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Giant ISRO Leap: EARN FOREX, HELP DIGITISATION, By Shivaji Sarkar, 20 February, 2017 Print E-mail

Economic Highlights

New Delhi, 20 February, 2017

Giant ISRO Leap

EARN FOREX, HELP DIGITISATION

By Shivaji Sarkar

 

The world watches India’s meteoric scientific rise. The scaling of heights by the Indian Space Research Organisation (ISRO) with placing 104 satellites in space in a single mission is not just  a record. It makes the country proud as it leads the select space market.

 

“The entire ISRO team has done a wonderful job”, an elated ISRO Chairman AS Kirankumar said soon after the launch on February 15. The move instills hope for the development dream as digitisation can reach the remotest area where internet penetration is the lowest. It is a scientific, business, strategic and commercial success.

 

The ISRO is already an achiever flying the 39th mission since 1993. It has outdone its own and global performance. It launched 20 satellites in one go in June, 2016. The record for the most satellites launched in a single mission is 37 – by Russia in 2014. About three years ago, a rocket carrying 104 tiny satellites, each no bigger than a computer chip, by International Space Station failed.

 

The latest ISRO launch is significant as it put satellites from seven countries with total payload of 1378 kg carried by the PSLV-C37. The weight of the Cartosat-2 series satellite for earth observation is 714 kg. The Cartosat 2 is the primary passenger in this mission. It is used to produce high-resolution images of the Indian landmass for applications like coastal land use and regulation, rural and urban management, monitoring of road networks or water pipelines and various kinds of land information systems. Last year’s launch of 20 satellites in one go included a similar Cartosat-2 series satellite. Four such satellites are already in space.

 

The ISRO has two technology demonstration nano satellites INS 1 and 2 – the only Indian payloads. The rest were launches for international customers through agreements with ISRO’s commercial arm Antrix Corporation. It is becoming a large forex earner.

 

It has 96 private nano satellites from the US, including 88 weighing about 4.7 kg from the start-up Planet Labs, a San Fransisco-based earth imaging company. These satellites will together preparer 50-trillion pixel image every day for a variety of applications.

 

There is one satellite each from the Netherlands, Switzerland, Israel, Kazakhstan and the UAE. Except eight satellites all others are for commercial applications and belong to private companies. Private satellites are still not allowed to offer commercial applications in India. This is likely to change.

 

The most difficult part of the mission was synchronous release of the satellite payload from the final stage of the PSLV rocket. Each rocket has to be released with small time lag so that they do not collide. At the time of release, the satellites travel at more than 7.5 km per second.

 

The two ISRO –INS 1 and 2 – are carrying instruments from its Space Application Centre (SAC) and Laboratory for Electro Optics Systems (LEOS) for experiments. Till date the PSLV has put 226 satellites in space. Smaller satellites like Cubesats of 10 sq cm each and weighing between 1kg and 10kg is becoming the norm. This helps rockets carry more. The number of satellites to be loaded is restricted only by space available and the carrying capacity of the launch vehicle.  

 

It requires engineering innovations. ISRO is seen as having excelled in this. It helped India join the select 12 countries – Russia, USA, France, Japan, China, UK, Ukraine, Israel, Iran, North Korea) and one regional organization, the European Space Agency ( ESA), other than itself that have independently launched satellites on their own indigenously developed launch vehicles.

 

As business proposition India is becoming an attractive destination as European countries and the US also often use Indian capabilities. Till 2016, ISRO had launched 75 foreign satellites, out of a total of 121. Forex revenues of ISRO’s commercial arm, Antrix Corporation, rose 204.9 per cent in 2015 on the strength of foreign satellite launches. In 2015-16, commercial launches brought in Rs 230 crore, which was 4 per cent of ISRO’s average spending over the previous three years.

 

The low prices offered by ISRO are drawing foreign clients. Private space programmes such as Arianespace and SpaceX are yet to equal its cost-effectiveness. Besides, ISRO has a 100 per cent success rate in foreign satellite launches. While a satellite launch on Arianespace’s rocket costs about $100 million after subsidies, SpaceX charges $60 million. In contrast, ISRO charges an average $3 million per satellite between 2013 and 2015.

 

So far, ISRO was on a marketing mission for creating a brand for itself. It has largely achieved that. This may be ISRO’s moment for revising its launch fee to spur the country’s space mission to empower its poor people.

 

The Government is stated to be considering letting private satellites operate from India. Hughes Network, Team Indus, Bengaluru-based start-up Dhruva and others have filed such proposals. Some of these are pending for years. The Narendra Modi Government with its dynamic outlook is likely to take a favourable look.

 

One reason that delayed it was the Antrix-Devas controversy. India lost the arbitration case in a Permanent Court of Arbitration (PCA) tribunal based in the Hague over its space marketing arm Antrix annulling a contract with Bengaluru-based private multimedia firm Devas. In its audit, the CAG primarily calculated losses (with some of its estimations going as high as Rs 2 lakh crores) in the Antrix-Devas deal by comparing satellite spectrum and terrestrial/telecom spectrum; which as a few analysts have pointed out, is incorrect. 

 

However, these issues certainly put off liberating the space sector. It is inching towards a solution. With it, the Government is likely to clear the way for a thriving sector that can earn enormous forex through launching and managing private satellites.

 

The policy change is also likely to open up the digital internet market. About 15 per cent of the terrain is difficult in India. It becomes digitally unserviceable by broadband because the sheer economics does not pay out. Satellite-based broadband not only can connect remote areas like North-East, but other hilly and difficult terrains. This can earn the Government revenue as well.

New technologies make such satellites, even by private operators, inexpensive and help create intense and fast networking. Various foreign and Indian companies are keen on it. The ISRO effort is likely to bring in an inexpensive network and other facilities across the country, which will go a long way in the development agenda. ---INFA

 

(Copyright, India News and Feature Alliance)

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