The federal government yesterday granted the Nigerian Copyright Commission (NCC) approval to impose levy on materials capable of being used for copyright infringement in a bid to compensate right owners for the loss that they would obviously suffer from the illicit copying of their works.

But there is something strange about that levy to compensate the victims of a supposed “crime” because in simple language it is a tax on blank media that is supposed to compensate copyright holders for a supposed “loss” from copies made for personal use.

Imagine a levy on devices like photocopying machines, MP3 players, digital juke box, mobile phones, CD recorders, DVD recorders, Blu Ray recorders, computer external hard drives, analogue audio recorders, analogue video recorders, personal computers, printing plates, printers/printing machines, radio/TV Sets enabling recording, camcorders and decoders/signal receivers.

Mr. Mohammed Bello Adoke, attorney-general of the federation and minister of Justice who issued the approval said thatthe Copyright (Levy of Materials) Order 2012, permits the implementation of a regime of levy on some materials capable of being used to infringe copyright.

Adoke said that this was granted in accordance with the provisions of Section 40 of the Copyright Act, Cap C28, Laws of the Federation of Nigeria, 2004.

The section empowers the Attorney-General of the Federation to make an order to be published in the official gazette of the Federal republic of Nigeria regarding the payment of levy in respect of any material used or capable of being used to infringe copyright in a work

The approval, conveyed to Mr. Afam Ezekude, director-general of the Nigerian Copyright Commission (NCC), in a letter reference, NCRC/DSD/10/I dated November 15, 2012, allows the Commission to issue the Copyright (Levy of Materials) Order 2012 by publication of same in the official gazette.

Ezekude indicated that the materials regulated by the levy imposed by the new Copyright Order include storage media like audio cassettes, mini discs, CDs, DVDs, Blu-ray, SD memory cards, video cassettes, USB flash drives, I-Pods and photocopying paper.

Others are equipment and devices like photocopying machines, MP3 players, digital juke box, mobile phones, CD recorders, DVD recorders, Blu Ray recorders, computer external hard drives, analogue audio recorders, analogue video recorders, personal computers, printing plates, printers/printing machines, Radio/TV Sets enabling recording, camcorders and decoders/signal receivers.

According to him, the proceeds of the levy would be payable to a special fund to be created by the Commission in line with Section 40(3) of the Copyright Act.

“The Commission is expected to disburse the funds to beneficiaries who are essentially approved collective management organisations (CMOs) subject to retaining 10 per cent of the collected levy for administrative purposes of agencies that would be involved in the implementation of the scheme”, he stated, adding, “The Order also permits the Commission to retain 20 per cent of the fund for anti-piracy purposes; and 10 per cent for promotion of creativity”, he stated.

The director-general noted that the compulsory levy provision was one of the pro-author provisions of the Nigerian Copyright Act, aimed at controlling acts of piracy and copyright abuses such as excessive photocopying and unauthorised reproduction of copyright works being carried out in circumstances that could not be subjected to voluntary licensing by right owners but which activities undermined the legitimate interests of copyright owners.

Ezekude observed that the lot of Nigerian copyright owners has been adversely affected, particularly with the advent of more advanced reproduction technologies which facilitate illicit copying either for commercial exploitation or for unauthorised private use, thereby denying copyright industries and the nation the benefit of maximizing the revenue derivable from these sectors.

“The new Copyright Levy Order is thus informed by the need to compensate right owners for the loss that they would obviously suffer from the illicit copying of their works, and to maintain an acceptable international standard of protection that would ensure the betterment of the lot of authors,” he stated.

“In order to address concerns of legitimate users of materials which are subject to the levy, and other activities which may not undermine the interest of authors, the new Levy Order provides for the Minister (in this case, the Honourable Attorney-General of the Federation) to exempt any class of materials from the payment of any levy. In addition to such exemption, the levy payable under the new Order does not apply to materials manufactured in Nigeria for purposes of export. Similarly, Institutions that represent persons with disability as may be approved by the Minister are also exempted from payment of the levy”, he added.

The director-general who pointed out that the new copyright Order received inputs of relevant stakeholders in the copyright industries, called on copyright stakeholders and relevant agencies of government to partner with the Commission to actualise the new levy Order.

He assured that as Nigeria was being repositioned to reap the gains of the new transformation agenda, through the proposed reform of the Copyright system recently launched by the Commission, the implementation of the Order would strengthen the economic position of creators, encourage investment, generate revenue for government, discourage piracy and other abuses as well as provide incentive for more creativity.

The approval is coming as most governments around the world are rethinking the copyright levy system because of its controversial nature and some are already replacing it with new system of payment of copyright levies that are charged to the government’s general budget.

The amounts paid as compensation are determined taking into account the harm caused to the author.