Does the EU need its own satellite navigation system? We discuss the uses, problems and future of this increasingly expensive and delayed European project.

Focus: Why can't Galileo get off the ground?

Becoming independent  from the American GPS

with a completely European  satellite navigation system

has been Europe's dream  since the late 1990s.

Galileo, a state-of-the-art project  ten years ago,

with 30 satellites in orbit able  to identify objects with precision,

but today people are still  discussing supplementary budgets,

the failure of the public-private  partnership and all the delays.

So why can't Galileo  get off the ground?

Is it a good idea to create  a clone of the American GPS

Margherita Sforza  will tell us the story of Galileo

and then we'll talk about it  with our guests.

Telespazio is one of the firms  involved in Galileo,

the European  satellite navigation system.

From this centre in Fucino,  in central Italy,

the satellites and their data  will be monitored.

At first EU industries  had to contribute

to funding this massive project,  which began in 1999.

But the public-private partnership  hasn't worked

At the time the market situation  was not mature enough

to guarantee revenues capable  of sustaining a public-private initiative.

And even today there are still  various doubts surrounding the possibility

of generating revenues  through this type of system.

The aim is to construct  a satellite navigation system

which is an alternative to the American  GPS and independent from the US.

But in order to complete  the constellation of 30 satellites in orbit,

3.4 billion euros  have already been earmarked

and the European Commission has now  requested 2 billion in the next budget.

The running costs  are 800 million euros per year,

an expense which is now fully met  by European contributors.

The lack of competition between  the firms bidding for the contract

and the choice to use only  EU vehicles for launching the satellites

are among the factors  that have made costs rise.

But for this Czech MEP,  a former astronaut,

because they have a direct impact  on the EU economy's development.

In Western Europe around 7% of GDP  depends on satellite systems.

It affects a lot of jobs  and has a potential for the future.

There is a lot of discussion  about a service with encrypted signals

intended exclusively for governments  to control borders and police operations.

to police forces,  especially in crisis situations.

A more military application  that not everybody likes.

that the dominant purpose would be use  by the military of the member states.

Are we going to use  European taxpayers' money

to finance military actions  in outer space?

Is that the common European project?  Give me a break.

But above all Galileo  has civil applications

to guarantee greater security  for air and sea transport,

besides more traditional services  for the everyday movement of citizens.

In order to keep abreast  of Russian or Chinese competition,

The system should become operational in  2014, a good six years behind schedule.

In 2014 at least 14 satellites  should be in orbit,

We are well aware of the fact  that Galileo can bring us advantages

to the tune  of tens of billions of euros,

Each year behind schedule  means the advantage decreases.

I would like to see a greater effort  with the funding

to give us at least 18 or 20 satellites  in the near future

so we're assured to reach  the minimum operational level.

before having a system  at the minimum operational level.

So we are trying to understand  the possible opportunities

of achieving this fabulous project  that is Galileo.

are Edit Herczog from  the Socialists and Democrats Group,

Roger Helmer from  the Conservatives and Reformists Group

and Carlo Corazza, who is Spokesperson  for Industry in the European Commission.

Mrs Herczog,  a few months ago Berry Smutny,

who was at that time the CEO  of the German contractor of Galileo,

probably said, I have to say that  because it's not confirmed,

primarily made for French interests.  What do you think about that?

For me, Galileo  and other space policy items like GMES

are part of the Lisbon Treaty,  voted by 27 Member States.

EU citizens  shouldn't pay the waiting time,

therefore we must  speed up the project,

otherwise you have to finance  the researchers working on it.

Roger Helmer,  what do you think about Galileo?

I think this is a typical  European vanity project.

The Americans have a GPS system  so Europe has to have one.

It duplicates the service which is there  anyway and to which we've free access.

So if we were going  to spend money on space,

Carlo Corazza, the Commission took over  the headquarters of the project in 2008.