Netherlands flags up Galileo finance fears

The Netherlands government is pushing for EU finance ministers to review funding for Galileo, the troubled satellite positioning system.

The move is designed to force the European Commission to change its plans for additional public financing of the project.

Finance ministers meet next month (10 July) and the Dutch want Galileo to feature in their discussions, though up to now it has mainly been a subject for transport ministers. "They think finance ministers should have a say and be aware of the consequences of more money being needed," said an EU diplomat.

Earlier this month, the Netherlands and the UK drafted a joint communiqué warning that financing the project with public money would probably increase long-term costs instead of reducing them.

EU transport ministers scrapped public-private funding plans for Galileo this month after an eight-member consortium withdrew financial support.

The Commission will publish an alternative plan this autumn setting out how to make up the €2.4 billion shortfall in funding.

A Commission official said that no contributions to the alternative funding plan were expected from finance ministers.

The Netherlands government is pushing for EU finance ministers to review funding for Galileo, the troubled satellite positioning system.

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