General Director of RSC Energia: development of the new spacecraft became a scientific and engineering challenge

Rocket and Space Corporation Energia continues development of a super-heavy launch vehicle and the new manned spacecraft Orel, which are to become parts of the new space transportation system enabling missions to the Moon and beyond. The Corporation also continues construction of new modules for the Russian Segment of the International Space Station.

 

General Director of the Rocket and Space Corporation Energia Nikolai Sevastianov spoke in his interview to TASS about the status of these projects, financial situation of the company, the problems that had accumulated in the industry and the ways to resolve them.

 

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— Tell us about the results of Energia’s activities in 2019.

— In 2019 State Corporation Roscosmos carried out 25 space launches, in 11 of which RSC Energia was directly involved. In 2019 RSC Energia built and launched to the International Space Station (ISS) four manned spacecraft Soyuz MS and three unmanned spacecraft Progress MS. In addition to this, an Earth remote sensing satellite for Egypt and a satellite under a government contract were manufactured and built. After a long break in the use of upper stages Block DM-03 built at Energia, they were successfully used to put into orbit spacecraft Spektr-RG and Elektro-L.

In addition to the launch program, in 2019 the company did a large amount of work in other areas. The program of the ISS Russian Segment operation was carried out to the full extent, all the planned dockings, landings, spacewalks, experiments in orbit were supported and performed. RSC Energia has also been working on new ISS modules and the new crew transportation spacecraft, unmanned spacecraft, the new upper stage to be launched on the Angara-5 launch vehicle, the semi-heavy launch vehicle Soyuz-5 and the super-heavy launch vehicle.

 

— At what stage is the work on the new modules for the ISS?

— In 2018, due to problems with its propulsion system, the work on the Multipurpose Laboratory Module (MLM) Nauka had to be put on hold. In 2019, on the initiative of RSC Energia, preparations of the MLM for launch resumed. Currently the module is at the Khrunichev State Research and Production Space Center, where it is being outfitted.

 

In March of this year MLM is to be sent to Baikonur, where RSC Energia together with Khrunichev are to do a large amount of work conducting final integrated tests and getting the module ready for launch on the Proton-M launch vehicle. The Node Module Prichal is already built and waits for the launch of the MLM.

 

The company focuses specifically on the development of the Science and Power Module (SPM), which is being build according to RSC Energia’s engineering and design documentation. The module is complex, but it enables new technologies and is necessary for further development of manned programs. The technologies developed for SPM can be used as a basis for construction of the Russian Segment of the circumlunar station.

 

— At what stage is the work on the advanced crew transportation spacecraft Orel?

— Development of the new crew transportation spacecraft (CTS) intended for deep-space missions, including the lunar orbit, became a real scientific and engineering challenge for Energia specialists. After a spate of endlessly slipping schedules and managerial and technical problems, which brought the project virtually to a halt, the work on CTS intensified in the last year. Today, development of design documentation is under way, preproduction has begun.

 

The first flight article is to be launched in 2023 on Angara-A5 from Vostochny launch site for developmental testing of critical technologies: these include lift-off, orbital operations and safe landing on Earth of the new heavy capsule.

 

The second flight article, which will try out the life support system, is to be launched unmanned in 2024 to the ISS. The launch with a crew onboard and the docking with the ISS are to be carried out in 2025 using the second flight article.

 

— What are Energia's activities in the field of satellite development?

— In the field of unmanned space systems, spacecraft under government contracts are being built on schedule. Energia has made a big technological breakthrough in the development of ERS satellites (Earth Remote Sensing satellites — TASS’s note). The satellite launched in February 2019 in the interests of Egypt was accepted by the customer into service. This field of activities has good prospects for space market.

 

The field of unmanned space systems, which, in terms of technology, started at RSC Energia with Yamal satellites developed under contract with Gasprom demonstrating the feasibility of getting return on economic investments in space activities, is one of the major fields for the company.

 

— What is the outlook for the Block DM upper stages?

— After a five-year gap, RSC Energia resumed in 2019 the launches of upper stages Block DM-03 on Proton launch vehicles from the Baikonur launch site. The first launch on July 13 not only put into space the unique space laboratory Spektr-RG, but also marked the space comeback of RSC Energia upper stages. The second launch, on December 24, of the satellite Elektro-L with the upper stage Block DM-03 on Proton-M launch vehicle went smoothly.

 

It is worth noting the special importance and the promising outlook for the development of the upper stages that are to support satellite launches to geostationary orbit on Angara-A5 launch vehicle from Plesetsk and Vostochny launch sites.

After long delays in the previous years, in 2019 the program of integrated ground developmental tests was completed and the first flight upper stage for Angara-A5 was built, which was delivered in November 2019 to Plesetsk launch site.

 

— How is the work on the new Soyuz-5 rocket coming along?

— RSC Energia has been named by the State Corporation Roscosmos as the prime developer of the semi-heavy Soyuz-5 and the super-heavy space rocket systems. The development of Soyuz-5 is in full swing, with RSC Energia being responsible under the Roscosmos contract for the development of the space rocket system as a whole, and, under the contract with Kazakhstan, for upgrading the Zenit processing facility and the launch pad at the Baikonur launch site that are intended for processing and launching Soyuz-5 launch vehicles. The work is done in partnership with RSC Progress and TsENKI. The first sage of Soyuz-5 and its manufacturing technology will be used in the development of the super-heavy rocket.

 

In 2019 RSC Energia together with its subcontractors — RSC Progress, TsENKI, RSS, Energomash and others — developed a comprehensive preliminary design of the super-heavy space rocket system, including the super-heavy launch vehicle and ground infrastructure at the Vostochny launch site for pre-launch processing and launch of the super-heavy launch vehicle. The preliminary design was approved by the State Corporation Roscosmos.

 

The first launch of the manned Orel spacecraft on the super-heavy launch vehicle to a circumlunar orbit is to be carried out in 2028.

 

— What is the current financial situation of RSC Energia?

— Due to huge losses that RSC Energia accrued over the period of 2014 through 2018 on commercial projects Sea Launch, EgyptSat and AngoSat, the company experienced significant financial difficulties in 2019. Because of these losses we have to get additional loans to assure financial stability of the company. These loans are not related to production activities of the company, and we have pay annual interest on them, reducing the profit from our core activities.

 

In addition to this, during the period of 2008 through 2018 RSC Energia significantly slipped behind schedules on a number of government contracts. For these, Roscosmos and the Ministry of Defense had to impose fines.

 

Last year, in order to avoid bankruptcy, we developed a financial recovery program for RSC Energia, which was approved by the board of directors of RSC Energia and administration of Roscosmos.

 

In late 2019 the supervisory board of Roscosmos instructed to refine the RSC Energia financial recovery program to take into account the mechanisms of financial recovery, which the Russian Federation government plans to use for financial recovery of companies in the military industrial sector, such as recapitalization of companies, restructuring of old debts, and deferral of payment of fines.

 

But the main source of financial recovery for the company is to complete by 2025 the large manufacturing program, under which RSC Energia must develop and build new space hardware, as well as to accomplish more than 60 launches from Baikonur, Plesetsk and Vostochny launch site.

 

— What are the result of production and economic activities of RSC Energia in 2019? Is there any progress as compared with 2018?

— Compared with 2018, the RSC Energia revenue in 2019 grew by 20%. While in 2018 RSC Energia was losing money, 2019 ended without losses, in spite of the fact that we had to pay large interest on bank loans obtained to support the financial stability of the company.

 

Not all of the work performed under government contracts was activated in 2019, although hey had been completed and submitted to the government customer. Due to the fact that acceptance procedure under government contracts takes a lot of time, in order to activate completed work at the end of the year, you need to submit the work starting with the midyear.

 

— You had already been the head of RSC Energia in 2005–2007. At that time you didn’t get on well with the senior management of the Federal Space Agency. What about your relations with Roscosmos nowadays?

— Unfortunately, that time I had to leave Energia. The former senior management of the Federal Space Agency did not support the RSC Energia’s proposal concerning the development of new space technology, which would eventually enable space activities to recover their own costs.

 

At that time everybody seemed to be laboring under the delusion that the stockpile of technologies inherited from the Soviet era would preserve our competitive edge forever. And indeed, as far as manned spaceflight is concerned, for almost a decade our colleagues from abroad had to use and pay for the services of Soyuz manned spacecraft, until they developed their own manned spacecraft.

 

Eventually, as we can see now, the time was lost, the competitive edge of the Russian space technology was lost, and huge financial problems accumulated.

 

But the worst is that many professionals who had experience in designing new space technology quitted the industry. The people who remained are mostly specialists in reproducing and operating the space hardware.

 

The current head of State Corporation Roscosmos Dmitri Rogozin is oriented towards further development of the Russian space industry. He makes what I would call strenuous efforts to mobilize companies in the industry towards this goal. Unfortunately, one or two years it not nearly enough time to implement a fundamental change in a situation which had steadily been growing worse during the previous 10 to12 years. But if we don’t relax our efforts to develop new technology, the problem of getting the space industry technology up to speed can be solved in five to seven years.

 

I definitely support the head of Roscosmos in his aspiration to bring the Russian space industry up to speed, and I believe that he has the strength to do it.

 

— In January some news media reported that a conflict developed between you and the old management of RSC Energia due to the introduction of the new corporate organization structure. Would you like to comment on these reports?

 

— It is an objective situation. When last year a vice prime minister of the RF government Yuri Borisov summoned me and suggested that I return to RSC Energia to manage its crisis, I did not have any plans to come back to work at RSC Energia.

Earlier, in 2005–2007, I already had had to resolve Energia’s financial crisis. Of course, over the past years RSC Energia became a different organization from what it was when I left it in 2007. Although on the surface it may seem that it does the same work. But a crisis does not just occurs on its own. As a rule, it is a result of what people do.

 

For eight months I was trying to improve the situation without replacing the managerial staff and the organization structure of the company. But eventually, it became clear that I had to change allocation of work between the managers, appoint new ones, take away some of the authority from the old ones, because there was no other way to improve the situation.

 

Of course, not everybody is happy about this. People want to keep their positions, although they are not always able to cope with their work. Bu there is no other way, since the chief executive bears full legal responsibility for the activities of the company, he must therefore have the authority to manage the personnel.

 

I think that today most of the old managerial staff have already adapted to the changes. This will make it possible not only to work in a stable manner, but will also support a sustainable growth of RSC Energia.

 

— What, in your opinion, are conditions that need to be created today for the Russian space industry to once again become the world leader in space technologies and systems?

— Today, the main condition for further development is to implement the initiated big space projects, such as development of new heavy launch vehicles Agara-5, semi-heavy Soyuz-5, the super-heavy launch vehicle and the new manned spacecraft Orel for deep-space exploration. Of great importance to the industry development is commercialization of space activities, since it is an indicator of their usefulness. This, first of all, concerns the development of competitive unmanned space systems for communications and remote sensing, which can and should be built using non-government investments. Also needed is further commercialization of manned spaceflight.

 

But no less important for addressing these problems today is the need to assure the continuity of personnel. If you have appointed new managers, give them time to implement new projects. They cannot do it in one or two years. To implement a new space project one needs five to seven years. This is the world practice.

 

That is why it is so important to resolve the issues of personal responsibility and authority of the heads of companies. In the space industry, starting with Korolev, Chelomei, Yangel, Glushko and other heads of companies which developed new rocket and space technology, success in the development of space projects was only achieved when the chief designer had the authority of the chief executive, while the chief executive bore the responsibility of the chief designer, in other words, it was one and the same person. When designing new space technology, one must have an undivided organizational and engineering authority. In a new design effort, as in any battle, you must have unity of command. Only in this case one can, besides being able to achieve results, be also responsible for them.

 

This is a necessary, but still insufficient condition for the development of space industry. In the current situation, of course, government support for financial stabilization of companies in the industry is required. Over the last decade many companies, for various reasons including mismanagement, have accumulated financial problems, which wouldn’t let the companies to ‘stand on their own feet’.

 

Meeting these conditions will enable the Russian space industry to take a leading position in the field of development of new rocket and space systems.