Responding to surging passenger numbers and capacity challenges, Melbourne Airport is gearing up for a major international terminal expansion.
The planned expansion aims to improve the passenger experience and ease pressure on current facilities, which are struggling to cope with current traffic numbers.
According to the airport, discussions are underway to add more check-in counters, baggage claim areas, retail outlets and airline lounges, along with up to five additional widebody gates.
A $500 million baggage system upgrade, already in progress, will allow early check-in and improve efficiency during Melbourne’s busiest travel periods, while a new elevated road network, set to open in 2026, will support these enhancements and provide smoother access to the airport.
According to the hub, collaboration with foreign airlines, which account for 72 per cent of international seat capacity into Victoria, is a key part of finalising the project details.
The last major terminal upgrade was completed in 2011.
Melbourne Airport CEO Lorie Argus highlighted the need for the expansion to meet increasing demand, with current peak periods requiring additional measures like bussing.
“We’re setting new records for international passenger numbers and as Melbourne’s population grows, it’s important that our infrastructure grows too,” she said.
“During peak periods we are already experiencing regular congestion in the international arrivals area, so it’s obvious to us that our passengers and airlines need more space.”
In December, the airport welcomed a record 1,147,533 international travellers (up 10.6 per cent, year-on-year), while seat capacity soared to 113 per cent of pre-pandemic levels. Total passenger numbers (including domestic, excluding transits) in December totalled 3,243,241, up 5.1 per cent over the year before.
Meanwhile, international traffic for the first half of the 2024/25 financial year reached 5,981,117 (+9.2 per cent), with total traffic hitting 18,337,963 (up 3.5 per cent).
“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,” the MEL boss added.
“More gates, more aircraft parking stands, more check-in space, and a larger baggage reclaim hall, combined with construction of Melbourne Airport’s third runway, would allow airlines to add more flights during peak times, which would give consumers and Victorian exporters more choice.”
According to Argus, the airport aims to finalise plans by mid-year and begin work once the supporting infrastructure is ready.
Australia’s busiest 24/7 airport is in the midst of a busy summer holiday travel period, in which it expects to set a new international travel record and surpass previous summer periods.
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