Proceeding contribution from Tobias Ellwood (Conservative) in the House of Commons on Monday, 2 July 2007. It occurred during Debate on European Global Navigation Satellite System.
European Global Navigation Satellite System
I am not misrepresenting the hon. Gentleman; if I can make some progress he will understand where I am coming from. The GPS system is making significant revenue streams for myriad companies, both national and international, not only in America but also across Europe and the world as a whole. Were the system to be cut off, it would cause absolute economic chaos. That is the first reason it will not be switched off and the second is that it is part of a NATO operation. The security of this country, Europe and the wider world depend on the satellite system, so there are two profound reasons why it will not be switched off. There are commercial aspects, too. We heard that even the Minister has a piece of GPS equipment in her ministerial car—[Interruption.] It is in her private car. She has one of the TomTom navigation systems that are also used for map-making, land surveying, scientific studies and air traffic control, as well as in clocks and timepieces and for shipping, not to mention their military uses, from missile guidance to transport systems. All are extremely successful and GPS sales average about £20 million a year, with 95 per cent. of the units sold for civilian rather than military use. That is a success story and we should be aware of it. Not only is the equipment efficient; it is reliable, accurate and, as has been said time and again, it is free. The GLONASS system is a different story. It was completed in 1995, with 24 satellites, but fell into disrepair after the collapse of the Russian economy. Russia is committed to restoring the system but there have been delays in the process. Huge sums of money have had to be thrown at the system to get it back up and working. There are lessons to be learned from both those systems and we need to learn them quickly before the decision in October, which commits us one way or another. I will quickly summarise where we stand with Galileo. The system was devised in 2002 to rival the GPS system. There were eight companies and five nations involved, but today, as we have heard, the project is floundering. Only one out of 30 satellites is in orbit and that is a test system. The project was supposed to be in operation by next year, but the latest estimate is 2014—if the project goes ahead and we get all the satellites up in orbit. The German Transport Minister recently described the project as in ““profound and serious crisis.”” That crisis is being caused by funding. The original plan involved 50:50 financing between the EU and the European Space Agency. The UK part of the funding came from the Department of Trade and Industry and the Department for Transport. The private sector was to pay for two thirds. As we have heard, the original cost was €3.2 billion; that is now spiralling towards €10 billion over the next 20 years. I have asked how much has been spent by the British and we have not had an answer. The original plan involved a public-private partnership, with companies footing much of the bill in the hope of selling satellite navigation services to commercial users. Who is going to buy a satellite service today when there is a free service available? The only organisations that would buy satellite services would be the Government and public sector organisations—to prop up the costly system. Perhaps we can expect to see congestion charging or the military being converted to the system in order to prop up the funding for the entire project. If we vote on the motion, we will see Labour Members and the Government walking through the Division Lobby, but I do not believe they will fully understand what they are voting for or signing up to. We do not need this system, we cannot afford it and there is no market for it at all. It is a sheer waste of money and, as we have heard today, the project is based on the ridiculous assumption that the US will somehow turn its system off.
Secondary information
- Type
- Proceeding contribution
- Reference
- 462 c782-3
- Session
- 2006-07
- Chamber / Committee
- House of Commons chamber
- Subjects
- EU action Navigation Galileo system Global navigation satellite systems Satellite communications
- Link
- View this Proceeding contribution on www.publications.parliament.uk
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