Saudi Arabia: New regulations for the space sector and 8 commitments for operators

In a strategic move aimed at solidifying Saudi Arabia's position as a key player in the global space economy, the Communications, Space and Technology Commission (CSTC) a comprehensive set of regulations and guidelines for the space sector through its "Istilaa" platform. This initiative seeks to regulate and develop this vital sector, protect national interests, and create an attractive investment environment, thereby ensuring the peaceful use of space and fostering a fair and transparent competitive environment.

Strategic context: Space within Vision 2030

These regulatory moves cannot be viewed in isolation from the broader context of Saudi Vision 2030 , which has placed significant emphasis on the space sector as a cornerstone of diversifying the national economy away from oil. Following the Kingdom's recent success in sending astronauts to the International Space Station and the establishment of the Saudi Space Agency, the focus now shifts to the legislative and regulatory framework to ensure the sustainability of this growth. These regulations aim to bridge the legislative gap and provide a legal framework that protects investors and operators, thereby enhancing the confidence of international companies in the Saudi market.

Details of the regulatory document and licenses

The authority clarified that the new document includes detailed guidelines for conducting space activities, covering licensing and permitting provisions, requirements for obtaining them, and mechanisms for assignment or transfer. The regulations emphasized that obtaining a license from the authority does not exempt the operator from obtaining other required permits from relevant government agencies.

Regarding the transfer of ownership, the regulations clearly stipulate that a license may not be assigned or transferred to another party – including in cases of mergers and acquisitions – except with the prior approval of the Authority. This transfer requires the transfer of all rights and obligations to the new party, and all outstanding financial fees must be paid before the transaction is completed. These fees are non-refundable, regardless of whether the application is approved or not.

The Authority's Powers and Strict Oversight

The regulations grant the Authority broad powers to ensure compliance, including the right to suspend or revoke a license if necessary to protect public health and safety, national security, or property. The Authority also reserves the right to reassess its decisions at any time, reflecting the dynamic nature of the sector and its need for ongoing oversight.

8 key commitments to ensure the safety of space operations

To ensure the safety and security of the space, the authority has set a number of strict obligations for operators and licensees, most notably:

• Full compliance with all regulations and bylaws issued by the Authority and government agencies.
• Immediate and written reporting of any incident involving a space object, whether in space, airspace, or on Earth.
• Promptly disclose any information about incidents or celestial objects that may threaten orbital operations.
• Prohibiting the intentional crashing of space objects or their deliberate collision with other objects.
• Reporting on the risks of space objects or space debris re-entering the atmosphere, specifying the time frame and expected impact location.
• Provide clear plans to mitigate potential risks.
• Providing the authority with any reports or clarifications it requests to ensure the efficiency of oversight.
• Payment for financial interviews to review applications before starting them.

Expected impact: A safe and sustainable investment environment

These regulations are expected to attract foreign and domestic capital for investment in space technologies, satellites, and orbital communications. A clear regulatory framework reduces operational and legal risks, positioning the Kingdom among the leading nations managing the space sector according to global best practices, thus strengthening its regional and international leadership in this promising field.