European Union Proposes Plan To Fund Galileo
[09-21-07 – Satellite Today] The European Commission (EC) proposed funding the Galileo satellite navigation system completely through public funds, ending a plan that called for a contribution from private industry, the EC said Sept. 19.
The EC said it could raise the extra 2.4 billion euros (3.3 billion dollars), required to finance the project through unused funds from the bloc’s joint budget.
The new approach, which EC officials called for in May, was needed after a consortium of eight private companies charged with developing Galileo failed to agree on a funding plan.
Under the new plan, the majority of the funding will come from a budget for Preservation and Management of Natural resources that will not be needed in 2007 and 2008, the EC said. The remainder of the cost will come from an administration budget.
Galileo is slated to be operational by 2012, with operations turned over to a private company.