By Simon Westaway, CEO, Australian Airports Association
As Australia’s aviation sector emerges from a challenging period, Australian Airports Association CEO Simon Westaway reflects on the bright future of the nation’s airports.
The Australian aviation sector has rebounded strongly from the major black swan event and collective adverse impacts of the COVID-19 pandemic.
I believe it is a point worth reinforcing because our industry was staring at a metaphoric abyss almost five years ago.
In the immediate post-COVID period, Australia’s aviation market was amongst the slowest to recover globally, despite its past scale and importance to our national economy and communities.
But the wheels have now turned.
On passenger volumes we’re nearly back to pre-pandemic levels, particularly for domestic flying.
In parallel, the bounce back in outbound travel by many Australians mirrors pre-virus levels based on data and all those social media celebratory feeds.
Only the lag in inbound international visitors returning to our shores, still 16 per cent below previous levels, stands out as the point of distinction and some consternation.
As we put the COVID-19 response well behind us, Australian airports are looking to the future.
Infrastructure spending has been significantly stepped up at airfields across the country to meet both current demands and future-proof facilities for a more resilient, sustainable and passenger-friendly experience.
From now to 2032, around $20 billion will be spent on infrastructure projects to upgrade, expand or construct airports across the country, including the exciting completion of Western Sydney International Airport (WSI).
At the Australian Airports Association, our airport members across all corners of the nation are particularly focused on increasing their overall operational capacity.
Brisbane Airport is preparing to welcome a booming population, with 60 million passengers a year expected by 2050.
To cater for this growth, it is investing $5 billion in 150 projects as part of the Future BNE program, including a third passenger terminal to be completed by the 2032 Olympic and Paralympic Games.
It also includes next-generation security upgrades in the domestic and international terminals, to be completed next year, as the airport celebrates 100 years of service.
Melbourne Airport’s current runway system has become increasingly constrained as the international city grows to Australia’s largest by population in this decade.
It is why its recent Federal Government approval to build a crucial third runway, scheduled to be operational in 2030, has been widely welcomed.
Our airports are also working collaboratively with airline partners by aligning the shared goals of enhancing operational efficiency and maximising growth potential.
A shining example is the historic $5 billion deal between Perth Airport and Qantas to expand capacity over a 12-year agreement.
Perth Airport will invest around $3 billion in consolidated terminal facilities and a new parallel runway.
Through this agreement, Perth Airport is looking to capitalise on its geographical advantage for ultra-long-haul travel direct to Europe in collaboration with Qantas’ strategic plans, whilst providing an innovative boost to Australia’s visitor economy.
Adelaide Airport has initiated a five-year, $1 billion capital investment program, including $600 million for major aeronautical projects at the airport.
Australian airports are focused on improving the passenger experience, both on and off site.
Still our largest gateway, Sydney Airport has advocated and worked closely with the NSW Government for the $2.6 billion Sydney Gateway, a new toll-free connection that opened in September to reduce congestion and save time getting to the domestic terminals.
While airports are investing in significant transformation to meet future growth, the Australian Government is also facilitating the entry of new air gateways.
WSI is of course nearing completion. Set to open in 2026, it will cater for the increased aviation demand in Sydney that’s set to double in the next 20 years.
The airport will serve as a hub for Western Sydney residents, while also providing a boost to the nation’s supply chains.
40 per cent of current passengers travel through an Australian regional airport in their domestic journey and considerable infrastructure upgrades are underway in our regions.
Newcastle Airport’s new international terminal is expected to open by mid-2025, delivering a world of opportunity for residents across the greater Hunter Region and beyond.
Hobart Airport has commenced its $200 million terminal upgrade along with improvements on its runway, while Cairns and Mackay Airports are set to benefit from $155 million in government-loaned funding for extensive upgrades.
For remote communities, the local airstrip is a lifeline and upgrades are keeping residents connected thanks to Federal Government funding.
21 projects were approved in the latest round of the Remote Airstrip Upgrade Program, including works to weather-proof, re-seal and improve runways.
We’ll also see more projects begin after round four of the Regional Airports Program, with individual grants up to $7.5 million.
By bringing innovative ideas to the table, Australia’s airports are continuing to expand and provide the gateway to growth for the nation’s economy.
Through infrastructure upgrades, technological revamps, customer-centric initiatives, and decarbonisation efforts, they are positioning themselves to thrive in an increasingly competitive landscape.