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Paris, 16 May 2003
Information Note
Nx 10-2003

Access to space today and tomorrow: what does Europe need? 

Part 1 of 4

On 27 May the Ministers responsible for space activities in the
Member States of the European Space Agency and Canada will meet in
Paris, at ESA's Head Office, to take decisions on the restructuring
of the Ariane launcher sector, to restore the competitiveness of
Ariane 5 and to take further steps in the preparation of future
launchers.  The Ministers should also rule upon unblocking a share of
the exploitation programme of the International Space Station and
should adopt a resolution on the relations between ESA and the
European Union. 

1. Restructuring of the Ariane launcher sector: improving the
competitiveness of Ariane 5 and sustaining  guaranteed access to
space 

The first resolution proposed to Ministers for adoption deals with
the immediate measures to be taken to put the Ariane 5 launcher
system back on track.

It is widely recognised in Europe that access to space must be
guaranteed and affordable and that Europe needs to maintain
capabilities that support unrestricted use of space. The current
situation of the global commercial launch services market, combined
with the failure of the first launch of the new version of Ariane 5
(ECA) in December 2002, have had a detrimental effect on the economic
outlook for the European launcher sector, in particular for
Arianespace, which is responsible for  procuring, commercialising and
launching Ariane 5.

Such a situation has potential serious consequences for the
sustainability of  guaranteed and affordable access to space. It is
for this reason that both Governments and industry are now being
urged to take exceptional measures designed to sustain  guaranteed
access to space, stabilise the economics of Ariane 5 launcher
production,  improve the competitiveness of Ariane 5 and put it on an
equal footing vis-a-vis its competitors. 

A. Qualification of the Ariane 5 ECA launcher
In order to restore the competitiveness of the Ariane 5 launcher, the
Resolution on the Restructuring of the Ariane launcher sector the
Ministers are asked to adopt calls first of all for an agreement to
proceed with the qualification of the Ariane 5 ECA version (lower
composite powered by the Vulcain 2 engine and ESC-A upper stage
powered by the flight proven HM-7 engine of Ariane 4), for a
performance in GTO of 10 t, required for cost-efficient systematic
dual launches. This recovery plan will be conducted according to the
following schedule: 

a- Consolidating  the development of the new Vulcain 2 engine (which
failed at the first launch attempt last December)
b- carrying out in March 2004 a dedicated qualification flight of an
Ariane 5 ECA  version
c- launching ESA's first ATV (Automated Transfer Vehicle) to the
International Space Station by an Ariane 5 ES version (Lower
composite powered by the Vulcain 2 engine and the flight proven EPS
upper stage of today's generic Ariane 5)in September 2004 .

Arianespace has flight qualified Ariane 5 GS Generic launchers (lower
composite powered by Vulcain 1 and EPS upper stage) for a performance
of 6.8 t in GTO available to cover the launches up to beginning 2005.
A new batch of Ariane 5 must be ordered soon to cover the launches as
from beginning 2005, this batch being composed of ECA versions as
well as GS versions in order to ensure continuity of launch service.
A maximum of 72.5 MEURO out of the Ariane 5 Research and Technology
Accompaniment (ARTA) programme -aiming at preserving the
qualification status of Ariane 5- will contribute, together with
industrial co-funding, to cover non-recurring costs associated with
the resumption of GS launcher production.

Maximum amount (already available within the existing ARTA 5
programme allocations): 72.5 MEURO (another 37.5 MEURO to be
contributed by industry).

(Note: The ARTA programme serves to maintain the reliability and
level of qualification of Ariane 5 throughout its operational life,
to eliminate design flaws and weaknesses appearing during operational
use and to improve knowledge of the functional behaviour of th
launcher in fight. It is currently funded for the period 2003-2006 at
a level of  302.97 MEURO). 

The consolidation of the Vulcain 2 engine will be carried out within
the framework of the Ariane 5 Evolution and Ariane 5 Plus programmes
which will contribute a maximum amount of 42.5 MEURO (already
available within the existing programme allocations), complemented by
industrial co-funding (37.5 MEURO).

The consolidation of the Ariane 5 ESC-A version is obtained through a
contribution to relevant development costs to be borne by the Ariane
5 Plus programme.
Maximum amount (already available within the existing Ariane 5 Plus
programme allocations): 60 MEURO.

(Note: The objective of the Ariane 5 Plus programme is that of making
Ariane 5 evolve and keeping it competitive on the world market by
increasing its performance and versatility and  by bringing the
launch price down. The programme includes in principle  the
development by 2006 of an Ariane 5 ECB version provided with a
Vulcain 2 at the main stage and a new engine (the cryogenic
restartable Vinci engine) at the upper stage, for a lift off capacity
in GTO of 12t. In 2001, at the Edinburgh Council, the third step of
the programme received an allocation of 699.14 MEURO. 315 MEURO (in
2003 e.c.) are blocked until a further decision is taken at the  end
of 2004  which might include the resumption of the Ariane 5 ECB
activities. A resolution on the blocking of such activities was voted
by the ESA Council on 25 April 2003).

A new Ariane 5 ECA in-flight demonstration programme will be carried
out within the framework of an Additional Ariane 5 Slice 9 Programme
declaration to cater for a dedicated qualification flight of an
Ariane 5 ECA (Vulcain 2 + ESC-A) in March 2004 and the launch of
ESA's first ATV (Automated Transfer Vehicle) to the International
Space Station on board an Ariane 5 ESV version (Vulcain 2 + EPS
Versatile)  in September 2004 . Allocation requested: 228 MEURO (at
2003 ec). 

(Note: The cost of the first qualification flight of the ECA version
is 185 MEURO (2003 e.c.) consisting of launch vehicle manufacturing
(130 MEURO) and operations and other costs (55 MEURO). The cost to be
borne by the ECA in-flight demonstration programme for the second
flight of the Vulcain 2 engine is 41 MEURO, which is the difference
between the launch service cost of an ESV version (170 MEURO) and the
price paid by the Space Station Programme to Arianespace for the
first ATV launch (129 MEURO in 2003 e.c.). Direct expenditures amount
thus to 226 MEURO, 2 additional MEURO go into administrative support,
site services, technical infrastructure and technical operations
support). 

B. Reorganisation of the Ariane launcher sector
In order to establish a strong link between production and
development the reorganisation of the launcher sector -put in place
already following a resolution adopted by Ministers at the last ESA
Council at Ministerial level in Edinburgh in November 2001- has to be
completed. This reorganisation goes hand in hand with the
streamlining of the industrial production required to reduce the
production cost of Ariane 5. 

 - Continued -

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