Brisbane Airport and Queensland economy are taking off

Treasurer Curtis Pitt says economic activity generated by the Brisbane Airport is on course to more than double within the next 20 years, reflecting the strong growth and confidence in the overall Queensland economy. 

“Brisbane Airport is a key part of our state economy, a gateway to our regions, and plays an essential role in Queensland’s tourism, travel, freight, service, aerospace, training, and export activities,” Mr Pitt said. 

“Just like our state economy it’s growing by attracting new investment to meet increasing demands in both the domestic and international markets.

“The Palaszczuk Government is helping drive that expansion through initiatives such as our Connecting with Asia – tourism jobs in the regions strategy with $33.5 million over four years allocated in this year’s State Budget to help make Queensland and its regions the holiday destination of choice for millions of Asian tourists. 

“The Brisbane Airport Corporation – in which the state government’s Queensland Investment Corporation has a 25% stake – views the Connecting with Asia initiative as essential in helping win aviation market-share from NSW and Victoria. 

“This will have spin-offs for both our state and regional economies because Brisbane Airport is the main aviation gateway to our state and the base for around half of all flights and passengers into regional Queensland each day – more than 100 flights a day within the state representing 4 million passenger seats state each year.” 

Mr Pitt was today briefed on major airport developments at the site of the Flynn Property Group’s new $150 million hotel project due for completion in April 2017 and providing a 3.5-star Ibis Hotel and a 5-star Pullman as well as an integrated conference and meeting Centre. 

Brisbane Airport Corporation CEO and Managing Director, Julieanne Alroe, said the airport generated an estimated $3.3 billion worth of activity each year and was anticipating that to reach an estimated $8.2 billion by 2034.

“That means more passengers, more jobs, more investment, and more local spending by visitors to our state,” Ms Alroe said.

“At present more than 400 businesses employ around 21,000 people in the Brisbane Airport precinct and that number is expected to reach 50,000 by 2029. 

“The BAC itself plans to invest $3.8 billion over the next decade in major projects and has more than 100 individual projects under way or in the planning stages.” 

Ms Alroe said current BAC projects included: 

• the new $1.35 billion new parallel runway – the nation’s biggest aviation project due to take its first flights in 2020
• the $120 million expansion of the International Terminal commencing this month
• $300 million this year for the staged refurbishment and expansion of the Domestic Terminal precinct
• a new $28 million Airport Industrial Park due to be completed in 2020.
• $350 million for new aircraft parking bays, aprons and taxiways.
• a $41 million car park expansion completed in July.

Mr Pitt said the Queensland Government was also investing in projects to ensure the Brisbane Airport continued to contribute to the growing state economy. 

“Queensland Treasury is progressing a Market-Led Proposal for a $100 million international cruise ship terminal at a nearby deep-water site fronting the Brisbane River,” he said. 

“This project has obvious synergies with the airport and will help drive more growth in our tourism industry with potential benefits spreading to our regions through intrastate flights. 

“Suggestions for a new station at the Skygate retail precinct on the privately operated Airtrain link to the airport could also be progressed through our MLP process for assessment and faster potential approval. 

“The Queensland Government is contributing more than $232 million to the $1.16 billion federal/state funded upgrade of the Gateway Motorway between Nudgee and Bracken Ridge. 

“In addition to our Connecting with Asia strategy the government has attracted new services or extra flights from China, Hong Kong and Canada into the Gold Coast, Cairns and Brisbane through the successful Attracting Aviation Investment Fund. 

“The government has also released a discussion paper as part of plan to build on Queensland’s existing aerospace sector and become an Asia-Pacific aviation centre of excellence. That will pay dividends for Brisbane Airport and others in our state.” 

Mr Pitt said the growth of Brisbane Airport reflected the strong growth and confidence in the Queensland economy. 

“Just last week we saw ABS figures showing growth in our state’s domestic economy as measured by State Final Demand back into positive territory twice in two quarters – 0.2% trend or 0.1% seasonally adjusted in the March 2016 quarter and 0.3% trend or 0.7% seasonally adjusted in the June quarter,” he said. 

“Queensland’s overall economy is leading the nation on growth and is forecast to grow 3.5% in 2015-16 and a forecast 4% in 2016-17 taking our trade performance into account. 

“These figures are reflected in growth in jobs, with 40,000 net new jobs created in our state in 18 months since the last election. 

“The major projects completed, under way, or planned at Brisbane Airport are also evidence of the confidence, growth and jobs that have returned to our state economy,” he said.

Media contacts: 

Treasurer’s Office 0447 316 432

Brisbane Airport Corporation 0478 404 499