The Baltic state has reportedly not earmarked enough funding to pay for its membership
Latvia could become the first country expelled from the European Space Agency (ESA) if it fails to pay membership fees, Latvia’s Space Industry Association and Federation of Security and Defense Industries told local media on Monday.
The Baltic nation will have to spend over €15 million ($16.2 million) in contributions to the ESA between 2025 and 2027, the country’s Education and Science Ministry previously estimated. This breaks down to €4 million ($4.3 million) in 2025, €5.5 million ($5.9 million) in 2026, and €6 million ($6.5 million) in 2027.
Riga, however, plans to allocate only a fifth of this. The outlay for 2025 is estimated at €2.2 million ($2.3 million) and for 2026 at €1.1 million ($1.1 million), according to the Education and Science Ministry.
Latvia could thus become the first country in the ESA’s history to have its member status revoked if it approves outlays for the organization well below the terms of the membership agreement, space NGOs warned.
They also urged the government to increase budget allocations to €4 million in 2025 and to €5.5 million for 2026. A failure to do so would “disrupt Latvia’s international reputation” and lead to a “loss of historic investments in Latvian companies,” the NGOs said.
ESA has a system whereby contracts are dispersed to nations roughly proportionate to their contribution, which is a major incentive for smaller EU countries to be members of the space agency.
Latvia became an associate ESA member in 2020 and is currently at the bottom of the list of member states and cooperating nations, after having contributed just €500,000 (541,000) to ESA’s €7.7 billion ($8.3 billion) budget this year, according to funding data for 2024.
Latvia currently has around 50 organizations operating in the space sector and has some 70 ESA projects in its portfolio, according to the Economy Ministry. Latvian companies are largely focused on niche products and services, such as earth observation applications, scientific instruments, electronic components, and materials.
The country has also participated in global space missions, such as the Lunar Gateway and Hera planetary defense mission.
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