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Home , Archerfield Airport, Eagle Farm Airport, King Island Airlines, Moorabbin Airport, Sharp Airlines, Victoria Police Air Wing

SECURING THE FUTURE OF ’S METROPOLITAN ABOUT THE AUSTRALIAN AIRPORTS ASSOCIATION 1

EXECUTIVE SUMMARY 2

INTRODUCTION 5

BACKGROUND – THE HISTORY OF OUR METRO AIRPORTS 6

PROFILING AUSTRALIA’S METRO AIRPORTS 8

AGENDA FOR THE FUTURE - ISSUES IMPACTING AUSTRALIA’S METRO AIRPORTS 28

CASE STUDIES 32

CONCLUSION 35 CONTENTS

ii SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS PUBLISHED NOVEMBER 2014 ABOUT THE AUSTRALIAN AIRPORTS ASSOCIATION

The Australian Airports Association (AAA) is the There are a further 100 corporate partners national industry voice for airports in Australia. representing aviation stakeholders and The AAA represents the interests of more than organisations that provide goods and services to 260 airports and aerodromes Australia wide – from the sector. The AAA facilitates co-operation local country community landing strips to major among all member airports and their many and international gateway airports. The AAA’s members varied partners in Australian aviation, whilst include , , Cairns, Canberra, contributing to an air transport system that is safe, Darwin, Gold Coast, , Perth, and secure, environmentally responsible and efficient airports. for the benefit of all Australians and visitors.

The AAA serves airports across the entire national If you have any questions regarding this document aviation infrastructure network. This includes: please contact the AAA on 02 6230 1110.

»» Tier 1 Capital City Airports; »» Tier 2 Non-Capital International Gateway Airports; »» Tier 3 Major Regional Airports with direct interstate services; ABOUT THE AUSTRALIAN AIRPORTS ASSOCIATION 1 »» Tier 4 Major Regional RPT airports without direct interstate services (with more than EXECUTIVE SUMMARY 2 20,000 passengers); »» Tier 5 Regional Airports without direct INTRODUCTION 5 interstate services (with less than 20,000 passengers); BACKGROUND – THE HISTORY OF OUR »» Tier 6 Regional Airports without Regular METRO AIRPORTS 6 Passenger Transport services (general aviation operations only); and PROFILING AUSTRALIA’S METRO AIRPORTS 8 »» Tier 7 Remote Community Aerodromes (exist for community service aviation: AGENDA FOR THE FUTURE - ISSUES IMPACTING medical, emergency flights). AUSTRALIA’S METRO AIRPORTS 28

CASE STUDIES 32

CONCLUSION 35

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 1 EXECUTIVE SUMMARY

Australia’s “Metro” Airports are the secondary airports Each of the Metro Airports was “privatised” by the located in Australia’s capital cities. They are not only Commonwealth of Australia over the period 1998 to significant centres of aviation activity in their own 2003. While the Commonwealth retains ownership right, but are also a key to ensuring the future efficient of the land on which the airports are located, private operation of the primary airports in their cities. companies now hold 50-year leases with 49-year renewal options and operate the airports on a At the same time, the Metro Airports confront an commercial basis. uneasy future and require sensitive and tailored Today, each of the Metro Airports is a bustling hub of consideration by Commonwealth, State and Local aviation activity. While the primary capital city airports Governments if they are to achieve their great potential may host the vast majority of Australia’s Regular Public contribution to the future of Australian aviation and the Transport (RPT) air passenger traffic and the largest Australian economy and community more generally. aircraft, they are not necessarily the busiest airports The Metro Airports comprise: in the country. While Airservices Australia figures »» and Camden Airport in Sydney; for 2013-14 show that recorded the greatest number of aircraft movements in that year: »» and Moorabbin (Harry Hawker) Airport in Melbourne; »» and each recorded more movements than the next busiest » » in Brisbane; primary capital city airport, , which »» in Adelaide; and in turn recorded only 0.06% more movements than »» Jandakot Airport in Perth. Bankstown Airport; »» Parafield Airport recorded 39% more movements The Metro Airports each have a long and colourful than ; history during which they have made a fundamental contribution to the communities and economies of »» Archerfield Airport recorded 15% move movements which they are a proud part. For example: than ; »» Essendon Airport is the oldest in the group, having »» Camden Airport recorded more movements than commenced operations in 1921, and Jandakot Darwin Airport and ; and Airport, which opened in 1963, is the youngest; »» Essendon Airport recorded more movements than »» Essendon Airport, Archerfield Airport and Parafield . Airport were the primary airports in their capital While the 11 largest airports in Australia (all capital cities for many years; and city airports, plus Gold Coast, Cairns and Alice Springs »» Bankstown Airport, Camden Airport, Archerfield airports) account for about 87% of overall passenger Airport and Parafield Airport played a vital role in traffic, RPT services do operate from a number of the the defence of Australia during the Second World Metro Airports and are important to the communities War, variously playing host to aircraft of not only the they serve. For example: Royal Australian Air Force but also the »» Sharp and Par-Avion operate from Essendon Army Air Forces, the Royal Netherlands Air Force Airport to destinations as diverse as , and the Royal Navy Fleet Air Arm. Hamilton, Portland and Griffith; »» operate closed charter services to Brisbane, Orange, Prominent Hill, Telfer; and »» operates RPT services to King Island from Moorabbin Airport.

2 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Even though the Metro Airports may not see great However, while the above is all good news, there are numbers of arriving and departing RPT passengers, they challenges facing our Metro Airports that do need to do enable a wide range of other aviation activity that is be met not only by those who operate them but also of vital significance. For example: by the Commonwealth, State and Local Governments. »» Private, corporate, recreational and sports aviation If Australia’s Metro Airports are to meet their great activity is centred around the Metro Airports rather potential to contribute to the future efficiency of our than primary capital city airports; and capital city airports and the Australian economy more generally, there are a range of policy and regulatory »» Aeromedical, agricultural, charter, pilot training and issues that need to be addressed. While these are aerial surveying, photography and other airborne discussed in more detail later in this issues paper, the work is a constant feature of the traffic at the Metro following provides a quick snapshot. Airports. »» Metro Airports must comply with the same The Metro Airports are also a key to community safety Commonwealth planning laws and requirements as and security. For example: those that apply at the far more significant primary capital cities. »» NSW Air Ambulance Rescue, Royal Flying Doctor Service, NSW Police Air Wing and National Parks »» Compliance with these requirements is very aircraft all operate from Bankstown Airport; expensive – and imposes a disproportionately and very heavy burden on Metro Airports than it does »» Royal Flying Doctor Service, Aero Rescue, on the much, much larger primary capital city Ambulance and Air Wing airports. aircraft all operate from Essendon Airport; »» There are numerous issues with the Airports Act that »» Royal Flying Doctor Service and Air Ambulance impact metro airports and need to be addressed, aircraft operate from Moorabbin Airport; and including: »» Royal Flying Doctor Service aircraft, DEC/DFES –– The requirement for a new 20-year Master Plan Bushfire Water Bombers, the RAC Rescue every 5 years is too frequent; and the WA Police Air Wing operate out of Jandakot Airport. –– The requirement that each new Master Plan effectively be a complete re-write rather than a Metro Airports are also vital to ensuring the future more simple update is too demanding; workforce requirements of Australian and some –– The “triggers” for when a Major Development international aviation are met. For example: Plan is required are set too low, have not kept »» Parafield Airport is home to the Parafield Aviation pace with inflation, and apply to too many types Campus of Flight Training Adelaide, Adelaide Flight of development; Training Centre, Bruce Hartwig Flying School, TAFE –– The requirement that a Major Development South Australia, to the University of South Australia Plan cannot be inconsistent with a Master Plan Aviation Academy, Aerostar and to the Parafield undesirably prevents concurrent development of Squadron of the Australian Air League; and Master Plans and Major Development Plans; »» The China Southern West Australian Flying College –– Public comment periods are too long; and the Singapore Flying College are based at Jandakot Airport. –– Time limits for the approval or rejection of Master Plans and Major Development Plans are And Metro Airports are not limited to aviation too long; and aviation-related activity. Indeed, promoting non-aeronautical use of land and facilities at the –– The processes for variation of approved Master Metro Airports is key to their economic survival. Plans or Major Development Plans are too Developments like the Direct Factory Outlet (DFO) resource-intensive and protracted; and Homemaker Hub at Essendon Airport and many –– Major Development Plan approvals should not smaller developments at other Metro Airports provide be subject to conditions that developments important revenue that allows the airport operators be completed by a specified period, to allow to fund further development of their aeronautical timing to accommodate changes in market infrastructure that might not be affordable in reliance circumstances beyond airport control; on aeronautical revenue alone.

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 3 –– The present requirements for Community »» Current legislation inhibits the potential for Aviation Consultation Groups and Planning competition between airports because of the Coordination Forums need to be reviewed to disproportional cost burden imposed on Metro consider whether their intended benefit can be Airports as opposed to larger airports or airports not more efficiently and affordably achieved; subject to the Airports Act. –– Limitations on on-airport activities like the sale »» Current legislation and inhibits the capacity of of “Lotto” cards at terminal newsagency kiosks airport operators to compete with off-airport land are simply too heavy-handed; developers by imposing barriers to, or limitations –– Requirements and processes for the approval of on, the non-aeronautical uses to which airport minor works at airports are too constraining; land may be put that are inconsistent with those applicable on land adjoining or close to the airport. –– There is a need for greater transparency in decision-making under the Act, to ensure that airports are able to comment on all material being considered by the decision-maker; and –– Phraseology in the Act such as whether a proposal has a “significant impact on the local or regional community” is undesirably uncertain.

4 INTRODUCTION

While the 11 largest airports in Australia (all capital The Metro Airports are not only significant centres of city airports, plus Gold Coast, Cairns and Alice Springs aviation activity in their own right, but are also a key to airports) account for about 87% of overall passenger ensuring the future efficient operation of the primary traffic and make the greatest economic contribution airports in their cities. However, while they have great in terms of direct and indirect employment, the potential, the Metro Airports confront an uneasy remaining airports play a fundamental role in serving future and require sensitive and tailored treatment both their local communities and the Australian by Commonwealth, State and Local Governments if economy more broadly. they are to achieve their great potential contribution to the future of Australian aviation and the Australian In the broader public context, key facts and information economy and community more generally. about Australian airports are not widely known or understood. This can often result in a misunderstanding The aim of this paper is therefore to establish a of the complexity involved in running a multi-faceted significant data source about Australia’s Metro Airports airport business operation; as well as the challenging in the hope that their value will be better recognised issues that must be dealt with. within the community and that those who directly or indirectly regulate airports will be better able For this reason, the AAA previously published two to appreciate and assess the likely impacts of the major papers: regulatory requirements they administer or impose. »» in June 2012, Connecting Australia – The economic and social contribution of Australia’s airports, a study prepared by Deloitte Access Economics; and »» in November 2012, Australia’s Regional Airports – Facts, Myths and Challenges.

This paper takes the process a step further by focusing on a key subset of Australia’s airports - its “Metro” Airports.

Australia’s “Metro” Airports are the secondary airports located in Australia’s capital cities. They comprise:

»» Bankstown Airport and Camden Airport in Sydney; »» Essendon Airport and Moorabbin (Harry Hawker) Airport in Melbourne; »» Archerfield Airport in Brisbane; »» Parafield Airport in Adelaide; and »» Jandakot Airport in Perth.

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 5 BACKGROUND – THE HISTORY OF OUR METRO AIRPORTS

Australia’s Metro Airports have a long Finally, our “youngest” Metro Airport, Jandakot Airport, and important history. opened in 1963 after it had become apparent that the former Marylands Aerodrome was inadequate to The oldest, Essendon Airport, was proclaimed by meet growing general aviation demand even after the the Commonwealth Government in 1921 (although transfer of major civilian aircraft services to Guildford it had been used by the Victorian Chapter of the Aerodrome (now Perth Airport) in 1946. Australian Aero Club for some time prior to that) and served as Melbourne’s primary airport until 1971 In addition to Essendon Airport, Archerfield Airport when Tullamarine Airport commenced serving both and Parafield Airport being the primary airports in their international and commercial domestic flights. capital cities for many years, our Metro Airports played other significant roles in Australia’s history: The site for Parafield Airport was purchased by the »» Bankstown Airport, Camden Airport, Archerfield Commonwealth Government in 1927 and, while the Airport and Parafield Airport were vital in the first flight landed there that year, the airport was not defence of Australia during the Second World War, officially opened by the Governor-General until 1929. variously hosting aircraft of not only the Royal It served as the primary airport for Adelaide until 1955 Australian Air Force but also the when Adelaide Airport commenced operations. Air Forces, the Royal Netherlands Air Force and the Royal Navy Fleet Air Arm; and Archerfield Airport was officially opened in 1931, on land purchased by the Commonwealth Government »» Bankstown Airport has hosted factories for the in 1929. moved its operations there from construction of a number of iconic aircraft. Brisbane‘s first airport at , and was later joined by Ansett ANA and , By 1988 each of the Metro Airports was operated by making Archerfield Brisbane’s primary airport. After the the Commonwealth Department responsible for civil war these RPT operators returned to Eagle Farm Airport aviation – then known as the Department of Transport and, following its construction, to Brisbane Airport in and Communications. At this time these airports were 1988. transferred to a Government Business Enterprise, the Federal Airports Corporation (FAC), which became Originally a private airstrip, Camden Aerodrome (as it responsible for the operation of 22 Australian airports was then known) was opened by the Commonwealth in (located in all capital cities and various regional 1938. While Mascot (now Sydney) Airport was Sydney’s centres). primary airport, Camden was utilised by the RAAF and other Allied air forces during World War II before its The competition policy focus of the Commonwealth ownership was transferred to the Department of Civil Government in the 1990’s led to decisions to privatise Aviation in 1946. Commonwealth-owned commercial airport operations and long-term leases of the FAC airports were Although originally planned in 1929, Bankstown Airport progressively offered for sale by competitive tender. was not established until 1940 when the Department of Civil Aviation purchased 630 acres of land for As a result the Commonwealth leased: development as an RAAF facility. From 1942 it was used »» Parafield Airport in May 1998 to Parafield Airport by the United States Army Air Force as a key strategic Limited, a wholly owned subsidiary of Adelaide air base to support the war effort and from 1945 by the Airport Limited; British Fleet Air Arm, before being handed back to the »» Archerfield Airport in June 1998 to Archerfield RAAF in 1946. Airport Corporation Pty Ltd; Moorabbin Airport opened in 1949, after the site was »» Jandakot Airport in July 1998 to Jandakot Airport acquired by the Department of Civil Aviation in 1946, Holdings Pty Ltd; and rapidly grew as southern Melbourne’s principal »» Moorabbin Airport in June 1998 to Moorabbin general aviation airport. Airport Corporation Pty Ltd, now wholly owned by the Goodman Group;

6 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS »» Essendon Airport in 2001 to Edgelear Pty Ltd, a »» While the Metro Airports occupy large tracts of land consortium of the Linfox Group and the Becton in capital cities, they should nevertheless properly group of companies; be viewed as “small” or at best “medium” sized »» Bankstown Airport in December 2003 to Bankstown businesses that are of a significantly different scale Airport Limited, a wholly owned subsidiary of BAC and financial capacity to the primary capital city Airports Limited, whose ultimate shareholders airports. include JF Infrastructure, Colonial First State and Compounding these differences, when the Australian Super; and Commonwealth privatised the capital city and Metro »» Camden Airport in December 2003 to Camden Airports, it established airport business regulatory Airport Limited, also a wholly owned subsidiary of regimes that are applied to all airports regardless of size BAC Airports Limited. and type. Application of this regulatory regime over the years has highlighted some anomalies: So far as current inter-airport ownership links are concerned: »» All the former FAC airports are subject to regulation under the Commonwealth Airports Act 1996, which »» Parafield Airport is in common ownership with applies to capital city and Metro Airports largely Adelaide Airport – none of the other Metro Airports without differentiation and fails to recognise the has an ownership link with a primary capital city fundamentally different business environments, airport; dynamics and models under which they must »» Bankstown Airport and Camden Airport are in operate; but common ownership; »» Other Commonwealth-owned but privately »» Essendon Airport has a common shareholder (the leased-out airports are not subject to various of Linfox Group) with , near the regional the constraints imposed by the Airports Act but city of Geelong; and instead are subject to somewhat different regulation imposts imposed under Department of Defence »» Moorabbin Airport, Archerfield Airport and Jandakot leases. Airport each have no ownership link with any other airport. While these anomalies may be a product of the history that have led to the evolution of our capital city and The Metro Airports largely operate under Metro Airports, this does not mean that they have fundamentally different business environments, contemporary justification or are conducive to the best dynamics and models to other Australian airports: outcomes for Australian aviation. »» The primary capital city airports are predominantly used by large international, national and regional In the following sections of this issues paper, we provide airlines, whereas the Metro Airports are used by more detailed profiles of each of the Metro Airports a mix of operators, with the majority being much and then discuss the need for change to and refinement smaller and often financially-strapped general of the regulatory and policy settings under which they aviation operators; operate. »» Non-capital city airports in regional, rural and remote Australia are almost exclusively owned and, as necessary, subsidised by either their local government or private mineral resource development company owners, whereas the Metro Airports are fully privately owned and must generate a commercial return if they are to survive; and

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 7 PROFILING AUSTRALIA’S METRO AIRPORTS

Archerfield Airport

Overview of Airport »» The site covers approximately 257 hectares, and is generally flat and slopes gently Site west and south west to Oxley Creek. »» The airport is in one of the larger, mainly industrial areas of Brisbane, at the south-west gateway to the City. Some residential areas are located to the south and to the east of the site. Aeronautical »» Flying schools Activities »» Aircraft hangars »» Aircraft workshops »» Emergency services »» Aero club »» Charter Activity Non-aeronautical 75 hectares of land that is not required in the long term for airside or aviation Activities purposes. AAC will facilitate the progressive development of this land for complementary aviation uses, industrial and related commercial uses, educational, recreational or other activities appropriate to the location and site characteristics, in accordance with AAC’s vision for Archerfield. There is a variety of commercial and light to medium industrial businesses.

8 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Master Plan snapshot »» Strengthening the current main 10L/28R runway to cater for larger aircraft and potential niche RPT operations »» Increasing the length of the main 10L/28R runway by approximately 160 metres (at the eastern end) and upgrading the associated taxiways, to facilitate larger aircraft »» Maintaining an option to construct new, longer runway between the existing 10/28 parallel runways, potentially crossing Beaufighter Avenue »» Re-orientating the secondary grass parallel runways to improve overall runway usability, particularly for flying training »» Augmenting the taxiway system to maximise runway capacity and efficient ground movement of aircraft »» Strengthening and expanding apron facilities to cater for increased aircraft numbers and potentially heavier aircraft »» Relocating facilities such as the fuel farm and control tower, if, because of their locations, they constrain future aviation development or their relocation would improve airport operations »» Upgrading visual and navigation aids to provide an improved flying training environment »» Consolidating helicopter activity so as to improve safety by separating rotary from fixed wing operations »» Identifying and reserving terminal and apron facilities for potential niche RPT operations »» Making new, improved bases available to tenants currently occupying ageing premises, to facilitate further growth and expansion of their businesses »» Replacing or rejuvenating ageing premises »» Upgrading visual and navigation aids to provide an improved flying training environment »» Creation of new aviation opportunities in the Wirraway, Beatty, Barton and Mortimer precincts; close to existing and proposed improvements to the runway complex »» Provision for widening of Beatty Road, and improvements to access to the airport from other adjacent roads »» Creation of serviced lots suitable for a range of industrial and related purposes in the Boundary, Ashover, Barton, Beatty, Mortimer and Beaufighter precincts

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 9 PROFILING AUSTRALIA’S METRO AIRPORTS

Bankstown Airport

Overview of Airport »» The airport lies entirely within the City of Bankstown Site »» The airport comprises 313 hectares of relatively flat, open land »» Located within relatively short drive times of major population and growth centres such as Bankstown, Liverpool, Fairfield and Parramatta »» Located within a primary Industrial/Commercial zone within the Bankstown City Council area to the east, south and west. With residential areas located to the north »» 130 hectares of land has been identified in the Master Plan as being surplus to aviation, open space and environmental reserve requirements. While a substantial proportion of this land is already currently occupied by a mix of industrial, commercial and retail tenancies, other parts are either currently underutilised or have been released for development by the land use efficiency measures. »» The development concepts will require upgrading of power, water and sewerage infrastructure across the site »» The airport is located within a 10 minutes’ drive to rails services accessing the CBD and Sydney Airport »» Flood and storm water management

10 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Aeronautical Activities »» Flying schools »» Aircraft maintenance »» Scenic flights »» Aircraft couriers »» Light aviation manufacturing »» Serving and repairs »» Industry supply chain activities Non-aeronautical »» Fast food retailers Activities »» Supermarket »» Service station »» Logistics facilities »» Financial services organisation »» Manufacturing »» Commercial offices »» Telecommunications infrastructure facilities Master Plan snapshot »» Matching the supply of aviation infrastructure to demand. On this basis, a 220m extension to Runway 11C/29C is proposed, enabling some aircraft that can currently use Bankstown Airport to operate without payload or stage length restriction »» To provide an efficient airport supporting all forms of general aviation for the Sydney region »» To provide a regional aviation hub for the attraction of new and diverse industries related to the operation of the airport including training, maintenance, manufacturing and emergency services »» To develop the land assets of the Airport in order to provide high quality employment and commercial opportunities

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 11 PROFILING AUSTRALIA’S METRO AIRPORTS

Camden Airport

Overview of Airport »» Camden Airport lies entirely within the City of Camden Site »» The majority of the Airport site is located on the flood plain of the Nepean River and is bounded on the south, west and north by the Nepean River and Macquarie Grove Road to the east »» The airport comprises 196 hectares of gently sloping, broad open land with a ridge rising above the 1 in 100 year flood plain »» Semi-rural setting – located in the outer most south western region of the Sydney metropolitan area and is predominantly surrounded by farmland and semi-rural residential blocks Aeronautical Activities »» Flight training in fixed wing aircraft, and gliders »» Base for the Scouting Association for air training »» Helicopter firefighting support facilities »» Air charter »» Aero club »» Aircraft hire »» Hangar storage facilities

12 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Non-aeronautical »» Minimal property activity which is generally aviation related Activities Master Plan snapshot »» Provision of an area for an additional 14 powered aircraft hangars »» Preservation of the area currently reserved for glider activity, including provision for an additional 5 glider storage units and associated facilities »» A substantial increase in apron and grass aircraft parking »» An increase in paved and grass taxiways servicing the additional tenant and parking areas »» The non-aviation land development concept for Camden Airport involves the ultimate development of around 96 hectares of land identified as surplus to aviation requirements, subject to demand

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 13 PROFILING AUSTRALIA’S METRO AIRPORTS

Essendon Airport

Overview of Airport »» Comprises 305 hectares Site »» The airport contains land and facilities that are surplus to projected aviation requirements »» Approximately 78 hectares of non-aviation land available for development »» Located 7kms (10 minutes) from the major airport, and 10 minutes to Melbourne’s CBD »» Transfers by bus and tram available to Melbourne CBD »» Simple regional style terminal with no security screening »» Public transport (Tram) on the doorstep to the CBD

14 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Aeronautical Activities »» Regional Regular Public Transport (RPT) »» Hangars »» Emergency services base »» Passengers and light cargo services »» Erickson Air Crane Helicopter fleet »» Corporate and business aircraft »» Airfreight operations »» Flight training »» Charter flight base »» Third party maintenance and overhaul operations for fixed wing and rotary wing aircraft »» FIFO base Non-aeronautical »» Offices Activities »» Warehouse storage and distribution centres (Australia Post Distribution Centre) »» Direct Factory Outlet »» Bulky retail homemaker hub »» Supermarkets »» Café and food outlets »» Car dealerships »» Veterinary clinic »» Pharmacy »» Telecommunication towers Master Plan snapshot »» Consolidation and rationalisation of the aviation activities located in the northern airfield to a more central location. The specific location of those activities will be determined by assessing a number of factors at the time of relocation: efficiency of aviation activities, access to the apron and taxiways, control tower location, vehicular access, impact on the community and demand from operators at the time. »» Further construction of hangars, especially those associated with corporate jet activity »» Further provision of services to sites for commercial developments »» The extension of automotive retailing, servicing and related commercial activity »» Reactivation of heritage assets »» Expansion of the campus style setting in at least the English Street Precinct »» Further office, retail, light industrial and commercial uses

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 15 PROFILING AUSTRALIA’S METRO AIRPORTS

Jandakot Airport

Master Plan »» Enhancements to Runways 06L/24R and 12/30 (future 12R/30L) snapshot »» Proposed fourth runway 12L/30R »» Road access south link – this road is proposed to connect from Karel Avenue to Jandakot Road and Berrigan Drive at the existing Jandakot/ Berrigan/ Dean intersection »» Road access proposed east link – the connection of this road outside of the Airport boundary will be determined in discussions with the State Government and local councils »» Construction of a commercial estate on the Jandakot Airport site. Once complete, the estate could include 40,000 square metres of business and office space; 80,000 square metres of bulk retail and showroom space; and 470,000 square metres of warehouse storage space »» Minor extension to each end of Runway 06L/24R to allow for full operations during time of extreme hot temperatures »» Minor extension to Runway 12/30 at its eastern end »» Development of Non-aviation precincts for warehouse, business, office, bulk retail and storage uses »» Conservation area for the protection of rare orchids

16 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Overview of Airport »» Occupies an area of 622 hectares Site »» Kwinana Freeway, the major north-south metropolitan freeway, is located 1km west of the airport. Roe Highway stage 7 also provides a connection to the Kwinana Freeway. »» 156 hectares of the airport property is defined as land surplus to long term aviation related and ancillary support requirements Aeronautical »» Three major flight training schools Activities »» Royal Flying Doctor Service »» DEC/DFES Bushfire Water Bombers »» RAC Rescue Helicopter »» WA Police Air WingAircraft maintenance and engineering services »» Private charters Non-aeronautical »» Supermarket Activities »» Cafes and bars »» ERGT Australia »» Health Watch Clinics »» Jandakot Airport Chalets »» Raindance Systems

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 17 PROFILING AUSTRALIA’S METRO AIRPORTS

Moorabbin Airport

Overview of Airport »» Located in the inner south east metropolitan region of Melbourne. Adjacent to Site the middle ring Bayside suburbs. It is bounded by Centre Dandenong Road to the north, Boundary Road to the east, Lower Dandenong Road to the south and Grange Road and Bundora Parade to the west. »» The airport site is 294 hectares Aeronautical »» Flying schools (fixed wing and rotary wing) Activities »» Private hangars »» Aircraft charter companies »» Emergency services »» Aircraft maintenance »» Regional airlines »» National aviation Museum »» Civil Aviation Safety Authority (CASA) office »» Aero club

18 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Non-aeronautical »» Chifley Business Park Activities –– Industrial –– Commercial office »» Kingston Central Plaza –– Direct factory outlet »» Other retail uses Master Plan »» Provision of clear and expanded runway end areas to runways 31L and 31R, snapshot securing the significant area recognised for future protection and growth of the airfield »» Facilitate future airfield, landside aviation use/facilities and runway expansion »» Provide for the upgrade of the main storm water drain and construction of a dry retarding basin. This will mitigate flooding across the airport including runway operational areas in significant storm events allowing for safer operation of the airport, protecting aviation operational zones and infrastructure from flood damage and assist in the environmental management of water quality coming from upstream off-site inflows into the Airport as part of the Airport Environmental Strategy. »» Ancillary to this, the upgrade of the main storm water drain will provide significant benefit to downstream off airport properties and public assets by alleviating potential flood events »» Maintain a visual link to the airport and considerable safety benefits for airport operators, with members of the public no longer able to access runway end zones »» Provide for access to a large area of proposed use land in Precinct B, previously land locked by the golf course »» Provide for a significant landscaped drainage channel and opens thresholds from Centre Dandenong Road to the North of the airport to the drainage outfall to the south »» Approximately 7 hectares of additional land for expansion of aviation facilities, being Precinct B south, previously land locked by the golf course »» Approximately 55% of the former golf course land will be utilised for airfield, runway end, and aviation facilities expansion and storm water drain initiatives »» Approximately 45% of the former golf course land will form part of Precincts D and E including aviation and aviation support uses

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 19 PROFILING AUSTRALIA’S METRO AIRPORTS

Parafield Airport

Overview of Airport »» Located on the Northern Plains of the Adelaide metropolitan area Site »» The airport is bordered by Kings Road to the north, Main North Road to the east, the new Elder Smith Road to the south and the main northern rail line to the west »» Directly north of the airport land is zoned industrial with a large 20 hectare sector currently designated as agricultural, in recognition of tis restricted development prospect due to aircraft height restrictions. To the west and east of the airport, residential zoning predominates with commercial and industrial zoning on the eastern side adjacent to the Main North Road. To the south, existing zoning is a special purpose area currently known as the multi-function polis zone, this zone incorporate the University of South Australia, Technology Park and Mawson Lakes Residential Development. Aeronautical »» Hangars Activities »» Aviation related support services »» Flight training Non-aeronautical »» Offices Activities »» Showrooms »» Bulky goods retailing »» Hotel »» Restaurant »» Petrol filling station

20 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Master Plan snapshot »» Reconstruction and sealing of Taxiway A in order to improve safety and efficiency. The development is to be designated for Code B aircraft and involves replacement of three unsealed stub taxiways with two sealed stub taxiways onto Runway 03R/21L. »» Construction of a new helicopter landing site at the southern boundary of the airport »» Taxiway J is a relatively low use unsealed taxiway that is prone to water inundation during wet weather. Consideration will be made for its removal following an assessment of its operational significance. »» Upgrade of Runway 03L/24R for Code C operations. Extension of both ends of the runway will allow up to 1610m of take-off distance and 1550m of landing distance utilising displaced thresholds at both ends. The runway seal would be widened to 30m and turning nodes constructed to facilitate us of the full runway length. Compliant movement to and from the runway would initially be accommodated by widening Taxiway B from Taxiway B5 through to the Eastern Apron. The remainder of Taxiway B will also be widened if Code C traffic justifies the requirement. »» Construction of a new Code C taxiway parallel with the Southern Apron will permit compliant and efficient taxiing of aircraft parked on the Western Apron »» Expansion of aviation-related buildings, offices and flight training classrooms and accommodation facilities together with the establishment of student support service facilities; plus public aviation attractions and business related Fixed Base Operations using either turbo-prop or small jet aircraft »» A possible option for relocation of the Vickers Vimy Aircraft from Adelaide Airport as part of expanded Aviation Attractions and aircraft museums and ancillary services »» Further expansion of airport services such as Fixed Base Operations, support car parking, further flight training facilities and the general enhancement of the Central Precinct is expected »» Bulky goods retail expansion and the approved use of a Brand Outlet Centre, plus retail shopping/ showrooms and office warehousing »» Levels Precinct – future development prospects include commercial activities such as a motel and home display centre, motor vehicle auction and sales facilities and possible petrol filling station, associated car wash and convenience store »» Future development of the Bennett Precinct is expected to provide for public access to the vernal pools conservation area to cater for interpretative and educational services, and ancillary services such as retail kiosks, amenities and some advertising »» Future developments within the Cross Keys Precinct are intended to focus on industrial activity such as freight distribution, warehousing and storage and other technological industry consistent with the aim of establishing the Cross Keys Enterprise Park »» Future developments within the Kings Precinct are expected to include expansion of aviation support activities and general industrial activities. The establishment of a “Park and Ride” car park adjacent to the Parafield railway station is envisaged, with also limited aviation hangars and associated infrastructure.

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 21 Australia’s Metro Airports share many similarities, but also some key differences.

Key amongst their similarities is their fundamental reliance upon the General Aviation (GA) segment of the aviation industry, rather than upon Regular Public Transport (RPT).

RPT services predominantly operate through the primary capital city airports and major tourism destinations such as Cairns, the Gold Cost, the Sunshine Coast and Townsville, and carry the overwhelming proportion of fare-paying passengers.

However, GA services play a vital role in the Australian economy and community. Aeromedical, agricultural, charter, pilot training, aerial surveying, photography, emergency services and other airborne work along with private, corporate, recreational and sports aviation activity is the mainstay of the GA industry.

The Australian GA industry is in a state of transition. Some sectors are growing strongly while others are in decline with some individual businesses struggling to remain viable. During Federal Airports Corporation (FAC) ownership of the airports, many GA tenants had come to view its previous long‐term lease arrangements as a reliable indicator of future costs. However the privatisation of secondary airports has resulted in GA operators being exposed to a commercial reality, not experienced under the previous system of government ownership, reflecting the fact that former FAC rents were effectively being subsidised by the government. This exposed vulnerabilities in the business models of many GA businesses that had not been evident previously.

This dependence upon a delicately balanced GA industry especially heightens the need for Metro Airports to optimise non-aeronautical opportunities to support their aeronautical operations. Non-aeronautical revenue is important as it provides commercial diversification to support airports through times when aeronautical revenue is less stable – a particular feature of the GA industry. Solely relying on aeronautical revenues would greatly add to the challenges of financially supporting long term infrastructure and maintenance functions.

Non-aeronautical developments at various Australian airports include precincts for office business parks, hotels, shopping outlets, freight and logistics centres and some manufacturing and processing plants.

Key amongst the differences between the Metro Airports is their current legal and physical capacities to handle aircraft of different sizes. Archerfield, Bankstown, Essendon, Jandakot, Moorabbin and Parafield Airports are each “certified” by the Civil Aviation Safety Authority (CASA); Camden Airport is however “registered” by CASA. CASA categorises airports by reference to the passenger carrying capacity of aircraft that use them. »» A certified airport is one which (a) has a runway that is suitable for use by aircraft having: (i) a maximum passenger seating capacity of more than 30 seats; or (ii) a maximum carrying capacity of more than 3,400 kilograms; and (b) is available for use in regular public transport operations or charter operations by such aircraft. »» An airport that does not meet those requirements may apply to be registered by CASA if it has been inspected by a person approved by CASA and found to meet certain prescribed requirements, which include several of the requirements that must be met by certified airports.

22 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Australia’s Metro Airports are generally located within convenient reach of the central business district of their respective capital cities, which heightens their convenience of use for the many people who work at or fly to and from them:

Major Airport Distance from CBD (kilometres)

Archerfield Airport 12 Bankstown Airport 22 Camden Airport 60 Essendon Airport 13 Jandakot Airport 16 Moorabbin Airport 21 Parafield Airport 18

Each of the Metro Airports occupies a large land area but in contrast, because they are essentially small or at best medium sized business enterprises, they directly employ surprisingly few employees, as shown in the table below:

Major Airport Land Area (hectares) Direct Airport Employees (FTE)

Archerfield Airport 257 12

Bankstown Airport 313 24

Camden Airport 196 1.4*

Essendon Airport 305 30

Jandakot Airport 622 23

Moorabbin Airport 294 10

Parafield Airport 437 6

*Does not include additional support from Bankstown Airport.

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 23 Reflecting their reliance on GA rather than RPT traffic, the Metro Airports currently have runways and taxiways that are limited to use by smaller rather than larger aircraft but nevertheless, as can be seen from the table below, very large numbers of aircraft call a Metro Airport “home” – indeed, while the entire Australian RPT fleet comprises around 300 aircraft, a greater number of aircraft are regularly resident at each of Moorabbin Airport and Jandakot Airport:

Major Airport Largest aircraft capacity(MTOW) Number of “resident” aircraft

Archerfield Airport 5.7 tonnes 263

Bankstown Airport 20 tonnes 280-300

Camden Airport 5.7 tonnes 110

Essendon Airport 45 tonnes 150

Jandakot Airport 5.7 tonnes 450

Moorabbin Airport 5.7 tonnes 350

Parafield Airport 9.0 tonnes 150

There are more GA aircraft movements in Australia than there are RPT movements. Airservices Australia figures for 2013-14 recorded a total of 3,046,454 civilian aircraft movements of which 1,771,700 or 58.2% were by helicopters or aircraft of less than 7 tonnes.

While those figures show that Sydney Airport recorded the greatest number of aircraft movements in that year: »» Jandakot Airport and Moorabbin Airport each recorded more movements than the next busiest primary capital city airport, Brisbane Airport, which in turn recorded only 0.06% more movements than Bankstown Airport; »» Parafield Airport recorded 39% more movements than Perth Airport; »» Archerfield Airport recorded 15% more movements than Adelaide Airport; »» Camden Airport recorded more movements than Darwin Airport and Canberra Airport; and »» Essendon Airport recorded more movements than Hobart Airport.

24 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS The following table shows not only aircraft movements at our Metro Airports in recent years but also that they have significant capacity to meet future traffic demand:

Traffic Movements 2011-12 2012-13 2013-14 Theoretical Capacity (000s) Archerfield Airport 111.9 120.2 114.2 460.2

Bankstown Airport 239.8 219.5 229.3 450,0

Camden Airport 109.5 93.8 109.9 210.0

Essendon Airport 53.7 54 54 215

Jandakot Airport 247.6 250.8 233.4 526.0

Moorabbin Airport 244 230.9 227.6 686.0

Parafield Airport 233.0 215.4 212.3 450.0

To highlight the significance of GA traffic, it is useful to compare the above Metro Airport traffic figures with those for scheduled RPT aircraft movements at the primary capital city airports:

Traffic Movements(000s) 2011 2012 2013

Sydney Airport 289.3 300.4 306.4

Melbourne Airport 203.8 213.2 218.6

Brisbane Airport 172.0 184.3 192.3

Adelaide Airport 73.5 74.4 75.8

Perth Airport 89.9 98.0 100.1

Hobart Airport 15.2 15.4 16.6

Canberra Airport 43.4 42.0 41.7

Darwin Airport 26.9 26.3 26.9

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 25 Although our Metro Airports may themselves be quite small businesses, they are essential to the existence and continued viability of many other businesses and the ongoing employment of thousands of their staff. The following table shows the number of aeronautical and non-aeronautical businesses “hosted” at Australia’s Metro Airports and, where available, an indication of the number of people that they in turn employ:

Aeronautical Non-Aeronautical Hosted On-Airport Businesses Number Employees Number Employees

Archerfield Airport 38 668 Not Available Not Available

Bankstown Airport 150 1300 30 700

Camden Airport 35 60 5 10

Essendon Airport 170 4200 Not Available Not Available

Jandakot Airport 65 750 36 1200

Moorabbin Airport 60 1100 190 2200

Parafield Airport 26 350 43 600

Very important amongst the aeronautical businesses located at the Metro Airports are flying schools. These not only allow thousands of Australians to pursue their passion for recreational aviation, but are also essential in ensuring that Australian and international airlines and air operators have ready access to skilled pilots essential for their continued operations. The following table shows the number of flying schools operating at the Metro Airports and, where available, an indication of the number of student pilots enrolled at any one time:

Flying Schools Number Students

Archerfield Airport 9 Not Available

Bankstown Airport 11 500

Camden Airport 5 150

Essendon Airport 3 90

Jandakot Airport 15 800

Moorabbin Airport 16 800

Parafield Airport 5 400

26 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS The health and safety of all Australians is quite fundamentally dependent upon the Metro Airports which provide facilities for essential airborne emergency services as indicated in the following table:

Major Airport Community Services

Archerfield Airport QPS Helicopter, Emergency Management , QFES, Careflight

Bankstown Airport NSW Ambulance Rescue, NSW Police, seasonal firefighting, RFDS, NPWS

Camden Airport Seasonal firefighting

Essendon Airport Air Ambulance, Police Airwing, RFDS, Aero Recue, seasonal firefighting

Jandakot Airport WA Police Air Wing, RAC Rescue helicopter, RFDS, Angel Flight, DEC/DFES fire response

Moorabbin Airport Surf Life Saving Helicopter, First on Scene Human Organ Transplant, Refuelling base for Vic Police Air and RAAF, 10 Aerial fire detection and response helicopters, transfer point for air ambulance, RFDS, Angel Flight Parafield Airport Aerial Firefighting

While the 11 largest capital city and regional airports in Australia account for about 87% of overall passenger traffic, RPT services do operate from a number of the Metro Airports and are important to the communities they serve. For example: »» and Par-Avion operate from Essendon Airport to destinations as diverse as Flinders Island, Hamilton, Portland and Griffith; »» Alliance Airlines operate closed charter services to Brisbane, Orange, Prominent Hill, Telfer; and »» King Island Airlines operates RPT services to King Island from Moorabbin Airport.

Additionally, ad hoc charter services operate from a number of the Metro Airports to provide FIFO (fly in – fly out) workers to Australia’s remote mineral industries – for example, 18 services per week operate from Parafield airport, 5 operators fly from Archerfield Airport, and others operate from Jandakot Airport. And other airports provide facilities for services of importance to Australia’s remoter communities – for example, Bankstown Airport hosts overnight parcel freight, Little Wings charity, Angel Flight, ambulance patient transfer and prisoner transfer flights. Significantly, also, Bankstown Airport is a designated alternative destination for Qantas Link and Rex RPT services should they be unable to land at Sydney Airport due to curfew, weather or other emergency issues.

Finally the Metro Airports also contain or host a number of culturally or heritage significant features:

Archerfield Airport Aviation Museum, Heritage-listed airport administration/terminal building; God’s Acre Cemetery Bankstown Airport Australian Aviation Museum

Camden Airport -

Essendon Airport Aviation museum, heritage-listed airport

Moorabbin Airport Australian National Aviation Museum

Parafield Airport Classic Jets Fighter Museum, Tower (heritage consideration)

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 27 AGENDA FOR THE FUTURE - ISSUES IMPACTING AUSTRALIA’S METRO AIRPORTS

The Starting Point for Government »» Metro Airports are already significant economic drivers in their local communities – supporting Airport Policy large number of aeronautical and non-aeronautical While they are leased to and operated by the private businesses on airport and fostering many thousands sector, Australia’s Metro Airports remain owned by the of jobs in those businesses – but more importantly Commonwealth Government. Accordingly, they are a they have great potential to make an even greater community resource, and it is therefore important that contribution if given the opportunity; and all levels of government and all government regulators »» Despite their large land-holdings, Metro Airports take care that their regulation of the Metro Airports are small or at best medium-sized businesses with and of surrounding areas does not jeopardise the very limited financial capacity to absorb the often present and potential future value that they offer to the very high costs of unnecessary, inappropriate or communities they serve. inconsistent government intrusion.

Essential to all governments achieving an appropriate Simple but powerful indicators of the local economic balance in their regulation of and affecting airports is value of the Metro Airports are the capital expenditure that they should recognise in their policy approach that: they have made since privatisation and current levels of on-airport employment they support: »» Metro Airports are vital to ensure the ongoing efficiency of the larger primary capital city airports Capital On-Airport Metro Airport which simply could not cope with the GA traffic Investment Employment volumes that the Metro Airports handle; Archerfield $38m Not Available »» Metro Airports are capable of facilitating suitable Airport traffic that would otherwise would not be able to operate at a primary airport as they can offer Bankstown / $37m 2070 suitable operators in primary airports an alternative Camden Airport facility that may be more beneficial to the operator; Essendon $200m 4200 »» Metro Airports provide vital community services Airport that simply cannot be prejudiced or put at risk – whether these be Royal Flying Doctor Service flights, Jandakot $251m 1950 aerial firefighting, police air wing or recreational Airport aviation; Moorabbin $250m 3300 »» Governments at all levels should be actively Airport supporting and fostering growth and stability in the GA industry because of its economic and community Parafield $21m 850 significance; Airport

28 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Avoiding unnecessary and Avoiding unduly heavy-handed inconsistent regulation regulation Australian airports are subject to a particularly high level of government regulation across a diverse range of A particular challenge for our Metro airports is to fields and by a diverse range of regulators. seek to ensure that airport regulation is sufficiently “granular” to treat materially different airports in an Some of these are common to all Australian commercial appropriate manner and, within each category, in a businesses, such as the Corporations Law, trade consistent and predictable manner. practices and consumer protection laws, occupational health and safety laws and workplace relations laws. Indicative of the financial impact of regulation on the Metro Airports: But there are significant other regulatory regimes that are particular to airports – the most obvious of course is »» Around 20% of the time of the Metro Airport’s own air safety (where the recent “Forsyth” report highlights employees is spent on meeting the land planning the need for accelerated reform), but there is also a requirements of the Airports Act; and variety of other airport-specific areas of commercial and »» A very significant percentage of the high-cost expert technical regulation that impact on the airport operator. consultant expenditure of the Metro Airports is It is a well-established principle in Australia that required for regulatory compliance, principally with government regulation should intrude into the affairs that Act. of Australian people and businesses only where it is The Commonwealth’s economic regulation of airports necessary to do so in the public interest, and then is very granular in its application and, where it does only to the extent necessary to safeguard that public apply, is regarded as “light-handed”. Only the largest interest. of the primary capital city airports are subject to price monitoring and quality of service monitoring. Complying with new regulatory requirements necessarily involves cost, and any unnecessary increase In contrast, all the Metro Airports must comply with the in costs is something that small to medium businesses same Commonwealth planning laws and requirements like the Metro Airports especially have a clear need to as those that apply at the far more significant primary avoid. Increases in airport security requirements such capital cities. Compliance with these requirements is as checked bag screening, front-of-terminal security and very expensive – and imposes a disproportionately and Transport Security Plan obligations and the introduction very heavy burden on Metro Airports than it does on of other measures such as requirements for Drug and the much, much larger primary capital city airports. Alcohol Management Plans constitute a potentially overwhelming burden on the limited budgets of smaller The AAA believes that there are multiple problems with airports and should only be imposed where the balance current Airports Act land planning requirements: between risk and benefit clearly requires it in the »» They are too heavy handed, at least in relation to individual circumstances. Metro Airports, and too uncertain: And, where existing legislation is applied inconsistently –– The requirement for a new 20-year Master Plan between airports, this too means an increased cost every 5 years is too frequent; for those airports at which inconsistency imposes a –– The requirement that each new Master Plan higher burden. For example, the Airports Act specifically effectively be a complete re-write rather than a excludes the application of State and Territory land use more simple update is too demanding; planning and building control laws at Commonwealth- leased airports covered by that Act, but other –– The “triggers” for when a Major Development Commonwealth-leased airports are subject to State Plan is required are set too low, have not kept laws on these matters pace with inflation, and apply to too many types of development;

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 29 –– The requirement that a major Development »» They inhibit the potential for competition between Plan cannot be inconsistent with a Master Plan airports because of the disproportional cost burden undesirably prevents concurrent development of they impose on Metro Airports as opposed to larger Master Plans and Major Development Plans; airports or airports not subject to the Airports Act; –– Public comment periods are too long; and –– Time limits for the approval or rejection of »» They inhibit the capacity of airport operators Master Plans and Major Development Plans are to compete with off-airport land developers by too long; imposing barriers to or limitations on the non- aeronautical uses to which airport land may be put –– The processes for variation of approved Master that are inconsistent with those applicable on land Plans or Major Development Plans are too adjoining or close to the airport. resource-intensive and protracted; –– Major Development Plan approvals should not The AAA will be arguing in the forthcoming review of be subject to conditions that developments the Airports Act for amendments that redress these be completed by a specified period, to allow imbalances and introduce more proportional granularity timing to accommodate changes in market to allow all airports, and particularly the Metro Airports, circumstances beyond airport control; to optimise their economic and community value. –– The present requirements for Community Aviation Consultation Groups and Planning Coordination Forums need to be reviewed to consider whether their intended benefit can be more efficiently and affordably achieved; –– Limitations on on-airport activities like the sale of “Lotto” cards at terminal newsagency kiosks are simply too heavy-handed; –– Requirements and processes for the approval of minor works at airports are too constraining; –– There is a need for greater transparency in decision-making under the Act, to ensure that airports are able to comment on all material being considered by the decision-maker; –– Phraseology in the Act such as whether a proposal has a “significant impact on the local or regional community” is undesirably uncertain.

30 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Protecting the operational viability Metro airports can also be particularly susceptible to community backlash due to their geographical of regional airports from off-airport location and operations. Many metro airports straddle encroachment the boundaries of residential areas, where in some cases the surrounding community do not realise the The capacity of any airport to operate as an airport benefits and necessity of the airport. This can result in is fundamentally dependent on what occurs on the unfounded community complaints on issues such as land surrounding it. The erection of structures that aircraft noise that can result in political pressure being physically intrude into the flight paths of arriving and unnecessarily applied to the airport. departing aircraft can clearly limit or prevent use of the airport. But so too can other developments that are less In its 2009 Aviation White Paper the then obvious. For example: Commonwealth Government proposed the »» Insensitive residential developments under flight development of a national land use planning framework paths may lead to complaints about aircraft noise that would: and eventually lead to the introduction of curfews »» Improve community amenity by minimising noise- or even the closure of an airport; sensitive developments near airports including »» Industrial activities that generate smoke or similar through the use if additional noise metrics and hazards may constrain use of an airport; and improved noise-disclosure mechanisms; and »» Other activities such as agriculture, animal »» Improve safety outcomes by ensuring aviation safety husbandry or wetland developments may attract requirements are recognised in land use planning birds and pose a distinct hazard to aviation. decisions through guidelines being adopted by jurisdictions on various safety-related issues. These are issues that require particular sensitivity on the part of State and Local Governments. The subsequently established National Airports Safeguarding Advisory Group (NASAG) comprising There is no uniform regime that requires developments of Commonwealth, State and Territory Government around airports to be subjected to scrutiny to assess planning and transport officials, the Department their potential impact upon an airport. CASA has some of Defence, CASA, Airservices Australia and the limited capacity under Regulations made under the Civil Australian Local Government Association (ALGA) has Aviation Act 1988 to approve or not approve buildings made significant progress in developing a National or structures in limited areas around airports, but only Airports Safeguarding Framework but this is not yet in respect of Sydney, Bankstown, Moorabbin, Adelaide, comprehensive or certain in the protection it affords. Melbourne and Essendon airports. And the Secretary of the Commonwealth Department of Infrastructure Ensuring that our airports can be effectively used as and Regional Development has some capacity to act airports to meet community and market needs requires to protect airspace around airports under the Airports that all Government advance this work to a firm (Protection of Airspace) Regulations 1996. But none of conclusion. this legislation provides any comprehensive protection for Australia’s airports.

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 31 CASE STUDIES This section provides an overview of just a few examples of the benefits that developments at Metro Airports provide the local community and economy.

Archerfield

Pilot training in Queensland received a major boost As well as personal accommodation and breakout study in 2014 with the opening of a $4 million Aviation areas, the complex includes a purpose-built viewing Student Accommodation Complex (ASAC) at platform offering 360 degree views of the surrounding Archerfield Airport in Brisbane. airspace. This facility allows students to observe circuit traffic whilst listening to radio communications. The Queensland’s Assistant Minister for Planning Reform, ASAC also features a commercial kitchen, dining and Rob Molhoek, officially opened the fully refurbished, lounge rooms, with four ground floor offices. two-storey building at 9 Grenier Drive. A first for the airport, the complex will accommodate up to The initiative was included in the Archerfield Airport 40 aviation students and support a major growth Master Plan 2011-31 and reflects Archerfield Airport sector at Archerfield. Currently, 10 airport tenants Corporation’s vision for the ongoing development of the conduct pilot training and aviation-related courses – airport into a world-class aviation facility. In addition, and the provision of modern onsite accommodation the airport is upgrading existing infrastructure to for interstate and overseas aviation students will improve its market share for pilot training. Earlier this establish Archerfield as one of Australia’s key flight year, Movement Area Guidance Signs were installed training centres. beside the major runways and taxiways to assist trainee pilots conduct ground operations, and AAC plans to Basair Aviation College, a leader in aviation flight enhance existing grass runways by relocating them training, will lease and manage the complex. It is away from flood-prone areas. Australia’s largest flying school, operating a fleet of 70 aircraft across three locations – Bankstown, Cessnock and its new Archerfield campus. Basair boasts world-class flight training and has successful alumni flying in more than 40 countries.

32 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS Moorabbin

Moorabbin Airport is Australia’s leading flight In addition to the significant employment generation, training airport supporting a mix of activities and there are a range of benefits to the local sub-region, delivering employment, infrastructure improvements, including: investment into the south east of Melbourne. »» Improved regional aviation and training services; Moorabbin Airport has 65 years of approved operations »» The provision of additional, significant and flexible and holds a 99 year lease. Airport activities and employment, close to where people live and opportunities are planned for the long-term to deliver immediate to the main Kingston Business and sustainable aviation, employment, economic growth Industry area of Braeside; and infrastructure outcomes to the south east Victorian »» New business opportunities in a range of aviation, sub-region and State. industrial, commercial and business activities, the Aviation related infrastructure is provided in a highly flexibility to respond to new employment uses; urbanised setting supporting: »» Aviation growth through business linkages and use »» 200 businesses, 50 aviation related; of on-airport facilities rather than travel to other airports outside the sub-region; »» 3,300 jobs, ¹⁄₃ in aviation and 5% of the workforce; »» Business opportunities for local and small business operators; »» 1,000+ new jobs in the pipeline supporting higher employment density and diversity. New »» Improved service provision to the community via opportunities for local residents to work closer to both business and infrastructure improvements home; and opportunities funded by the Airport; including roads, services, drainage networks and pedestrian »» 800 flight students being trained by a dozen flight and bus links; training schools; and »» Contribution to sustainable outcomes through »» $50 million of exports in flight training services to significant new employment opportunities and international students. associated reduction in commuting levels for workers; and »» Provision of high quality urban design and environmentally sustainable outcomes such as Chifley Business Park and the Mordialloc Settlement Drain Upgrade project.

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 33 Parafield

Parafield Airport is a significant contributor to its »» Working closely with local schools and Northern local community, with several different initiatives Futures (a career advisory organisation) in assisting designed at increasing economic growth and providing to provide information and links to careers in education and career opportunities. aviation; and

These include: »» Sponsoring local community events such as the City of Salisbury Australia Day Picnic, ‘Matsuri on »» In 2014, completing a 40 year lease of land to the Mobara’ a Japanese cultural exchange festival, and state government’s adjacent Parafield Railway the Northern Business Breakfast series. Station for a 1,000 space Park ‘n’ Ride facility, which is of great benefit in assisting the local community utilise public transport; »» The promotion of the 2015 Parafield Youth Flying Scholarship (currently in its fourth consecutive year) which is a scholarship provided in conjunction with Flight Training Adelaide to a local person (resident of the City of Salisbury) aged 18-25 for fully funded support and training for a Commercial Pilot Licence (approx. value $60,000);

34 SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS CONCLUSION

The contribution of Australia’s Metro Airports to That being said, there are currently a number of both economic and socioeconomic prosperity is often policy and regulatory barriers that are unnecessarily overlooked. This paper has aimed to shed light on burdening Australia’s Metro Airports. Under the current the critical and multifaceted role that Metro Airports legislation, all the Metro Airports must comply with the play in servicing the aviation industry, as well as their same Commonwealth planning laws and requirements role in providing opportunities for job growth and as those that apply to the much larger and well- economic development to local communities. resourced primary capital city airports. Compliance with these requirements is unduly expensive and While most of Australia’s Metro Airports do not imposes a disproportionately heavy burden on Metro currently provide many RPT services to the travelling Airports and is an issue that must be addressed. public, they are still among the busiest airports in the country in terms of aviation activity. In 2013-14, The AAA is committed to working with the Government three of the top four busiest airports in Australia (in and its relevant agencies to address the regulatory terms of aircraft movements) were Metro Airports. barriers that are impeding the growth and efficient This highlights the important role these airports operation of our Metro Airport members. It is critical play in providing facilities for flight training schools, that the Government recognise the essential role recreational and private chartered aircraft services, that Metro Airports play in supporting the aviation as well as a base for many aerial emergency services sector and the economic development of their local providers. communities. Industry and Government must work together to remove these unnecessary regulatory Beyond aeronautical services, Metro Airports are barriers and ensure that our Metro Airports can thrive increasingly investing in important non-aeronautical and continue contributing to Australia’s social and developments that are providing a range of business economic prosperity. and retail services to the local community that would often not otherwise be possible without the cooperation of the airport. These developments include commercial office building, large retail outlets, supermarkets, cafes, telecommunication infrastructure, and industrial facilities and warehouses to name but a few.

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 35

SECURING THE FUTURE OF AUSTRALIA’S METROPOLITAN AIRPORTS 37 Australian Airports Association Unit 9/23 Brindabella Circuit I Brindabella Park ACT 2609

P: 02 6230 1110 F: 02 6230 1367 E: [email protected]

www.airports.asn.au