Australia's only fully owned and operational satellite FedSat will be managed by the Department of Defence from January next year.
Defence Minister Robert Hill said Defence will manage the satellite until December 2008 extending FedSat's useful life to the scientific community by three years. It may also be possible to continue operating the satellite beyond that time.
Launched in 2002, FedSat is a small low earth orbit satellite that follows a near polar sun-synchronous orbit. It carries six payloads performing a variety of scientific and engineering research functions.
Senator Hill said space systems have an ever-increasing benefit for Australia, including precision navigation, global communications and weather information.
"I am pleased that Defence can ensure that FedSat will continue to be of use to Australia," Senator Hill said
"It provides Defence with an opportunity to broaden its knowledge of spacecraft control and space experimentation.
"Defence will use FedSat for a range of research and experimental activities. This could include radio propagation studies and magnetospheric observations supporting space weather science.
"In addition, Defence personnel will gain valuable knowledge and skills in controlling satellites.
"Defence's management of FedSat will cost approximately $1 million over the next two years. This is a relatively small cost compared to the expected benefits from the ongoing experimentation."
FedSat is an initiative of the Cooperative Research Centre for Satellite Systems (CRCSS).
Through the Defence Science and Technology Organisation (DSTO), Defence has been a stakeholder in FedSat from the beginning. CRCSS is a joint venture of four Australian companies, six universities and two Government agencies.