In a push to reinvigorate a space industry criticised for being too slow-moving, the UK government has unveiled plans to streamline regulation, simplify satellite launches and adapt to rocket companies of large and small.
The UK Space Agency is proposing an overhaul to the charges for orbital operator licences and to the current one-size-fits-all €60 million liability charge for satellite launches so that insurance and other costs will vary based on the size and specifics of individual missions.
This comes after the UK space industry faced significant industry blowback due to a failed Virgin Orbit mission in January, which saw the UK's space industry labelled as a "disaster" and its regulatory environment as “toxic” for future launches.
In July, a parliamentary committee said there is insufficient coordination between an overly large number of regulatory bodies involved in licensing launches and "unnecessary burdens of complexity and administration" being placed on companies in the space launch sector, including many startups.
In today's announcement, the Space Agency said it was launching a consultation on various potential reforms to the sector, including refunding licence fees for companies that commit to sustainable practices, and proposals for a range of different liabilities and insurance policies.
UK Space Agency chief executive Dr Paul Bate said the consultation is "an important step forward for the space sector as the proposed changes will reduce the risks associated with satellite operations and promote safe and sustainable practices.
"This, in turn, will reduce insurance and regulatory costs for operators, and support our work to catalyse investment into the UK space sector by improving access to finance."
Our CEO @paul_bate recently visited @SaxaVord_Space in Shetland to see how construction of the spaceport is developing. ????️
The kind of satellites SaxaVord will launch are vital for everything from communications to monitoring climate change. ???? pic.twitter.com/bakAbFs1I2
— UK Space Agency (@spacegovuk) September 11, 2023
George Freeman, minister for space at the department for science, innovation and technology, said reforming the regulatory framework will "give responsible satellite operators better licensing, insurance and financing".
He said: "The Space & Satellite sector is delivering huge benefits to us all – from high-speed internet to monitoring climate change – but launching satellites is still too expensive, risky & hard to finance."
In addition to variable liability limits, the consultation also contains proposals for other liabilities and insurance policies including options for alternative insurance models for satellite operators’ third-party liability requirements, insurance for end-of-life and re-entry stages of missions, and a proposal for a variable approach to setting fees for orbital operator licences.
Some of the policy positions the UK government already intends to implement, it said, and others are policy proposals where the UK government is seeking views from consultees over the next 12 weeks.
The industry parley also comes with a vision to establish a space sustainability roadmap out to 2050 and beyond, including support for the Earth & Space Sustainability Initiative (ESSI).
ESSI, an industry-led initiative, is working on developing universal Space Sustainability Principles, standards that are expected to be recognised by the finance and insurance communities and by policymakers around the world.
Joanne Wheeler, director of ESSI, said the ESSI research will provide an understanding of "what space sustainability looks like, how it can be evaluated in an objective way, and what steps can be taken with the finance and insurance communities, industry and stakeholders across the world to promote space sustainability".