Politics

Why NZ is paying $23.7m for a US satellite

Hana SinclairPublished 2w ago1 min readBased on 10 sources
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Why NZ is paying $23.7m for a US satellite
Photo by Source: WGS Program Office. / Public domain

New Zealand will pay $23.7 million towards a US-built military communications satellite. The money is split over two years. The satellite, called WGS-12, is due to launch in 2028 at the earliest. The full build costs more than $500 million RNZ.

WGS-12 is part of an 11-satellite US military network. It carries secure calls and data. New Zealand is one of 10 partners helping to pay. The others are Belgium, Canada, the Czech Republic, Denmark, Luxembourg, the Netherlands, Norway, Poland and the United Kingdom.

The deal works like a share in a shared phone network in space. Each country pays in and gets bandwidth to use. The New Zealand Defence Force says it needs this access for military communications.

New Zealand paid $15 million towards the last satellite, WGS-11. It pays towards building the system. It does not buy its own satellite. It does not rent commercial satellite space job by job.

WGS-12 should cope better under pressure. It will protect communications for troops working near jammers, which try to block signals. The United States Space Force says it will have twice the working capacity of earlier satellites US Space Force.

Allied countries put in $302 million together to finish paying for the satellite SpaceNews. New Zealand's payment is part of that total.

The partnership goes back to 2012. A Beehive release titled "Improved satellite communications for NZDF" described nine Boeing-built military satellites at that time Beehive. Defence reports have since tracked work to give NZDF equipment to use the US network when deployed.

New Zealand troops already work closely with the US on the system. An earlier satellite, WGS-9, was funded by the United States, the Netherlands, New Zealand and Australia US Space Force. The US Army's 53rd Signal Battalion and its operations centres help control communications for New Zealand troops.

The broader context here is cost and access. The $23.7 million buys a share of the network for its lifetime, not just ground gear. It keeps New Zealand in a US-led group with NATO partners and Australia. Washington sets capacity, upgrades and launch timing, not Wellington.