FCC issues first-ever space junk fine
How the United States ended up fining a space company for failing to properly remove its satellite from orbit at end-of-life
The 4 Ws
What: A satellite operator was fined $150,000 for improperly deorbiting one of their satellites
Who: The Federal Communications Commission (FCC)
Whom: Satellite operators licensed by the FCC
Why: Orbital debris mitigation, and space sustainability generally, is an important part of the licensing process and is starting to be taken much more seriously
The Federal Communications Commission (FCC) has served a historic fine to a commercial company for its failure to properly dispose of a satellite. The Commission fined DISH Operating L.L.C. (Dish) for failing to adhere to the disposal requirements listed in its FCC licence. Why is it historic you may ask? Well, probably not if you’re reading this newsletter, but just in case you weren’t aware: this is the first time a licensing authority has taken action against an operator specifically for littering in outer space; and based on the Commission’s statement, it will, most likely, not be the last.
Dish applied for a licence for its satellite, EchoStar-7, back in 2002, aiming to place its satellite in a geosynchronous orbit. That licence was originally set to expire in 2014, but Dish applied for an extension a few years before it expired. To receive the extension, the FCC required Dish to submit and comply with an orbital debris mitigation plan and dispose its satellite within 25 years after the end of its mission. In 2022, that 25 year rule was reduced to just 5 years for all new licenses.
For a geosynchronous satellite like EchoStar-7, disposal involves sending the satellite to a graveyard orbit 300km (or 186 miles) above the orbit of operation, where it would no longer pose a threat for other satellites operating in the same licensed orbit. In 2022, after a thruster failed to maneuver the satellite as much as expected, Dish suspected that there was insufficient propellant for the spacecraft to reach the prescribed altitude. The FCC concluded that the EchoStar-7 only moved 122 km, falling 178km (110 miles) short of planned maneuver distance.
The settlement resulted in three remediations against Dish that could pave the way for other similar penalties relating to space debris and/or improper disposal in the future.
First, Dish was fined $150,000 for failing to meet its licence requirements. The amount is fairly insignificant for Dish, considering the company reported $16.68B of revenue in 2022. However, the fine signifies that the Commission intends to enforce sustainability rules to ensure compliance by space companies operating under its remit.
The second condition by the FCC was that Dish was required to admit liability. This means that Dish, and presumably other space companies that find themselves in similar positions in the future, will be required to formally document the errors that led to them falling short of their licensing obligations.
Finally, Dish will be subject to a more rigorous audit for their disposal plans, which will apply to both currently operational and future satellites.
If you’re a satellite operator and you’re putting yourself in Dish’s shoes, this generally means that failure to adhere to your debris mitigation plan can leave you with unexpected additional costs (in case of a fine), reputational damage from having to legally admit fault, and of course, stricter rules going forward for all future license applications.
Of course, there’s no reason the FCC couldn’t levy additional unforeseen penalties in addition to the ones that Dish has seen for future offenders. If nothing else, the FCC has demonstrated that they’re serious about enforcement against non-adherence to debris mitigation plans, and satellite operators would do well to err on the side of caution here, especially if they’re operating with smaller revenue margins. The fine levied on Dish was nominal due to their attempt to comply with their debris mitigation obligations, considering they did manage to move EchoStar-7 roughly half the designated distance.
If Dish had been completely unable to maneuver its satellite, the FCC might have levied heavier penalties, including a heftier fine or imposed restrictions on its other active licences.
The key issue underpinning all of this: trust — which affects relationships between satellite operators, and both the authorities and the general public. One has to imagine that future licensing applications for new space operations will become more difficult, or at least be subject to more scrutiny, if your space company has a reputation for failing to comply with disposal requirements. Taking into account that access to spectrum is an asset for a satellite operator, any delays or obstructions in licensing will directly impact the ability to place and operate spacecraft in orbit, which in turn will hurt revenue generation and unnecessarily increase operational expenditure.
The general public is becoming increasingly informed about issues related to space sustainability too, and a bad reputation in this arena can easily lead to backlash from potential customers.
However, the most important aspect of the space debris issue is access to space. As I mentioned during my panel at AIAA ASCEND in Las Vegas a few weeks ago, debris mitigation plans will have an increasingly important impact as orbits grow ever more crowded. Ensuring that the space domain can remain operational will be the driving factor in authorities’ decisions in the future. As the FCC’s Enforcement Bureau Chief, Loyaan A. Egal, explained in their official statement on the matter, “This is a breakthrough settlement, making very clear that the FCC has strong enforcement authority and capability to enforce its vitally important space debris rules.”
We think it’s fair to say that the FCC, among others, will be paying closer attention from now on.
The FCC official press release can be found here.