Music License for Bars and Clubs in Bali: 2025 Updates

Public performance of music in Indonesia is governed by copyright law. Owners of bars, restaurants, nightclubs, and other venues in Bali are required to comply with licensing requirements when hosting music events. This article provides up-to-date information for 2025 on what licenses are needed for the legal use of music, how much it costs, how noise regulations are enforced, and what the consequences are for violations.

Music Copyright in Indonesia: How It Works

According to Law No. 28 of 2014 on Copyright, any commercial use of musical compositions—whether live performances, DJ sets, karaoke, or background music—requires prior authorization from the copyright holders. In practice, businesses enter into agreements with collective management organizations representing the interests of musicians, producers, and labels.

Who Issues the Music License

Legal use of music in Indonesia is managed through collective management organizations (CMOs). The most active among them is:

WAMI (Wahana Musik Indonesia) — authorized to collect licensing fees and distribute them to both Indonesian and international copyright holders. WAMI collaborates with international organizations such as ASCAP, BMI, and PRS, enabling coverage of foreign repertoires as well.

Signing an agreement with WAMI is a mandatory step for venue owners who use music for commercial purposes.

How Much a Music License Costs for a Venue

The cost of a music license depends on several factors and is calculated individually. WAMI updated its pricing in 2025. Key parameters influencing the cost include:

Type of business — bar, restaurant, nightclub
Size of the area where music is played
Frequency and format — background music, DJ sets, live performances, etc.
Operating hours — days of the week, event duration

According to WAMI, as of 2025, a license for a small bar costs between IDR 2 to 6 million per year (approximately $130–400). For large clubs with live music stages operating seven days a week, the fee can be significantly higher.

Risks of Operating Without a License: Sanctions and Inspections

Using copyrighted music without proper licensing can lead to both administrative and criminal penalties. Key risks include:

Financial Penalties

Fines of up to IDR 500 million (around $33,000) under Law No. 28/2014

Criminal Liability

Up to 3 years imprisonment for proven willful infringement

Claims from Rights Holders

Legal action by musicians and producers
Requirement to pay compensation for each instance of unauthorized use

Since 2024, WAMI has increased enforcement in Bali’s tourist hotspots: Seminyak, Kuta, Canggu, and Uluwatu. Inspections are carried out randomly and often in cooperation with local authorities.

Additional Licenses and Taxes for Music-Related Businesses

A music license is just one of the required permits. Venue owners also need to obtain:

SIUP — Business Trading License
TDUP — Tourism Business Registration
NPWP — Tax ID Number (required for paying PPh 21, PPh 23, and other taxes)

All these documents can be processed through the OSS (Online Single Submission) system — Indonesia’s centralized business registration platform.

Venue Noise Regulations: What’s Enforced in Bali

Bali enforces local Perda regulations to control noise levels in residential areas, especially after 10:00 PM. This is particularly relevant for venues located near housing complexes.

Key rules include:

Maximum 70 dB during the day, 55 dB at night
Music must not interfere with residents’ rest
Violations may lead to complaints, temporary closure, or license revocation

In mixed-use areas like Canggu and Ubud, noise inspections are especially frequent. Music venues are advised to install soundproofing and monitor volume levels using decibel meters.

Recommendations for Bar, Club, and Restaurant Owners

To use music legally and avoid issues with authorities, you must:

Sign an official agreement with WAMI
Pay the license fee covering all music formats used
Obtain necessary business permits via OSS
Adhere to noise level regulations, especially at night
Regularly pay taxes: PPh 21, PPh 23, VAT, and other applicable local taxes

It’s also recommended to keep copies of all licenses on-site — in the event of an inspection, this helps prove compliance quickly.

Conclusion: Why Licensing Is a Necessity, Not a Formality

Legally using music not only protects your business from fines and enhances your reputation but also supports the artists and the wider industry. If music is a key part of your venue’s atmosphere, don’t delay in obtaining the necessary licenses.

Benefits of Licensed Music Use:

Peace of Mind — reduced risk from complaints and inspections
Brand Image — supporting artists' rights builds trust
Flexibility — access to both local and international music content

Before playing music at your venue, consult a legal expert or reach out directly to WAMI. Proper copyright licensing is a foundational part of running a responsible business in Bali.