The Hodgman Liberal Government welcomes today’s announcement of a $100 million redevelopment of the Hobart Airport and the economic benefits it will bring to Tasmania through improved flights, services and infrastructure.

This investment could not come at a better time for the tourism industry, the Antarctic sector and Tasmania’s fresh produce exporters.

Hobart Airport currently carries 60 per cent of all scheduled air traffic to Tasmania. In 2014, this translated to a record 2.12 million passenger movements.

Over the last two years, an important driver of visitors to Tasmania has been the improvement in air access. Seat capacity has increased on all air routes from Melbourne, Brisbane and Sydney, which has benefitted Tasmania through lower prices and a strong growth in visitation.

We have a Plan to increase visitor numbers to 1.5 million by 2020 and we are capitalising on record visitor numbers, strong demand for our high value and high quality produce, unprecedented business and leisure interest from China, and low global fuel prices.

With this significant investment in our gateway airport, we have an ideal opportunity to establish improved and sustainable connections to key growth markets for Tasmanian exporters and tourism operators.

Included in the funding is $38 million from the Federal Government and an additional $2 million from the airport for an extended runway. The 500 metre extension to the runway will enable larger aircraft to travel further when leaving Hobart, enabling direct flights to South East Asia and more flexible operations to Antarctica.

The longer runway is essential for improving Australia’s air link to Antarctica and to strengthening Hobart’s competitive position as the key gateway to Antarctica.

The redevelopment of Hobart Airport’s terminal is also going to create a gateway to Tasmania that reflects Tasmania and promotes Tasmanian produce and hospitality, In the coming months and years, changes to Tasmania’s premier gateway will increase the efficiency of operations and improve passengers’ experience.

I would like to congratulate everyone involved in this important redevelopment.
Matthew Groom, Minister for State Growth