It has been found out from a recent survey that NASA will have to shelve out more for the delivery of commercial cargo to the ISS in 2020 rather than enjoying the cost-effective situations from the highly developed systems. As per Paul Martin who is the inspector general of NASA, the space agency will be required to pay $400 million in excess for the purpose of its second round of delivery contracts which will begin from 2020 and continue till 2024 although the agency has plans to transport only a bit more than six tons of cargo. In case per kilogram cost, it will lead to an increase of 14 percent.

One of the main reasons for which this jump has been felt is mainly because of 50 percent increase in prices by SpaceX which has been engaged in transporting most of the commercial cargo to the International Space Station with the help of its Falcon 9 rocket as well as Dragon Spacecraft. This is quite unusual due to the fact that during the first travel of sending commercial cargo which initiated in the year of 2012, Space had quoted a lower price than that of Orbital ATK. These two companies are supposed to send 31 % of the total commercial cargo to space. This is the first phase of the contract which is expected to complete within 2020. Among such transportation, the latest reports reveal the fact that SpaceX is due to complete 20 flights at an average cost of $152.1 million for each mission. Whereas its counterpart, Orbital ATK, is scheduled to finish 11 more such missions at an estimated cost of $ 262.6 million per mission.

This difference in estimated cost to complete will eventually wipe out when the missions that these two companies are scheduled to undertake for the period from 2020 to 2024. Space is expected to raise its cost and on the other hand, Orbital ATK is expected to cut down on its cost by 15 percent. NASA has awarded for commercial resupply contracts which have been framed as CRS-2. This was done by NASA as per the rules of competitive bidding. Space, as well as Orbital ATK, has again won a considerable amount of contracts for this particular phase. But this time a new company has also joined in the race along with them. The name of the new company is Sierra Nevada Corp, while the bidding of Boeing and Lockheed Martin were canceled.