A group of distinguished Australian scientists have condemned the Albanese government’s decision to withdraw its association with the European Southern Observatory (ESO), claiming the move risks Australia falling behind in global science and innovation.
The ESO, also known as the European Organisation for Astronomical Research in the Southern Hemisphere, is an intergovernmental science organisation that designs, builds and operates world-class observatories.
Full ESO membership was a recommendation of the National Committee for Astronomy’s decadal plan for 2026-25.
NewsWire understands full membership costs the taxpayer around $500m.
Australia’s decision to discontinue membership means local access to the organisation will be cut off by 2027 when the current 10-year arrangement ends.
It is understood government consultation with the sector will then begin on next steps.
The move comes days after the launch of the Artemis II lunar mission and less than four months after astronaut Katherine Bennell-Pegg was named 2026 Australian of the Year.
The latter was a milestone many saw as signalling the country’s growing role in space, with Anthony Albanese describing Ms Bennell-Pegg as “an inspiration to the next generation of Australian scientists, engineers and astronauts” in January.
But withdrawal of ESO membership has sparked fears this progress could be undermined and sideline Australia at a moment of renewed global space ambition.
“Stepping back now risks long-term damage to our capability and competitiveness, and this decision means Australia will no longer remain at the forefront of astronomy research and discovery,” Australian Academy of Science policy secretary Margaret Sheil said.
She described ESO as a “gateway to collaboration”.
“It connects Australian researchers to world-leading facilities and international teams, multiplying the impact of domestic investment,” Dr Sheil said.
“In a field defined by scale and precision, partnerships are not optional extras, they are core capability.
“When baseline funding is already thin, withdrawing from shared global infrastructure reduces access to data, talent, and opportunity – without solving the underlying problem. You cannot build world class science in isolation.
“Astronomy does more than deliver discoveries. It inspires students, engages communities, and builds the pipeline of future scientists.
“Stepping back from a flagship international collaboration at the very moment the world is looking up risks dimming that inspiration for a generation.”
A spokesperson for Industry and Innovation Minister Tim Ayres acknowledged the discontinuing of Australia’s full ESO membership would be difficult news for those impacted by the update.
“The Australian government is focused on making sure every dollar of R & D investment delivers maximum possible value for Australians,” they said.
“That means prioritising investments that generate new opportunities for the research sector as a whole.
“That’s why we’ve moved to associate to this round of Horizon Europe, the world’s largest research and development fund, valued at A$155 billion.”
“Fast-tracked treaty talks should see Australian scientists, researchers and businesses benefiting from that global pool of talent and funding from 2027.”.
Horizon Europe is the European Union’s billion-dollar funding program for research and innovation.
It involves matched funding from the Group of Eight universities.

