The Senate Commerce Committee, as expected, reported out of committee a bill extending commercial launch indemnification, according to a committee press release. HR 3819 would extend the existing regime, which indemnifies commercial launch providers for third-party damages that exceed a “maximum probable loss” level that they have to insure against, for three years, to the end of 2012. The relatively non-controversial bill now goes to the full Senate, which will have to squeeze it in, perhaps by unanimous consent, while debating health care reform.
The published opening statement of committee chairman Jay Rockefeller (D-WV) did devote a brief portion to HR 3819:
And last but certainly not least, HR 3819, the Commercial Space Launch Indemnification Extension. Since 1984, the federal government has provided commercial space launch providers with liability protection for catastrophic events. This has been extended four times, and the latest expires this month.
Normally I do not support indemnifying the private sector for liability, but I recognize that our commercial space industry needs this federal protection in order to compete with others around the globe.
Today’s legislation extends that liability protection for another three years into December 2012 and I expect we will reassess the market before that time to see if the commercial space industry is ready to assume full risk and responsibility.
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