The music industry in Australia has split over whether controversial elements of the Copyright Act should be changed and a levy imposed on recordable compact discs.

At the heart of the issue is the fact that it is illegal to make personal copies of legally bought CDs in Australia, a situation which 81 percent of music industry respondents to a recent survey thought should be changed.

The Australasian Performing Right Association (APRA) and the Australian Music Publishers Association Ltd (AMPAL) have both come out in support of the idea that the Copyright Act 1968 should be changed to give consumers the right to copy legally-purchased CDs for their private purposes, and to institute a levy on blank CDs that would be distributed back to music creators and copyright owners as compensation. The Australian Recording Industry Association (ARIA) opposes the move.

"Even music industry professionals recognise there is a need to extend private copying rights. It's time to do away with the fiction that private copying is unlawful and doesn't occur, and to support the payment of a built-in royalty through a blank CD levy," said Brett Cottle, the chief executive officer of APRA.

The lobbying process has already begun, with Phil Tripp, managing partner of Immedia - which conducted the survey - already having sent e-mails to all parliamentarians, ministers and the arts ministers of the various states.

"We've instituted a campaign within the music industry this morning to give their views to the government following our lead," Tripp told ZDNet Australia  . He said the two proposals needed to be considered together, rather than separately.

"They should be linked because when you make a change to the copyright act you should compensate the people who are affected by it," said Tripp.

ARIA is opposed to the proposal, which Tripp said was unsurprising as some of its members manufactured blank CDs.

"[Changing the Copyright Act and imposing a levy on blank CDs] is not a position we support," Stephen Peach, the chief executive officer of of ARIA told ZDNet Australia  . "There are better and more sophisticated ways to ensure people are compensated". Peach said the proposal would be difficult to administer in terms of deciding who to distribute the money to -- although several organisations, including APRA, undertake similar activities already.

Peach also pointed out the levy would have to be imposed across a broad range of media, as copies could be made on many forms of digital technology. He also added that a levy of a few cents wouldn't compensate for the investment of the record companies in new talent.

Peach sees promise in the "next-generation" of copy-control technology, such as the ability of files from Apple iTunes to be copied a set number of times. BMG also recently released a new type of CD that could be copied a set number of times, and that feature is included in the price of the CD, according to Peach.

However, he could give no indication of when this technology would be available in Australia, claiming it was a decision for individual companies.

Phil Tripp pointed out that a blank CD levy had been imposed in other countries, including Switzerland, Canada and the US. "You haven't seen howls from other countries that have a levy on blank CDs," he said.

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