Report may keep Galileo earthbound

Date: 06/12/01

EUROPE'S most ambitious space project could stay stuck on earth after six EU governments said continuing funding doubts were likely to prevent the Galileo satellite navigation project launching on schedule.

The finance ministers of the UK, Germany, the Netherlands, Sweden, Austria and Denmark jointly declared that questions raised by a PriceWaterhouseCoopers report required further "detailed consideration" before Galileo could go ahead.

The development makes it even less likely that transport ministers will launch the development phase when they meet tomorrow (7 December). Loyola de Palacio, the EU transport commissioner, has threatened to abandon the programme unless it is approved this week.

The UK and the Netherlands have already lodged formal objections against the proposal to let private firms invest in the operating company in exchange for "preferential treatment" and influence over its decisions (European Voice, 29 November-5 December).

Companies should invest, said one EU diplomat, "but only on the basis that the funding comes without over-representation in the decision-making process".

De Palacio's spokesman, Gilles Gantelet, said there were no plans to amend the proposal.

Europe's most ambitious space project could stay stuck on Earth after six EU governments said continuing funding doubts were likely to prevent the Galileo satellite navigation project launching on schedule.