ABSTRACT
The geographical return principle is an element of the complex industrial policy of the European Space Agency (ESA). As a result, the geographical return principle is only one of several elements of the ESA industrial policy. With the present system of space co-operation, Europe has gained a 40 per cent share of the global heavy lift launcher and satellite market, proving that the European space industry is highly competitive and efficient. The geographical return principle has always been a special instrument for European integration and motivation for additional national investments. GALILEO, the European satellite navigation system, is the first flagship project to emerge from European Union (EU)/EC involvement in space. The project was justified by the need of a self-determined, independent European system, following negative experiences with dependency on GPS signal. In 2008 ESA, through its Council on Ministerial Level, decided on a reform to update the existing procurement procedures and thereby also to minimise differences with regard to EU procurement rules.
