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Newcastle Airport has signed a memorandum of understanding with the NSW government to attract new domestic and international services.
The agreement will give the airport, currently in the middle of a major redevelopment, funding from the state’s Aviation Attraction Fund (AAF) for two years after the commencement of new routes.
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“The international terminal upgrade at Newcastle Airport will be a massive boost for tourism in the Hunter and Mid-North Coast. It will also cement NSW as the number one gateway to Australia,” NSW Minister for Jobs and Tourism John Graham said.
“The government is backing the people of Newcastle to maximise the opportunities of the international terminal upgrade.
“This MOU provides financial certainty to Newcastle Airport so it can attract new international and domestic airline services, helping the recovery of aviation jobs and providing a significant boost to the local visitor economy.”
The state government expects Newcastle Airport’s $250 million upgrade to bring in 850,000 additional passengers per year, generating $6.2 billion in the visitor economy as well as $6.5 billion in additional freight over the next 20 years.
Airport CEO Dr Peter Cock said the first round of funding is “amazing” for negotiations to attract new carriers.
“Delivering new destinations for our community is critical to us. We know that we are in competition with airports from around Australia and globally, so we applaud the NSW government for giving us a level playing field to go out and compete,” he said.
“Our region will have access to an upgraded airport terminal by mid-2025, this will not only enhance the experience for all domestic travellers but also provide significant upgrades to our international capacity.
“It’s fantastic to have the support of the NSW government to promote the region and attract new airline services to meet the region’s current appetite for both domestic and international travel.”
Newcastle Airport is currently carrying out upgrades partly funded by a $55 million grant from the federal government, which will see an overhaul to its international terminal, including passenger and border processing facilities, to better support international flights to and from the airport.
Originally slated to be completed this year, the terminal overhaul will now be finished in 2025.
The airport has signalled it could host daily international flights, including to New Zealand and Singapore, once the upgrades are complete; additionally, it saw more than 4,500 responses to a July survey about the possibility of services to Perth, which would open up another connection between the east and west coasts.
