The Australian government has approved Sydney Airport’s Master Plan 2045, clearing the way for a major redevelopment of the airport’s domestic precinct. Minister for Infrastructure, Transport, Regional Development and Local Government Catherine King approved the planning document on August 14, 2026. The endorsement gives the airport operator a long-term framework to invest in terminal capacity, transport connections, and passenger facilities to support regional growth over the next two decades.
The centerpiece of the approved redevelopment strategy is the overhaul of Sydney Kingsford Smith Airport . Rather than maintaining separate facilities for domestic, regional, and international operations as they currently function, the plan aims to consolidate all three service categories under one integrated terminal. According to Sydney Airport, this structural shift is intended to streamline the overall passenger experience as overall air traffic continues to expand.
Sydney Airport Chief Executive Officer Scott Charlton noted that the official approval provides a clear pathway to plan for future aviation demand and invest in necessary city infrastructure over the coming decades. Charlton emphasized that the long-term plan is designed to support sustainable and responsible growth, placing specific focus on minimizing environmental impacts while maintaining close engagement with surrounding local communities throughout the redevelopment process.
According to official forecasts in the Master Plan, Sydney Airport is expected to handle more than 72 million passengers annually by 2045. This projected passenger traffic comprises 36.4 million international travelers alongside 36.2 million domestic and regional passengers. In tandem with passenger volume growth, the airport’s annual economic contribution is projected to rise to approximately $70 billion, while direct employment at the airport is anticipated to increase to over 105,000 jobs.
The Master Plan also incorporates Sydney Airport’s five-year Airport Environment Strategy, establishing actionable measures to reduce emissions, build climate resilience, and maintain sustainable operational practices during expansion. Charlton expressed gratitude to the Australian government and Minister King for endorsing the plan, acknowledging the support of partners, government agencies, and local community stakeholders as the airport prepares for implementation.
