Bermuda will continue to look to the space and satellite industry in the next financial year to generate extra revenue.

Economic Development Minister Grant Gibbons told the House of Assembly that capital funding of $390,000 was dedicated to Satellite Orbital Slots in the Budget.

He said the Department of Telecommunications would “engage the global satellite industry to enhance and develop services that will attract these companies to our shores”.

“Some would say that the global satellite industry was recession proof. But regardless of the accuracy of that assertion, it is clear that the revenues generated by the satellite industry are worthy of our attention,” he added.

“The satellite industry is a growing enterprise within the telecommunications industry which is rapidly becoming more and more integrated with currently entrenched terrestrial communications’ facilities.

“This means that satellite space telecommunication has become a critical component of any advanced telecommunications network today.

“This allocation of $390,000 in fees will be used to cover the cost of specialist satellite consultants, marketing, ancillary costs and to develop Bermuda’s satellite industry.”

The Department of Telecommunications’ budget for 2015/16 is $1,083,000 — up $183,000 from the previous year. Revenue from the department is predicted to be $12.5 million — a 21 per cent increase.

Dr Gibbons said: “Satellite Ventures (Bermuda) Ltd continue to market BermudaSat-1 and has initiated discussions with several leading providers of satellite service applications. Potential markets for the joint initiative include commercial, leisure, and government consumers.

“While the ongoing discussions have been positive and productive, no commercial agreements have been concluded, but SVBL expects to make significant progress on the commercial development of BermudaSat-1 in the future.

“Projected revenue for the Department of Telecommunications for the next fiscal year is $12,575,000, which represents an increase of $2,215,000, or 21 per cent.

“This revenue is primarily composed of fees for Integrated Communications Operating Licences, Cellular handset Licences, the new Radio Spectrum Licences, and Licences for various other commercial and private radios.”