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FINANCE FOR GERMANY'S SPACE INDUSTRY

by Wolfdietrich Hoeveler

Concentration, saving, and commercialization: these were the focal points of the most recent space strategy paper of Germany's Minister of Research, Jürgen Rüttgers. The tighter budgets are to be used more pointed and more effective in the future.

The industry was quick to critique: A reduction of the space budget is the beginning of the end; the industry is threatened by a degradation to a junior partner because the research minister is not acknowledging the strategic importance of the space industry.

The industry is rejecting accusations of having taken one billion Marks every year over the past 30 years, only producing innovative odd pieces while missing important developments on the user side, for example in the area of telecommunication - not unjustly.

While telecommunication is administrated by government officials in Bonn, innovative managers in the USA and later in Great Britain discovered and, most important, used the capabilities of this business. The privatization of post and communication services were accomplished too late. That Dasa, today, is holding only a three percent share of the world's telecommunication satellite market is not only the responsibility of the industry.

Still, the critics are right in the aspect that Germany's aerospace industry, in the past, was fixated solely on Bonn. New projects were always lined up in accordance with the availability of governmental funding instead of market requirements. This attitude only changed after Dasa was founded. This is partially responsible for today's problems with the companies.In this situation, the research minister's strategy paper is courageous and welcome. Obviously, Rüttgers is willing to take control in the German aerospace industry.

Internationally, the integration of the German Space Administration (DARA) into the German Aerospace Research Institute (DLR) is lending more weight to the new DLR which is directed by Professor Walter Kröll, an acknowledged and capable aerospace manager of our country. Aerospace research, program management, as well as, technology transfer from research into commercial use are now in one hand. DLR's financial basis is to be stocked up. Still, the limits for research projects are set. Further projects will only be financed if they match new criteria such as "application and use" along with a financial contribution of the industry itself.

According to the research minister's point of view, there are plenty of projects and tasks. One being to turn Arianespace into a real company in the long-term and to create an Ariane launch rocket family as soon as possible: a more powerful Ariane 5, as well as, small launch rockets for small satellites in low and medium orbits.

Furthermore, while the financing of the space station will be continued and Europe's role in space will not be impeded, what will happen to Dasa's business in Bremen after the assembly of the Columbus space laboratory is completed is the company's own problem.

There are enough problems and many of them will not be resolved easily. Still, government and industry must establish new priorities for the future. Sacrifices will have to be made because of the tight budget and the economical prospects. Hopefully this process can be accomplished through a productive dialogue of government and industry.

From page 4 of FLUG REVUE 3/97


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Last updated February 13, 1997