already on the positive growth trajectory.

Rwanda's digital music market alone is expected to generate a revenue of €43,770,000 in 2024, with streaming projected to be the largest segment with a market volume of €35,130,000 in the same year, according to Statista, a data gathering platform.

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