Airport report shows serious spending

Australia’s biggest airports are maintaining a high quality of service, according to the ACCC.

The latest Australian Competition and Consumer Commission (ACCC) Airport Monitoring Report finds Australia’s four largest airports are ramping up investment in critical infrastructure to meet surging air travel demand.

Sydney, Melbourne, Brisbane and Perth airports all maintained ‘good’ overall service ratings in 2023-24, even as passenger numbers climbed to 114.6 million – just 4.7 per cent shy of pre-pandemic levels.

Passenger satisfaction remained high, but airline ratings dipped, with concerns raised around congestion, aerobridge maintenance and baggage processing capacity.

The ACCC found the airports collectively invested $985.1 million in aeronautical facilities over the year, a figure set to balloon to around $19 billion over the next decade.

Projects include Melbourne Airport’s $2.37 billion third runway, Brisbane Airport’s $5 billion transformation program ahead of the 2032 Olympics, and Perth Airport’s $3 billion investment in new terminals and a parallel runway.

Financial performance also rebounded.

Combined aeronautical profits soared 75 per cent year-on-year to $1 billion, although Sydney’s figures were boosted by airline back-payments.

Despite strong gains, total operating profits across the four airports remain 7.1 per cent below pre-pandemic levels.

“These upgrades are crucial to avoid bottlenecks as Australia’s passenger numbers are forecast to rise by more than 30 per cent to 210 million by 2030,” said Australian Airports Association Chief Executive Simon Westaway.

The full report is accessible here.