Commission approves £50M UK government funding to build engine for re-usable satellite launcher

19 Aug 2015 | News
If successful, the project will reduce the cost of putting satellites into low Earth orbit

The European Commission said a £50 million UK government grant to build a full-scale prototype of the SABRE (Synergistic Air-Breathing Engine) to power a re-usable space launcher, is in line with EU state aid rules.

SABRE is being developed by the UK company Reaction Engines Limited (REL) to power an unmanned re-usable spacecraft called Skylon, that can take-off and land on a conventional runway. The craft would be used to launch satellites into low Earth orbit, significantly reducing costs compared to conventional rocket launchers.

The Commission concluded the grant will foster aerospace R&D in Europe while limiting distortions of competition in the single market. Margrethe Vestager, Competition Commissioner said, “I am glad that we have approved public funding for the SABRE project. It supports crucial R&D in the challenging area of satellite launches into low Earth orbit - the most difficult and costly step in any space mission.”

The SABRE project could lead to significant technological advances that would benefit consumers using products and services depending on these satellites, such as mobile communications, broadcasting, and navigation, Vestager said.

The UK notified the Commission in January 2015 of its plans to support the SABRE project for the design, engineering and assembly of key engine components for the space launcher. The SABRE engine will reach orbital velocity and altitude from Earth without jettisoning any hardware.

The objective of the project is to render the technology less risky by significantly improving SABRE’s components and subsystems. If successful, the engine would be used to power the prototype of a reusable airframe, Skylon, for flights into low Earth orbit.

The Commission assessed the project under its 2014 Framework on state aid for Research, Development and Innovation, which requires that aid is proportionate to the objective and does not crowd out private investors. It was concluded that the funding raised at this stage from private equity is insufficient to bring the project to completion.

The UK has committed to ensure that private investors participate in each stage of the project, so as the limit the use of public money in line with EU state aid rules.

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