How the new community radio license works
Together with IFPI Sweden, STIM has developed a new license that includes all the rights your community radio association needs to play music. The new agreement was negotiated with NRO and came into force on 1 January 2024.
What is meant by a “one‑stop‑shop license”?
The license provided by the new agreement is a co‑licensing arrangement with IFPI/SAMI. This means that all necessary music rights for broadcasting community radio are included in one single license for you. In addition, web radio streaming is included at no extra cost provided it is simultaneous with the over‑the‑air broadcast. What you previously needed three licenses for is now just one license!
How does the transition from the current license to the new license work?
In a first step we inform all community radio associations with current licenses (STIM and IFPI/SAMI) about the new agreement, including prices and terms, which take effect on 1 January 2024. In the next step we will send instructions by e‑mail on how a community radio association signs the new one‑stop‑shop license. Keep an eye on your inbox in the coming period.
We have already paid for a web radio license covering 2024; what do we do now that we understand it will be included at no extra cost in the new agreement?
If that is the case, we will credit the invoice that concerns web radio (2024) when you sign the new license.
We do not know how many music hours we will broadcast next year; how do we obtain a new license?
You should state the number of music hours you normally use during a year or make a reasonable estimate. It may be easier to look at the number of music hours broadcast in a month and then multiply by 12, or do whatever you find best. Since invoicing will be done in advance and quarterly, there is some possibility to adjust the price parameter 'number of music hours' for quarters that have not yet occurred.
We have previously reported retrospectively and stated the number of music hours broadcast; how do we do now?
A few community radio associations have had retrospective reporting. We now want to gather all community radio associations under the same payment terms and have agreed on the license type advance payment together with quarterly invoicing. We believe this change will simplify your administration; that is, you will no longer need to report to STIM and IFPI. However, to sign the new license you must either use the number of music hours broadcast in the most recent year or make an estimate of how many music hours you intend to broadcast. (See also answer 3)
What happens if there is a change during the year in my community radio association so that we want to broadcast more or fewer music hours than we stated when we signed the license?
It will be possible to adjust the price parameter 'number of music hours' for quarters that have not yet occurred, just like for STIM's other general licenses. (See further at STIM's general terms)
How is the license price calculated?
There are two parameters that determine the license price. First, the number of broadcast music hours per year and second the number of potential listeners.
The license price varies from 1.56 kr to 1.09 kr depending on the number of music hours broadcast. The price is therefore variable and is stated as a price per music hour and per thousand inhabitants.
Standard deduction for smaller localities
For localities with fewer than 214,000 inhabitants a standard deduction of 30 percent is applied to the number of potential listeners.
This is how the license price is calculated
License price = (price per music hour) x potential listeners (in thousands) x 0.7 (30% standard deduction)
Example
A community radio association broadcasts in a locality with 125,000 potential listeners (population according to SCB in the relevant municipality/municipalities). They broadcast 350 music hours per year.
((1.55 x 250) + (1.43 x 100)) x 125 x 0.7 = 530.5 x 125 x 0.7 = 46,418.75 = 46,419 kr per year => 3,868 kr/month (excl. VAT)
Cap for larger localities
For localities with more than 214,000 inhabitants a “cap” of 150,000 potential listeners is applied.
This is how the license price is calculated
License price = (price per music hour) x 150 (cap in thousands)
Example
382,000 potential listeners and 1,850 music hours,
((1.55 x 250) + (1.43 x 250) + (1.31 x 500) + (1.09 x 850)) x 150 = 2,326.5 x 150 = 348,975 kr per year => 29,081 kr/month (excl. VAT)
Prices and terms
The pricing model, as before, is a tiered scale with four levels. The price is presented excluding VAT here.
If you have other questions, do not hesitate to contact our customer service.