1 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 Malaysia Space Act: A Catalyst for a Vibrant Space Industry Azmi Hassan GeoStrategist Universiti Teknologi Malaysia

2 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 Its beyond the FAB/GANG MALAYSIA AND SPACE ACTIVITIES Only one lucky candidate will be chosen Or beyond the FAMOUS/SPECIAL one …………………..

3 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 Malaysia participation into the space sector starts on a very small scale in the early 1990s and after two decades later the endeavour is still considered at an infant stage. Our space industry is closely related to the advancement of the aerospace sector. The aerospace industry sector is consisted of more than 120 companies and by this number alone it is considered a healthy business environment. But the aerospace industry only contributed a paltry less than 2 percent to the Malaysia Gross Domestic Product (GDP). MALAYSIA SPACE INDUSTRY HEALTH

4 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 South Korea participated in space development only since the 1990s, the same time as Malaysia. Despite its short history, Korea has been increasing its technological capabilities with the successful experience of several national projects. The Korean government established a long-term space development plan in 1996 and in 1998 established the Commercial Space Act, which suggests a clear way forward for space development up to Space activities in Korea are expected to grow in the future and this is partly due the space act that is very friendly to the industry. MALAYSIA SPACE INDUSTRY HEALTH

5 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 MALAYSIA SPACE INDUSTRY HEALTH Telecommunication Sector > 90% Comparison of Revenue in Downstream Space Industry Comparison of Revenue between Downstream and Upstream Upstream Industry Downstream Industry > 99% (RM28.63 billion) Navigation/Remote Sensing Sector The general perception is that aerospace industry is more vibrant ……….

6 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 There is no doubt that a space act can act as a catalyst to a more vibrant space and aerospace industries of any nations. The need for national space legislation is seminal, especially because our nation is increasingly looking to privatize and commercialize space assets, expand capability in space exploration and scientific discovery, commercialize its capability to build satellites and offer launch services from its facilities. In view of this emerging development, the author is guided by the belief that national space act ought to be to legislated for the purpose of creating clear and transparent regulatory guidelines for domestic industry in order to accelerate investment and to ensure the growth and development in this capital intensive - high return strategic sector. THE NEED OF SPACE ACT – FOR A VIBRANT INDUSTRY

7 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 Legal and regulatory certainty and predictability is required by commercial operators, and potential investors, to encourage innovation and attract investment into the industry. As the commercial business case of a satellite operator is based on a long lead time to market, long operational satellite service lives of approximately 15 years (commercial communications satellites) and high upfront costs, regulatory and pricing certainty is required for the length of such period of time to give certainty and security to potential investors. THE NEED OF SPACE ACT – SPUR THE INDUSTRY

8 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 The non-existence of space regulatory framework has resulted in existing satellite infrastructure (that was built in good faith, based on legitimate expectations and in compliance with a terrestrial regulatory regime (MCMC for example) being potentially limited in what should be the profit-returning years of later life; changes to the regulatory framework having adversely impacted the ongoing business case. Under current commercial environment, Malaysia satellite operators and service providers are smaller in terms of market capitalization, turnover etc. compared to its terrestrial fixed and mobile operators. This affects their ability to pay for spectrum access on a purely mass market commercial model leading to possible opportunity barriers for smaller companies and new entrants. THE NEED OF SPACE ACT – SPUR THE INDUSTRY

9 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 Among others the space act will confer licensing and other powers on the Minister of Science, Technology and Innovation acting through the Malaysia National Space Agency (ANGKASA). THE NEED OF SPACE ACT – REGULATING POWERS

10 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 WTO and TPP Obligations Strategic Trade Bill Act (2010) Missile Technology Control Regime (MTCR) Proliferation Security Initiative (PSI 1996) Malaysia National Space Policy United Nations Sanctioned Space Treaties Adhere Related Existing Act National Security Requirements ASIDE FOR THE SPACE INDUSTRY HEALTH

11 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 To ensure that terrestrial uses do not take priority over or unduly interfere with satellite uses, efficient technical regulation (and technology oriented licensing) and appropriate derogations are required. The act should not strive for greater flexibility in the use of spectrum between satellite and terrestrial uses, leaving it for the market to decide on the most efficient use of spectrum. THE NEED OF SPACE ACT – EXISTING LAW

12 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 LightSquared Interfearance on GPS Signal EXISTING LAWS/ACT

13 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 The rationale for Malaysia to establish national space legislation embedded in treaty provisions contained in the corpus of international law of outer space is well known. Yet it would be helpful to recall the specific provisions that require such action by Malaysia that will ratified the agreements in the future. It is on the basis of those well endorsed principles that the establishment of the national space act be formatted, not just to fulfil treaty obligations but because the state of development of space activities and space industry in the country have reached a level makes a compelling case for legislative action. International law on outer space is contained in five international instruments adopted under the auspices of the United Nations (UN) through the General Assemblys Committee on Peaceful Uses of Outer Space (COPUOS). THE NEED OF SPACE ACT – INTERNATIONAL OBLIGATIONS

14 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 The space act is the legal basis for the regulation of activities in outer space carried out by organizations or individuals established in Malaysia. The Outer Space Treaty- Article VI of the Outer Space Treaty provides that states are internationally responsible for "national activities in outer space", including cases where these activities are "carried on by non- governmental entities". This responsibility pertains to "assuring that national activities are carried out in conformity with the provisions set forth in the present Treaty". MALAYSIA INTERNATIONAL OBLIGATIONS

15 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 Article VII of the Outer Space Treaty provides that states are "internationally liable for damage to another State or its natural and juridical persons", if such damage is caused by relevant space objects. Which particular state or states are, respectively, to be held liable in respect of a specific space object causing damage is determined by a fourfold criterion. In a cumulative fashion this concerns the state which "launches" the space object; the state which "procures the launching" of that space object; the state ''from whose territory" the launching of that space object occurs; and the state from whose "facility" that space object is launched. MALAYSIA INTERNATIONAL OBLIGATIONS

16 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 Space act is not only an important and independent part of international law and treaty, but has come in close connection with many other fields of law such as telecommunications, broadcasting, trade, export controls, competition, arbitration and government procurement law. SPACE A STRATEGIC ASSET ?

17 AzmiHassan GeoSpatial Forum Melaka7-8Mac2012 MEASAT FOR SALE ? MEASAT-1/2MEASAT-3MEASAT-3a Manufacturer Boeing Satellite SystemsBoeing Satellite SystemOrbital Sciences Corporation Launch VehicleAriane 44LProton Breeze MLand Launch Zenit Satellite Dimension (HWL) Spin Stabilized 2m dia / 8m hgt Tri-Axis Stabilized 7x7x28m Tri-Axis Stabilized 7x7x21m Launch Mass (Kg) Power (watts) C-Band TranspondersM1:12 / M2:62412 Ku-Band TranspondersM1:4 / M2:62412 Satellite defined as strategic asset ? Tanjung Energy Group Sold to 1MDB

18 AzmiHassan GeoSpatial Forum Melaka7- 8Mac2012 Remote-sensing satellites have become so numerous and competitive that government abilities to control what is disseminated have already been substantially diminished. Imagery from high-resolution satellites is becoming available now not only because technology has advanced to the point of making the imagery a potential source of substantial profits, but because governmental policies permit, and indeed encourage, such satellites to be operated. CONTRADICTING OUR SECURITY RESTRICTION?

19 AzmiHassan GeoSpatial Forum Melaka7- 8Mac2012 When Google introduced Google Earth, a free software that marries satellite and aerial images with mapping capabilities, the company emphasized its usefulness as a teaching and navigation tool. But since its debut in 2005, Google Earth has received attention of an unexpected sort. Officials of several nations have expressed alarm over its detailed display of government buildings, military installations and other important sites within their borders. GOVERNMENTS TREMBLE AT

20 AzmiHassan GeoSpatial Forum Melaka7- 8Mac2012 BRITISH FORCE FORWARD BASE, BASRA, IRAQ

21 AzmiHassan GeoSpatial Forum Melaka7- 8Mac2012 There has been approach to the High Court seeking a ban on Google Earth, Wikimapia and other sites not blessed by Indian security officials. The petition states that Google Earth is against the objective of the Indian National Security Act since the website gives users minute details and provides photographs, as well as extremely accurate navigational coordinates. MUMBAI TERRORIST ATTACK

22 AzmiHassan GeoSpatial Forum Melaka7- 8Mac2012 Malaysia will not ask Google Earth to blur images of the countrys military facilities to avoid terrorist attacks. Defense Minister Datuk Seri Najib Razak said doing so would indirectly pin-point their location anyway. "The difference in, or lack of, pixelation of images of the military facilities compared to the surrounding areas will make it easy for visual identification." In his written reply to Datuk Dr James Dawos Mamit (BN-Mambong), Najib said the images were provided worldwide commercially. MALAYSIA WONT ASK GOOGLE TO BLUR SATELLITE IMAGERY