Europe turns to private enterprise for future space transportation
Capitalism in space: The European Space Agency (ESA) has announced a permanently open call for private companies to develop “space transportation to space, in space, returning from space, or any combination of these.”
To be eligible, the economic operator should demonstrate that its space transportation service is a ‘complete offering’. This means that customers should not need to procure any additional essential service elements such as access to facilities, transport or logistics, to obtain the full service.
The economic operator should take full responsibility for the service project, including finding the funding and resources necessary to develop and deploy the service.
The new space transportation services should justify commercial viability, oriented toward private sector customers, without relying on a guaranteed European institutional demand during the operational phase and with a long-term vision of service provision. Preference will be given to such service projects that are conceived, developed and commercialised in the Participating States.
Though the announcement is filled with the typical hard-to-translate bureaucratic language typical of ESA’s projects, the intent here seems clear. The ESA no longer wishes to do any designing and developing of its rockets, as they have done from the beginning of the space age. This also means they are facing the reality that the Ariane 6 rocket, developed for them by the joint partnership of Airbus and Safran dubbed ArianeGroup, is going to be a financial failure, unable to compete against the lower cost SpaceX and Russian rockets now on the market.
Instead, they are now following what appears to be NASA’s path — the path I outlined in Capitalism in Space — to have ESA act merely as a customer, buying these services from competing private companies (not just ArianeGroup) who will develop the rockets themselves and (most important) own the rockets themselves.
If this is so, it is very good new for the future of space travel. It ups the competition, and it will allow for the development of European rockets able to provide this service at low cost.
The one wrench in the process is that this announcement also includes a bidding process for allowing these new private companies to get development money and technical assistance from ESA. That process appears to have some strings attached that might in the end prevent competing private companies to grow, independent of this governmental body. For example, the submission process allows “ESA to check compliance with Programme objectives and general eligibility. After a positive assessment, ESA will invite the economic operator to submit a full service proposal.” In other words, if you want ESA’s help, you will have to have ESA’s stamp of approval.
Still, this proposal does not require ESA’s help. The agency does appear to be willing to now entertain the use of any rocket system developed by any private operators within the participating ESA’s member nations of Germany, Italy, Norway, Portugal, Romania, Sweden and the United Kingdom.
Capitalism in space: The European Space Agency (ESA) has announced a permanently open call for private companies to develop “space transportation to space, in space, returning from space, or any combination of these.”
To be eligible, the economic operator should demonstrate that its space transportation service is a ‘complete offering’. This means that customers should not need to procure any additional essential service elements such as access to facilities, transport or logistics, to obtain the full service.
The economic operator should take full responsibility for the service project, including finding the funding and resources necessary to develop and deploy the service.
The new space transportation services should justify commercial viability, oriented toward private sector customers, without relying on a guaranteed European institutional demand during the operational phase and with a long-term vision of service provision. Preference will be given to such service projects that are conceived, developed and commercialised in the Participating States.
Though the announcement is filled with the typical hard-to-translate bureaucratic language typical of ESA’s projects, the intent here seems clear. The ESA no longer wishes to do any designing and developing of its rockets, as they have done from the beginning of the space age. This also means they are facing the reality that the Ariane 6 rocket, developed for them by the joint partnership of Airbus and Safran dubbed ArianeGroup, is going to be a financial failure, unable to compete against the lower cost SpaceX and Russian rockets now on the market.
Instead, they are now following what appears to be NASA’s path — the path I outlined in Capitalism in Space — to have ESA act merely as a customer, buying these services from competing private companies (not just ArianeGroup) who will develop the rockets themselves and (most important) own the rockets themselves.
If this is so, it is very good new for the future of space travel. It ups the competition, and it will allow for the development of European rockets able to provide this service at low cost.
The one wrench in the process is that this announcement also includes a bidding process for allowing these new private companies to get development money and technical assistance from ESA. That process appears to have some strings attached that might in the end prevent competing private companies to grow, independent of this governmental body. For example, the submission process allows “ESA to check compliance with Programme objectives and general eligibility. After a positive assessment, ESA will invite the economic operator to submit a full service proposal.” In other words, if you want ESA’s help, you will have to have ESA’s stamp of approval.
Still, this proposal does not require ESA’s help. The agency does appear to be willing to now entertain the use of any rocket system developed by any private operators within the participating ESA’s member nations of Germany, Italy, Norway, Portugal, Romania, Sweden and the United Kingdom.