New landmark agreement to get new Perth Airport terminal built

Perth will soon welcome a new airport terminal as Perth Airport and Qantas signed a new commercial agreement that will deliver a major boost to the State’s tourism industry while unlocking significant economic growth. 

The 12-year agreement will see Perth Airport invest about $3 billion towards the new terminal and a new parallel runway. This funding commitment will form part of a $5 billion capital investment program – the largest ever private infrastructure development in Perth – that will also deliver two multi-storey carparks, major access road upgrades, and the airport’s first hotel. 

“This commitment cements our place as the Western Gateway to Australia. 

“By opening up new flight routes and adding millions of extra passenger seats each year, we’re positioning WA as a major tourist destination in the region. 

“It will turn Perth Airport into a world-class travel hub for visitors and for Western Australians, and put Perth on the world stage for travellers. 

“It’s part of our plan to diversify WA’s economy, create long-term jobs and set our State up for the future,” Premier Roger Cook said. 

Artist impression of the new Perth Airport terminal (source: Perth Airport)

Qantas and Jetstar services will relocate to the new terminal in 2031, once it is up and running. The two aviation companies are planning to add 4.4 million seats to and from Perth annually by the time the new terminal opens in 2031. 

As part of the agreement, Qantas will also be building a new engineering hangar in the Airport Central precinct. 

“This is the largest airport infrastructure deal in our history. It will enable us to create a world-class western hub and significantly expand our domestic and international services over the short, medium and long term. 

“Not only will it allow us to bring hundreds of thousands more travellers to and through Western Australia each year, it will also make it easier for overseas tourists to connect to more destinations across Australia. 

“The additional flying will see us create an estimated 700 new jobs in Western Australia across pilots, crew, engineering and airport staff,” Qantas CEO Vanessa Hudson said. 

Meanwhile, Perth Airport will also invest in upgrades to Terminal 3 and 4 where Qantas’ domestic and international flights are. These upgrades will increase capacity at the two terminals while the new terminal is being built. From September 2024, Jetstar will relocate its domestic services to Terminal 2 before moving to the new Airport Central terminal when it is completed. 

Upgrades to Terminals 3 and 4 will also enable Qantas to add services and more destinations from Perth, including Auckland and Johannesburg from mid-2025 – subject to meeting border agency requirements. 

“This is a special moment in the history of aviation in Western Australia as this agreement will unlock the future for both Perth Airport and Qantas. 

“Western Australians will now see the largest-ever private investment in an infrastructure development in Perth – a once in a lifetime investment program that will completely change the face of Perth Airport over the next decade. 

“This will create thousands of construction and ongoing jobs, underpin the future growth of the FIFO-based resources sector, generate new tourism and trade opportunities, and deliver enormous ongoing benefits to Western Australia. 

“Most importantly, it will deliver one airport for the people of Western Australia which will host all flight services giving them a seamless, world class travel experience,” Perth Airport CEO Jason Waters said. 

Artist impression of the new Perth Airport terminal (source: Perth Airport)

In addition, works on the two terminals will include gate upgrades to accommodate ultra-long-haul aircraft such as its Project Sunrise Airbus A350s that will be in service starting in 2026. 

The new parallel runway, which is set to open in 2028, will enable further growth of the critical resources sector as well as future-proof aviation in Western Australia. 

The new terminal is going to be serviced by the METRONET Airport Central Station, which will provide passengers with an affordable direct public transport link between the airport and the city. 

“This commitment by Qantas and Perth Airport represents one of the most important for aviation announcements in our State’s history. 

“Our Government has long been advocating to Qantas and Perth Airport to consolidate services at the one terminal, and to have both parties reach a commercial agreement puts us on the path to seeing that become a reality. 

“We know Perth is the Western Gateway to Australia with direct services from locations like London, Paris and Rome – but this will see the direct international connections into Perth grow significantly in the years ahead. 

“We’ve been planning for this move for many years, and it led to important decisions like the final location of the Redcliffe Train Station, and the new METRONET Airport Central Station, which provides pssengers with a direct train service to the airport for around five dollars,” Tourism Minister Rita Saffioti said. 

Source: Government of Western Australia – Media Statements; Perth Airport (1, 2); Perth is OK!; The Urban Developer