Qantas, Perth Airport Plan $5bn Redevelopment

In what will now be Western Australia’s largest privately funded infrastructure project, both Qantas and Perth Airport have chipped in to redevelop the Perth Airport.

Perth Airport and Qantas signed a new commercial agreement that Perth Airport would invest $3 billion in redeveloping the airport.

That includes investment for new terminal facilities and a new parallel runway across 12 years. 

It will be part of a bigger $5-billion program by Perth Airport and will also include two multi-storey carparks, a hotel, which is a first for the airport, and major roadworks. 

The new terminal will host all Qantas and Jetstar services in the new Airport Central Precinct.

Both airlines are keen to add 4.4 million seats flying in and out of Perth each year by 2031 when the terminal is scheduled to open. 

The terminal will have domestic and international transfer, check-in and bag-drop facilities, a multi-lounge precinct and dining and wellness options. 

Qantas will also build a new engineering hangar as part of the deal with Perth Airport also investing in upgrading Terminals 3 and 4 to create more capacity in the interim while the new terminals are built. 

Jetstar will relocate domestic flights and services to Terminal 2 from September 2024 onwards before the Airport Central terminal is completed. 

▲ The render of the dining precinct at the new Airport Central Terminal for Perth Airport.

Qantas plans to allow passengers to travel from Perth to Auckland and Johannesburg from mid-2025 with gate upgrades so that ultra-long-haul-aircraft such as its Project Sunrise Airbus A350s due to arrive in 2026 can be accommodated. 

The new parallel runway is expected to open in 2028 and is expected to enhance future growth for Western Australia’s critical resources sector. 

“This is the largest airport infrastructure deal in our history,” Qantas chief executive Vanessa Hudson said.

“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.

“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 under way that will mean Perth is on track to become our second biggest international gateway behind Sydney.”

Previously, Perth Airport and Qantas were in mediation over outstanding commercial issues.

It is expected that the new agreement resolves all matters that were involved in that dispute.