Select Committee on Trade and Industry Tenth Report


VI. CIVIL/MILITARY OVERLAP IN THE USE OF SPACE

72. Whilst we had decided at the outset not to look at the military use of space, there are some issues arising out of the overlap between civil and military uses of space. UKISC thought that the trend for increasing commonality between civil and military space applications is set to continue in both the Earth observation and telecoms sectors.[216] There is a convergence between civil and military EO missions, both in order to avoid duplication and through declassification and civilianisation of military technology, particularly in the US.[217] BARSC told us that much current EO derives from military intelligence applications, and that the reason there has not been a big take-up in the civilian sector is because in the past there has not been the access to the tools the military had developed.[218] Optical/infrared telescopes and Synthetic Aperture Radars (SARs) which provide all weather day and night imagery are used at high resolution within the military community for space surveillance; lower resolution versions provide the data required by civil users for environmental monitoring and commercial exploitation.[219] Dr Leadbeater of BNSC told us that technologies in space are increasingly being driven from the civil sector: "when we are looking at Galileo or at the technologies in telecommunications and multimedia, those technologies are coming from the civil area ...clearly there will be defence-only technologies but this movement of civil technologies into defence is opening up these areas and making it easier".[220] BIS, however, noted that the degree to which military and civil activities are mixed is unique to the UK and can cause problems with UK relations with ESA which is strictly a civil body. Another problem BIS perceive is one of military concerns altering priorities in civil programmes and hence "the potential erosion of funds from deserving civilian needs".[221]

73. Historically, the UK has worked closely with the US on Earth observation and military communications satellites, leading to the UK's lack of participation in the European military space programmes or such programmes as the French-led Helios. BARSC believed that "the UK's reliance on the USA [for military surveillance] has placed UK space industry at significant disadvantage in comparison with European and US competitors".[222] DERA were of the view that "the UK's special security relationship with the US provides potential opportunities for UK Government and industry in more strategic defence programmes, and DERA's unique status as a MoD agency enables it to provide a pivotal role in this process".[223] Ironically, given the UK's historical links with the US in the field of military use of space, UK industry finds it very difficult to break into the US military space market, despite the ability of US industry to bid for UK military space contracts (such as Skynet). Lord Sainsbury told us that the American market "is not a totally open market" and Dr Hicks went on to elaborate that "the US market is dominated by public funds and American Government funds, where their procurements are not as open as we would like to competition from our companies and from companies in Europe".[224]

Skynet

74. In 1965 the UK joined in Phase 1 of the US Defence Satellite Communication System (DSCS). In November 1969 the first Skynet satellite was launched in co-operation with the US. Skynet is a defence communications satellite system designed to provide a reliable high capacity, long distance communications system, independent of intermediate relay systems and free from deterioration through propagation changes.[225] By 1988 Skynet 4 had been launched, built by British Aerospace and Marconi. The latest Skynet, series 4E, was launched on Ariane 44L on 26 February 1999. The Skynet 4 stage 2 series is due to reach the end of its operational life half way through this decade.[226] A public private partnership approach is being pursued by the MoD for Skynet 5 and two companies, Matra Marconi Space and Lockheed Martin Missiles and Space are undertaking parallel design phase studies.[227] Logica expressed concern that the MoD has invited US industry to bid for the supply of Skynet 5, an invitation not extended to UK industry by the American Department of Defense for its equivalent procurements, and highlighted the impact of MoD's buying decisions on the export potential of British industry.[228] We recommend that, within the framework of the recently agreed US/UK partnership on defence equipment and industrial co-operation, vigorous efforts be made to provide for a level playing field for the US and UK space industry with a presumption in favour of reciprocal removal of barriers to trade.

Defence Evaluation Research Agency (DERA)

  75. DERA told us that their role as a full partner in BNSC ensures that there is synergy between the MoD and BNSC programmes. It also means that DERA's relationship with industry is one of partnership rather than competition.[229] They say that they have the ability to execute, within Government, technical programmes of research, development and procurement support for customers from the defence and civil communities in the UK and overseas.[230] The latest proposals for the partial privatisation of DERA involve the retention in the public sector of certain "core competences" and separation of the rest into a private sector body—'New DERA'.[231] The advice on space technology hitherto given to the BNSC by DERA will presumably come henceforth from "Retained DERA"; much remains to be decided on the details. We assume that the bulk of DERA's operational staff and facilities at Farnborough are likely to be privatised. It is crucial for the future operation of BNSC, given its reliance on DERA for advice and services, that it can be assured that the 'Retained DERA' has the capacity to interpret data from 'New DERA' and that the current strong relationship between BNSC and 'Retained DERA' is maintained. The Government plans in this respect are still very short on detail. The Defence Committee noted in their recent report that "the boundary between undertaking primary research (New-DERA's main role) and pulling together the strands of knowledge from such research (Retained-DERA's role) is ill-defined and permeable.[232] We recommend that the Government take the opportunity of its response to this Report to set out how it is envisaged that the changes in DERA's status and role will impact on UK space policy, and in particular on (a) the availability to BNSC of expert, impartial, and free advice on space technology, and (b) on the extent to which UK firms offering technology potentially in competition with DERA will be able to bid for MoD contracts.

76. The growing convergence in civilian and military applications, not only in EO but also in communications and navigation, means that civilian users are now in a position of equality. It is therefore all the more important that national and multilateral programmes should reflect this commonality in technology and application. It is interesting to note that in 1987, shortly after the formation of BNSC, the House of Lords Select Committee on Science and Technology observed that, amongst those that commented on how well the civil and defence aspects of space activity were integrated, the "majority view was that the two sides had not been well linked in the past and that greater integration was essential".[233] In the review of the role, status and organisation of BNSC which we recommend below, full attention should be given to co-ordination between military and civil applications.[234]


216  Ev, p8, para 35 Back

217  Ev, p30 Back

218  Q101 Back

219  Ev, p145 Back

220  Q312 Back

221  Ev, p109, para 3.7.1 Back

222  Ev, p32, para 15 Back

223  Ev, p144 Back

224  Q308; see also Q310 Back

225  HC629 (Session 1970-71) Ev, p164-5 Back

226  Around 2005. Skynet 4D, E and F are known collectively as Skynet 4 stage 2 Back

227  www.mod.uk/dpa/projects/skynet_5.htm Back

228  Ev, p125 Back

229  Ev, p145 Back

230  Ev, p144 Back

231  See The Future of DERA, Defence Committee, Ninth Report, Session 1999-2000, 7 June 2000, HC462 Back

232  HC462, p, xxii, para 53 Back

233  HL Paper 41-I, p41, para 4.64 Back

234  See para 79 of this Report Back


 
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