India’s space economy, coordination and governance
Vikas Mishra
Space-based services support the world’s defence forces with secure communication, space-based situational awareness in near real-time like Positioning, Navigation and Timing (PNT) systems and scientific discoveries and environmental monitoring and have great potential to benefit all mankind.
Rapid advancements in space technology have opened up new avenues for its application and at the same time, there is the danger of a few nations monopolising these applications or services, resulting in greater inequalities and injustice among nations. A race to weaponise space has already started and its impact on a nation’s security is inevitable. The protection of strategic space assets is of great concern for any nation and need to be looked at with a new perspective or strategy. The day is not far when the next war would spread across all domains of land, sea, air, cyber and space as the ‘ultimate high ground.’ Taking a multi-domain perspective, the domains can be viewed as one ecosystem.
Indian Space Policy-2023
One thing that separates outer space from other domains is that any space asset sent into outer space can influence the globe within minutes after being placed in orbit. Space laws and regulations are required for maintaining space discipline, coordination among all stakeholders and governance, rather than laying restrictions on optimum utilisation of space-based services, and promoting the business globally and collaborating with any government or private players like SpaceX/startups in the space domain.
Our country has three verticals with an aim to promote India’s military civil fusion to the space program as per Indian Space Policy 2023 civilian led by ISRO, commercial led by the Indian National Space Promotion and Authorisation Centre (IN-SPACe) and armed forces led by the incumbent Defence Space Agency (DSA). The fusion of civil and armed forces under one roof through the creation of IN-SPACe and DSA is an important step towards liberalisation of the Indian space economy, at the same time focusing on the security requirements of armed forces.
The government has approved the ISP 2023 to boost private sector participation from vendor to OEM and increase investments in the space sector from private companies and MSMEs. To augment space capabilities, enable, encourage and develop an ecosystem for a commercial presence in space. The Indian Space Policy 2023 opens the Indian space sector to private players and establishes two new bodies, namely New Space India Limited (NSIL) and IN-SPACe (refer figure 1, Image Source-PIB), with clear delineation of the Indian Space Research Organisation's ISRO's as a solely research and development body. While the IN-SPACe is meant to act as a single window clearance and authorisation body for space launches (by private parties), the NSIL is a public sector undertaking responsible for commercialising space technologies. The Space Policy makes the Department of Space responsible for overseeing its implementation and creating a mechanism for the resolution of space disputes without any statutory power.
The policy will provide a strategic roadmap for the growth and development of India’s space program, to promote innovation, technological advancements and international cooperation and to ensure national security in the space domain. The vision of the Indian Space Policy 2023 is to ‘enable, encourage and develop a flourishing commercial presence in space’ which suggests an acceptance that the private sector and MSMEs are important stakeholders or pillars in the entire ecosystem of the dawn of the Indian space economy. The stakeholders are:
ISRO: The Indian Space Research Organisation was established in 1969 with Vikram Sarabhai as its founding head. Headquartered in Bengaluru, its parent organisation is the Space Commission. ISRO is the national space agency of India, operating under the Department of Space.
IN-SPACe: It acts as a single-point interface between ISRO and everyone who wants to participate in space-related activities or use India’s space resources.
NSIL: The probable charter of New Space India Limited is to commercialise and use research and development carried out by ISRO over the years through Indian industry partners, such as the MSMEs, as well as to promote startups by creating space ecosystem.
The Indian space sector is among the top priorities of the government of India. Multiple startups and private space companies are seeking to enhance the space sector opportunities, which are expected to see a steep rise in private launch vehicles and low-cost satellite manufacturers entering the global and domestic space market. The probable strategy and vision of the Indian space sector as per Indian Space Policy 2023 is elaborated in figure 2.
India’s Space Laws
India currently lacks any space-related legislation. Only a few laws and regulations, such as the Indian Space Research Organisation (ISRO) Act of 1969 and the National Remote Sensing Centre (NRSC) Guidelines of 2011, regulate space-related operations. However, more rules and regulations are essential to control India’s expanding space sector as a matured regional or global space power.
ISRO has made huge strides in space technology and put India on the world map as an important and trusted partner in the space domain, by virtue of its cost-effective satellite launches and space-based services. Authorisation, contracts, dispute resolution, licencing, data processing and distribution related to earth observation services or applications, transfer of space technology or remote sensing to private players or startups, insurance, legal difficulties related to launch services by private players, manufacturing of satellites or allied services, are just a few of the topics that need to be discussed. The necessary statutory bodies and laws need to be amended or promulgated to incorporate space law-related matters into domestic laws under the statutory legal framework to deal with these issues. The following provisions are currently in place:
- The Satellite Communication Policy 1997 is aimed at developing the satellite communications service industry and domestically developing ground equipment. This was one of the primary space policies in India post-liberalisation that sought to invite and regulate foreign direct investment in satellite communications.
- The Revised Remote Sensing Data Policy 2011 was initially introduced in 2001 and modified in 2011 to govern the collection and transmission of satellite remote sensing data by private players, either from an Indian or foreign satellite.
- The ISRO’s Technology Transfer Policy establishes a system of transferring technology created by the DOS.
- The National Geospatial Policy 2016 is aimed at developing geospatial infrastructure, skills and capabilities, as well as easing access to geospatial data to improve citizens' lives and enable private business activities.
Legal Framework For Space
India with its vast experience in the space domain and credible launch record has stabilised itself as a prospective player in the global commercial space sector by virtue of its cost-effective satellite launches and space-based services. However, countries like the United States (US), Russia, China and France have privatised their space market by offering launch services, thereby yielding exponential returns. The Indian space market is in transition from being a controlled sector to an open sector. India is a signatory to all the conventions and treaties which form the main corpus of international law on outer space.
With the successful launch trajectory of ISRO and policy support from the government and private sector, India’s space economy could reach USD 40 billion by 2040. The opening up of the space economy to private participation across all phases of activities including sharing of ISRO’s testing facilities, transfer of satellite and launch technology etc., a positive ecosystem for new startups and opportunities for FDI in the sector which can support the economy and significantly contribute in the GDP of the country. Owing to policy uncertainties, India needs comprehensive space legislation to attract and sustain investor confidence. India could take a giant leap in the space domain by strengthening its regulatory framework and has great potential to become a major matured regional or global space power.
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