Despite a $5.3 billion investment and less than a year until its scheduled launch, Western Sydney International Airport is struggling to secure confirmed carrier commitments. The airport, located far from Sydney's central business district and without rapid transit access, may face low usage in its early years unless airlines sign on soon. Its role was intended to ease congestion at Sydney's Kingsford Smith Airport, but the lack of confirmed services puts that plan at risk.
The proposal for a second Sydney airport has been around for decades and was approved by the Federal Government in 2014. Constructed at Badgerys Creek and designated Western Sydney International (code WSI), the airport is designed to handle 10 million passengers annually from its first day of operation. Kingsford Smith Airport is heavily restricted by slot controls, limited to daytime hours due to a nightly curfew, and already serves over 40 million passengers per year, which initially supported the case for an additional airport.
So far, only letters of intent have been signed by three airlines – Qantas Group (covering Jetstar and QantasLink), Singapore Airlines and Air New Zealand. These are not binding agreements. Virgin Australia, the country’s second-largest airline, has held off due to concerns about high operational costs and limited customer access. Another obstacle is transport connectivity. WSI sits nearly 50 km from the Sydney CBD, and a direct rail link is not expected until at least 2027. At present, most travellers would rely on tolled motorways or circuitous rail routes involving long transfers.
Airlines are also wary of WSI’s limited domestic and international connections compared to Kingsford Smith. Many connecting passengers are likely to bypass WSI unless it offers onward flights comparable in scale to those available at Sydney’s main airport. For business travellers, location is key. WSI’s distance from the city makes it a less appealing choice for time-sensitive trips.
The airport does offer advantages for freight. It has no night curfews, and a large site layout supports 24-hour cargo services. However, its role in airfreight may be limited early on. Around 80% of international freight is currently carried in the hold of passenger flights using Kingsford Smith. Until WSI sees a sharp rise in passenger flight volume, it is unlikely to absorb much of the country’s airfreight traffic. Only a handful of overnight freight services currently banned by SYD’s curfew rules are expected to shift to the new site in the short term.
To attract early airline participation, some experts expect WSI to offer incentives such as reduced fees or revenue support schemes, similar to approaches tried at regional airports. However, this would need to be balanced with the government’s demand that the airport delivers a commercial return. Striking that balance may prove difficult for WSI's leadership.
Western Sydney International still holds potential. Sydney’s population is forecast to reach 6.3 million by 2041, with much of the growth occurring in Western and South-Western Sydney. But the lack of fast, affordable transport links and the perception of financial risk among airlines have left the airport’s immediate future uncertain as it nears completion.
The government remains publicly optimistic about WSI’s role, yet without firm airline commitments, competitive operations and clear access to central Sydney, the project could begin with more hope than passengers. If Hickey and his team can secure airline deals and build workable timetables that are financially attractive to carriers, WSI could still evolve into the transport hub Sydney needs. That outcome, however, may take more time than expected.
