Portugal’s trajectory towards an exclusive club of space forward European nations

Wednesday 11 December 2024

João Lupi
Abreu Advogados, Lisbon
joao.lupi@abreuadvogados.com

Introduction

Portugal has promising characteristics, which will enable it to become a key player in the future of outer space activities, as well as enhance the potential of the EU to deliver in this context in the coming years.

As the 15th member to join the European Space Agency (ESA), Portugal has its own space agency (‘Portugal Space’), a national political strategy that runs up to 2030[1] (‘Portugal Space 2030’) and a robust national legal framework applicable to space. All this has been in place since 2019.

Portugal’s space port

Portugal’s space port is located in the Autonomous Region of the Azores, on Santa Maria Island, as close to continental Europe as to the American continent. The Azores are surrounded by extensive ocean and are approximately 1,500 kilometres from the coast of the Portuguese mainland. 

This unique geographical position allows space launches with an ideal trajectory, especially for satellites that need to be positioned and operated in equatorial or polar orbits, while the island and the surrounding areas benefit from a relatively low population density.

The space port already benefits from significant infrastructure to monitor and support satellites, such as airstrips and monitoring facilities, providing the logistical and technical support required for space launch and return operations. This infrastructure is currently being enhanced, with the aim of turning the space port into an attractive alternative for various space operations.  

Indeed, it should be highlighted that the ESA’s flight director, Stefano Bianchi, announced on 7 November 2024 plans for the Space Rider, a new reusable space vehicle, to land on the island of Santa Maria in 2027.

The national space strategy and legal framework

Portugal Space 2030 is the strategy in which the national guidelines for the development of the sector are defined, placing an emphasis on innovation, sustainability and international collaboration. 

The minimum insured capital and conditions covering the liability for damages arising from space activities were recently defined, as well as the limits of the government’s right of recourse against national space operators.[2] This was an important milestone for the sector from a legal standpoint.

This legal regime provides for the right of the space authority to reduce or waive some conditions in specific cases, ensuring that the insurance requirements shall not per se limit the development of any space activities, especially those related to research and development. 

In 2024, Portugal witnessed several relevant legal initiatives in regard to space exploration and commercial space activities.

The new right of private companies to establish and operate space launch centres in national territory should be highlighted, which is now foreseen in the legal regime governing the access to and implementation of space activities comprised in national space law.[3]

The conditions for granting launch centre operating licences, for the assignment of such licences and for the licensing procedure itself have been laid down. Operating licences for launch centres are set to be issued for an initial maximum period of 15 years, but may be renewed in certain conditions.

Considering this innovation, any qualified commercial operator may choose to be located in Portugal in order to develop its space activities and compete on a global scale from national territory, increasing Portugal’s international competitiveness in the outer space landscape.

These changes are expected to stimulate a new generation of launches in terms of safety and environmental impact, as well as guaranteeing the unprecedented installation of space ports and launch centres open to all international players and operators, while contributing to the growing democratisation of the access to space.

Among other material changes, the types of licences available has been expanded and new mechanisms have been introduced to accelerate and simplify the underlying administrative process related to the issuance of such licences. Additionally, the sanction regime has been strengthened, increasing the possible ban on carrying out space activities to a maximum of four years.

Significant conferences and developments

Portugal was the stage for a number of high profile and promising conferences. In May, it hosted the Management and Sustainability of Outer Space Activities Conference, organised by Space Portugal and the United Nations Office for Outer Space Affairs (UNOOSA), in the heart of Lisbon. 

Several experts and representatives from the United Nations Committee on the Peaceful Uses of Outer Space (COPUOS) attended this Conference to debate the sustainability of space, a critical topic undermining the safety and future of space activities.

The Conference was preceded by two preparatory symposiums, which focused on technical and governance issues, respectively, and gathered various experts from 24 countries, with the aim of creating global strategies and regulations to promote cooperation between states to address the topic of sustainability.

These efforts resulted in the adoption of the Lisbon Declaration on Outer Space (the 'Lisbon Declaration'),[4] which was presented during the second day of the Management and Sustainability of Outer Space Activities Conference.

The adoption of this declaration is a significant achievement for the space sector, as it identifies six key points that will contribute to a sustainable space future: whether it is managing space traffic, mitigating space debris or coordinating the approach to resource exploitation.

The Lisbon Declaration commences by calling for progress on multilateral efforts for the peaceful, safe and sustainable use of outer space, acknowledging that standards can only be defined with the involvement of all stakeholders through a multisectoral approach.

It further urges the need for collaboration to define guidelines for space activities and for the COPUOS to continue to play a leading role in the promotion of consensus in regard to the development of voluntary and non-legally binding guidelines.

The importance of maintaining and democratising access to space while bolstering sustainability gathered consensus among the representatives present in Lisbon, even if the consensus required for any COPUOS resolution makes the sector fear any resulting downturns that may compromise the approval of basic principles for the future governance of space activities. 

The support from the representatives of different Member States sent hope and was a positive political sign in terms of the outlook on outer space governance, paving the way for the UN’s Summit of the Future 2024, set within a complex and fragmented geopolitical context, which is called, by some, the ‘new race to space’.

In September 2024, this debate then moved to New York, ahead of the UN General Assembly, where the Pact for the Future was approved by 193 countries.

Outer space has been framed in the Pact for the Future as a topic of peace and security, rather than one of environmental, social or even economic sustainability. As an action-oriented document, UN Member States have committed through the Pact for the Future to strengthen international cooperation for the exploration and use of outer space for peaceful purposes and for the benefit of all humanity.

As we move forward, it is key to maintain this momentum and further foster collaborative approaches to space governance.

Furthermore, the seventh edition of the New Space Atlantic Summit gathered national and international experts in Lisbon to debate the future of the space economy in June 2024, while in December the city hosted the Economist’s 2nd Annual Space Economy Summit: a promising high-profile forum for stakeholders to explore the latest developments and innovations.

Other developments

Furthermore, the national space authority (Autoridade Nacional de Comunicações or ANACOM) approved in October amendments to its regulations governing the access to and exercise of space activities, in order to adapt the rules to the latest legislative developments following a public consultation.

To ensure the new licensing regime for space launch centre operations, created by Decree Law no 20/2024 of 2 February 2024, runs smoothly, an autonomous chapter dedicated to this important matter was introduced whereby the procedures, award criteria and maximum term for a launch centre operating licence are set out.

Among other relevant changes, it should be emphasised that the refinement of the technical, economic and financial capacity criteria required for the award of a space activity licence, regardless of the type of licence, has occurred, and a clarification and update to the requirements applicable to space operations licences and space objects to be launched has also been adopted.

This initiative aims to ensure the consistency of the national legal framework, sending a strong signal from the national space authority to the new government in place.

Conclusion

Despite a busy and challenging political agenda, the role of Portugal within the space economy will remain a government priority and new policies will be created to support the continuing improvement of the country’s potential in the outer space domain.

Portugal is well-positioned to become an important player in the global space economy. It has huge potential and benefits from political support, a well-established legal framework, academic and scientific support, as well as consolidated international collaboration and a fast-increasing number of promising companies involved in the sector.

 

[1] Available in Portuguese at https://www.fct.pt/wp-content/uploads/2022/06/PortugalSpace2030_PT.pdf last accessed on 1 December 2024.

[2] Approved through Government Order no 279/2023 of 11 September 2023.

[3] Decree Law no 16/2019 of 22 January 2019, is the current version in force.

[4] Available at AC105_C2_2024_CRP25Rev01E.pdf last accessed on 4 December 2024.