Space Industry Bill [ Lords ] (Second sitting)

Stephen Doughty Excerpts

Committee Debate: 2nd sitting: House of Commons
Tuesday 23rd January 2018 Public Bill Committees

[Joseph Johnson]

I thank the hon. Lady for raising the important matter of the respective responsibilities and liabilities that spaceports, launch operators and operators of satellites will have. The full scope of a licensee’s responsibilities will be set out in the Bill, in regulations made under the Bill and in the terms of specific licences granted by the regulator. In broad terms, it is envisaged that the Bill will enable the regulator to license four types of activity initially: operation of a spaceport, spaceflight activities involving launch of a spacecraft, operation of a satellite and provision of range control services.

The Bill sets out certain high-level responsibilities and obligations on licensees. Most obligations are on persons carrying out spaceflight activities. I shall refer to them as spaceflight operators for convenience, although that term is not used in the Bill. Those include persons carrying out launch and operating a satellite. It is considered that activities of the spaceflight operator are the most likely to cause injury or damage to third parties.

In the case of spaceflight operators, clause 9 imposes obligations to assess the risk to health and safety posed by the spaceflight activity, to comply with the risk assessment requirements and to take all reasonable steps to reduce risks to the general public so that they are as low as reasonably practicable.

Under clause 16, the spaceflight operator must not allow individuals to take part in a spaceflight activity unless they meet criteria prescribed in regulations and have signed a consent form signifying that they understand and accept the risks of taking part in the spaceflight activity. Under clause 17, the spaceflight operator must not allow unqualified individuals to take part in or otherwise be engaged with the spaceflight activity.

Clause 33 places a strict liability on a spaceflight operator to provide the uninvolved general public with a straightforward remedy for compensation for injury or damage caused by their spaceflight activities. This strict liability would apply to any injury or damage caused in the UK or its territorial waters, and to an aircraft in flight or persons and property on board such aircraft. It applies to damage that is caused by a craft or space object being used for spaceflight activities.

Spaceflight operators also have an obligation under clause 35 to indemnify the Government for any claims brought against the Government for loss or damage caused by their spaceflight activities. Other bodies that may be carrying out functions on behalf of the Government also benefit from the indemnity.

On the responsibilities and liabilities of spaceport operators, clause 10 requires that applicants for a spaceport licence must take all reasonable steps to ensure that risks to public safety of operating the spaceport are as low as reasonably practicable. In addition, the applicant will need to fulfil any criteria and requirements set out in regulations. In the case of providers of range control services, they will be governed by the provisions of clauses 5, 6 and 7 and regulations made under those clauses.

In addition to the Bill, further detailed obligations and responsibilities for all types of licence holders will be prescribed in regulations: for example, safety requirements under clause 18 and security requirements under clause 21. Those regulations will be supplemented by detailed guidance.

The regulations will set out licensing and ongoing requirements and any oversight of operations to ensure that spaceflight activities and spaceports are operated safety. In addition to general responsibilities and liabilities imposed by the Bill, and regulations made under it, the terms of individual licences will specify the particular activities authorised under that licence and the responsibilities that go with them. Individual licences will also be subject to licence conditions tailored to their application, examples of which are set out in schedule 1.

I hope I have reassured the hon. Lady that the Bill, combined with the regulations to be made under it and the terms of individual licences, will provide the necessary clarity on the responsibilities and liabilities that come with being a licence holder under the Bill. The Government intend to consult publicly an all initial draft statutory instruments and statutory guidance. All draft regulations will be accompanied by a full explanation of their intent. Furthermore, reflecting the importance that the Government place on consultation, we have amended the Bill to impose a statutory duty to carry out public consultation before making any regulations under the affirmative resolution procedure. I therefore ask her to withdraw her amendment.

[Stephen Doughty (Cardiff South and Penarth) (Lab/Co-op)]

As ever, it is a pleasure to serve under your chairmanship, Mr Bailey. I want to underline the point that has been made as it applies well to what we are talking about—the wording that relates to liabilities, given their legal implications. It also applies to clause 68.

The Minister will be aware that UKspace, the space trade association, has raised concerns about the terminology used, which in this circumstance and in other parts of the Bill is not necessarily consistent with that used in the industry. To give an example of the confusion, the industry uses “launch systems” or “launch services” to refer to the launching of satellites, whereas the Bill appears to use “spacecraft” for that. The industry uses the word “spacecraft” to refer to man-made objects that are to be delivered into space—also known as “the payload.”

I do not want to get into a big semantic debate but, particularly when we are talking about where liabilities lie—whether with a launch operator or a satellite operator, or with a spacecraft, a launch system or launch services—I want an assurance from the Minister that there will be clear guidance, understood by the industry, the public and the courts when it comes to interpreting the Bill’s provisions.

[Joseph Johnson]

I am happy to repeat the assurance I gave a second ago. We will consult publicly on all the initial draft statutory instruments and the statutory guidance that will give effect to the provisions. I hope that that process will address any remaining areas of uncertainty about terminology, to which the hon. Gentleman refers.