Saturday 25 July 2020

Indian Space Sector: Recent Developments

 
 Audio Version Given Below
 


India has come a long way in its space journey. We launched the first rocket ( a US-made Nike-Apache sounding rocket) in November 1963. Its parts were transported on bicycles and it was launched from a small church in Kerala. About fifty years later, India successfully launched ‘Mangalyan’, the Mars orbiter mission in the first attempt in 2014. India was the first country to do so. In 2017, ISRO (Indian Space Research Organization) created history by launching 104 satellites in one go using PSLV. Out of this, 101 satellites were from foreign countries (including 96 from the US).

On 24 June 2020 India allowed the private sector to participate in India's space program.
In this article, I will try to discuss the same and other recent developments in the Indian space sector.


Opening of the space sector to private players

History: The first step towards India’s space program was setting up of INCOSPAR (Indian National Committee for Space Research) in 1962 under the leadership of Vikram Sarabhai. He is considered the father of India’s space program. INCOSPAR was succeeded by ISRO (Indian Space Research Organization) in August 1969.

Current status: Till now ISRO, through its commercial arms Antrix and NSIL (discussed below), is engaged in operational as well as R&D activities of satellite and launch vehicle building, launching and developing satellite applications. The private sector is only used as a supplier of parts for these activities.

New reforms: Government of India has approved following new reforms in the space sector on 24th June 2020.
      i.          Enabling the private sector to carry out end to end space activities: It means all non-government entities, big or small (including startups) can build satellites, rockets, own satellites and provide space-based services (for example for weather forecast etc.) on a commercial basis.
    ii.          Private players can also conduct research and development and be part of ISRO’s interplanetary missions. Human spaceflight program has already been announced under the same.

IN-SPACE: Space is a regulated sector due to its importance and security for India. To enable private participation and ease of doing business in space sector cost-efficiently, GoI has proposed to set up a nodal agency called Indian National Space Promotion and Authorization Center (IN-SPACE).
IN-SPACE will act as an independent regulator under Department of Space, GoI to promote and regulate private participation in the Indian space sector. It will have participation from industry, academics and Government of India.
IN-SPACE will also permit the private sector to build its facilities within the Department of Space premises.
Though IN-SPACE will take about six months to start functioning, as the space sector is now open, the Department of Space is doing the interim job.

Change in the approach of New Space India Ltd (NSIL):  NSIL was established as the new commercial arm of ISRO in March 2019 to focus on the production of rockets, satellites, space-based activities, consultancy services and technology transfer to Indian industries.
It should be noted that the other commercial arm of ISRO, known as Antrix Corporation has the main aim of launching foreign commercial satellites whereas NSIL focuses on how Indian industries can be involved in the space sector.
 In his address on 25th June 2020, Chairman ISRO said that now there will be a transformation in the working style of NSIL. It will now work on a demand-based model rather than a supply-based model. It means it will work as per the needs of the industry.

Benefits of new reforms
Following are the benefits that can be achieved from the new reforms:
                i.          ISRO can focus on research & development and space missions. That’s the original objective of ISRO: ‘Research’. Now ISRO can be relieved of the regulatory work and satellite and rocket building. They can be taken care of by IN-SPACE and NSIL along with private players. This way, we can expect to see many more interplanetary missions and space explorations by ISRO in future.
              ii.          With technology transfer done by NSIL, the private players can help the former in fulfilling orders in case it doesn’t have a launch window in its busy launch calendar. This way we will not miss out on opportunities for new launches and thus will be able to get more revenue for the country.
            iii.          Development of private launch vehicle industry: Development of any industry in the country is beneficial for the economy. It helps in contribution to GDP and employment generation.

However, there is a hurdle in the development of private launch vehicle industry. The launches by Indian private players on ISRO rockets will attract 18% GST whereas the foreign players can launch their satellites using the same without paying the tax. The logic behind the exemption is that the satellite launches done by foreign companies is considered as export of services and hence exempt from GST.
There is a way around. The Indian private players can register themselves as foreign companies and then use the ISRO infrastructure without paying GST. Though this will be a roadblock in developing indigenous private launch vehicle industry. The government may have to iron out such policy issues.


Small Satelite Launch Vehicle (SSLV)
Two of the mandates of NSIL are the small satellite technology transfer and manufacturing of SSLV. Let us understand what is SSLV.
SSLV, also nicknamed as ‘baby rocket’ is the smallest launch vehicle (rocket) of ISRO. As per a statement by the Chairman, ISRO, it is built for Rs. 30 Crore (Approximately USD 4 Million today). It has been designed at Vikram Sarabhai Space Centre, Thumba, Kerala; the same place from where the first rocket of India was launched in 1963.
Since it can be assembled for launch in 15 days, it is said to have ‘launch on-demand’, making it the quickest way to launch small satellites.
It is interesting to note that, with a height of 34 meters on the launchpad, it is taller than the Gateway of India, Mumbai.
It can carry a payload up to 500 Kgs in Lower Earth Orbit (LEO): 500 Kms above the earth and 300 Kgs to Sun Synchronous Orbit (SSO) which is higher than LEO.
This will be useful for small countries requiring the launch of lightweight satellites. Countries like Sri Lanka, Myanmar etc. can be prospective customers for the same. Even if any other country wants a remote sensing satellite or any other small satellite to be launched, now our Antrix Corporation can give a tough fight in terms of launch price to the Space X or any other private international company. Moreover, the launch using SSLV will be cost-effective because it doesn’t need a dedicated command centre but just a small team of people can complete the launch.
It is reported that SSLV already has 2 launch orders including one from a US-based private company, even before the rocket is ready.
The first launch of SSLV is slated to take place this year (2020). Initially, it will be launched from the launchpad at Sriharikota, Andhra Pradesh. When the new spaceport in Tamil Nadu is ready, SSLV will be launched from there.
In future, ISRO also plans to launch SSLV using mobile launchers, known as Self Propelling Units.

New Spaceport in Tamil Nadu
ISRO is planning to develop a new launchpad at Kulasekharapatnam near Tuticorin in Tamil Nadu. The main reason to develop this spaceport is facilitating the launch of SSLV.
This is an ideal place to launch SSLV because the SSO is easily accessible from here as compared to from Sriharikota, Andhra Pradesh.
The launch from Sriharikota into SSO will require a dog-leg manoeuvre, i.e. the rocket will have to be steered away from Sri Lankan sky and then moved southward towards the south pole. This requires carrying extra fuel for covering extra distance. This eats up the already less payload capacity in case of SSLV. The new spaceport will not have such a problem because from here, there is no land of any country until Antarctica to block the rocket's route.
These days many small satellites are placed in the SSO because in this orbit the movement of the satellite matches that of the Sun so the satellite has constant availability of solar power.
The acquisition of 2300 Acres of land for the spaceport is near completion, after which ISRO will set up launch facilities. There is also a seaport and a small airport in the nearby Tuticorin town.


 Private Aerospace companies in India
Private aerospace companies have existed in India even before the government opened the space sector for private players in June 2020. Earlier the role of the private sector was limited to manufacturing and fabrication of rockets. Now, after the introduction of reforms, the government plans to increase private sector participation in the Indian space sector. As I have mentioned earlier, now the Department of Space, GoI will allow the use of its infrastructure by the private players. It can be for testing or they can even set up their own launchpad inside ISRO premises in Sriharikota.

Following are the three major private companies engaged in aerospace business in India:

a)   Skyroot Aerospace: It is a Hyderabad (India) based aerospace company established in the year 2018 by two former ISRO employees.
It has three launch vehicles that are useful for launching small satellites:
Vikram I has a payload-carrying capacity of 225 to 315 Kg depending on the orbit chosen for the launch. It doesn’t require much infrastructure and can be launched from any launch site within 24 hours.
Vikram II and Vikram III are similar in nature. Both use the same engine which is different from Vikram I. While the former can carry a payload of 410 to 500 Kgs, the latter can carry a payload of 580 to 720 Kgs. Both these rockets can be launched from any site within 72 hours without much infrastructure.

b)  Agnikul Cosmos Private Limited: It is an aerospace company incubated in IIT Chennai in 2017. As per Agnikul’s website, it started signing commercial contracts with customers in 2018.
Its launch vehicle is called Agniban. It can carry a payload of 100 to 700 Kgs in the LEO. As per a news article on their website, Agniban will be ready for launch by 2022.

c)  Bellatrix Aerospace: It is a Bengaluru based aerospace and research & development company engaged in small satellite launches and propulsion.
Its rocket is called Chetak. It has a payload-carrying capacity of 150 Kgs for going up to 700 Km Sun Synchronous Orbit.
Bellatrix also develops propulsion systems for rockets, i.e. the parts of the rocket engine. Propulsion system produces thrust in the rocket.



Conclusion
There is a lot of potential in the Indian space sector. Now, with the new reforms and the recent developments in this area, the private sector can participate more with the required help from the government and India can achieve greater heights in this boundless space.

***

I hope you all found this article informative and interesting. I will try to post interesting articles in an easy language in this blog. Please keep following and also do share your thoughts about the blog and suggestions for future posts. You can ask me questions in the comments section or mail them to me at askme[at]aseemjavablogs[dot]com and I will try to answer them.
Want to read other articles? Click HERE

12 comments:

  1. Informative Article, Keep it up to increase our knowledge

    ReplyDelete
  2. Liked it. Very informative and interesting.

    ReplyDelete
  3. After reading your articles, Aseem,I think we are updating ourselves with the latest developments.keep writing.

    ReplyDelete
  4. Nice to know about the initiatives taken by Government of India to open space sector for collaborating with private players.

    ReplyDelete
    Replies
    1. Thanks a lot. I am glad you found the article informative.

      Delete
  5. Another Excellent piece... πŸ‘πŸΌπŸ‘Œ
    tax anamoly is interesting πŸ™ƒπŸ€”

    ReplyDelete
    Replies
    1. Thanks a lot Uncle
      Yes please I have the same view regarding the taxability issues. Lets see how and when this gets resolved.

      Delete
  6. Good information on latest developments in the Indian space program.

    ReplyDelete

Note: only a member of this blog may post a comment.