Politicians query benefits of US-Australia space launch treaty

The Australian space sector is supporting a new treaty that will clear the regulatory path for American companies to launch space craft from Australia but there are some reservations from the political sphere about the level of local benefit which will derive from it.

The joint parliamentary committee on treaties yesterday held a hearing on the proposed agreement between the Australia and the United States of America on Technology Safeguards Associated with United States Participation in Space Launches from Australia. The pact, signed last October,  would effectively safeguard American intellectual property and strategic interests when using Australia to launch space craft.

And while representatives of the relevant government agencies and the space industry itself are supportive of the deal—essentially a prerequisite to American use of Australian territory—politicians seemed more sceptical.

Chair Josh Wilson (Lab) and Senator David Fawcett (Lib) peppered witnesses with questions about whether Australia gained enough benefit from the deal.

Burns asked government agency representatives from Austrade, the Australian Space Agency and the Department of Foreign Affairs and Trade, “how is it that we can be confident that the TSA will supplement and enhance Australia’s burgeoning space sector as opposed to becoming a substitute or a competitor?” He suggested there was potential for the USA to “take advantage: of Australia.

He also raised the agreement’s creation of “segregated areas” where “essentially the US could operate in the absence of anyone else.”

He added “even the access to that zone is then substantially restricted because of the sensitivity of technology and all those things. There’s nothing in the agreement that has local content requirements or other things that would necessarily mean that either Australian citizens or Australian companies are involved.”

Senator Fawcett later asked whether there would be a co design process and working groups in order “to make sure that it’s not just the State Department dictating to us what will happen on a case by case basis, but we actually have in place a process where we are doing what is in the nation’s interest in terms of our whole of life cycle capability for space.”

Australian Space Agency GM space policy Christopher Hewett said “In simple terms, the agreement is required by the United States to ensure that US space technology will be protected in Australia, which in turn, will enable US companies, government organisations and universities to undertake commercial spaceflight activities in Australia. Australia has negotiated an agreement that strikes the right balance between protecting sensitive US technology while unlocking benefits for Australia. It does not impede the development of an Australian launch capability.” Hewett also pointed out that the US had negotiated a similar agreement with New Zealand and was in negotiations with Japan.

“This highlights both the importance of partnering with the US on spaceflight, but also, the need for Australia to move quickly to capitalise on opportunities under the TSA if we are to grow a global and resilient spaceflight industry,” he said.

Space Industry Association of Australia chair Jeremy Hallett was even blunter. The agreement “offered no surprises around the constraints it called for in terms of technology protection around the segregated areas and the requirements for that technology to be protected. It’s similar to what’s in other TSAs and it’s what we would expect from the way that the US elects to protect its missile trade technology control regime, category one technology. None of that is a surprise to us.”

“Also, not a surprise is that the TSA is not a technology-sharing or collaboration or manufacturing partnership agreement. It’s not a trade agreement. It was never pitched to us as such,” he added.

“By and large, it’s a positive thing and I’ll leave you with the simple fact in my opening statement that without the TSA, it’s tantamount to impossible to conduct space flight of US technology in Australia,” Hallett said. “So at least with a TSA, whatever constraints are placed on those activities, they do become possible, which is a net benefit to Australia.”

Equatorial Launch Australia CEO Michael Jones told the committee of the opportunities that had opened up to his company since the signing of the agreement last October. “We have seen, particularly since the signing of the TSA in October last year, a massive uptick in interest of US companies either coming to launch with us or engaging us to do services for them,” Jones said. “Now, like everything commercially, if we didn’t stack up or our technology wasn’t good enough or our price isn’t right, they wouldn’t be dealing with us just because of the TSA. But it has certainly removed a mental block from US companies saying that they come here. And it’s interesting on both sides of the fence, we have European launchers who, they’ve read in detail our TSA draft and going, Can we use your US payloads on our rockets? And that’s something they’re really interested in.”

However, there did remain some outstanding issues. Hallett noted that some of the definitions in the agreement were broad and may clash or contradict those in other agreements such as those in the AUKUS arena. And Jones suggested that the TSA was not, in itself, a panacea, noting that he needed 32 separate regulatory approvals in Australia, including with state governments and marine park authorities, to conduct a launch. “This has to do with explosive ordnance, transfer of dangerous goods, carriage of fuels and oils and lubricants, etc. It is quite a big process and we just wanted to make sure that our voice as an industry player was, don’t go and make rules about us that we have to jump through later on that are going to be a bigger impediment to us moving forward.”

Jones believes that the deal would help lead to a scenario by 2028-9 where his company may be making 75 to 80 launches a year. And Hallett pointed out that the agreement facilitated four, not one, new sectors. “One is orbital launches, second is suborbital launches, third is the testing of hypersonics glide vehicles, which are often boosted on a rocket before taking flight, and the fourth is returns, which is spacecraft coming back to earth,” he said.

Grahame Lynch, Commsday

Australasia Satellite Forum 2024

Contact: kfrench@talksatellite.com

Fullerton Hotel, Sydney
3-4 June 2024
TWO FULL DAYS - Where Satellite Leaders Speak!
Over 50 Top Quality Speakers

EarlyBird Registration >>>

Fullerton Hotel, Sydney
3  & 4 June 2024
SAVE THE DATE