The Qantas Group and Melbourne Airport have reached a commercial agreement that will support future airport expansion, additional flights and upgrades to passenger facilities.
The agreement underpins Melbourne Airport’s planned 4.5 billion AUD international terminal expansion programme, which includes the construction of five additional widebody aircraft gates to accommodate future growth in international services.
The two parties have also agreed to a 15-year commitment supporting the development of Melbourne Airport’s third runway, which is scheduled to open in 2031.
The expansion plans are expected to provide additional capacity for Jetstar, which already operates up to 1,000 weekly flights from Melbourne during peak periods. The airport is the airline’s largest base, accounting for approximately 45% of its domestic passengers.
Melbourne Airport Chief Executive Officer Lorie Argus said:We’re proud to be Australia’s largest 24-hour gateway and pleased to be partnering with Qantas to deliver the most significant upgrade to Melbourne Airport in its history.
Our partnership will bring together Melbourne Airport's investment in critical infrastructure with the Qantas Group’s investment in aircraft, customer experience and network growth, creating new opportunities for travellers and Victoria's economy.
Our investment in a third runway opening in 2031, coupled with the Qantas Group's 15-year agreement supporting its delivery, is a significant vote of confidence in Melbourne.
As part of the agreement, Qantas will develop a new International Business Lounge above Terminal 2. The facility will be up to one-third larger than the airline’s existing lounge and is expected to open in 2029 following construction and fit-out works.
International passengers will also benefit from upgraded check-in facilities, including enhanced premium check-in areas and new automated bag-drop systems supported by Melbourne Airport’s recently commissioned baggage handling system and early baggage storage facility.
The terminal expansion will also include an enlarged baggage reclaim hall and additional space for Australian Border Force operations.
Furthermore, Qantas has announced plans to base a number of its Airbus A350-1000LR aircraft at Melbourne Airport. The aircraft form part of the airline’s order for 12 A350-1000LRs and are separate from those intended for its Project Sunrise ultra-long-haul services. The airline said the aircraft will enable it to launch services to international destinations that are not currently possible from Melbourne.
Rob Marcolina, Chief Financial Officer of the Qantas Group, said:This will unlock growth for both Qantas and Melbourne Airport and improve the travel experience for millions of our customers every year.
From check-in to our lounge experience to our new fleet, we’re investing right across our business to reshape the way our customers travel to and from Melbourne.
Basing some of our new A350-1000LRs in Melbourne will unlock a range of new destinations that aren’t possible today.
Qantas and Jetstar currently fly to 17 international destinations from Melbourne and we look forward to increasing that number, helping to connect more Australians with the world, and growing Victoria’s tourism economy.
