P8_TC1-COD(2018)0236

Position of the European Parliament adopted at first reading on 17 April 2019 with a view to the adoption of Regulation (EU) /… of the European Parliament and of the Council establishing the space programme of the Union and the European Union Agency for the Space Programme and repealing Regulations (EU) No 912/2010, (EU) No 1285/2013, (EU) No 377/2014 and Decision 541/2014/EU

(Text with EEA relevance)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Article 189(2) thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national parliaments,

Acting in accordance with the ordinary legislative procedure (1),

Whereas:

(1) Space technology, data and services have become indispensable in the daily lives of Europeans and play an essential role in preserving many strategic interests. The Union’s space industry is already one of the most competitive in the world. However, the emergence of new players and the development of new technologies are revolutionising traditional industrial models. It is therefore crucial that the Union remains a leading international player with extensive freedom of action in the space domain, that it encourages scientific and technical progress and support the competitiveness and innovation capacity of space sector industries within the Union, in particular small and medium-sized enterprises, start-ups and innovative businesses.

(2) The possibilities that space offers for the security of the Union and its Member States should be exploited as referred to in particular in the Global Strategy for the European Union's Foreign and Security Policy of June 2016, while retaining the civil nature of the programme and respecting the possible neutrality or non-alignment provisions stipulated in the constitutional law of Member States. The space sector’s development has historically been linked to security. In many cases, the equipment, components and instruments used in the space sector as well as space data and services are dual-use ▌. However, the Union’s security and defence policy is determined within the framework of the Common Foreign and Security Policy, in accordance with Title V TEU .

(3) The Union has been developing its own space initiatives and programmes since the end of the 1990s, namely the European Geostationary Navigation Overlay Service (EGNOS) and then Galileo and Copernicus, which respond to the needs of Union citizens and the requirements of public policies. ▌ The continuity of those initiatives should be ensured and the services they provide should be improved, so that they meet the new needs of users, remain at the forefront in view of new technology development and the transformations in the digital and information and communications technology domains ▌ and are able to meet political priorities such as climate change, including monitoring changes in the polar region, transport , security and defence.

(3a) Synergies between the transport, space and digital sector needs to be exploited in order to foster the broader use of new technologies (such as e-call, digital tachograph, traffic supervisions and management, autonomous driving, unmanned vehicles and drones) and tackle the needs of secure and seamless connectivity, robust positioning, inter modality and interoperability, thus enhancing the competitiveness of transport services and industry.

(3b) To fully reap the benefits of the Programme, in all Member States and by all their citizens, it is also essential to promote the use and the uptake of the data, information and services provided, as well as the support the development of downstream applications based on those data, information and services. To that end, the Member States, the Commission and the responsible entities could notably periodically run the information campaigns regarding the benefits of the Programme.

(4) To achieve the objectives of freedom of action , independence and security, a prerequisite is for the Union to benefit from an autonomous access to Space and be able to use it safely. It is therefore essential that the Union supports autonomous, reliable and cost-effective access to space, especially as regards critical infrastructure and technology, public security and the security of the Union and its Member States. The Commission should therefore have the possibility to aggregate launch services at European level, both for its own needs and, at their request, for those of other entities, including Member States, in conformity with the provisions of Article 189(2) of the Treaty. To remain competitive in a fast evolving market, it is also crucial that the Union continues to have access to modern, efficient and flexible launch infrastructure facilities and to benefit from appropriate launch systems. Therefore, without prejudice to measures taken by Member States and the European Space Agency, the Programme might support adaptations to the space ground infrastructure , including new developments, which are necessary for the implementation of the Programme and adaptations, including technology development, to space launch systems which are necessary for launching satellites, including alternative technologies and innovative systems, for the implementation of the Programme's components. Those activities should be implemented in accordance with the Financial Regulation and ▌ with the view of achieving a better cost efficiency for the Programme. In view that there is no dedicated budget, the actions in support of access to space would be without prejudice to the implementation of the Programme components.

(5) To strengthen the competitiveness of the Union space industry and gain capacities in designing, building and operating its own systems, the Union should support the creation, growth, and development of the entire space industry. The emergence of a business- and innovation-friendly model should be supported at European, regional and national levels by initiatives such as space hubs that bring together the space, digital and other sectors , as well as users. Those space hubs should aim to foster entrepreneurship and skills while pursuing synergies with the digital innovation hubs . The Union should foster the creation and expansion of Union-based space companies to help them succeed, including by supporting them in accessing risk finance in view of the lack, within the Union, of appropriate access to private equity for space start-ups and by fostering demand (first contract approach).

(5xx) The space value chain is generally segmented as: i) upstream, comprising activities leading to an operational space system, including development, manufacturing and launch activities and the operations of such system; and ii) downstream, covering the provision of space-related services, and products to the users. Digital platforms are also an important element supporting the development of the space sector, allowing access to data and products as well as toolboxes, storage and computing facilities.

(5x) In the area of space, the Union exercises its competences in accordance with article 4(3) TFEU. The Commission should ensure the coherence of activities performed in the context of the programme.

(5a) Whereas a number of Member States have a tradition of active space related industries, the need to develop and mature space industries in Member States with emerging capabilities and the need to respond to the challenges to the traditional space industries posed by ‘New Space’ should be recognised. Actions to develop space industry capacity across the Union and facilitate collaboration across space industry active in all Member States should be promoted.

(5b) Actions under the Programme should build on and benefit from existing national and European capacities (i.e. capacities which exist at the time the action is being carried out).

(6) Owing to its coverage and its potential to help resolve global challenges, ▌ space activities have a strong international dimension. In close coordination with the Member States, and with their agreement, the relevant bodies of the EU Space Programme might participate in matters pertaining to the Space Programme, in international cooperation and to collaborate in relevant sectoral UN bodies. For matters relating to the Space Programme of the Union (‘Programme’), the Commission might coordinate , on behalf of the Union, and in its field of competence, activities on the international scene ▌, in particular to defend the interests of the Union and its Member States in international fora, including in the area of frequencies as regards the Programme, without prejudice to Member States competence in this area. It is particularly important that the Union, represented by the Commission, collaborates in the bodies of the International Cospas-Sarsat Programme.

(6a) International cooperation is paramount to promote the role of the Union as a global actor in the space sector and the Union's technology and industry, fostering a fair competition at international level, bearing in mind the need to ensure the reciprocity of the rights and obligations of the parties, and to encourage cooperation in the field of training. International cooperation is a key element of the Space Strategy for Europe. The Commission will use the EU space programme to contribute to and benefit from international efforts through initiatives, to promote European technology and industry internationally (for example bi-lateral dialogues, industry workshops, support for SME internationalisation), and to facilitate access to international markets and foster fair competition, also leveraging economic diplomacy initiatives. European space diplomacy initiatives should be in full coherence and complementarity with the existing EU policies, priorities and instruments, while, the Union has a key role to play together with the Union Member States to remain at the forefront of the international scene .

(7) Without prejudice to the competence of Member States, the Commission should promote, alongside ▌ the High Representative and in close coordination with Member States , responsible behaviour in space when implementing the programme, including to reduce space debris proliferation and explore the possibility for accession of the European Union to the relevant UN Treaties and Conventions and make, if necessary, appropriate proposals .

(8) The Programme shares similar objectives with other Union programmes, notably Horizon Europe, InvestEU Fund, European Defence Fund and Funds under Regulation (EU) [Common Provisions Regulation]. Therefore, cumulative funding from those programmes should be foreseen, provided they do cover the same costs , in particular through arrangements for complementary funding from Union programmes where management modalities permit — either in sequence, in an alternating way, or through the combination of funds including for the joint funding of actions, allowing, where possible, innovation partnerships and blending operations. During the implementation of the Programme, the Commission should therefore promote synergies with other related Union programmes and financial instruments, which would allow, where possible, use of access to risk finance, innovation partnerships, cumulative or blended funding. It should also ensure synergies and coherence between the solutions developed under those programmes, notably Horizon Europe, and the solutions developed under the Space Programme.

(8a) In accordance with Article 191(3) of the Financial Regulation, in no circumstances are the same costs to be financed twice by the Union budget, for example by both Horizon Europe and the Space Programme.

(9) The policy objectives of this Programme will also be addressed as eligible areas for financing and investment operations through financial instruments and budgetary guarantee of the InvestEU Fund, in particular under its sustainable infrastructure and research, innovation and digitisation policy windows. Financial support should be used to address market failures or sub-optimal investment situations, in a proportionate manner and actions should not duplicate or crowd out private financing or distort competition in the internal market. Actions should have a clear European added value.

(10) Coherence and synergies between Horizon Europe and the Programme will foster a competitive and innovative European space sector; reinforce Europe’s autonomy in accessing and using space in a secure and safe environment; and strengthen Europe’s role as a global actor. Breakthrough solutions in Horizon Europe will be supported by data and services made available by the Programme to the research and innovation community.

(10a) To maximise the socio-economic return from the Programme, it is essential to maintain state-of-the-art systems, to upgrade them to meet evolving users' needs and that new developments occur in the space-enabled downstream applications sector. The Union should support activities relating to research and technology development, or the early phases of evolution relating to the infrastructures established under the Programme, as well as the research and development activities relating to applications and services based on the systems established under the programme, thereby stimulating upstream and downstream economic activities. The appropriate instrument at Union level to finance those research and innovation activities is Horizon Europe established by Regulation (EU) No XXX/XXXX. However, a very specific part of development activities should be financed from the budget allocated to the Galileo and EGNOS components under this Regulation, notably where such activities concern fundamental elements such as Galileo-enabled chipsets and receivers, which will facilitate the development of applications across different sectors of the economy. Such financing should nevertheless not jeopardise the deployment or exploitation of the infrastructures established under the Programmes.

(10x) To ensure the competitiveness of the European space industry in the future, the Programme should support the development of advanced skills in space-related fields and support education and training activities, promoting equal opportunities, including gender equality, in order to realise the full potential of Union citizens in that area.

(10b) Infrastructure dedicated to the Programme may require additional research and innovation, which may be supported under Horizon Europe, aiming for coherence with activities in this domain by the European Space Agency. Synergies with Horizon Europe should ensure that research and innovation needs of the space sector are identified and established as part of the strategic research and innovation planning process. Space data and services made freely available by the Programme will be used to develop breakthrough solutions through research and innovation, including in Horizon Europe, in support to the Union policy priorities. The strategic planning process under Horizon Europe will identify research and innovation activities that should make use of Union-owned infrastructures such as Galileo, EGNOS and Copernicus. Research infrastructures, in particular in situ observing networks will constitute essential elements of the in situ observation infrastructure enabling the Copernicus Services.

(11) It is important that the Union own all tangible and intangible assets created or developed through public procurement that it finances as part of its space programme. In order to ensure full compliance with any fundamental rights relating to ownership, the necessary arrangements should be made with any existing owners. Such ownership by the Union should be without prejudice to the possibility for the Union, in accordance with this Regulation and where it is deemed appropriate on the basis of a case-by-case assessment, to make those assets available to third parties or to dispose of them.

(11a) To encourage the widest possible use of the services offered by the Programme, it would be useful to stress that data, information and services are provided without warranty without prejudice to obligations imposed by legally binding provisions.

(11b) The Commission, in performing certain of its tasks of a non-regulatory nature, may have recourse, as required and insofar as necessary, to the technical assistance of certain external parties. Other entities involved in the public governance of the Programme may also make use of the same technical assistance in performing tasks entrusted to them under this Regulation.

(12) This Regulation lays down a financial envelope for the Programme which is to constitute the prime reference amount, within the meaning of point 17 of the Interinstitutional Agreement of 2 December 2013 between the European Parliament, the Council and the Commission on budgetary discipline, on cooperation in budgetary matters and on sound financial management, for the European Parliament and the Council during the annual budgetary procedure.

(13) Reflecting the importance of tackling climate change in line with the Union's commitments to implement the Paris Agreement and the United Nations Sustainable Development Goals, this Programme will contribute to mainstream climate actions and to the achievement of an overall target of 25 % of the EU budget expenditures supporting climate objectives. Relevant actions will be identified during the Programme's preparation and implementation, and reassessed in the context of the relevant evaluations and review processes.

(14) ▌ Revenue generated by the components of the Programme should accrue to the Union in order to partially offset the investments that it has already made, and that revenue should be used to support the achievements of the objectives of the Programme. For the same reason, it should be possible to provide for a revenue-sharing mechanism in contracts concluded with private sector entities.

(15) As the Programme is, in principle, financed by the Union, procurement contracts concluded under this programme for activities financed by the Programme should comply with Union rules. In that context, the Union should also be responsible for defining the objectives to be pursued as regards public procurement. It is to be noted that the Financial Regulation provides that, on the basis of the results of an ex ante assessment, the Commission may rely on the systems and the procedures of the persons or entities implementing Union funds. Specific adjustments necessary to these systems and procedures, as well as the arrangements for the prolongation of the existing contracts, should be defined in the corresponding financial framework partnership agreement or contribution agreement.

(16) The Programme relies on complex and constantly changing technologies. The reliance on such technologies results in uncertainty and risk for public contracts concluded under this programme, insofar as those contracts involve long-term commitments to equipment or services. Specific measures concerning public contracts are therefore required in addition to the rules laid down in the Financial Regulation. It should thus be possible to award a contract in the form of a conditional stage-payment contract, introduce an amendment, under certain conditions, in the context of its performance, or impose a minimum level of subcontracting , notably in order to enable the participation of small and medium-sized enterprises and start-ups . Lastly, given the technological uncertainties that characterise the components of the Programme, contract prices cannot always be forecast accurately and it should therefore be possible to conclude contracts without stipulating a firm fixed price and to include clauses to safeguard the financial interests of the Union.

(16a) To foster public demand and public sector innovation, the Programme should promote the use of data, information and services of the Programme to support the development of customised solutions by industry and SMEs at local and regional levels through space-related innovation partnerships, as referred to in point 7 of Annex 1 of the Financial Regulation, allowing to cover all stages from development up to deployment and procurement of customised interoperable space solutions for public services.

(17) In order to meet the objectives of the Programme, it is important to be able to call, where appropriate, on capacities offered by Union public and private entities active in the space domain and also to be able to work at international level with third countries or international organisations. For that reason, provision must be made for the possibility of using all the relevant tools and management methods provided for by Treaty and the Financial Regulation ▌ and joint procurement procedures.

(18) On grants more specifically, experience has shown that user and market uptake and general outreach work better in a decentralized manner than top-down by the Commission. Vouchers, which are a form of financial support from a grant beneficiary to third parties, have been among the actions with the highest success rate to new entrants and small and medium-sized enterprises. However, they have been hindered by the ceiling on financial support imposed by the Financial Regulation. This ceiling should therefore be raised for the EU Space Programme in order to keep pace with the growing potential of market applications in the space sector.

(19) The types of financing and the methods of implementation under this Regulation should be chosen on the basis of their ability to achieve the specific objectives of the actions and to deliver results, taking into account, in particular, the costs of controls, the administrative burden, and the expected risk of non-compliance. This should include consideration of the use of lump sums, flat rates and unit costs, as well as financing not linked to costs as referred to in [Article 125(1)] of the Financial Regulation.

(20) Regulation (EU, Euratom) No [the new FR] (the ‘Financial Regulation’) applies to this Programme. It lays down rules on the implementation of the Union budget, including the rules on grants, prizes, procurement, indirect implementation, financial assistance, financial instruments and budgetary guarantees.

(21) Pursuant to [reference to be updated as appropriate according to a new decision on OCTs: Article 88 of Council Decision …/…/EU], persons and entities established in overseas countries and territories (OCTs) should be eligible for funding subject to the rules and objectives of the Programme and possible arrangements applicable to the Member State to which the relevant overseas country or territory is linked.

(22) Horizontal financial rules adopted by the European Parliament and the Council on the basis of Article 322 of the Treaty on the Functioning of the European Union apply to this Regulation. These rules are laid down in the Financial Regulation and determine in particular the procedure for establishing and implementing the budget through grants, procurement, prizes, indirect implementation, and provide for checks on the responsibility of financial actors. Rules adopted on the basis of Article 322 TFEU also concern the protection of the Union's budget in case of generalised deficiencies as regards the rule of law in the Member States, as the respect for the rule of law is an essential precondition for sound financial management and effective EU funding.

(23) In accordance with Regulation (EU, Euratom) No 2018/1046 of the European Parliament and of the Council (2) (the ‘Financial Regulation’), Council Regulation (EC, Euratom) No 2988/95 (3) , and Council Regulation (Euratom, EC) No 2185/96 (4), the financial interests of the Union are to be protected through proportionate measures, including the prevention, detection, correction and investigation of irregularities and fraud, the recovery of funds lost, wrongly paid or incorrectly used and, where appropriate, the imposition of administrative sanctions. In particular, in accordance with Regulation (EU, Euratom) No 883/2013 and Regulation (Euratom, EC) No 2185/96, the European Anti-Fraud Office (OLAF) may carry out administrative investigations, including on-the-spot checks and inspections, with a view to establishing whether there has been fraud, corruption or any other illegal activity affecting the financial interests of the Union. In accordance with Regulation (EU) 2017/1939, the European Public Prosecutor's Office (‘the EPPO’) may investigate and prosecute fraud and other criminal offences affecting the financial interests of the Union as provided for in Directive (EU) 2017/1371 of the European Parliament and of the Council (5). In accordance with the Financial Regulation, any person or entity receiving Union funds is to fully cooperate in the protection of the Union’s financial interests, to grant the necessary rights and access to the Commission, OLAF, the EPPO and the European Court of Auditors (ECA) and to ensure that any third parties involved in the implementation of Union funds grant equivalent rights.

(24) Third countries which are members of the ▌ EEA ▌ may participate in Union programmes in the framework of the cooperation established under the EEA agreement, which provides for the implementation of the programmes by a decision under that agreement. Third countries may also participate on the basis of other legal instruments. A specific provision should be introduced in this Regulation to grant the necessary rights for and access to the authorizing officer responsible, ▌ OLAF ▌ as well as the European Court of Auditors to comprehensively exert their respective competences.

(25) Sound public governance of the Programme requires the clear distribution of responsibilities and tasks among the different entities involved to avoid unnecessary overlap and reduce cost overruns and delays. All the actors of the governance should support, in their field of competence and in accordance with their responsibilities, the achievement of objectives of the Programme.

(26) Member States have long been active in the field of space. They have systems, infrastructure, national agencies and bodies linked to space. They can therefore make a big contribution to the Programme, especially its implementation ▌. They might cooperate ▌ with the Union to promote the Programme’s services and applications. The Commission might be able to mobilise the means at Member States' disposal, benefit from their assistance and, subject to mutually agreed conditions, entrust the Member States with non-regulatory tasks in the execution of the Programme ▌. Moreover, the Member States concerned should take all necessary measures to ensure the protection of the ground stations established on their territories. In addition, Member States and the Commission should work together and with appropriate international bodies and regulatory authorities to ensure that the frequencies necessary for the Programme are available and protected at the adequate level to allow for the full development and implementation of applications based on the services offered, in compliance with Decision No 243/2012/EU of the European Parliament and of the Council of 14 March 2012 establishing a multiannual radio spectrum policy programme (6).

(26a) In certain duly justified circumstances, the Agency might entrust specific tasks to Member States or group of Member States. That entrustment should be limited to activities the Agency is not in the capacity to execute itself and should not prejudice the governance of the Programme and the allocation of tasks as defined in this Regulation.

(27) As promoter of the Union’s general interest, it falls to the Commission to supervise the implementation of the Programme, assume overall responsibility and promote their use. In order to optimise the resources and competences of the various stakeholders, the Commission should be able to delegate certain tasks. Moreover the Commission is the best placed to determine the main requirements necessary to implement systems and services evolution

(28) The mission of the European Union Agency for the Space Programme (‘the Agency’), which replaces and succeeds the European GNSS Agency established by Regulation (EU) No 912/2010, is to contribute to the Programme, particularly as regards security accreditation as well as market and downstream applications development . Certain tasks linked to those areas should therefore be assigned to the Agency. In relation to security in particular, and given its experience in this area, the Agency should be responsible for the security accreditation tasks for all the Union actions in the space sector. Building on its positive track-record in promoting the user and market uptake of Galileo and EGNOS, the Agency should also be entrusted with user uptake activities relating to the Programme’s components other than Galileo and EGNOS, as well as downstream application development activities for all the Programme’s components. This would allow taking benefit of economies of scale and providing an opportunity for the development of applications based on several Programme’s components (integrated applications) Those activities should however not prejudice the service and user uptake activities entrusted by the Commission to Copernicus entrusted entities. The entrustment of downstream applications development to the Agency does not prevent other entrusted entities to develop downstream applications. Furthermore, it should perform the tasks which the Commission confers on it by means of one or more contribution agreements under a financial framework partnership agreement covering ▌ other specific tasks associated with the programme. When entrusting tasks to the Agency, adequate human, administrative and financial resources should be made available.

(28a) Galileo and EGNOS are complex systems that require intensive coordination. Considering that Galileo and EGNOS are Union components, that coordination should be performed by a Union institution or a Union body. Building on the expertise developed in the past years, the Agency is the most appropriate body to coordinate all the operational tasks relating to the exploitation of those systems, except for the international cooperation. The Agency should therefore be entrusted with the management of the exploitation of EGNOS and Galileo. Nevertheless, this does not mean that the Agency should perform alone all the tasks relating to the exploitation of the systems. It could rely on the expertise of other entities, in particular the European Space Agency. This should include the activities on systems evolution, design and development of parts of the ground segment and satellites which should be entrusted to the European Space Agency. The allocation of tasks to other entities builds on the competence of such entities and should avoid duplication of work.

(29) The European Space Agency is an international organisation with extensive expertise in the space domain and which entered into a Framework Agreement with the European Community in 2004. It is therefore an important partner in the implementation of the Programme, with which ▌ appropriate relations should be established. In this regard, and in compliance with the Financial Regulation, the Commission should conclude a financial framework partnership agreement with the European Space Agency and the Agency that governs all financial relations between the Commission, the Agency and the European Space Agency and ensures their consistency and conform to the Framework Agreement concluded between the European Community and the European Space Agency, in particular with Articles 2 and 5 thereof. However, as the European Space Agency is not a Union body and is not subject to Union law, it is essential provides that the European Space Agency takes appropriate measures to ensure the protection of the interests of the Union and its Member States and as regards budget implementation, tasks entrusted to it complies with the decisions taken by the Commission . The agreement should also contain all the clauses necessary to safeguard the Union’s financial interests.

(30) The functioning of SATCEN as a European autonomous capability providing access to information and services resulting from exploitation of relevant space assets and collateral data was already acknowledged in the implementation of Decision No 541/2014/EU .

(31) To structurally embed the user representation in the governance of GOVSATCOM and to aggregate user needs and requirements across national and civil-military boundaries, the relevant Union entities with close user-ties, such as the European Defence Agency, the European Border and Coast Guard Agency, the European Maritime Safety Agency, the European Fisheries Control Agency, the European Union Agency for Law Enforcement Cooperation, the Military Planning and Conduct Capability/Civilian Planning and Conduct Capability and the Emergency Response Coordination Centre may have coordinating roles for specific user groups. At an aggregated level the Agency should coordinate user-related aspects for the civilian ▌ user communities and may monitor operational use, demand, conformance to requirements and evolving needs and requirements.

(32) Owing to the importance of space-related activities for the Union economy and the lives of Union citizens, the dual-use nature of the systems and of the applications based on those systems, achieving and maintaining a high degree of security should be a key priority for the Programme, particularly in order to safeguard the interests of the Union and of its Member States, including in relation to classified and other sensitive non-classified information.

(33) Without prejudice to Member States' prerogatives in the area of national security, the Commission and the High Representative, each within their respective area of competence, should ensure the security of the Programme in accordance with this Regulation and, where relevant, Council Decision 201x/xxx/CFSP (7).

(33a) Given the specific expertise of EEAS and its regular contact with administrations of third countries and international organisations, the EEAS may assist the Commission in performing certain of its tasks relating to the security of the Programme in the field of external relations, in accordance with Council Decision 2010/427/EU.

(34) Without prejudice to the sole responsibility of the Member States in the area of national security, as provided for in Article 4(2) TEU, and to the right of the Member States to protect their essential security interests in accordance with Article 346 TFEU, a specific governance of security should be established to ensure a smooth implementation of the Programme. That governance ▌ should be based on three key principles. Firstly, it is imperative that Member States’ extensive, unique experience in security matters be taken into consideration to the greatest possible extent . Secondly, in order to prevent conflicts of interest and any shortcomings in applying security rules, operational functions must be segregated from security accreditation functions. Thirdly, the entity in charge of managing all or part of the components of the Programme is also the best placed to manage the security of the tasks entrusted to it. The security of the Programme will build upon the experience gained in the implementation of Galileo, EGNOS and Copernicus over the past years. Sound security governance also requires that roles be appropriately distributed among the various players. As it is responsible for the Programme, the Commission , without prejudice to Member States prerogatives in the area of national security, should determine the general security requirements applicable to each of the programme’s components.

(34x) The cybersecurity of European space infrastructures, both ground and space, is key to ensuring the continuity of the operations of the systems and service continuity. The need to protect the systems and their services againts cyberattacks, including by making use of new technologies, should therefore be duly taken into account when establishing security requirements.

(34a) A security monitoring structure should be identified by the Commission when appropriate after the risk and threat analysis. This security monitoring body should be the entity responding to instructions developed under the scope of Decision 201x/xxx/CFSP. For Galileo, that body should be the Galileo Security Monitoring Centre. With regard to the implementation of Decision 20xx/xxx/CFSP, the role of the Security Accreditation Board will be limited to providing the Council and/or the HR with inputs linked to the security accreditation of the system.

(35) In view of the uniqueness and complexity of the Programme and its link to security, recognised and well established principles should be followed for security accreditation. It is thus indispensable that security accreditation activities be carried out on the basis of collective responsibility for the security of the Union and its Member States, by endeavouring to build consensus and involving all those concerned with the issue of security, and that a procedure for permanent risk monitoring be put in place. It is also imperative that technical security accreditation activities be entrusted to professionals who are duly qualified in the field of accrediting complex systems and who have an adequate level of security clearance.

(35x) EU classified information (EUCI) is to be handled in accordance with the security rules as set out in Commission Decision (EU, Euratom) 2015/444 and Council Decision 2013/488/EU. In accordance with the Council Decision, the Member States are to respect the principles and minimum standards laid down therein, in order to assure that an equivalent level of protection is afforded to EUCI.

(36) To ensure the secure exchange of information, appropriate agreements should be established to ensure the protection of EU classified information provided to third countries and international organisations in the context of the Programme.

(37) One of the main objectives of the Programme consists in ensuring its security and strategic autonomy, strengthening its capacity to act in numerous sectors, in particular security, and taking advantage of the possibilities that space offers for the security of the Union and its Member States. This objective requires strict rules on the eligibility of the entities that may take part in activities financed under the Programme which require access to EU classified information (EUCI) or to sensitive non-classified information.

(37a) In the context of the Programme, there is some information which, although not classified, is to be handled according to acts already in force or to national laws, rules and regulations, including through distribution limitations.

(38) A growing number of key economic sectors, in particular transport, telecommunications, agriculture and energy, increasingly use satellite navigation and Earth observation systems. The Programme should exploit the synergies between those sectors, taking into consideration the benefits that space technologies bring to those sectors, support the development of compatible equipment and promote the development of relevant standards and certifications. Synergies between space activities and activities linked to the security and defence of the Union and its Member States are also increasing . Having full control of satellite navigation should therefore guarantee the Union's technological independence, including in the longer term for the components of infrastructure equipment, and ensure its strategic autonomy.

(39) The aim of Galileo is to establish and operate the first global satellite navigation and positioning infrastructure specifically designed for civilian purposes, which can be used by a variety of public and private actors in Europe and worldwide. Galileo functions independently of other existing or potential systems, thus contributing amongst other things to the strategic autonomy of the Union. The second generation of the system should be progressively rolled out before 2030, initially with reduced operational capacity.

(40) The aim of EGNOS is to improve the quality of open signals from existing global navigation satellite systems, in particular those emitted by the Galileo system. The services provided by EGNOS should cover, as a priority, the Member States’ territories geographically located in Europe, including for this purpose Cyprus, the Azores, the Canary Islands and Madeira by the end of 2026. In the aviation domain, all those territories should benefit from EGNOS for air navigation services for all the performance levels supported by EGNOS . Subject to technical feasibility and, for the safety of life, on the basis of international agreements, the geographical coverage of the services provided by EGNOS could be extended to other regions of the world. Without prejudice to Regulation (EU) 2018/1139 and the necessary monitoring of Galileo service quality for aviation purposes, it should be noted that while the signals emitted by Galileo may effectively be used to facilitate the positioning of aircraft, in all phase of flight, through the necessary augmentation system (local, regional, on board avionics) only local or regional augmentation systems such as EGNOS in Europe may constitute air-traffic management (ATM) services and air navigation services (ANS). The EGNOS safety-of-life service should be provided in compliance with applicable ICAO standards.

(41) It is imperative to ensure the sustainability ▌ of the ▌ Galileo and EGNOS systems and the continuity, availability, accuracy, reliability and security of their services . In a changing environment and rapidly developing market, their development should also continue and new generations of these systems , including associated space and ground segment evolution, should be prepared.

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(43) The term ‘commercial service’ used in Regulation (EU) No 1285/2013 of the European Parliament and of the Council of 11 December 2013 on the implementation and exploitation of European satellite navigation systems and repealing Council Regulation (EC) No 876/2002 and Regulation (EC) No 683/2008 of the European Parliament and of the Council (8) is no longer suited in the light of the evolution of that service. Instead two separate services have been identified, namely the high-accuracy service and the authentication service (9).

(44) In order to optimise the use of the services provided, the services provided by Galileo and EGNOS should be compatible and interoperable with one another , including at users' level, and, insofar as possible, with other satellite navigation systems and with conventional means of radio navigation where such compatibility and interoperability is laid down in an international agreement, without prejudice to the objective of strategic autonomy of the Union.

(45) Considering the importance for Galileo and EGNOS of their ground-based infrastructure and the impact thereof on their security, the determination of the location of the infrastructure should be made by the Commission. The deployment of the ground-based infrastructure of the systems should continue to follow an open and transparent process , which could involve the Agency where appropriate based on its field of competence .

(46) To maximise the socio-economic benefits of Galileo and EGNOS, while contributing to Union's strategic autonomy, notably in sensitive sectors and in the area of safety and security, the use of the services provided by EGNOS and Galileo in other Union policies should be promoted also by regulatory means where this is justified and beneficial. Measures to encourage the use of those services in all Member States are also an important part of the process.

(47) Copernicus should ensure an autonomous access to environmental knowledge and key technologies for Earth observation and geo-information services, thereby supporting the Union to achieve independent decision-making and actions in the fields of the environment, climate change, marine, maritime, agriculture and rural development, preservation of cultural heritage, civil protection, land and infrastructure monitoring , security, as well as the digital economy, among others.

(47b) The Programme’s components should stimulate the application of digital technology in space systems, data and service distribution, downstream development. In that context the particular attention should be given to the initiatives and actions proposed by the Commission in its Communication of 14 September 2016 entitled ‘Connectivity for a Competitive Digital Single Market — Towards a European Gigabit Society’ and Communication of 14 September 2016 entitled ‘5G for Europe: An Action Plan’.

(48) Copernicus should build on, ensure continuity with and enhance the activities and achievements under Regulation (EU) No 377/2014 of the European Parliament and of the Council (10) establishing the Union Earth observation and monitoring programme (Copernicus) as well as Regulation (EU) No 911/2010 of the European Parliament and of the Council on the European Earth monitoring programme (GMES) and its initial operations (11) establishing the predecessor Global Monitoring for Environment and Security (GMES) programme and the rules for implementation of its initial operations, taking into account recent trends in research, technological advances and innovations impacting the Earth observation domain, as well as developments in big data analytics and Artificial Intelligence and related strategies and initiatives at Union level (12). For the development of new assets, the Commission should work closely with Member States, the European Space Agency, EUMETSAT and, where appropriate, other entities owning relevant space and in situ assets. To the greatest extent possible, it should make use of capacities for space-borne observations of the Member States, the European Space Agency, EUMETSAT (13), as well as other entities, including commercial initiatives in Europe, thereby also contributing to the development of a viable commercial space sector in Europe. Where feasible and appropriate, it should also make use of the available in situ and ancillary data provided mainly by the Member States in accordance with Directive 2007/2/EC (14). The Commission should work together with the Member States and the European Environment Agency to ensure an efficient access and use of the in-situ data sets for Copernicus.

(49) Copernicus should be implemented in accordance with the objectives of Directive 2003/98/EC of the European Parliament and of the Council on the re-use of public sector information amended by Directive 2013/37/EU of the European Parliament and of the Council of 26 June 2013 amending Directive 2003/98/EC on the re-use of public sector information (15), in particular transparency, the creation of conditions conducive to the development of services, and contributing to economic growth and job creation in the Union. Copernicus data and Copernicus information should be available freely and openly.

(49a) The full potential of Copernicus for the Union society and economy should be fully unleashed beyond direct beneficiaries by means of an intensification of user uptake measures, which requires further action to render the data usable by non-specialists and thereby stimulate growth, job creation and knowledge transfers.

(50) Copernicus is a user-driven programme. Its evolution should therefore be based on the evolving requirements of the Copernicus core users, while also recognising the emergence of new user communities either public or private. Copernicus should base itself on an analysis of options to meet evolving user needs, including those related to implementation, and monitoring of Union policies which require the continuous, effective involvement of users, particularly regarding the definition and validation of requirements.

(51) Copernicus is already operational. It is therefore important to ensure the continuity of the infrastructure and services already in place, whilst adapting to the changing user needs, market environment, notably the emergence of private actors in space (‘New Space’) and socio-political developments for which a rapid response is needed. This requires an evolution of the functional structure of Copernicus to better reflect the shift from the first stage of operational services to the provision of advanced and more targeted services to new user communities and the fostering of added-value downstream markets. To this end, its further implementation should adopt an approach following the data value chain, i.e. data acquisition, data and information processing, distribution and exploitation, user ▌ market uptake and capacity building activities, while the strategic planning process under Horizon Europe will identify research and innovation activities that should make use of Copernicus.

(52) With regard to data acquisition, the activities under Copernicus should aim at completing and maintaining the existing space infrastructure, preparing the long-term replacement of the satellites at the end of their lifetime, as well as initiating new missions addressing in particular new observation systems to support meeting the challenge of global climate change (e.g. anthropogenic CO2 and other greenhouse gas emissions monitoring). Activities under Copernicus should expand their global monitoring coverage over the polar regions and support environmental compliance assurance, statutory environmental monitoring and reporting and innovative environmental applications in agriculture, forest, water and marine resources management and cultural heritage (e.g. for crops monitoring, water management and enhanced fire monitoring). In doing so, Copernicus should leverage and take maximum advantage of the investments made under the previous funding period (2014-2020), including those made by Member States, ESA and EUMETSAT, while exploring new operational and business models to further complement the Copernicus capacities. Copernicus might also build on successful partnerships with Member States to further develop its security dimension under appropriate governance mechanisms, in order to respond to evolving user needs in the security domain.

(53) As part of the data and information processing function, Copernicus should ensure the long-term sustainability and further development of ▌ Copernicus services, providing information in order to satisfy public sector needs and those arising from the Union’s international commitments, and to maximise opportunities for commercial exploitation. In particular, Copernicus should deliver, at the local, national, European and global scale, information on the composition of the atmosphere and air quality ; information on the state and dynamics of the oceans; information in support of land and ice monitoring supporting the implementation of local, national and Union policies; information in support of climate change adaptation and mitigation; geospatial information in support of emergency management, including through prevention activities, environmental compliance assurance, as well as civil security including support for the Union's external action. The Commission should identify appropriate contractual arrangements fostering the sustainability of service provision.

(54) In the implementation of the Copernicus Services, the Commission should rely on competent entities, relevant Union agencies, groupings or consortia of national bodies, or any relevant body potentially eligible for a contribution agreement. In the selection of these entities, the Commission should ensure that there is no disruption in the operations and provision of services and that, where security-sensitive data is concerned, the entities concerned have early warning and crisis monitoring capabilities within the context of the Common Foreign and Security Policy (CFSP) and, in particular, of the Common Security and Defence Policy (CSDP). In accordance with Article 154 of the Financial Regulation, persons and entities entrusted with the implementation of Union funds are obliged to respect the principle of non-discrimination towards all Member States; this principle should be ensured through the relevant contribution agreements relating to the provision of the Copernicus services.

(55) The implementation of the Copernicus services should facilitate the public uptake of services as users would be able to anticipate the availability and evolution of services as well as cooperation with Member States and other parties. To this end, the Commission and its entrusted entities providing services should engage closely with core user communities across Europe in further developing the Copernicus services and information portfolio to ensure that evolving public sector and policy needs are met and thus the uptake of Earth observation data can be maximised. The Commission and Member States should work together to develop the in-situ component of Copernicus and to facilitate the integration of in-situ datasets with space datasets for upgraded Copernicus services.

(55a) Copernicus’s free, full and open data policy has been evaluated as one of the most successful elements of Copernicus’ implementation and has been instrumental in driving strong demand for its data and information, establishing Copernicus as one of the largest EO data provider in the world. There is a clear need to guarantee the long-term and secure continuity of the free, full and open data provision and access should be safeguarded in order to realise the ambitious goals as set out in the Space Strategy for Europe (2016). Copernicus data is created primarily for the benefit of European citizens, and by making this data freely available worldwide collaboration opportunities are maximized for EU businesses and academics and contribute to an effective European space ecosystem. Should any limitation be placed on the access to Copernicus data and information, it should be in line with the Copernicus data policy as defined in this Regulation and Commission Delegated Regulation (EU) No 1159/2013.

(56) The data and information produced in the framework of Copernicus should be made available on a full, open and free-of-charge basis subject to appropriate conditions and limitations, in order to promote their use and sharing, and to strengthen the European Earth observation markets, in particular the downstream sector, thereby enabling growth and job creation in the Union. Such provision should continue to provide data and information with high levels of consistency, continuity, reliability, and quality. This calls for large-scale and user-friendly access to, processing and exploitation of Copernicus data and information, at various timeliness levels, for which the Commission should continue to follow an integrated approach, both at EU and Member States level, enabling also integration with other sources of data and information. Therefore the Commission should take the necessary measures to ensure that Copernicus data and information is easily and effieciently accessible and usable, notably by promoting the Data and Information Access Services (DIAS) within Member States and when possible fostering interoperability between the existing European EO data infrastructures to establish synergies with these assets in order to maximise and strengthen market uptake of Copernicus data and information.

(57) The Commission should work with data providers to agree licensing conditions for third-party data to facilitate their use within Copernicus, in compliance with this Regulation and applicable third-party rights. As some Copernicus data and Copernicus information, including high-resolution images, may have an impact on the security of the Union or its Member States, in duly justified cases, measures in order to deal with risks and threats to the security of the Union or its Member States may be adopted.

(58) The provisions of legal acts adopted under previous regulations without ending date should remain valid unless in contradiction with the new regulation. This concerns in particular the Commission Delegated Regulation (EU) No 1159/2013 establishing the registration and licensing conditions for GMES users and defining criteria for restricting access to GMES dedicated data and GMES service information (16).

(59) To promote and facilitate the use of Earth observation data and technologies both by local , regional or national authorities, by small and medium-sized enterprises, scientists and researchers, dedicated networks for Copernicus data distribution, including national and regional bodies such as Copernicus Relays and Copernicus Academies , should be promoted through user uptake activities. To this end, the Commission and the Member States should strive to establish closer links between Copernicus and Union and national policies in order to drive the demand for commercial applications and services and enable enterprises, particular small and medium-sized enterprises and start-ups, to develop applications based on Copernicus data and information aiming at developing a competitive Earth observation data eco-system in Europe.

(60) In the international domain, Copernicus should provide accurate and reliable information for cooperation with third countries and international organisations, and in support of the Union’s external and development cooperation policies. Copernicus should be considered as a European contribution to the Global Earth Observation System of Systems (GEOSS), the Committee on Earth Observation Satellites (CEOS), the Conference of the Parties (COP) to the 1992 United Nations Framework Convention on Climate Change (UNFCCC) , the achievement of the United Nations Sustainable Development Goals (SDG) and the Sendai Framework for Disaster Risk Reduction. It should establish or maintain appropriate cooperation with relevant sectoral UN bodies and the World Meteorological Organisation.

(61) In the implementation of Copernicus, the Commission should rely, where appropriate, on European international organisations with which it has already established partnerships, in particular the European Space Agency for the development , coordination, implementation and evolution of the space components, access to third party data where appropriate and when not undertaken by other entities the operation of dedicated missions. In addition, the Commission should rely on EUMETSAT for the operation of dedicated missions or parts thereof and, where appropriate, access to contributing mission data in accordance with its expertise and mandate.

(61a) In the domain of services, the Commission should take appropriate benefit from the specific capacities provided by Union Agencies such as the European Environment Agency, the European Maritime Safety Agency, the European Border and Coast Guard Agency, SATCEN and the European investments made already in marine environment monitoring services through Mercator Ocean. On security, a comprehensive approach at Union level will be sought with the High Representative. The Joint Research Centre (JRC) of the Commission has been actively involved from the start of the GMES initiative and has supported developments for Galileo and space weather. Under Regulation (EU) No 377/2014; the JRC is managing the Copernicus emergency management service and the global component of the Copernicus land monitoring service; it is contributing to the review of the quality and fitness for purpose of data and information, and to the future evolution. The Commission should continue relying on JRC's scientific and technical advice for the implementation of the Programme.

(62) Following the requests of the European Parliament and of the Council and, the Union established a support framework for space surveillance and tracking (SST) by means of Decision No 541/2014/EU of the European Parliament and of the Council of 16 April 2014 establishing a Framework for Space Surveillance and Tracking Support. Space debris has become a serious threat to the security, safety and sustainability of space activities. The SST is therefore primordial to preserve the continuity of the Programme's components and their contributions to Union policies. By seeking to prevent the proliferation of space debris, SST contributes to ensuring the sustainable and guaranteed access to and use of space, which is a global common objective. In that context, it could support the preparation of European earth orbit ‘clean-up’ projects .

(63) The SST should further develop the performance and autonomy of SST capabilities. To this end, it should lead to the establishment of an autonomous European catalogue of space objects, building on data from the network of SST sensors. Where appropriate, the Union could consider making some of its data available for commercial, non-commercial and research purposes. The SST should also continue to support operation and delivery of SST services. As SST services are user-driven ▌, appropriate mechanisms should be put in place to collect user requirements, including those relating to security and the transmission of relevant information to and from public institutions to improve the effectiveness of the system, while respecting national safety and security policies .

(64) The delivery of SST services should be based on a cooperation between the Union and the Member States and on the use of existing as well as future national expertise and assets, including those developed through the European Space Agency or by the Union. It should be possible to provide financial support for the development of new SST sensors. Recognising the sensitive nature of the SST, the control over national sensors and their operations, maintenance and renewal and the processing of data leading to the provision of SST services should remain with the participating Member States.

(65) Member States with adequate ownership or access to SST capabilities should be able to participate in the delivery of the SST services. Participating Member States in the SST Consortium established under the Decision No 541/2014/EU should be deemed to comply with these criteria. Those Member States should submit a single joint proposal and demonstrate compliance with further elements related to the operational set up. ▌ Appropriate rules should be established for the selection and organisation of Member States participants.

(65a) Implementing powers should be conferred on the Commission to define the detailed procedures and elements for establishing the participation of Member States. Where no joint proposal has been submitted or where the Commission considers that such proposal does not comply with the criteria set, the Commission may launch a second step for the participation of Member States. The procedures and elements for that second step should define the orbits to be covered, and take into account the need to maximise the participation of Member States in the provision of SST services. Where those procedures and elements foresee the possibility for the Commission to select several proposals to cover all the orbits, appropriate coordination mechanisms between the groups of Member States and an efficient solution to cover all the SST services should also be provided.

(66) Once SST is set up, it should respect the principles of complementarity of activities and continuity of high quality user-driven SST services, and be based on the best expertise. SST should therefore avoid unnecessary duplication. Redundant capabilities should ▌ ensure SST services’ continuity, quality and robustness . The activities of the Expert Teams should help avoiding these unnecessary duplications.

(67) In addition, the SST should be conducive to existing mitigation measures, such as the COPUOS Space Debris Mitigation Guidelines ▌ and draft Guidelines for the Long-term Sustainability of Outer Space Activities, or other initiatives, to ensure the safety, security and sustainability of outer space activities. With a view to reducing risks of collision, the SST would also seek synergies with initiatives of active removal and passivation measures of space debris. The SST should contribute to ensuring the peaceful use and exploration of outer space. The increase in space activities may have implication on the international initiatives in the area of the space traffic management. The Union should monitor those developments and may take them into consideration in the context of the mid-term review of the current multiannual financial framework .

(68) SST, space weather and NEO activities should have regard to cooperation with international partners, in particular the United States of America, international organisations and other third parties, particularly to avoid collisions in space, to prevent the proliferation of space debris and to increase preparedness to effects of extreme space weather events and near-Earth objects

(69) The Security Committee of the Council recommended the creation of a risk management structure to ensure that data security issues are duly taken into account in the implementation of Decision No 541/2014/EU. For that purpose and taking account of the work already performed, the appropriate risk management structures and procedures should be established by the participating Member States.

(70) Extreme and major space weather events may threaten the safety of citizens and disrupt the operations of space-based and ground-based infrastructure. A space weather sub-component should therefore be established as part the Programme with an aim of assessing the space weather risks and corresponding user needs, raising the awareness of space weather risks, ensuring the delivery of user-driven space weather services, and improving Member States’ capabilities to produce space weather service. The Commission should prioritise the sectors to which the operational space weather services are to be provided taking into account the user needs, risks and technological readiness. In the long term, the needs of other sectors may be addressed. The delivery of services at Union level according to the users' needs will require targeted, coordinated and continued research and development activities to support space weather services evolution. The delivery of the space weather services should build on the existing national and Union capabilities and enable a broad participation of Member States , European and international organisations, and involvement of the private sector.

(71) The Commission White Paper on the future of Europe (17), the Rome Declaration of the Heads of State and Government of 27 EU Member States (18), and several European Parliament resolutions, recall that the EU has a major role to play in ensuring a safe, secure and resilient Europe that is capable to address challenges such as regional conflicts, terrorism, cyber threats, and growing migration pressures. Secure and guaranteed access to satellite communications is an indispensable tool for security actors, and pooling and sharing of this key security resource at Union level strengthens a Union that protects its citizens.

(72) The European Council of 19-20 December 2013 (19) in its conclusions welcomed in the area of Satellite Communication the preparations for the next generation of Governmental Satellite Communication (GOVSATCOM) through close cooperation between the Member States, the Commission and the European Space Agency. GOVSATCOM has also been identified as one of the elements of the Global Strategy for the European Union's Foreign and Security Policy of June 2016. GOVSATCOM should contribute to the EU response to Hybrid Threats, provide support to the EU Maritime Strategy and to the EU Arctic Policy.

(73) GOVSATCOM is a user-centric programme with a strong security dimension. The use-cases may be analysed by the relevant actors for three main families: i) crisis management, which may include civilian and military Common Security and Defence missions and operations, natural and man-made disasters, humanitarian crises, and maritime emergencies; ii) surveillance, which may include border surveillance, pre-frontier surveillance sea-border surveillance, maritime surveillance, surveillance of illegal trafficking; and iii) key infrastructures, which may include diplomatic network, police communications, digital infrastructure (e. g. data centres, servers), critical infrastructures (e.g. energy, transport, water barriers such as dams ) and space infrastructures.

(73a) GOVSATCOM capacity and services will be used in security and safety critical missions and operations by Union and Member State actors. Therefore an appropriate level of non-dependence from third parties (third states and entities from third states) is needed, covering all GOVSATCOM elements, such as space and ground technologies at component, subsystem and system level, manufacturing industries, owners and operators of space systems, physical location of ground system components.

(74) Satellite communications is a finite resource limited by the satellite capacity, frequency and geographic coverage. Therefore, in order to be cost-effective and to capitalise on economies of scale, GOVSATCOM needs to optimise the match between the GOVSATCOM demand by authorised users, and the supply provided under GOVSATCOM contracts for satellite capacities and services. Since the demand and the potential supply both change with time, this requires constant monitoring and flexibility to adjust GOVSATCOM services. ▌

(75) Operational requirements will be derived on the basis of the use-case analysis. From those operational requirements, in combination with security requirements, the service portfolio should be developed. The service portfolio should establish the applicable baseline for the services to be provided through GOVSATCOM. In order to maintain the best possible match between the demand and supplied services, the GOVSATCOM service portfolio may need to be regularly updated.

(76) In the first phase of GOVSATCOM (roughly until 2025) existing capacity will be used. In that context, the Commission should procure EU GOVSATCOM capacities from Member States with national systems and space capacities and from commercial satellite communication or service providers, taking into account the essential security interests of the Union . In this first phase services will be introduced in a stepped approach ▌. If in the course of the first phase a detailed analysis of future supply and demand reveals that this approach is insufficient to cover the evolving demand, the decision may be taken to move to a second phase and develop additional bespoke space infrastructure or capabilities through one or several public-private partnerships, e.g. with Union satellite operators.

(77) In order to optimise the available satellite communication resources, to guarantee access in unpredictable situations, such as natural disasters, and to ensure operational efficiency and short turn-around times, the necessary ground segment ( Hubs and potential other ground elements) is required. The latter should be designed on the basis of operational and security requirements. In order to mitigate risks the Hub may consist of several physical sites. Other ground segment elements, such as anchoring stations, may be needed.

(78) For users of satellite communications the user equipment is the all-important operational interface. The EU GOVSATCOM approach should make it possible for most users to continue to use their existing user equipment for GOVSATCOM services ▌.

(79) In the interest of operational efficiency users have indicated that it is important to aim for interoperability of user equipment, and user equipment that can make use of different satellite systems. Research and development in this domain may be required.

(80) At implementation level the tasks and responsibilities should be distributed amongst specialised entities, such as the European Defence Agency, the EEAS, the European Space Agency, the Agency, and other Union agencies in such a manner to ensure that they align with their principal role, especially for user related aspects.

(81) The competent GOVSATCOM authority has an important role to monitor that users, and other national entities that play a role in GOVSATCOM, comply with the sharing and prioritisation rules and security procedures as laid down in the security requirements. A Member State which has not designated a competent GOVSATCOM authority should in any event designate a point of contact for the management of any detected jamming affecting GOVSATCOM.

(81a) Member States, the Council, the Commission and the EEAS may become GOVSATCOM participants, insofar as they choose to authorise GOVSATCOM users or provide capacities, sites or facilities. Considering that it is a Member State’s choice whether they authorise GOVSATCOM users or provide capacities, sites or facilities, Member States cannot be obliged to become GOVSATCOM participants or to host GOVSATCOM infrastructure. The GOVSATCOM component of the Programme is therefore without prejudice to the right of Member States not to participate in GOVSATCOM, including in accordance with its national law or constitutional requirements in relation to policies concerning non-alignment and non-participation in military alliances.

(82) In order to ensure uniform conditions for the implementation of this Regulation, implementing powers regarding operational requirements for services provided under GOVSATCOM should be conferred on the Commission. It will give the possibility to the Commission to define technical specifications for use-cases related to crisis management, surveillance and key infrastructure management, including diplomatic communication networks. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council.

(83) In order to ensure uniform conditions for the implementation of this Regulation, implementing powers regarding the service portfolio for services provided under GOVSATCOM, should be conferred on the Commission. It will give the possibility to the Commission to define attributes, including geographic coverage, frequency, bandwidth, user equipment, and security features. Those powers should be exercised in accordance with Regulation (EU) No 182/2011.

(84) In order to ensure uniform conditions for the implementation of this Regulation, implementing powers regarding the sharing and prioritisation rules for the use of pooled GOVSATCOM satellite communication capacities, should be conferred on the Commission. When defining the sharing and prioritisation rules, the Commission should take into account the operational and security requirements and an analysis of risks and expected demand by GOVSATCOM participants. Although GOVSATCOM services should in principle be provided on a free-of-charge basis to GOVSATCOM users, if that analysis concludes on a shortage of capacities and in order to avoid a distorsion of the market, a pricing policy might be developed as part of those detailed rules on sharing and prioritisation. Those powers should be exercised in accordance with Regulation (EU) No 182/2011.

(85) In order to ensure uniform conditions for the implementation of this Regulation, implementing powers regarding the location of the ground segment infrastructure for GOVSATCOM, should be conferred on the Commission. It will give the possibility to the Commission take into account the operational and security requirements , as well as existing infrastructure for the selection of such locations. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council.

▌

(87) Regulation (EU) No 912/2010 established a Union agency, called the European GNSS Agency, to manage certain aspects of the Galileo and EGNOS satellite navigation programmes. The present Regulation provides in particular that the European GNSS Agency will be entrusted with new tasks, not only in respect of Galileo and EGNOS but also for other components of the Programme, especially security accreditation. The name, tasks and organisational aspects of the European GNSS Agency must therefore be adapted accordingly.

(87a) The seat of the Agency is located in Prague in accordance with Decision 2010/803/EU. For the implementation of the Agency's tasks, staff of the Agency might be located in one of the Galileo or EGNOS ground based centres referred to in Commission Implementing Decision (EU) 2016/413 to execute Programme activities provided for in the relevant agreement. In addition, for the Agency to operate in the most efficient and effective manner, a limited number of staff could be assigned to local offices in one or more Member States. The location of staff outside the seat of the Agency or Galileo and EGNOS sites should not lead to transfer of core of the Agency's activities to such local offices.

(88) In view of its extended scope, which will no longer be limited to Galileo and EGNOS, the name of the European GNSS Agency should henceforth be changed. However, the continuity of the activities of the European GNSS Agency, including continuity as regards rights and obligations, staff and the validity of any decisions taken, should be ensured under the Agency.

(89) Given the Agency’s mandate and the role of the Commission in implementing the Programme, it is appropriate to provide that some of the decisions taken by the Administrative Board should not be adopted without the favourable vote of the representatives of the Commission.

(90) Without prejudice to the powers of the Commission, the Administrative Board, the Security Accreditation Board and the Executive Director shall be independent in the performance of their duties and shall act in the public interest.

(91) It is possible, and indeed probable, that some components of the Programme will be based on the use of sensitive or security-related national infrastructure. In this case, for reasons of national security, it is necessary to stipulate that meetings of the Administrative Board and Security Accreditation Board be attended ▌ by the representatives of the Member States and the representatives of the Commission, on a need to know basis. In the Administrative Board, only those representatives of Member States which possess such infrastructure and a representative of the Commission are to take part in voting. The rules of procedure of the Administrative Board and of the Security Accreditation Board should set out the situations in which this procedure applies .

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(94) Pursuant to paragraphs 22 and 23 of the Inter-Institutional agreement on Better Law-Making of 13 April 2016, there is a need to evaluate the Programme on the basis of information collected through specific monitoring requirements, while avoiding overregulation and administrative burdens, in particular on Member States. These requirements can, where appropriate, include measurable indicators, as a basis for evaluating the effects of the programme.

(94a) The use of Copernicus and Galileo based services is predicted to have a major impact in the European economy in general. However, ad hoc measurements and case studies seem to dominate the picture today. The Commission, through Eurostat, should define relevant statistical measurements and indicators that would form the basis for monitoring the impact of the EU space activities in a systematic and authoritative way.

(95) In order to ensure uniform conditions for the implementation of this Regulation, implementing powers should be conferred on the Commission. Those powers should be exercised in accordance with Regulation (EU) No 182/2011. The Commission should be assisted by a Committee which should meet in specific configuration.

(95a) Since the Programme's components are user driven, they require the continuous, effective involvement of users for their implementation and development, particularly regarding the definition and validation of service requirements. In order to increase the value for the users, their input should be actively sought through regular consultation with end-users from the public and private sectors of the Union's Member States and where appropriate international organisations. For that purpose, a working group (the ‘User Forum’) should be set up to assist the Programme Committee with the identification of user requirements, and the verification of service compliance, as well as the identification of gaps in services provided. The rules of procedure of the Committee should establish the organisation of that working group to take into account the specificities of each component and each service within the components. Whenever possible, Member States should contribute to the User Forum based on a systematic and coordinated consultation of users at national level.

(96) As sound public governance requires uniform management of the Programme, faster decision-making and equal access to information, representatives of the entities entrusted with tasks related to this programme might be able to take part as observers in the work of the committee established in application of Regulation (EU) No 182/2011. For the same reasons, representatives of third countries and international organisations who have concluded an international agreement with the Union , relating to the Programme or its components or sub-components, might be able to take part in the work of the committee subject to security constraints and as provided for in the terms of such agreement. The representatives of entities entrusted with tasks related to the Programme, third countries and international organisations are not entitled to take part in committee voting procedures. The conditions for the participation of observers and ad hoc participants should be laid down in the rules of procedure of the Committees.

(97) In order to ensure effective assessment of progress of the Programme towards the achievement of its objectives, the power to adopt acts in accordance with Article 290 of the Treaty on the Functioning of the European Union should be delegated to the Commission in respect of amending Annex X to review or complement the indicators where considered necessary and to supplement this Regulation with provisions on the establishment of a monitoring and evaluation framework. It is of particular importance that the Commission carry out appropriate consultations during its preparatory work, including at expert level, and that those consultations be conducted in accordance with the principles laid down in the Interinstitutional Agreement on Better Law-Making of 13 April 2016. In particular, to ensure equal participation in the preparation of delegated acts, the European Parliament and the Council receive all documents at the same time as Member States' experts, and their experts systematically have access to meetings of Commission expert groups dealing with the preparation of delegated acts.

(98) Since the objective of this Regulation cannot be sufficiently achieved by the Member States since it goes beyond the financial and technical capacities of any single Member State, and can therefore, by reason of its scale and effects, be better achieved by action at Union level, the Union may adopt measures, in accordance with the principle of subsidiarity as set out in Article 5 TEU. In accordance with the principle of proportionality, as set out in that Article, this Regulation does not go beyond what is necessary in order to achieve that objective.

(99) In order to ensure uniform conditions for the implementation of the Programme's security requirements, implementing powers should be conferred on the Commission. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council. Member States should be able to exert a maximum of control over the programme's security requirements. When adopting implementing acts in the area of security of the Programme, the Commission should be assisted by a committee composed of Member States' representatives meeting in a dedicated security configuration. Those implementing acts should be adopted in accordance with the examination procedure set out in Regulation (EU) No 182/2011. In view of the sensitivity of security matters, the chair should endeavour to find solutions which command the widest possible support within the committee. The Commission should not adopt implementing acts determining the general security requirements of the programme in cases where no opinion is delivered by the committee ,

HAVE ADOPTED THIS REGULATION:

TITLE I

GENERAL PROVISIONS

Article 1 Subject matter 1. This Regulation establishes the space programme of the Union (‘Programme’). It lays down the objectives of the Programme, the budget for the period 2021 — 2027, the forms of Union funding and the rules for providing such funding, as well as the rules for the implementation of the Programme. 2. This Regulation establishes the European Union Agency for the Space Programme (‘Agency’) that replaces and succeeds the European GNSS Agency established by Regulation (EU) No 912/2010 and lays down the rules of operation of the Agency.

Article 2 Definitions For the purpose of this Regulation, the following definitions shall apply: (0) Space surveillance and tracking (SST) system means a network of ground-based and space-based sensors capable of surveying and tracking space objects, together with processing capabilities aiming to provide data, information and services on space objects that orbit around the Earth; (1) ‘spacecraft’ means an orbiting object designed to perform a specific function or mission (e.g. communications, navigation or Earth observation) , including ▌ satellites ▌ launcher upper stages , re-entry vehicle. A spacecraft that can no longer fulfil its intended mission is considered non- functional. Spacecraft in reserve or standby modes awaiting possible reactivation are considered functional ; (2) ‘space weather events’ means naturally occurring variations in the space environment at the Sun and around the Earth . Space weather effects include solar flares, solar energetic particles, variations in the solar wind, ▌ coronal mass ejections, geomagnetic storms and dynamics , ▌radiation storms and ionospheric disturbances ▌ potentially impacting Earth and space-based infrastructures ; (3) ‘near earth objects’ (NEO) means natural objects in the solar system approaching the Earth; (4) ‘space object’ means any man-made object in outer space; (5) ‘space situational awareness’ (‘SSA’) means a holistic approach , including comprehensive knowlegde and understanding, of the main space hazards, encompassing collision between space objects, fragmentation and reentry of space objects into the atmosphere , space weather phenomena, and near earth objects; (6) ‘blending operation’ means actions supported by the EU budget, including within blending facilities pursuant to Article 2(6) of the Financial Regulation, combining non-repayable forms of support and/or financial instruments and/or budgetary guarantees from the EU budget with repayable forms of support from development or other public finance institutions, as well as from commercial finance institutions and investors; (7) ‘legal entity’ means any natural or legal person created and recognised as such under national law, Union law or international law, which has legal personality and which may, acting in its own name, exercise rights and be subject to obligations, or an entity without a legal personality in accordance with Article 197(2)(c) of the Financial Regulation; (8) ‘third country’ means a country that is not a Member State of the Union; (9) ‘SST information’ means processed SST data which is readily meaningful to the recipient; (10) ‘SST data’ means physical parameters of space objects , including space debris, acquired by SST sensors or orbital parameters of space objects derived from SST sensors' observations in the framework of the space surveillance and tracking (‘SST’) component; (11) ‘return link’ means a service contributing to the global monitoring service of aircraft, monitoring defined by the International Civil Aviation Organisation; (12) ‘Copernicus sentinels’ means the Copernicus dedicated satellites, spacecraft or spacecraft payloads for space-borne Earth observation; (13) ‘Copernicus data’ means data provided by the Sentinels, including their metadata; (14) ‘Copernicus third-party data and information ’ means spatial data and information licensed or made available for use by Copernicus which originate from sources other than the Sentinels; (14a) Copernicus Services’ mean value-added services of general and common interest to the Union and Member States, which are financed by the Programme and which transform Earth Observation data, in situ data and other ancillary data into processed, aggregated and interpreted information tailored to the needs of Copernicus users; (15) ‘Copernicus in situ data’ means observation data from groundborne, seaborne or airborne sensors, as well as reference and ancillary data licensed or provided for use in Copernicus; (16) ‘Copernicus information’ means information generated by the Copernicus Services following processing or modelling, including their metadata; (17) ‘fiduciary entity’ means a legal entity that is independent from the Commission or a third party and that receives data from the Commission or that third party for the purpose of safe storage and treatment of that data; (18) ‘space debris’ means any space object including spacecraft or fragments and elements thereof in Earth's orbit or re-entering Earth's atmosphere, that are non-functional or no longer serve any specific purpose, including parts of rockets or artificial satellites, or inactive artificial satellites; (19) ‘SST sensor’ means a device or a combination of devices, ground-based or space-based radars, lasers and telescopes, that is able to perform space surveillance or tracking and can measure physical parameters related to space objects, such as size, location and velocity ; (19a) ‘GOVSATCOM participant’ means a Member States, Council, the Commission and EEAS, as well as Union agencies, third countries and international organisations, in so far as such agencies, third countries and international organisations have been duly authorised; (20) ‘GOVSATCOM user’ means a Union or Member State public authority, a body entrusted with the exercise of public authority, or a natural or legal person, dully authorised and entrusted with tasks relating to the supervision and management of' security-critical missions, operations and infrastructures; (20a) ‘GOVSATCOM Hub’ means an operational centre with the main function to link in a secure manner the GOVSATCOM users to the providers of GOVSATCOM capacity and services, and thereby optimise the supply and demand at any given moment. (21) ‘GOVSATCOM use-case’ means an operational scenario in a particular environment in which GOVSATCOM ▌ services are required ; (21a) EU classified information (EUCI)' means any information or material designated by a EU security classification, the unauthorised disclosure of which could cause varying degrees of prejudice to the interests of the European Union or of one or more of the Member States; (22) ‘sensitive non-classified information’ means non-classified information within the meaning of Article 9 of Commission Decision (EU, Euratom) 2015/443, which creates an obligation to protect sensitive non-classified information applying solely to the European Commission and to Union agencies and bodies obliged by law to apply the security rules of the Commission ; (23) ‘Copernicus users’ means: ‘Copernicus core users’ which benefit from Copernicus data and Copernicus information and have the additional role of driving the evolution of Copernicus, are the Union institutions and bodies and European national, or regional public bodies in the Union or Copernicus Participating States entrusted with a public service mission for the definition, implementation, enforcement or monitoring of civilian public policies, among others environmental, civil protection, safety , including safety of infrastructure, or security policies; ‘other Copernicus users’ which benefit from Copernicus data and Copernicus information and include in particular research and education organisations, commercial and private bodies, charities, non-governmental organisations, and international organisations; (24) ‘Copernicus Participating States’ means third countries which contribute financially and participate in Copernicus under the terms of an international agreement concluded with the Union .

Article 3 Components of the Programme The Programme shall consist of the following components: (a) an autonomous civil global navigation satellite system (GNSS) under civil control comprising a constellation of satellites, centres and a global network of stations on the ground, offering positioning, navigation and timing services and ▌ integrating the needs and requirements of security (‘Galileo’); (b) a civil regional satellite navigation system under civil control which consists of centres and stations on the ground and several transponders installed on geosynchronous satellites and which augments and corrects the open signals emitted by Galileo and other GNSSs, inter alia for air-traffic management, air navigation services and other transport systems ('European Geostationary Navigation Overlay Service or ‘EGNOS’); (c) an operational, autonomous, user-driven, civil Earth observation system under civil control, building on the existing national and European capacities, offering geo-information data and services, comprising satellites, ground infrastructure, data and information processing facilities, and distribution infrastructure, based on a full, free and open data policy and, where appropriate, integrating the needs and requirements of security (‘Copernicus’); (d) a space surveillance and tracking system aiming to improve, operate and provide data, information and services related to the surveillance and tracking of space objects that orbit around the Earth (‘SST’ sub-component) and complemented by observational parameters related to space weather events (‘SWE’ sub-component) and the risk monitoring of near earth objects (‘NEOs sub-component’) approaching the Earth (Space Situational Awareness, ‘SSA’); (e) a ▌ satellite communications service under civil and governmental control enabling the provision of satellite communications capacities and services to Union and Member State authorities managing security critical missions and infrastructures (‘GOVSATCOM’). ▌ The Programme shall include additional measures for ensuring efficient and autonomous access to space for the Programme and for fostering an innovative and competitive European space sector , upstream and downstream, strenghtening the Union's space ecosystem and reinforcing the Union as a global player .

Article 4 Objectives 1. The Programme shall have the following general objectives: (a) provide, or contribute to the provision of, high-quality and up-to-date and, where appropriate, secure space-related data, information and services without interruption and wherever possible at global level, meeting existing and future needs and able to support the Union's political priorities and related evidence-based and independent decision making, inter alia for climate change and , transport, security ▌; (b) maximise the socio-economic benefits, in particular by fostering the development of an innovative and competitive European upstream and downstream sectors, including small and medium-sized enterprises and start-ups, thereby enabling growth and job creation in the Union and promoting the widest possible uptake and use of the data, information and services provided by the Programme's components both within and outside the Union; while ensuring synergies and complementarity with the Union's research and technological development activities carried out under the Horizon Europe Regulation ; (c) enhance safety, the security of the Union and its Member States, and reinforce its ▌ autonomy, in particular in terms of technologies ▌; (d) promote the role of the Union global actor in the space sector , encourage international cooperation, reinforce European space diplomacy, including by fostering the principles of reciprocity and fair competition and strengthen its role in tackling global challenges, supporting global initiatives, including with regards to ▌ sustainable development , and raising awareness of space as a common heritage of humankind; (e) enhance safety, security and sustainability of all outer space activities pertaining to space objects and debris proliferation, as well as space environment, by implementing appropriate measures, including development and deployment of technologies for spacecraft disposal at the end of operational lifetime and for space debris disposal . (6a) International cooperation is paramount and is a key element of the Space Strategy for Europe and to promote the role of the Union as a global actor in the space sector. The Commission will use the Programme to contribute to and benefit from international efforts through space diplomacy initiatives to promote European technology and industry internationally (for example bi-lateral dialogues, industry workshops, support for SME internationalisation) and to facilitate access to international markets and foster fair competition, also leveraging economic diplomacy initiatives. European space diplomacy initiatives should be in full coherence and complementarity with the existing EU policies, priorities and instruments, while, the Union has a key role to play together with the Union Member States to remain at the forefront of the international scene. 2. The Programme shall have the following specific objectives: (a) for Galileo and EGNOS: to provide long-term, state-of-the-art and, ▌secure positioning, navigation and timing services whilst ensuring service continuity and robustness ; (b) for Copernicus: to deliver accurate and reliable Earth Observation data, information and services integrating other data sources , supplied on a long-term sustainable basis, to support the formulation, implementation and monitoring of the Union and its Member States' policies and actions based on user requirements ; (c) for Space Situational Awareness (‘SSA’): to enhance SST capabilities to monitor, track and identify space objects, and space debris with the aim to further increase the performance and autonomy of SST capabilities at Union level, to provide space weather services and to map and network Member States NEO capacities; (d) for GOVSATCOM: to ensure the long-term availability of reliable, secure and cost-effective satellite communications services for GOVSATCOM users ; (e) to support an autonomous, secure and cost-efficient capability to access space , taking into account the essential security interests of the Union ; (f) to foster the development of a strong Union space economy including by supporting the space ecosystem and by reinforcing competitiveness, innovation, entrepreneurship, skills and capacity building in all Member States and Union regions, with particular regard to small and medium-sized en