Italy’s Council of Ministers, led by Minister of Business and “Made in Italy” Adolfo Urso, has approved the country’s first comprehensive framework law on space and the space economy.
According to a 20 June Ministry of Business and “Made in Italy” announcement, the new law, which is linked to the budget bill, is expected to fill a regulatory gap by creating a framework for private sector access to space.
In addition to mandating authorization for national and foreign operators who intend to conduct space activities from Italian soil, the law will also regulate the activities of national operators intending to conduct business from foreign territories. One element of regulatory compliance outlined within the law addresses the management of space incidents. Operators will be required to secure insurance coverage of up to €100 million per incident. There are, however, provisions allowing for the potential for lower caps in cases of reduced risk.
The Italian Space Agency (ASI) will be tasked with overseeing compliance and will have the power to revoke authorization for operators that do not comply. ASI will also manage the registration of space objects launched from Italy.
Over and above the regulation of space activities, a key component of the new framework law is the development of a National Plan for the Space Economy, outlining a five-year strategy to identify sector needs and investment opportunities. This includes a multi-year Space Economy Fund to support innovative market growth in space-based products and services, leveraging public and private investments. The announcement did, however, not reveal the proposed size of the fund. The law also outlines specific provisions for SMEs and startups to access public contracts.
Finally, the legislation promotes efficient use of the satellite communication spectrum and establishes principles for the exploitation of space infrastructures funded by state and EU resources.
Italy has allocated approximately €7.3 billion for its various space programs through 2026. This includes a €3.1 billion contribution to ESA and €2.3 billion for ASI. With this substantial investment in space and its new regulatory framework, Italy has signaled its intention not to be left behind as the industry rapidly innovates.
