A government audit has found that the fees that SpaceX charges for its Dragon cargo missions to ISS will rise as much as 50%, and the cause of that price rise is almost entirely due to NASA redesign demands.

[T]he auditors pinned much of the blame on NASA for the increase. They also emphasized that the program still seems like a good deal for lowering launch costs. Auditors cited NASA for missing opportunities to cut redundancies and bargain on pricing, and noted that the agency forced SpaceX to (expensively) redesign its Dragon spaceship from the bottom up.

The report did hint, however, that SpaceX has done some reckoning as the startup has matured. “[SpaceX] also indicated that their CRS-2 pricing reflected a better understanding of the costs involved after several years of experience with cargo resupply missions,” the auditors wrote. (A SpaceX representative declined to comment on the report.)

None of this is a surprise. There are factions in NASA that have been working for the past decade to stymie or defeat the arrival of privately built and owned spacecraft like Dragon, as it makes the NASA-built spacecraft like Orion look bad. By demanding redesigns that raise the cost for Dragon, these factions gain ammunition to attack it. I guarantee we will see op-eds doing exactly that in the next year.

No matter. In the end the private market still does it better and cheaper than the government, as the audit found.

Despite the cost increases, the report ultimately called the CRS contracts with private companies “positive steps” for NASA — especially since the agency could find discounts by launching cargo on used SpaceX Falcon 9 rocket boosters. “NASA’s continued commitment to the commercial space industry also helps spur innovations in the commercial launch vehicle market,” the auditors said.