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Azerbaijani Communications and IT Ministry calls cost to launch first communication satellite in orbit

ICT Materials 12 August 2009 12:48 (UTC +04:00)

Azerbaijan, Baku, August 12 / Trend G. Veliyev /

Cost of communication satellite within project of Azerbaijani own satellite Azerspacelaunching into orbit, will hit 163 million manat, Azerbaijani Minister of Communications and IT, Ali Abbasov, told Trend on August 12.

Abbasov said that construction of the satellite will cost 87 million manat, 40 million manat will be spent to orbit the satellite. The satellite control center will cost 16 million manat but the rest 18 million manat will be spent on full insurance of new satellite.

Construction operations of the satellite will begin in September, 2009. The satellite is expected to be in orbit by late 2010 under the approved plan. The satellite will likely be launched from Baikonur cosmodrome (Kazakhstan).

Orbital Sciences Corp (USA) took the first place in the tender announced by the Ministry of Communications and IT to build Azerspace satellite. Space System / Loral inc (USA) took the second place but the French company Thales Alenia Space - the third place.

The tender for creation of the satellite was announced in January, 2009 upon the Azerbaijani President Ilham Aliyev's order Creation of the space industry in the Azerbaijani Republic and launch telecommunications satellites into orbit, signed late 2008.

French companies Thales Alenia Space and EADS/Astrium, U.S companies Orbital Sciences Corp and Space System /Loral inc, as well as Japanese and Russian consortiums - Sumitomo Corp. and ISS Reshetnev participated in the tender. 

Participants' proposals were examined in accordance with essential requirements: stability and quality of equipment, life cycle of the satellite, use of the most advanced technologies, as well as cost of the proposal

The Azerbaijani President charged the Cabinet of Ministers to work out a project of the state program for creation and development of space industry to give impetus to use high technologies in Azerbaijan and create industry in Azerbaijan. This project will give impetus to use the highest technologies in Azerbaijan.

The Communications and IT Ministry was charged to take appropriate measures necessary for launching telecommunication satellites (Azerspace) in orbit. The state plans include launching of two satellites in orbit. The first satellite is planned to be launched for 2011, the second one - in 2012. The project cost varies $100-170 million.

Successful implementation of the oil and gas strategy and flows of oil dollars in Azerbaijan  recently allowed Azerbaijan to have big ideas to implement global projects.

Existence of a national satellite will enable Azerbaijan to establish high-quality and reliable communications, television, as well as increase the number of channels. Azerspace Satellite will cover Europe and Asia that would enable Azerbaijan play the role of transit countries in broadcasting of channels. Moreover, launching of own satellites into orbit will be the first step in realization of prospective projects to turn Azerbaijan in a country with the space industry.

At present, Azerbaijan got a license of the International Telecommunication Union (ITU) for placing Azerspace in geostationary orbit.

It is supposed that the project will be financed through public investments, then will pass to self-repayment at the initial stage. Term of exploitation of the satellite will be 15 years, payback period - about five years. Azerbaijan intends to use about 25 percent of resources of the satellite, the rest part will be offered to operators in other countries.

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