Qantas has announced biggest airport infrastructure deal in its history
Qantas has announced its biggest airport infrastructure deal in its history, which is set to open up economic growth and tourism in one Australian state.
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Qantas has announced its biggest ever airport investment reaching a historic agreement with Perth Airport to make Western Australia home to the nation’s second biggest airport hub.
The 12-year agreement to develop a new terminal and runway was reached between Qantas and Perth Airport after years of negotiations. They are expected to be operational by 2028.
It will form part of a $5b capital investment program by the airport, the largest infrastructure development to be undertaken in Perth, which will also deliver multistorey carparks, roadworks and the airport’s first hotel.
The development will make Perth Airport the biggest airport hub for domestic and international flights outside of Sydney.
Qantas and Jetstar will relocate all services to a new terminal in the Airport Central precinct that will see the airport become the nation’s second biggest hub for domestic and international airlines.
Qantas and Jetstar plan to add 4.4 million seats to and from Perth annually by the time the new terminal opens in 2031, enhancing inbound tourism and giving Australians more options to travel to Asia, Africa, India and Europe.
A new engineering hangar will also be built by Qantas at the airport, as part of the agreement.
The current terminal 3 and 4 building will be upgraded to add services and destinations from Perth to places such as Auckland and Johannesburg from mid-2025, and will service more logistic flights and private planes.
Perth Airport chief executive officer Jason Waters said it was moment in history.
“This deal delivers a new future for aviation into, out of and around Western Australia, it allows both Qantas and Perth Airport to realise growth plans and cements Perth as Australia’s western aviation hub,” he said.
“For Perth Airport, it unlocks $5bn worth of investment which will see a dedicated terminal for Qantas Group airlines, an expanded international terminal, a much needed new runway and the upgrade and expansion of our existing terminal 2, multistorey carparks and our first airport hotel.
“It will be completely change the face of Perth Airport.”
Mr Waters said they expected the development to create 3000 new jobs across the construction period, as well as support growth in WA’s resource sector, tourism and trade opportunities.
Qantas chief executive officer Vanessa Hudson said it was the largest airport infrastructure deal in Qantas’ history, significantly expanding its domestic and international services.
“It has been a long and sometimes hard and difficult journey but in the last 12 months the team came together to work through all the challenges,” she said.
“This investment is the largest airport investment that the Qantas Group has ever undertaken.
“We are absolutely delighted to make this historic investment in Perth, this will become our western hub.
“Once completed it will be the largest airport hub complex outside of Sydney, that is so exciting.
“Not only will it allow us to bring hundreds of thousands more travellers to and through Western Australia each year, it will also make it easier for overseas tourists to connect to more destinations across Australia.
“The additional flying will see us create an estimated 700 new jobs in WA across pilots, crew, engineering and airport staff.”
Premier Roger Cook said it was a great day for Western Australia and continued the vision that Perth would become the western gateway for the rest of the nation and connect it with the rest of the world.
The Premier said the deal settled historic issues between to the two parties and forged a pathway ahead to make sure WA could grow through the crucial piece of economic infrastructure.
“This is a mega deal,” he said.
“It has been long anticipated … I am so excited about the future of WA.”
Tourism Council WA chief executive officer Evan Hall welcomed the certainty and investment of the new commercial agreement.
Mr Hall said a key outcome of the new commercial arrangement was a significant expansion in aviation capacity to attract new international routes, both in the short term and over time.
“Ultimately, a single airport for international and interstate visitors with easy connections to regional WA services, will create a seamless transfer for visitors and enhance international tourism to Perth and regional WA.”
Originally published as Qantas has announced biggest airport infrastructure deal in its history
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