Space Minister Judith Collins announced plans for the bill in April, saying foreign actors had made several attempts to use such infrastructure to harm New Zealand's national security. Photo: RNZ / Marika Khabazi
A law change requiring anyone who wants to operate ground-based space infrastructure to get a permit from the minister has been rushed through all stages in Parliament.
The legislation enables the Space Minister to order a cut in power and internet services to space-launch facilities that breach the rules, or that do not benefit the country.
The Outer Space and High-altitutde Activities Amendment Bill amends the 2017 law, was introduced on Tuesday evening and passed through all stages under urgency by midday Wednesday, with the support of all parties. It is expected to come into effect next Tuesday, 29 July.
It aims to crack down on potential foreign interference with ground-based space infrastructure by imposing regulations, preventing certain operators from setting up, and enabling "detection and prevention" of operations that could be inconsistent with New Zealand's national interest.
Space Minister Judith Collins announced the government's plans for the bill in April, saying foreign actors had made several attempts to use such infrastructure to harm New Zealand's national security, deliberately disguising their affiliation to foreign militaries and misrepresenting their intentions.
"The introduction of this new regime will serve as a deterrent. It sends a very clear message that we take our national security seriously, and we will act if we suspect that it is under threat," she said at the time.
MBIE will be the administrator and regulator, backed with enforcement powers and able to take action to stop malicious activity. A Regulatory Impact Statement showed they estimated two full-time employees would need to be hired for the work.
The bill reveals the regulatory system the government proposes:
- Anyone wanting to operate ground-based space infrastructure (GBSI) must get authorisation from the minister
- GBSI is defined as infrastructure or other equipment in New Zealand capable of being used for a regulated activity, excluding emergency locator beacons and equipment made or supplied primariliy for personal, domestic or household use
- Operators must provide protective security, carry out due diligence and provide regular information to the minister
- The minister can decline authorisation if the proposed activity is not in the national interest
- The minister can revoke, suspend or vary authorisations on national security and national interest grounds
- Those already operating GBSI will be granted a temporary authorisation, lasting a year
- When GBSI poses an unmanageable risk to national security or other national interests, the minister can require the operator to divest (which could mean selling the equipment or breaking a lease with the provider)
- If the operator does not do so, police or other enforcement can seek a court order for foreiture, and requiring law enforcement to dispose of it
- The minister can also require electricity retailers and internet service providers to stop providing services to infrastructure subject to disposal orders.
- GBSI activities without authorisation becomes punishable by up to one year in prison or a $50,000 fine for individuals, up to $250,000 for corporations.
Collins' first reading speech highlighted that New Zealand's space sector innovation was accelerating, having grown 53 percent in the five years to 2024 and contributing $2.47 billion to the economy in the last financial year.
"By introducing a clear and modern framework for ground-based infrastructure, we are enforcing New Zealand's reputation as a responsible spacefaring nation," she said.
Labour's Rachel Brooking said the use of urgency in this case was for a good cause, but it should be reviewed by a select committee after being enacted.
"We want to make sure that it's as robust as it can be and that there are not unintended consequences, because it is not good law making to do things under all-stages urgency."
In a statement, Collins said regulations setting out the security and due diligence requirements for GBSI operators would be developed later in the year. After that, the minister's powers to vary, suspend or revoke authorisations would cover national interest considerations, on top of the current national security grounds.
A disclosure statement from MBIE said the costs for operators was expected to be low, with the proviso that it was difficult to assess because it was such a new regime.
"Implementing the protective security and due diligence requirements may impose a cost to operators but will result in enhanced management of national security and national interest risks as the countervailing benefit. Implementing these measures is considered best practice, and as a result, some operators will already have these systems in place to realise the benefits to their own businesses."
It said targeted consultation with industry stakeholders and academics was done last year, and 21 current or prospective operators were contacted.
"Responses to the regime design were largely positive, with respondents supporting the clarity the GBSI regime would give them."
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