TNAG-2109-FCO40-3008-Outer-Space-Act-1986-extension-to-Hong-Kong-1990 — Page 327

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damage caused by space objects launched by them or by their

nationals. Where the launching is carried out by two or more States

then the liability is joint and several. The Outer Space Act 1986 implements the UK's obligations under these treaties. It provides inter alia for the licensing of space activities. Any UK national or UK company proposing to carry on an activity in outer space must obtain a licence from the Secretary of State for Trade and Industry.

Before granting a licence the Secretary of State has to be satisfied

that the applicant fulfils certain technical standards as well as carries adequate insurance to satisfy any third party claims. The applicant is also required to indemnify HMG against any claims which might be made in respect of damage or loss arising out of the

activities carried on by him.

5.

Section 15(6) provides for the Outer Space Act to be applied to dependent territories by Order in Council. Arrangements were already in hand to do this when British National Space Corporation (BNSC) learned at short notice of plans by a consortium incorporated under the law of Hong Kong to launch from the territory of the People's Republic of China a communications satellite,

ASIASAT, in April 1990. It has therefore become urgent to extend the Outer Space Act to Hong Kong so that adequate licensing arrangements are in place prior to the ASIASAT launch. In extending the Act to Hong Kong BNSC's original intention was that the licensing powers under the Act remain with the Secretary of State.

This would enable BNSC to retain control over the issuing of

licences and ensure that their technical standards were adequately

met, since it was considered that the Hong Kong authorities did not

have the necessary expertise to carry out these functions. However, Hong Kong pressed us strongly for the licensing functions to be

/transferred