Melbourne Airport is finalising the details of a major international terminal expansion as passenger numbers soar to record levels.
The expansion, which a Melbourne Airport spokesman said would cost about A$4 billion, follows a record 1,147,533 international passengers using the airport in December.
Melbourne Airport said the completion of its new elevated road network in 2026 would allow for an expansion of the international check-in and baggage claim halls while discussions continue on an expanded international satellite to lift capacity for airline lounges, retail outlets and passenger waiting areas, and up to five new widebody gates.
The Airport is midway through a $500 million project to replace the international baggage system with a new, state-of-the-art tote-based system, which would increase capacity by allowing for any-time check-in and early bag storage.
Melbourne Airport CEO Lorie Argus said the upgrade of the baggage system was the first step of an ambitious expansion of the international terminal with more gates, aircraft parking stands, check-in spaces and a larger baggage reclaim hall.
Argus said this work, when combined with the construction of a third runway, would allow airlines to add more flights during peak times, giving consumers and Victorian exporters more choice.
“We hope to have plans formalised by the middle of this year, so that we can start work as soon as the enabling infrastructure projects are completed,” she said in a media release.
The last expansion of the international terminal was completed in 2011, with the addition of five new gates and 41,000 square metres of extra space.
“We’re listening to our customers and working with our key international carriers to understand how we can deliver the best value for them and the best experience for our travellers.”
Melbourne Airport, Australia’s second busiest behind Sydney, is owned by Dexus (27.32%), IFM Investors (25.17%), Future Fund (20.34%), SAS Trustee Corporation (18.47%) and Utilities of Australia (8.70%).
About 36.5 million passengers used Melbourne Airport in the 2023/24 financial year, excluding transits, and the airport had 244,000 aircraft “movements”.