{"id":56588,"date":"2020-03-04T17:02:41","date_gmt":"2020-03-04T11:32:41","guid":{"rendered":"https:\/\/blogadmin.forumias.com\/?page_id=56588"},"modified":"2020-03-04T17:02:42","modified_gmt":"2020-03-04T11:32:42","slug":"answered-the-growing-role-of-the-private-sector-in-space-demands-india-to-move-quickly-towards-a-new-model-for-indias-space-activity-explain-with-illustrations","status":"publish","type":"page","link":"https:\/\/forumias.com\/blog\/answered-the-growing-role-of-the-private-sector-in-space-demands-india-to-move-quickly-towards-a-new-model-for-indias-space-activity-explain-with-illustrations\/","title":{"rendered":"[Answered] The growing role of the private sector in space, demands India to move quickly towards a new model for India\u2019s space activity. Explain with illustrations."},"content":{"rendered":"\n
\n Demand of the question<\/strong>\n Introduction.\n <\/strong>Contextual introduction.\n Body.\n <\/strong>Discuss why the private sector should be involved\n in the space industry. Also mention issues and Concerns of private\n participation in the space industry in India.\n Conclusion.\n <\/strong>Way forward.\n <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

India is among the global leaders in space\nexploration. ISRO has spearheaded India\u2019s success in space. These include\nvarious satellite launch, space-launch vehicles, and a range of associated\ncapabilities. But the private sector has not contributed much to it. India is\nlagging in harnessing the power of private innovation in the space domain. This\nnot only limits the exploitation of space for economic development, but has\nserious national security implications.<\/p>\n\n\n\n

Why\nshould the private sector be involved in the space industry?<\/strong><\/p>\n\n\n\n

  1. Increasing Demand: <\/strong>Indian Space\nResearch Organisation (ISRO)\u2019s annual budget has crossed \u20b910,000 crore ($1.45\nbillion) and is growing steadily. However, demand for space-based servicesin India is far greater than what\nISRO can provide. Therefore, private sector investment is critical, for which a\nsuitable policy environment needs to be created.<\/li>
  2. Overall growth of space sector: <\/strong>Private\nsector participation is needed to ensure overall growth of the space sector.\nISRO has a strong association with the industry, particularly with Public\nSector Undertakings (PSUs) like Hindustan Aeronautics Limited and large private\nsector entities like Larsen and Toubro. Role of private industries should be\nincreased.<\/li>
  3. Country\u2019s security: <\/strong>The most basic way\nto secure our space capabilities is to distribute them across many different\nsatellites and spacecraft, so that continuity is unaffected even if an\nadversary manages to disable one or more of our satellites. For instance, the\nUS is highly vulnerable in space because it depends on thousands of its\nsatellites. But it is also best equipped to deal with a potential attack on its\nspace assets because it can find alternatives to switch to. <\/li>
  4. International trends and experience- <\/strong>Elon Musk\u2019s \u201cSpaceX\u201d and its high profile projects have highlighted\nthe increasing significance of the private players in the space sector. In\nIndia, despite the various strategic, security and regulatory constraints, a\nlimited private ecosystem has evolved around the ISRO. <\/li>
  5. Greater pool of resources: <\/strong>Public\nresources- land, labour, capital are limited. Private sector participation will\nopen a new pool of resources and talent. It will bring more funding, and\nexperience into space exploration activities.<\/li>
  6. Human Capital: <\/strong>Restricting space\nactivities to ISRO, limits proper utilisation of talent all over the country.\nWith demographic dividend, private sector participation can exploit the talent\nacross the nation contributing a lot to space explorations in India.<\/li>
  7. Technological advancement:<\/strong>\nCommercialisation will also develop better technologies which are important. It\nwill allow integration of many other technologies like artificial intelligence\ninto space exploration activities. With experience from space activities, the\nprivate sector can increase the role of technology in other areas.<\/li>
  8. Risk Sharing: <\/strong>Every launch consists\nof various risks. Private sector helps in sharing the risk of cost factor.\nFailure costs will be distributed. Also with increased private participation,\nfailures will reduce due to increased available human capital and mind.<\/li>
  9. Commercial demand<\/strong>:There is a need to enhance internet connectivity for the\nmasses, which is another demand pull factor for increased commercial interest\nin space. Asteroid mining is also another potential area that looks promising,\nwith scope for monetisation and disrupting commodity markets.<\/li><\/ol>\n\n\n\n

    Issues\nand Concerns of private participation in space industry in India:<\/strong><\/p>\n\n\n\n

    1. Data Risk:<\/strong>Though space it gives an opportunity to entrepreneurs but raw data\nof ISRO in the hands of the public is sensitive and consists of danger of\nmisuse or improper utilisation of data.<\/li>
    2. Regulation: <\/strong>Though it is a\nprofitable investment, regulation of private sector participation is not easy.\nThe time taken for regulatory clearances and unstable political institutions\ncan cause delays and hurdle in decision making of investors.<\/li>
    3. Revenue loss: <\/strong>ISRO will lose a fair\namount of money it is earning through its space activities. This will reduce\ngovernment revenue.<\/li>
    4. Unfair commercial practices:<\/strong> Allowing\nprivate sector may lead to lobbying and unfair means to get space projects or\nlaunch of any satellite for their own profit. It may also lead to leakage of\nsensitive information by private players to other countries and companies to\nmake profit.<\/li><\/ol>\n\n\n\n

      India should create an independent body\nthat can create a level playing field for government and private space\nenterprises. A new Space law for India should be framed which should aim at\nfacilitating growing India\u2019s share of global space economy to 10% within a\ndecade which requires a new kind of partnership between ISRO, the established\nprivate sector and the New Space entrepreneurs.<\/p>\n","protected":false},"excerpt":{"rendered":"

      Demand of the question Introduction. Contextual introduction. Body. Discuss why the private sector should be involved in the space industry. Also mention issues and Concerns of private participation in the space industry in India. Conclusion. Way forward. India is among the global leaders in space exploration. ISRO has spearheaded India\u2019s success in space. These include… Continue reading [Answered] The growing role of the private sector in space, demands India to move quickly towards a new model for India\u2019s space activity. Explain with illustrations.<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"open","ping_status":"closed","template":"","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"class_list":["post-56588","page","type-page","status-publish","hentry","entry"],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/pages\/56588","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=56588"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/pages\/56588\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=56588"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}