Jacques Bonvin
Partner, Niederer Kraft Frey Ltd, Geneva/Zurich, Switzerland
jacques.bonvin@nkf.ch

Boris Catzeflis
Associate at Niederer Kraft Frey Ltd, Geneva/Zurich, Switzerland
boris.catzeflis@nkf.ch

Introduction

Switzerland has consistently taken part in European space initiatives, including as a founding member of the European Space Agency (ESA). It has long been an established and reliable actor in the space industry, a position reinforced by major industrial players, technologies developed domestically and a growing New Space ecosystem making Switzerland a highly diversified and innovation-driven space hub.

Currently, the launch and operation of satellites or other space objects are not subject to any special authorisation or supervisory regime in Switzerland, resulting in legal uncertainty and practical difficulties for Swiss operators cooperating with foreign authorities and partners.

The Swiss Federal Council has submitted to the Swiss Federal Assembly (Switzerland's Parliament) a draft Federal Space Operations Act (the ‘Draft Swiss SOA’)^[1] establishing Switzerland's first national legal framework governing ‘space operations’ (Raumfahrtaktivitäten/opérations spatiales) as narrowly defined therein.

The Draft Swiss SOA is intended to strengthen Switzerland's attractiveness for the space industry by creating legal certainty and a predictable authorisation framework, while ensuring the long-term sustainability of space operations, limiting environmental impacts and safeguarding access to, and peaceful use of, outer space.

The Draft Swiss SOA has been submitted by the Swiss Federal Council (Switzerland's Government) to the Swiss Federal Assembly (Switzerland's Parliament), which may amend its content and will decide whether to adopt it. If adopted, it would be subject to an optional referendum and could ultimately be submitted to a popular vote.

This legislative development occurs in parallel with initiatives in the European Union, where the European Commission proposed a draft EU Space Act (the ‘Draft EU Space Act’)^[2] on 25 June 2025, which remains under negotiation.

While the Draft Swiss SOA and the Draft EU Space Act diverge on several points, the Draft Swiss SOA has been developed with a view to ensuring compatibility with the Draft EU Space Act, in particular, as regards authorisation and supervisory mechanisms. The objective is for Swiss legislation to be regarded as equivalent by the European Commission, thereby facilitating international cooperation and mutual recognition.

The Swiss Federal Council opted for a thematically narrow, technology-neutral framework guided by the principle ‘as little regulation as possible, as much as necessary’, largely limited to implementing the four United Nations (UN) treaties on outer space ratified by Switzerland.^[3] It does not create a special framework for other important aspects of space activities. Matters such as export controls, sanctions, telecommunications or use of the radio-frequency spectrum remain governed by existing sectoral legislation.

This article outlines the scope of application of the Draft Swiss SOA, as well as its core pillars:

• establishing an authorisation and supervisory regime for space operations;
• introducing a special liability regime for damages caused by space objects;
• creating a national register of space objects; and
• introducing a conflict of laws framework.

Each of these elements is considered in comparative perspective with the Draft EU Space Act.

Scope of application

The Draft Swiss SOA applies to space operations (that is, the technical launch, positioning, control and monitoring of space objects) carried out: (1) on Swiss territory or on vessels, floating platforms or aircrafts registered in Switzerland, including where the operator is domiciled or has its registered office or place of business abroad; or (2) outside Swiss territory, where the operator is domiciled or has its registered office or place of business in Switzerland.

The Draft EU Space Act has a broader scope, applying to space operators, collision avoidance space services providers, primary providers of space-based data and international organisations (with exclusions, inter alia, for defence or national security), thereby covering a wider category of actors, including foreign, in the space industry value chain.

As the Draft Swiss SOA is limited to regulating the operation of space objects, it does not restrict market access by national and foreign providers of other space services (which remain subject to sectoral legislation). However, subcontractors of licensed space operators must meet certain statutory criteria, in particular, as to equipment and qualified personnel, and are subject to the Swiss supervision regime.

Space operations licence

The Draft Swiss SOA provides that a space operator falling within the scope of application described above must obtain a licence from the Swiss supervisory authority when it carries out space operations.

A distinction must be drawn between ‘space operations’ (Raumfahrtaktivitäten/opérations spatiales) and ‘space activities’ (Weltraumaktivitäten/activités spatiales):

• space operations consist of the technical launch, positioning, control and monitoring of a space object (that is, any object launched, or intended to be launched, in outer space, such as a satellite or a launch vehicle), including maintaining operational safety, until the space object returns to Earth, disintegrates in the atmosphere, or its remaining fragments return to Earth; and
• space activities are activities conducted in outer space or on a celestial body that rely on a space operation.

While the definitions of ‘space activities’ differ significantly between the draft Swiss and EU instruments, both regimes in substance target the technically responsible operator of the space object. However, the Draft EU Space Act also sets out specific authorisation requirements for other actors, including third-country space operators providing space services to EU space operators.

Unlike space operations, no licence is required under the Draft Swiss SOA for space activities as such. Accordingly, payload activities – such as research, data collection, Earth observation or telecommunications services – do not require a licence, although separate authorisations may be required under sectoral laws.

Licence conditions relate, inter alia, to the applicant's organisational, financial and personnel reliability, legal and technical compliance, health, safety, environmental and debris mitigation standards, insurance and contingency planning, with the supervisory authority retaining discretion to impose proportionate conditions and charges. Regulatory relief is contemplated for low-risk space operations.

These requirements were drafted to enable harmonisation with the EU regime; more detailed or stringent EU requirements may be incorporated at ordinance level. The Swiss Federal Council may require operators to consider internationally recognised guidelines and standards, such as ISO standards, or make such instruments directly applicable.

The Draft Swiss SOA sets out the following framework for cross-border space operations and operation/licence transfers:

• a space operator within the Draft Swiss SOA's scope is exempt from Swiss licensing and supervision if: (1) it holds a foreign licence approved by the Swiss supervisory authority; and (2) its space object is registered in that country's register; certain residual obligations nonetheless apply;
• Swiss-based operators may conduct space operations abroad on the basis of a foreign licence, provided that prior approval is obtained from the Swiss supervisory authority;
• space operators falling within the scope of application of the Draft Swiss SOA contemplating to take over space operations of a foreign licensed operator must obtain a Swiss licence;
• licensed foreign operators may transfer their registered or principal office to Switzerland and continue operations either: (1) on the basis of their foreign licence, provided that Switzerland has recognised the foreign country's authorisation and supervisory regime as equivalent; or (2) absent such recognition, after obtaining a Swiss licence; and
• the transfer of a Swiss licence to a foreign operator may be subject to conclusion of an international agreement, while transfer to an operator within the Draft Swiss SOA's scope requires prior approval by the Swiss supervisory authority.

The licence is operation-specific and tied to the contemplated space operations and activities. The operator may use the space object directly or entrust its use to third parties. Operators must conduct space operations with due care and diligence, maintain operations until mission completion in accordance with the approved operational plan and comply with notification duties.

A breach by a legal entity may lead to an administrative fine of up to ten per cent of annual turnover. Individuals acting as operators may be subject to criminal fines of up to CHF 20,000 for serious violations and up to CHF 10,000 for minor violations.

Supervision of space operations

Under the Draft Swiss SOA, a Swiss supervisory authority for space operations – equivalent to those to be designated at the level of EU Member States – shall be designated by the Swiss Federal Council. It is entrusted with granting licences, approving subcontractors and transfer arrangements (where required), monitoring compliance (including by requesting information and accessing premises and technical facilities) and enforcing corrective measures and contingency plans where necessary.

Liability regime for damages caused by space objects

Unlike the Draft EU Space Act, which does not establish a harmonised liability regime, the Draft Swiss SOA introduces a specific national liability regime reflecting Switzerland's international liability exposure under the UN treaties while providing a domestic cause of action.

The regime establishes:

• a strict (causal) liability for damages caused on the surface of the Earth or to aircraft in flight, as well as for consequential damages caused on the surface of the Earth or to aircraft in flight arising from damage caused by a space object to another space object or to persons or goods on board such object; the operator may invoke limited exoneration grounds consistent with the international liability framework, subject to statutory conditions; and
• a fault-based liability for damage caused to another space object or to persons or goods on board another space object.

The Swiss Federal Council shall cap liabilities by ordinance. Where civil liability insurance is required, liability is limited to the insured amount specified in the licence.

If Switzerland is required to compensate damages under the Liability Convention, it is entitled to exercise a right of recourse against the operator.

The Draft Swiss SOA also enables persons domiciled or having their registered office in Switzerland to request the initiation of international claims proceedings under the Liability Convention for damages caused by a foreign operator.

Register of space objects

Like the Draft EU Space Act, which establishes a Union Register of Space Objects (URSO), the Draft Swiss SOA also establishes a national register of space objects. Subject to international agreements, space objects for which Switzerland has granted a licence are to be registered therein.

Conflict of laws framework

The Draft Swiss SOA sets out a flag-state principle analogous to maritime law: subject to international agreements, Swiss law applies to space objects registered or intended to be registered in the Swiss national register. Further, tort claims arising out of accidents in outer space shall be governed by Swiss law. The Draft EU Space Act does not set out a conflict of laws framework.

Conclusions

Neither the Draft EU Space Act nor the Draft Swiss SOA are intended to comprehensively codify all aspects of space activities. Both concentrate on core issues, primarily related to security, safety, risk management and environmental sustainability, by introducing dedicated licensing and supervisory regimes.

Each text, however, further develops in its own direction. The Draft EU Space Act establishes detailed harmonised technical and operational requirements, including resilience and cybersecurity obligations, mandatory subscription to collision avoidance services, trackability and maneuverability requirements, an e-certificate mechanism, environmental footprint calculation and a Union Space Label promoting voluntary adherence to high standards. By contrast, the Draft Swiss SOA emphasises operators' liability exposure, a comprehensive liability regime and explicit conflict-of-law provisions addressing the transnational nature of space operations.

The Draft Swiss SOA aims to reinforce Switzerland’s position as an attractive and legally predictable hub for space activities.

By limiting its scope to space operations, it does not restrict market access by foreign providers of other space services, in contrast to the Draft EU Space Act's broader registration and authorisation requirements – thereby establishing a narrower regulatory perimeter that constitutes a competitive advantage for Switzerland.

The Draft Swiss SOA also establishes a detailed framework for cross-border operations and licence transfers, including recognition of foreign licences, relocation of operators to Switzerland, and assumption of operations from foreign-licensed operators.

This objective of compatibility with the EU framework is further reflected in the legislative design: the Draft Swiss SOA has been structured so that, if the Draft EU Space Act is adopted, the European Commission may recognise Swiss authorisation and supervisory requirements as equivalent, thereby enabling Swiss-licensed operators to provide space services in the EU market without additional registration requirements.

As the Draft Swiss SOA remains subject to parliamentary deliberation and an optional referendum, its final content and timing of entry into force remain uncertain.