A long-running dispute over radio royalty rights in New Zealand has finally been resolved, resulting in a hike in rates.

Ruling on a case originally brought last year by New Zealand neighboring rights collecting society Phonographic Performances (NZ) Ltd (PPNZ) against the county's two major commercial broadcasters, the Radio Network and Radioworks, an independent Copyright Tribunal has ruled in favor of a rise in radio royalty rights.

The retroactive decision will see the royalty rate for the period between Nov. 1 2007 to Oct. 31 2008 increase from 1.75% to 2.6% of a radio station's annual gross revenue. For the period running Nov. 1 2008 through to June 30, 2014, the rate was set at 3%.

Although the increase falls short of the 6% rate the PPNZ had originally sought, managing director Kristin Bowman pronounced herself pleased with the outcome.

"The tariff increases represent a very positive result for the 1,600 New Zealand artist participants in our Recording Artist and Producer Fund and our 59 members, including both local and international labels," she said in a statement.

In setting the new license, the tribunal took into account the current 2.9% royalty rate currently in place between the commercial radio broadcasters and the Australasian Performing Right Association, the changing nature of the broadcasting sector and the value of the airplay to stations.

The new 3% rate applies to exclusively to music stations. For talk-show stations the royalty rate rises from 0.25% to 0.5%. The Radio Broadcasters Association, which represents the major commercial broadcasters, was unavailable for comment.

For PPNZ, the focus will now switch to a review of other licenses including those for clubs and bars, retail stores and sports venues.

The organization plans to put out some draft proposals for industry consultation later this month, with a view to seeking public submissions from July.