Memorandum 114
Supplementary evidence from the Ministry
of Defence
SUPPLEMENTARY EVIDENCE IN RESPONSE TO COMMITTEE'S
ADDITIONAL QUESTIONS
Q.1 What has been the level of Met Office
subscriptions to EUMETSAT Programmes since 2000?
The cost information requested is contained
in the attached table. The major satellite types (Polar and Geostationary)
are funded through programmes with a total life of 20-25 years.
This leads to a cycle of expenditure with significant peaks (during
the build phase) and troughs (during the operational phase). We
are currently at a low point for both geostationary and polar
satellites and expect a significant increase in total contributions
over the next few years as new, follow on programmes are approved.
When expenditure is averaged over the whole cycle it leads to
a long term average payment equivalent to approximately £33
million per year.
The Met Office, on behalf of the UK, has always
adopted a cost conscious approach to EUMETSAT, asserting national
influence to ensure that programmes remain as cost-effective as
possible. This approach is consistent with the EUMETSAT Convention
which requires the organisation to operate in this manner. The
Met Office will continue to seek efficiency savings from EUMETSAT
and expects the organisation to adopt international accounting
standards as soon as practicable to improve its future financial
management.
The Met Office is confident that UK expenditure
to date through EUMETSAT has delivered value for money in services
that feed directly into UK Public Weather Services which have
consistently improved in quality over many years. The Met Office
is content that the long-term average payment of some £33
million per annum is adequate to meet existing capabilities. Future
investments will go through the normal established approval scrutiny
process to ensure that they deliver value for money for the UK
taxpayer and to address cash flow issues for the Met Office that
arise as a result of the cyclical nature of expenditure.
May 2007
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