Qantas and Perth Airport announced a landmark commercial agreement poised to stimulate a multi-billion-dollar surge in investments, introducing new international and domestic flights to significantly boost Australia’s tourism sector. Under this 12-year deal, Perth Airport will invest approximately $3 billion in new terminal facilities and a parallel runway, fostering immediate and sustained economic growth and job creation. This initiative is part of Perth Airport’s $5 billion capital investment plan, marking Perth’s largest-ever private infrastructure project. The plan includes constructing two multi-storey car parks, major roadworks, and the airport’s inaugural hotel.
Qantas and Jetstar will consolidate their operations in a new terminal at Airport Central, enhancing their fleet with new aircraft to transform Western Australia into a key hub for both domestic and international travel. By the time the terminal opens in 2031, Qantas and Jetstar aim to add an additional 4.4 million seats annually on flights to and from Perth.
The development will significantly boost inbound tourism and expand travel options for Australians heading to Asia, Africa, India, and Europe. The new terminal promises a leading-edge travel experience with seamless transfers and advanced check-in and baggage services. Qantas will collaborate with Perth Airport on a multi-lounge area for both international and domestic travelers, featuring a new signature design along with unique dining and wellness options.
Further, Qantas intends to construct a new engineering hangar at Airport Central. Meanwhile, Perth Airport plans to enhance Terminals 3 and 4, where Qantas currently operates, increasing capacity until the new facilities are ready. Jetstar will shift its domestic operations to Terminal 2 in September 2024, fostering additional growth prospects for the airlines, before eventually moving to the new Airport Central terminal.
The upgrades to Terminals 3 and 4 will allow Qantas to introduce new routes from Perth, including flights to Auckland and Johannesburg starting mid-2025, pending approval from border agencies. These upgrades will also accommodate ultra-long-haul flights, including the Project Sunrise Airbus A350s, which are expected to begin service in 2026.
Additionally, both parties have confirmed the need for and the timeline of the new parallel runway, scheduled to open in 2028. The completion of this runway will support further expansion of the vital resources sector and ensure the long-term sustainability of aviation in Western Australia.
Comments from Qantas CEO Vanessa Hudson
“This is the largest airport infrastructure deal in our history. It will enable us to create a world-class western hub and significantly expand our domestic and international services over the short, medium and long term.
“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.
“Perth-London and Perth-Rome are two of the most popular flights on our international network, which gives us confidence in our strategy to ramp up WA flying over the next few years as we receive new aircraft and grow our fleet.
“The additional flying will see us create an estimated 700 new jobs in Western Australia across pilots, crew, engineering and airport staff.
“With the launch of Perth-Paris in July and Jetstar’s new services into Asia starting later this year, we have a pipeline of growth underway that will mean Perth is on track to become our second biggest international gateway behind Sydney.”
Comments from Perth Airport CEO Jason Waters
“This is a special moment in the history of aviation in Western Australia as this agreement will unlock the future for both Perth Airport and Qantas.
“Qantas has some ambitious growth plans for its operations in Perth and we are thrilled to have the opportunity to push ahead together to realise this potential.
“Western Australians will now see the largest-ever private investment in an infrastructure development in Perth – a once in a lifetime investment program that will completely change the face of Perth Airport over the next decade.
“Perth Airport’s plans will see more than $5 billion invested in delivering new terminal facilities, a new parallel runway, two multi-storey carparks with associated roadworks, and our first airport hotel.
“This will create thousands of construction and on-going jobs, underpin the future growth of the FIFO-based resources sector, generate new tourism and trade opportunities, and deliver enormous ongoing benefits to Western Australia.
“Most importantly, it will deliver one airport for the people of Western Australia which will host all flight services giving them a seamless, world class travel experience.”
Comments from Western Australian Premier Roger Cook
“This commitment cements our place as the Western Gateway to Australia.
“By opening up new flights routes and adding millions of extra passenger seats each year, we’re positioning WA as a major tourist destination in the region.
“It will turn Perth Airport into a world-class travel hub for visitors and for Western Australians, and put Perth onto the world stage for travellers.
“It’s part of our plan to diversify WA’s economy, create long-term jobs and set our State up for the future.”
The agreement settles all pending commercial disputes between Perth Airport and Qantas.
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