Page 1425 - Week 05 - Wednesday, 11 May 1994
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currently investigating what is required for, and the economic viability of, upgrading the airport to international status. As I informed members yesterday, my department has commissioned a consultant to investigate aspects related to the establishment of an international facility at Canberra Airport, and we will be presenting a submission to the standing committee on 24 May, I believe.
As members know by now, the Federal Government has announced that over the next four years it will sell all the airports that are owned by the Federal Airports Corporation. The ACT Government is examining options regarding the airport, but this will require complex negotiations between the Departments of Defence and Transport, the National Capital Planning Authority, the airlines themselves, the local shire councils and, of course, the community.
Mr Deputy Speaker, we do recognise that the ACT has enormous potential to attract international visitors. We have here a unique product - a product that is growing and developing, and a product which we are promoting in key international markets. The attraction of additional international visitors to the ACT is a very important element in the development of what is one of our key industries, namely, tourism. The Government, in conjunction with the private sector, is taking positive steps to expand this market. The question of how the visitors get here is also very important. The Government has been pursuing the development of Canberra's external transport links - air, road and rail - as a matter of economic importance. Within that context, air links obviously are especially important to international visitors. The Government will continue to explore the options for improving access for international visitors.
MR WESTENDE (3.38): This matter of public importance is "Why we should strongly support Canberra as an international airline destination in time for the Sydney Olympic Games". I, for one, certainly do not have to be sold on that idea. It therefore gives me great pleasure to speak to this MPI. As the Chief Minister said, the Standing Committee on ACT Tourism and Promotion is currently conducting an inquiry into the feasibility of Canberra Airport getting international status. Without infringing on the findings of this committee, I will cover some general but very important facts.
Canberra Airport is currently a joint Department of Defence and Federal Airports Corporation facility. If my information is correct, and I believe that it is, the FAC has only a 99-year lease on the land west of the north-south runway. The FAC in turn subleases sections of the land to both Ansett and Qantas, which in turn own the terminal buildings erected on those subleases. It would therefore appear to me that, for the ACT to acquire the FAC's interest in the 99-year lease, not a great deal of money would be involved. Remember that the land is owned by the Defence Department, the FAC has only a 99-year sublease, and Ansett and Qantas have subleases and own the buildings that are erected thereon.
Fact two is that Canberra is a profitable airport. For the year ended 30 June 1993 Canberra Airport made just under $3m in profit. That fact can be easily ascertained from the 1993 FAC annual report. Probably less than half of the FAC's airports are running at a profit. Therefore, it could not really be considered a drain on finances, and this would assist in making an international airport a viable proposition.
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