NASA to pay more for less cargo delivery to the space station

Enlarge / A Falcon 9 rocket launches a cargo resupply mission to the International Space Station in 2016. (credit: SpaceX)

A new analysis finds that NASA will pay significantly more for commercial cargo delivery to the International Space Station in the 2020s rather than enjoying cost savings from maturing systems. According to a report by the space agency’s inspector general, Paul Martin, NASA will likely pay $400 million more for its second round of delivery contracts from 2020 to 2024 even though the agency will be moving six fewer tons of cargo. On a cost per kilogram basis, this represents a 14-percent increase.

One of the main reasons for this increase, the report says, is a 50-percent increase in prices from SpaceX, which has thus far flown the bulk of missions for NASA’s commercial cargo program with its Dragon spacecraft and Falcon 9 rocket.

This is somewhat surprising because, during the first round of supply missions, which began in 2012, SpaceX had substantially lower costs than NASA’s other partner, Orbital ATK. SpaceX and Orbital ATK are expected to fly 31 supply missions between 2012 and 2020, the first phase of the supply contract. Of those, the new report states, SpaceX is scheduled to complete 20 flights at an average cost of $152.1 million per mission. Orbital ATK is scheduled to complete 11 missions at an average cost of $262.6 million per mission.

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Source: Ars Technica – NASA to pay more for less cargo delivery to the space station