ESG IN SPACE: CREATING AN EFFECTIVE SPACE GOVERNANCE SYSTEM BY USING TERRESTRIAL ESG PRINCIPLES TO PROPERLY REGULATE PRIVATE SPACE ACTORS

Authors

Hu, Phillip S.

Abstract

As the privatization of space accelerates, concerns arise about the potential for unregulated exploitation of celestial resources by private companies. From setting up extraterrestrial colonies to exploiting asteroids, private space companies have long aimed to tap into the riches of the cosmos. Our current legal framework is not prepared for the huge influx of new private space actors, all while new regulation has trailed the fast-paced space industry and its advances. For an effective space governance system to be created, a new regulatory framework that helps regulate private space actors must be created.

This Note argues for the application of Environmental, Social, and Governance (ESG) principles to establish a sustainable and responsible framework for space governance. It begins with a historical overview of the space industry’s shift from government-led to commercially driven exploration, highlighting the inadequacies of existing space law in addressing the unique challenges posed by private actors. Through a critical analysis of current legal frameworks and international agreements, this Note examines the risks of corporate-driven space colonization and resource extraction. Drawing parallels to terrestrial industries, this Note explores how ESG protocols, regulatory sandboxes, and lessons from deep-sea mining regulation can be adapted to ensure that private space activities benefit all of humanity. Finally, it proposes actionable steps for integrating ESG principles into space law to safeguard the global commons of outer space.

Recommended Citation

Hu, Phillip S., Case Note, ESG IN SPACE: CREATING AN EFFECTIVE SPACE GOVERNANCE SYSTEM BY USING TERRESTRIAL ESG PRINCIPLES TO PROPERLY REGULATE PRIVATE SPACE ACTORS, 65 Santa Clara L. Rev. 757 (2025).
Available at: https://digitalcommons.law.scu.edu/lawreview/vol65/iss3/4