India’s government finalizes deal to transfer operation of its SSLV rocket to a private company
India’s government and its various space agencies yesterday finalized its deal with the Indian company Hindustan Aeronautics Limited (HAL) to take over the manufacture and operation of its government-designed SSLV rocket (Small Satellite Launch Vehicle) for the next decade.
Under the technology transfer contract that HAL signed with ISRO, Indian National Space Promotion and Authorisation Centre (IN-SPACe) and NewSpace India Limited (NSIL), the aviation major will absorb the technology in the first two years, which will be followed by a 10-year production phase. The agreement grants HAL a non-exclusive, non-transferable license to the SSLV technology, which includes comprehensive design, manufacturing, quality control, integration, launch operations, and post-flight analysis documentation, as well as training and support. HAL will be responsible for the mass production of SSLV to meet Indian and global demands,” the company says in a statement.
Initially the Modi government had implied the transfer would involve ownership of the rocket by the private company, so that it could market the rocket for profit. The actual deal does not do this. Instead, it gives HAL the responsibility to manufacture and operate the rocket, but it appears sales and ownership will still be under the control of India’s space agency ISRO. If this is correct, the deal accomplishes less than nothing, and in fact simply adds another player in the game, making the SSLV rocket less competitive in the international market.
Then again, the Modi government might see this deal as just a first step in the transition from a government-run space program to a competitive independent space industry. It needs to wrest control from ISRO, and this can’t be done politically in one fell swoop.
To me however this deal for HAL is a bad one. It now has the responsibility for making and launching the rocket, but none of the benefits.
India’s government and its various space agencies yesterday finalized its deal with the Indian company Hindustan Aeronautics Limited (HAL) to take over the manufacture and operation of its government-designed SSLV rocket (Small Satellite Launch Vehicle) for the next decade.
Under the technology transfer contract that HAL signed with ISRO, Indian National Space Promotion and Authorisation Centre (IN-SPACe) and NewSpace India Limited (NSIL), the aviation major will absorb the technology in the first two years, which will be followed by a 10-year production phase. The agreement grants HAL a non-exclusive, non-transferable license to the SSLV technology, which includes comprehensive design, manufacturing, quality control, integration, launch operations, and post-flight analysis documentation, as well as training and support. HAL will be responsible for the mass production of SSLV to meet Indian and global demands,” the company says in a statement.
Initially the Modi government had implied the transfer would involve ownership of the rocket by the private company, so that it could market the rocket for profit. The actual deal does not do this. Instead, it gives HAL the responsibility to manufacture and operate the rocket, but it appears sales and ownership will still be under the control of India’s space agency ISRO. If this is correct, the deal accomplishes less than nothing, and in fact simply adds another player in the game, making the SSLV rocket less competitive in the international market.
Then again, the Modi government might see this deal as just a first step in the transition from a government-run space program to a competitive independent space industry. It needs to wrest control from ISRO, and this can’t be done politically in one fell swoop.
To me however this deal for HAL is a bad one. It now has the responsibility for making and launching the rocket, but none of the benefits.
