Does NASA Have Any Incentives to Reduce the Cost of Space Travel?

For years, there has been a consistent narrative within government and aerospace circles that NASA has lacked any substantial incentive to reduce the cost of space travel. Historically, mission goals and strategic priorities have not seemed aligned with financial efficiencies. This article aims to explore the key data points and examples that illustrate NASA's track record on this issue, and provide context for why other companies like SpaceX have been more successful in reducing space travel costs.

The Historical Cost of Space Launch

NASA's efforts to lower the cost of space travel have had varying degrees of success. A prime example is the Saturn V rocket. Over its lifespan, the amortized cost per launch was approximately $250 million. However, this figure includes the costs of two never-flown rockets and does not accurately reflect the third rocket built, which had a more limited purpose. If adjusted for inflation, the cost to launch a Saturn V rocket would be around $1.2 billion in modern dollars.

Space Shuttle Program (STS)

The Space Shuttle program, initiated ten years after Apollo 17, aimed to reduce the cost of reaching orbit. NASA officially cited the shuttle cost as 'about $450 million per flight.' However, when the $192 billion spent on the shuttle program is divided by its 135 flights, the cost per flight becomes $1.422 billion or $2.1 billion when adjusted for inflation. NASA claimed this figure based on $136 billion in non-recurring research costs, a portion that had already been expended.

Artemis and SLS Program

The Artemis program, along with the Space Launch System (SLS) rocket, has been criticized for not following a path toward cost reduction. NASA estimates the cost per flight without non-recurring expenses to be between $4.1 billion and $4.2 billion. This figure is significantly higher than the costs incurred by SpaceX, which has reduced the cost of space flight from nearly $10,000 per pound on the Space Shuttle to around $500 per pound for a fully loaded Falcon Heavy. SpaceX manages to achieve this with just a fraction of NASA's budget, demonstrating the potential for cost reduction without relying on exotic materials.

The Role of Incentives and Spending Patterns

Government agencies like NASA are often incentivized to spend their budget allocations completely each fiscal year. Any remaining funds are typically cut from the following year's budget, leading to a cycle of near-maximum spending towards the end of each fiscal year. In this context, the Space Shuttle's use of 1960s-era computer technology and hardware emphasizes the agency's focus on legacy systems over modern improvements. For instance, the shuttle's computer system, designed in 1966, weighed almost 6 tons and had less computing power than a typical IBM PC from the early 1980s.

SpaceX's Cost Reduction Efforts

SpaceX, on the other hand, has dramatically reduced the cost of space flight. In just 22 years, the cost from nearly $10,000 per pound on the Space Shuttle has been lowered to about $500 per pound on a fully loaded Falcon Heavy. This remarkable achievement is not due to any exotic technology but rather strategic design and the use of reusable rockets. SpaceX's flagship product, Starship, aims to reduce per-pound costs to the low double-digit dollar range, a testament to their commitment to innovation and cost-effectiveness.

Conclusion

While NASA has the potential to reduce space travel costs, their historical track record and entrenched spending patterns have not aligned with these goals. In contrast, companies like SpaceX have shown that significant cost reductions are possible with smart design and a focus on reusability. As the industry moves forward, it is clear that a combination of innovation and market-driven incentives will be key to reducing the cost of space travel and making space exploration more accessible.