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Vertical construction underway on new Auckland terminal

written by Jake Nelson | February 11, 2025

Construction works on Auckland Airport’s new domestic terminal. (Image: Auckland Airport)

Auckland Airport has begun vertical construction on its new domestic terminal.

As part of phase 1, 92 steel columns are being craned into place for the terminal’s headhouse, which will include domestic arrivals and baggage areas, airline lounges, and operational management spaces, among other important components.

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The airport says the NZ$3.9 billion terminal overhaul program will link the international and new domestic terminals, adding more capacity and simpler connections.

When completed in 2028–29, the integrated terminal will replace the old domestic terminal, much of which dates from the 1960s and 70s.

“This is one of New Zealand’s most significant infrastructure projects underway right now, and it’s exciting to see the structure rise up out of the ground,” Auckland Airport’s chief infrastructure officer, Susana Fueyo Suarez, said.

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“We are making good progress on this multi-year build, but it really is significant to be starting work on the main structure itself. You’d have to go back almost 50 years to when the international terminal was built for a project of this scale at Auckland Airport.

“Importantly, it’s going to have a huge impact on the way people travel, in terms of lifting the traveller experience at the airport, as well as creating essential resilience, and greater capacity for airlines.

“From today, visitors to Auckland Airport will begin to really see the new terminal taking shape above the construction hoardings.”

The integration program has been the subject of controversy, with airlines including Air New Zealand saying it will lead to “unaffordable airfares” due to increases in airport charges.

Auckland Airport charges, which are currently NZ$10.25 per passenger, will move to $15.45 by 2027, which the airport says is similar to other major airports in the country.

Greg Foran, CEO of Air New Zealand, said in February last year that while the new airport will “look great”, it will not include an additional runway or deliver much new capacity, and that “the value of the airport’s asset base, which dictates the size of its charges, will have increased per-passenger domestic charges five times, with more to come in the future”.

According to Fueyo Suarez, Auckland Airport supports up to NZ$35 billion in economic benefit for the New Zealand economy.

“If you break that down, every international touchdown is worth about $1.4 million to the country. Looking to the future, as we complete our infrastructure upgrades we expect that economic impact to increase to NZ$54.9 billion by 2032, including NZ$41.1 billion in annual freight movements,” she said.

“That economic impact is shared right across New Zealand, particularly through tourism. Each year Auckland Airport’s aviation connections facilitate $3.5 billion of economic activity associated with international travellers to the regions and $6.8 billion from domestic travel.

“At a local level that wealth transfer from Auckland Airport’s activities is estimated to be an extra $1.8 billion annually into the Christchurch economy and $813 million into Queenstown.”

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