TALKING POINTS

WHAT WILL THE AIRPORT REDEVELOPMENT ENTAIL?

About $ 80 million will be spent on the terminal, taxiways, runway and apron facilities. It is expected to generate about 178 construction jobs and 54 operational jobs. Upgrades include doubling the capacity of the departure lounge, including upgraded seating, a refurbished check- in area and installation of selfcheck- in and bag drop facilities, expanding the security screening area and additional lower level departure lounge boarding gates. There will also be new cafes, bars, restaurants and retail outlets and space for new airline lounges but these will not be funded by Infrastructure Development Contribution. The project also includes major upgrades to core airport infrastructure to increase aircraft parking bays, improve traffic, upgrade water, fire, and electricity infrastructure and introduce environmental initiatives.

IS THE PROPOSED FUNDING MODEL UNIQUE?

No. All airports charge airlines to use airports. Charges are collected by airlines from passengers through airfares. It is normal industry practice to adjust charges when upgrades to infrastructure are needed. Melbourne Airport’s Terminal 4 was funded using the same methodology as Townsville, with upfront investment made by Melbourne Airport and an adjustment to passenger charges. QAL has said it plans to use a similar model for its Gold Coast Airport redevelopment.

ARE THE TOWNSVILLE AIRPORT CHARGES COMPARABLE TO THOSE AT OTHER AIRPORTS?

Yes, Townsville’s domestic passenger charges are competitive with other airports in regional Australia. From 2003 to 2017, Townsville airport charges relative to inflation ( Brisbane CPI) have fallen by 24 per cent, while labour, service and material costs have risen. The passenger charge at the Townsville Airport is $ 13.20, compared to $ 19.20 at Darwin Airport, $ 17.25 at Hobart Airport, $ 14.89 at Sunshine Coast Airport and $ 13.85 at Cairns Airport.

IS THE UPGRADE NECESSARY?

Yes. The last upgrade to Townsville Airport was in 2003. Since then, the total passenger numbers through Townsville Airport have doubled from 778,000 in 2002- 03 to more than 1.5 million. Airbiz, a world- leading airport planning specialist, says Townsville’s departure lounge is 40 per cent undersized for existing passenger numbers. The recent Pure Projects report commissioned by Townsville City Council