Jodrell Bank Observatory has won a key role in developing the world’s largest and most sensitive radio telescope, designed to answer some of the most fundamental questions about the universe.

The Square Kilometre Array will have a total “collecting area” of approximately one square kilometre, giving 50 times the sensitivity and 10,000 times the survey speed of the best current-day telescopes.

It will eventually be located in either Australia, New Zealand or southern Africa, with a target construction cost of €1.5 billion.

It was announced that the SKA Project Office (SPO) will be based at Jodrell Bank, near Manchester.

It will supersede the existing SKA Programme Development Office (SPDO) currently based at the University of Manchester. The move to Jodrell Bank is scheduled for January 1 next year.

With thousands of receptors extending out to distances of 3,000 kilometres from the centre of the telescope, the SKA will address unanswered questions about the universe, including how the first stars and galaxies formed after the Big Bang, how galaxies have evolved since then, the nature of gravity, and the search for life beyond Earth.

Nine national governmental and research organisations have set up a Founding Board for the project.

Australia, China, France, Germany, Italy, The Netherlands, New Zealand, South Africa and the UK signed a letter of intent in Rome today, declaring their common ambition to see the SKA built, and agreed to work together to secure funding for the next phase of the project.

John Womersley, professor and chairman of the Founding Board, said: “Given the current economic environment, it is reassuring that so many partners have recognised the importance of supporting the SKA.

“Our partners have taken this step not only because of the inspirational nature of the discoveries that the SKA will make, but also because of the economic benefits that international megascience projects can bring to participating countries.”

The decision on the location of the SPO followed a competitive bidding process in which a number of proposals were received. A decision on the location of the telescope will be made in 2012.

The UK’s seat on the Founding Board is through the Science and Technology Facilities Council (STFC). Minister for Universities and Science David Willetts said: “The Square Kilometre Array is a project of global significance. This is evidence of the high reputation of Britain’s management of international science projects. It is great news for Britain, and for Jodrell Bank and Manchester University in particular.” Stephen Watts, professor and head of the School of Physics and Astronomy at the University of Manchester, said: “Jodrell Bank is an ideal place for scientists and engineers to work together to plan the world’s largest radio telescope, alongside world-leading radio astronomy facilities, and the new Discovery Centre.

“Together these offer a real opportunity to inspire people of all ages with this ambitious project to answer truly fundamental questions about the nature of the universe.”

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