Tech-Neutral Private Copying Levy

For over 20 years, ACTRA RACS has been a trusted source of distributing royalties to performers. Over this period, we’ve seen the private copy payments associated with the federal levy diminish dramatically and deprive performers of their hard-earned income. 

Introduced by the federal government in 1997, the Private Copying Levy applies a rate of $0.29 per CD-R. Its goal is to remunerate artists for the use of their work, allowing Canadians to reproduce music onto audio recording media for private use, anytime, anywhere. In return rights-holders—such as recording artists, songwriters, composers, music publishers, and labels—receive a small royalty, otherwise known as a “levy,” whenever a business sells a product capable of storing music. 

Many of these copies come from authorized download and streaming services, but research shows that Canadians also make billions of unlicensed copies on their phones and tablets—with no royalties being paid. Why not? Shouldn’t every copy count? As technology continues to make copying music easier for consumers, it often leaves music rights holders unable to fully authorize, prohibit, or monetize those copies.” 

As a result, creators aren’t compensated for the duplications made onto these technologies. With the Copyright Act not keeping pace with technological advancement, it’s the rights holders who bear the cost. 

Musicians know better than anyone that every stream of income from copyrighted music is essential to make a living from their creative output. They earn royalties, for example, when their work is recorded, streamed, or performed at a festival. We believe that artists should also be compensated when people make copies for personal use—such as playlists for offline listening. 

ACTRA RACS, in partnership with Canadian Private Copying Collective (CPCC), advocate for a Tech-Neutral Private Copying Levy. This requires updating the Copyright Act to extend the definition of Private Copying Levy to include current technologies used for private music copies.  

Globally, private copying levies generated over $100 million for performers in 2023 alone, but Canada is falling well behind. A levy of just $3 on the sale of phones and tablets could generate $40 million annually in royalties. These revenues would flow to songwriters, composers, music publishers, recording artists, musicians, and record companies—providing crucial remuneration for performers to continue making music.