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EXECUTIVE SUMMARY
Our vision for the Greater Western Sydney (GWS) Airport is
to promote economic growth and diversity in the Western
Sydney Region. This will be achieved by creating a gateway
connecting the world to the natural, cultural and historical
wonders that Greater Western Sydney and Australia have to
offer by delivery of a sustainable first-class airport.
In developing the concept for GWS Airport, three options
were considered. These options were assessed against
their environmental impacts, benefit to the community
and commercial viability. Option A was rejected due to
limitations on airport operations: the lack of a cross
runway would prevent flights from being able to land in
adverse weather conditions. Option C proved unfavourable
because of the high noise impacts and excessive land
acquisitions requirements. After thorough assessment,
Option B encompassed the most viable qualities: low noise
impact on the community; operational flexibility in all
meteorological conditions; and reduced land acquisition.
GWS Airport will evolve through three key phases over its
lifecycle. The first and arguably the most important phase,
is the period of Growth where GWS Airport will establish
itself as the centrepiece of the economic and social heart
of Sydney for all to enjoy and benefit from. GWS Airport
will become the nucleus of the region encouraging the
development of the adjacent areas which will thrive off
its success. From a broader perspective, the east-west
green corridor will link the Western Sydney Parklands,
the proposed Sports and Recreation Precinct including a
new 30,000 seat stadium for Western Sydney, the green
belt around the airport and the environmental facilities to
the foothills of the World Heritage Listed Blue Mountains.
Customers and passengers will access the terminal via
Elizabeth Parkway, a tree-lined boulevard, representative of
the Cumberland Plain, providing a unique and memorable
arrival to the airport.
PHASE 1 - GROW
The first phase will involve the majority of the planning,
consultation, design and construction works. The
establishment of an Airport Authority to drive the concept
through legislative barriers shall be formed as early as
possible. This will coincide with the establishment of an
Airport Delivery Corporation which will charged with the
timely delivery of the project.
By 2027, this phase will see GWS Airport operational,
comprising of a 4000-metre north-east to south-west
runway with 16 gates at the terminal. The initial layout will
include key infrastructure elements, multi-level multi-
modal rapid transport, a hotel and convention centre,
greenspace, retail facilities and logistics hub.
PHASE 2 - WANDER
This phase will see a second 3000-metre parallel runway
operational by 2047 with 8 additional gates at the terminal.
A fuel pipeline will be built to support the increased fuel
needs of the airport. Airport income will be supplemented
with additional hotel and tourism facilities. Additional
transport links will allow for increased passenger
movements with the opening of a heavy rail station.
PHASE 3 - SUSTAIN
By 2057 a third 2600-metre crosswind runway will be
operational with 8 additional gates at the terminal, making
32 gates in total. This phase will include the completion
of a light rail link and the Outer Sydney Orbital to ensure
transport to and from the airport remains flexible as the
airport reaches maximum passenger movements.
FlyGreater
Lachlan Stuart Abercrombie
Mathew Craig Carter
Johana Jehasnelly Fragozo
Rebecca Victoria Main
Abbie Marjolyn Tipping
CONTENTS
EXECUTIVE SUMMARY	 PG 1
BACKGROUND	 PG 2
VISION	 PG 2
MASTER PLAN	 PG 3
KEY STAKEHOLDERS	 PG 4
KEY REQUIREMENTS	 PG 4
OPTIONS ANALYSIS	 PG 5
PROGRAMME	 PG 5
STAGING	 PG 6
RISK ASSESSMENT	 PG 7
DELIVERY	 PG 8
PROCUREMENT + IMPLEMENTATION	 PG 8
ENVIRONMENT 	 PG 9
COMMUNITY	 PG 9
NOISE	 PG 9
COMMERCIAL VIABILITY	 PG 10
REVENUE STREAMS	 PG 10
AIRPORT OPERATIONS	 PG 11
AIRPORT OPERATIONS	 PG 12
PUBLIC TRANSPORT	 PG 13
ROADS + ACCESS	 PG 13
PARKING	 PG 14
THE GWS AIRPORT EXPERIENCE	 PG 15
VISION
Our vision for GWS Airport is to promote economic growth in the Western Sydney
Region and to serve as a gateway connecting the world to the natural, cultural,
artistic and historical wonders that GWS and Australia have to offer. We have
focused our efforts on the design and detail of the airport itself and considered
in significant detail the wider development strategy and master plan for the
surrounding area.
The development of GWS Airport represents a remarkable opportunity to deliver
a world-class, integrated, sustainable new Airport City which will enable the
growing population of Great Western Sydney to live, work, learn, shop, play and
travel in a socially, environmentally and economically sustainable way. GWS
Airport will provide opportunities for growth and diversification of the Western
Sydney economy, creating tailored jobs closer to home for the growing population
in Western Sydney.
GWS Airport will provide an ‘Australian Experience’ with green spaces
showcasing native plant species and a Billabong to provide passengers with
encounters with nature to lighten the stress from a long journey or visitors with
a day of recreation. We will embed our nation’s culture in the ‘Food Bowl’ by
incorporating spaces to display fresh produce, exquisite cuisine, fine wine and our
arts and crafts.
Dedicated retail and leisure areas, along with the adjacent new Western Sydney
stadium will welcome domestic and international passengers and cater for the
needs of the local community.
BACKGROUND
Sydney’s second airport was first envisioned by the Government around 1946
when it was recognised that future demand would exceed the capacity of the
existing airport. The need and feasibility has been deliberated ever since, until
now. On 15 April 2014, the Prime Minister of Australia, Tony Abbott, announced:
“Badgerys Creek will be Sydney’s Second Airport;
it will be an Airport for Western Sydney”.
Planning and design will need to start immediately in order to meet population
growth and aviation demand.
We, FlyGreater are a diverse team of experienced professionals who understand
the local environment and stakeholders, are knowledgeable of the area, and are
familiar with the critical issues and drivers that influence the success of a project
of this nature, size and complexity. As an aspiring candidate for the concept
design of GWS Airport, we understand Western Sydney Airport Alliance’s need for
creative ideas to realise this dream. This concept proposal delivers imaginative,
yet realistic and functional ideas that will ultimately help drive forward the
successful development of GWS Airport and provide the facilitator of growth that
we envisage it to be.
ARTISTS IMPRESSION: GWS AIRPORT LOOKING SOUTH WEST
SOURCE: FLYGREATER
COVER IMAGE: ARTISTS IMPRESSION: GWS AIRPORT LOOKING NORTH WEST
SOURCE: FLYGREATER
FlyGreater
PG 2GROW WANDER SUSTAIN: GWS
CUMBERLAND ECONOMIC CORRIDOR
The GWS Airport project will be a transformative city-shaping project, providing a once in
a generation opportunity to fully integrate land use, transport and infrastructure planning
within Sydney. Investment in the GWS Airport will drive a diversified, competitive and
sustainable economy, generating substantial economic, social and environmental benefits
for Western Sydney.
The delivery of GWS Airport is an opportunity to comprehensively plan for a new economic
corridor for Western Sydney extending from Penrith in the North to Campbelltown in the
South, anchored by the GWS Airport at Badgerys Creek. This new economic corridor,
identified as ‘The Cumberland Economic Corridor’ (CEC) promotes synergistic development
to maximise the benefits of major infrastructure investment and deliver, educational,
employment and housing growth in line with the Draft Metropolitan Strategy for Sydney
to 2031. The CEC will incorporate the key developments of GWS Airport, Western Sydney
Employment Area and the Outer Sydney Orbital, offering certainty to investors and an identity
to residents.
Realisation of the full potential of GWS Airport and the wider CEC requires an integrated land
use and transport plan- initiated through this Master Plan and developed in the future at a
more detailed level through the Precinct Plans.
GWS Airport
Badgery’s Creek Hospital
Sydney Science Park
Nepean Hospital
Campbelltown Hospital
UWS Badgery’s Creek
University of Sydney Bringelly
University of Sydney Cobbitty
UWS Penrith
UWS Campbelltown
UWS Werrington
GWS Sport + Recreation
PENRITH
BADGERYS CREEK
CAMPBELLTOWN
This Master Plan has originated from a broad vision of a Garden Airport City:
–– AN AIRPORT CITY: to introduce vibrancy and activity to the broader CEC as a key
destination for living, working, education, tourism, and recreation by providing multiple
and related facilities.
–– A GARDEN CITY: to continue the established relationship with the natural elements.
A series of green valleys and waterways will meander through the natural landform
facilitating movement corridors between key destinations and attractions and provide
transitional buffer zones between conflicting uses.
THE MASTER PLAN
This Master Plan will:
–– Assist stakeholders and Government in understanding the role, positioning and character
of GWS Airport City.
–– Provide a clear direction for development of both the public domain and individual districts
whilst maintaining the overall vision for GWS Airport City.
–– Assist approval bodies in the consideration of the planning applications and aid developers
in the preparation of relevant material.
–– Continue efforts to establish GWS Airport and the CEC as a sustainable, world class,
corporate, recreation and leisure destination.
To enable the realisation of the Master Plan vision, it is important to understand how the
site may evolve over time and what shape and form it may resemble at different periods of
development. The Master Plan is formulated on a principle of flexible staging which allows
an efficient and effective evolution of development. This staged rollout will allow the site
to evolve in line with the overall vision for GWS Airport City. Through this incremental and
considered approach, each individual sub-community is effectively self-contained allowing
for socially, economically and environmentally sustainable redevelopment to occur. A staged
approach based on the delivery of complete precincts of activity and neighbourhoods will
allow development to be efficiently managed. While a certain level of function will be provided
within neighbourhoods and localities of similar uses, clustering into precincts allows for the
creation of focal points, housing shared services, retail and activities for wider communities.
Figure 3.1: Cumberland Economic Corridor
Figure 3.2: GWS Airport City Master Plan
MASTER PLAN
¹ Multibillion science precinct proposed for GWS, http://www.accessnews.com.au/sector/regional-development/initiatives/
item/737-multibillion-science-precinct-proposed-for-gws, sourced: 4th October 2014
A healthy city is a desirable city and the GWS Airport City, a combination of CEC and GWS Airport, aims to be one of the healthiest areas in
Australia. This will be achieved through a combination of health-oriented master planning, encouraging active modes of transport and walkable
neighbourhoods, and a collocated ‘Health and Education Precinct’ to foster the theory and practice of healthy methods of living. The Precinct is
strategically located between the ‘Major Centre’ and the Science Park and incorporates a Level 5 Hospital, UWS technical campus, TAFE college
and a technical high school to leverage off the symbiotic relationships between such learning institutions. Required regional-scale health care
facilities are consolidated into this precinct to establish a relationship with biomedical, health and technology related businesses and educational
opportunities. There is also the potential to establish health-tourism related uses in this precinct, given the attractive natural setting provided for
recuperation and rest, day spas and meditation retreats, with immediate access to GWS Airport.
The ‘Sports and Recreation Precinct’ will
provide a new 30,000 seat stadium, multi-purpose
indoor arena, outdoor courts and fields, plus a
network of recreational trails. This precinct thrives
on the direct access to GWS Airport, providing a
new gateway for local, interstate and international
teams across a wide variety of sports.
Beyond the green belt, peripheral activity centres
include the GWS Business Park, Health and Education
Hub and the Sydney Science Park, all which benefit
from immediate access to the ‘Major Centre’ and GWS
Airport. The location and amenity provided within
the landscaped surrounds of the Business Park will
compliment and accelerate the expansion and the
delivery of the CEC and GWS Airport. The ‘Business
Park’ will be home to a number of new skill-intensive
and high-value employment-generating uses such
as high-tech, biomedical, aerospace and information
technology related industries. These industries will
have a strong relationship to the existing and growing
education, transport and commercial sectors.
The Sydney ‘Science Park’ will be a “multi-billion
dollar research and development centre specialising
in the food, health and energy sectors”¹. The Science
Park has direct links to the educational institutions
and will use the ‘Food Bowl’ within GWS Airport as a
dynamic space to exhibit food and health research it is
undertaking.
Elizabeth Parkway is a tree-lined
boulevard, representative of the Cumberland
Plain, and provides a unique and memorable
arrival to the airport similar to the rain trees
which line the East Coast Parkway on the
arrival to Changi Airport in Singapore.
To the North West (within the
Western Sydney Employment
Area), a cluster of innovation and
industry parks will be located.
These areas will provide facilities
for light manufacturing, incubator
industries, start-up businesses
and critical urban services, all
strengthened by access to the
GWS Airport, Outer Sydney Orbital
and the M7 Motorway network.
These activity precincts sit on edges
of preserved natural valleys – the central
feature of the CEC – which extends from
south to the north, starting out as slender
green fingers of riparian corridors and
opening up as expansive regional gardens
and recreational spaces. Unlike traditional
parklands, which serve either a singular
aesthetic, active or passive recreational
use, the vision is anchored upon a multi-
purpose green network that serves as
a: natural valley and drainage corridor;
passive relaxation space; active recreation
space; movement corridors for active
transport; distinct tourist attractions;
conservation areas and natural forests.
The Intermodal Hub will be the new
multi-modal freight transfer facility for
the eastern seaboard. It will cater for
road-rail-air transfers complementing
and relieving the current road-rail-air-sea
facility at Port Botany. The Intermodal
Hub located at the south-western edge of
GWS Airport will separate passenger and
freight movement, provide direct access to
the eastern seaboard via the Outer Sydney
Orbital and allow efficient linkage with the
new dedicated freight line.
Strategically located in the heart of
the central core, the ‘Tourism Precinct’
accommodates a number of hotels to cater
for a variety of passengers. The number of
different tourism products will ensure that
this precinct is well occupied year round by
a diverse array of people, from international
business travellers, local and south-east Asian
family holiday-makers, tourists related to a
special sporting event or calendar festivals,
gastro-tourists exploring the traditional “Food-
Bowl of Australia” or those forming part of the
growing health-tourism industry.
The ‘Major Centre’ will serve as
an essential service, retail and
civic destination for the working
and residential population of the
corridor; providing an estimated
10,000 jobs in the commercial,
retail and services sectors.
The ‘Logistics Hub’ will be
promoted as a precinct in which
freight handling, light manufacturing
and logistics will be located with a
strong relationship to GWS Airport, the
Intermodal Hub and the Outer Sydney
Orbital. The proximity of the airport
and the dedicated access to transport
networks make this precinct the ideal
location for low density, clean logistics
and manufacturing uses. In addition,
this precinct will accommodate
large retail destinations such as
hypermarkets, malls and big box
outlets to boost retail expenditure by
supporting the intensification of GWS
Airport as a retail hub.
The landscape surrounding the central core
comprise the east-west extension of the Western
Sydney Parklands, providing a green belt around the
airport, linking to the foothills of the World Heritage
listed Blue Mountains National Park. A ‘bio-bank’ will
be provided on approximately 400 Hectares of land
to the west of GWS Airport as a means of generating
‘biodiversity credits’ to offset the environmental
impact from developing land for the airport. The bio-
bank will comprise of preserved and restored natural
landscapes, riparian corridors and replanting species
of the Cumberland Plain Woodland. Supported by a
network of detention basins, which capture, treat and
re-use stormwater run-off from GWS Airport, and a
field of solar arrays to generate renewable energy for
GWS Airport and surrounding developments.
PG 3GROW WANDER SUSTAIN: GWS
KEY STAKEHOLDERS, KEY REQUIREMENTS
RISK: Managing the competing interests of the
investors and the beneficiaries. For the investors, a
successful project will be one that achieves the key
project objectives, mainly a return on investment. The
measures of success are likely to be quantifiable – a
project, delivered within a fixed timeframe and a fixed
budget.
For the beneficiaries, a successful project will be one
that offers the community hope in a better future. The
measures of success are likely to be qualitative and
harder to measure – the degree to which people feel
they have made their own decisions about matters is
important to them.
MITIGATION: Successful management of potentially
competing interests. Risk mitigation will be achieved by
determining what a successful project outcome means
at the beginning of the project, for each respective
group and bring these stakeholders together to agree
a common definition of success. Discussing what
success means and how this can be measured will be
the first step in establishing a relationship that endures
beyond the project lifecycle³.
KEY REQUIREMENTS
FlyGreater has identified the following ‘key requirements’ to direct the development of the
airport concept design; guiding both the options analysis and the associated risk mitigation.
Environmental
EIS, EIA The original Environmental Impact Statement (EIS), prepared in
accordance with the Environmental Protection Act 1974 was written in 1985.
Subsequent revisions occurred in 1997 after public review of the draft EIS and
acknowledgement of some 15,600 comments. The final EIS (and current version) for
the Badgerys Creek site is dated June 1999. Shortcomings have been identified with the
environmental assessments- notably, the legislation has changed and the area has altered
in character.
A new environmental statement (and associated environmental assessment) is required
to provide a holistic and well managed world class airport. GWS Airport will be considered
as part of the overall strategy to improve transport and employment in Greater Western
Sydney, acting as a catalyst for prosperity but with an underpinning philosophy of flora and
fauna biodiversity preservation, protection, environmental enhancement and long term
management.
SUSTAINABILITY Whilst not a specific requirement, GWS Airport seeks to be a sustainable
airport, with a six star green star rating and the world’s first certified carbon neutral
airport.
Community
COMMUNITY ACCEPTANCE / SUPPORT Development of the airport will require
close consultation with the community to ensure that the community supports,
and at a minimum accepts, its construction and future operation. This will be an
ongoing process throughout the airports life; however, development of a framework and
significant effort into the consultation will be required by 2022 to ensure that the airport is
constructed without unimpeded progress and is successful as a commercial entity.
NOISE The development of the airport will need to minimise the impacts of aircraft noise
on the surrounding community in so far as possible.
Commercial Viability
OPERATIONAL DATE GWS Airport will need to be operational by 2027⁴.
PASSENGER MOVEMENTS GWS Airport will need to meet an expected 3m
passengers per annum (pax) in 2027, increasing to 9m pax in 2047 and anticipated to reach
30m pax in 2067⁴.
RUNWAYS The runway will need to support the operation of aircraft to provide sufficient
competition from the airlines bidding for gates at the terminal. The staged construction
of the runways will need to support the plane movements required to meet expected
passenger movements.
LAND ACQUISITION The Lands Acquisition Act 1989 provides specific powers to the
Commonwealth Government to acquire interest in land. FlyGreater has identified that an
additional 400 hectares of land will need to be purchased for the provision of the crosswind
runway. This process has the potential to be time consuming⁵. Previous land acquisitions
have taken three to five years . Any development of the airport on land not yet acquired may
potentially only commence after 2020.
TERMINALS The terminal is required to process passengers according to the expected
passenger movements for both domestic and international passengers. It must provide
adequate security for operation.
OTHER SERVICES The provision of ancillary services will be required for the airport to
function, including a control tower, emergency response station, fuel provision, catering
facilities, waste services, freight and logistics, aircraft maintenance/servicing and security.
ACCESS To support passenger movements, GWS Airport needs access for passengers by
both public transport and roads. Access for freight, maintenance, staff and catering shall
also be supported.
OTHER INCOME STREAMS In order to support the economic viability of GWS Airport, the
development of the project will need to make provision for the diversification of income
streams⁶, including retail, commercial, industrial, freight, education, innovation and
research- in collaboration with local tertiary education institutions.
STAKEHOLDER ENGAGEMENT
Stakeholder management is critical to the successful delivery and
smooth operation of GWS Airport. Engaging stakeholders in an active
and participatory manner will underwrite the success of this project.
FlyGreater have undertaken stakeholder analysis, as shown in Figure
1, to shape the project at an early stage with the clear objective of
producing the best value for money end product that coincides with
differing stakeholder views, desires and expectations.
Ultimately, understanding key stakeholders, their priorities and what
motivates them will help us to best engage and communicate with
each unique group during the project lifecycle. By communicating
early, frequently and to the correct level, using the most appropriate
delivery method and allowing adequate time for information to be
considered, thoughtful decisions can be planned and implemented.
We will ensure that all Stakeholders are fully aware of the project
benefits and how their voices will be heard. This not only ensures
social accountability, necessary for a project of this magnitude but
allows for a two-way knowledge exchange and much needed market
research.
Definitions for our stakeholders with greatest influence on the
project and subject to greatest impact from the project outcomes
are defined below, their key roles and responsibilities are discussed
in further detail throughout this document. The contractual
arrangement and degree of communication between these key
stakeholders depends on the preferred procurement methods as
discussed on PG8.
THE STAKEHOLDERS
Western Sydney Airport Alliance (The Alliance)
The independent body comprised of members such as the Sydney
Business Chamber, NSW Business Chamber, Western Sydney
Community Forum, Unions NSW, AWU, CFMEU, Group Training
Association of NSW and ACT, Regional Development Australia
Sydney, Consult Australia, Royal Aeronautical Society, and the
Liverpool, Narellan and Campbelltown Chambers of Commerce. The
Alliance are in full support of the Federal Government’s decision
to proceed with developing a Western Sydney Airport at Badgerys
Creek and the accompanying commitments by the Federal and NSW
Governments to build supporting road infrastructure and preserve a
rail corridor for the future¹.
Airport Authority (The Authority)
The respective local, state and federal government body responsible
for the consideration and consent of any part of the development.
Airport Delivery Corporation (The Corporation)
The body responsible for the overall delivery of GWS Airport and the
long term custodian and operator.
The Community
The people of Greater Western Sydney whose lives will be impacted
by GWS Airport and who will utilise GWS Airport and its facilities for
work and / or recreation.
The Customers
The Airline operators and other businesses that will occupy GWS
Airport.
Passengers
Users of the air travel services at GWS Airport
Visitors
All people that use and spend time at GWS Airport
Shareholders
Any stakeholder with financial investment in GWS Airport
FlyGreater
We are the design team consortium responsible for developing the master plan concept and the design of GWS
Airport to meet:
1. The expectations of The Alliance,
2. The required approvals at all levels of governance to be managed by The Authority,
3. The needs of The Community,
4. Key risks The Corporation need to consider during planning stages.
Figure 2.1 - The Stakeholder Puzzle²
¹ http://www.westernsydneyairportalliance.com.au/Home (Sourced: 30/09/2014)
² Australian Airports Association, Regional Airport Masterplanning Guideline: http://airports.asn.au/wp-content/uploads/2012/12/Regional-
Airport-Master-Planning-Guideline-March-2014.pdf
³ Contribution by Kirsten McDonald, Associate Principal, Arup- assistance with understanding how to engage stakeholders in participatory
planning, design and project delivery processes and on aspects of social sustainability
⁴ Sydney’s second airport – cleared for take-off?, Australian Institute of Urban Studies NSW Division, Presented David Borger, Barry Murphy
& Gary Punch (Sourced 23/07/2014
⁵ Building Badgerys: The next steps towards a Western Sydney Airport, Western Sydney airport Alliance, available from: http://www.
westernsydneyairportalliance.com.au/ (Sourced: Sept 2014)
⁶ Second Airport Struggles to get off ground, Sydney Morning Herald http://www.traveller.com.au (Sourced Sept 2014)
HIGH INTEREST + HIGH POWER
STAKEHOLDERS:
-- Federal Government
-- State Government
-- Local Government
-- Airport Operator
-- Shareholders
-- Sydney Kingsford Smith
Airport
-- Prospective businesses/
retailers
-- Prospective customers
-- Research centres
-- Approval bodies
-- FlyGreater
APPROACH: Manage
Closely
HOW?
-- Tailored made and agreed
engagement framework
strategy for respective
stakeholders
-- Establishment of
regular meetings with
representatives from
all interest groups to
discuss commercial and
programme milestones,
where and when
appropriate
HIGH INTEREST + LOW POWER
STAKEHOLDERS:
-- Media (bad news)
-- Interest groups /
activists
-- Community
-- Local tertiary
institutions (TAFE,
UNSW)
-- Local businesses
-- Professional sporting
organisations
-- Suppliers
-- Tendering
contractors
APPROACH: Keep Informed
HOW?
-- Public consultation
workshops to gauge interest;
engage people and gain
feedback
-- Ongoing communication via
notice boards in medical
centres, local council offices,
town halls, local newspaper,
letter/ leaflet drops
-- Forums, questionnaires,
surveys, reports and statistics
-- Website (refer Crossrail
London) showing
environmental, health
and safety, design and
construction progress
-- Early contractor involvement
LOW INTEREST + HIGH POWER
STAKEHOLDERS:
-- Trade Unions
-- Energy + Utility
Companies
-- State Government
APPROACH:
Keep Satisfied
HOW?
-- Website
-- Local media
publications
LOW INTEREST + LOW POWER
STAKEHOLDERS:
-- Media (good news)
-- Prospective
passengers
-- Prospective visitors
-- Prospective airport
workers
-- Wider public
APPROACH:
Monitor
HOW?
-- Website
-- Local media
publications
STAKEHOLDERPOWER
STAKEHOLDER INTEREST
PG 4GROW WANDER SUSTAIN: GWS
Options analysis
During the early stages of the concept development, FlyGreater studied and assessed
feasible options for the Airport layout with particular attention to the orientation of the
runways. These options were aligned with The Alliance’s drivers and our interpreted
requirements for the GWS Airport development.
FlyGreater has developed the solution, the concept level design and operational strategies
by adopting the learnings from other world class airports¹. We have also drawn from other
infrastructure projects in Australia and numerous discussions with construction contractors.
We have developed and implemented a range of innovative, achievable approaches that can
be incorporated safely and effectively into the GWS Airport delivery. Our designs are directly
related to the project objectives to ensure smooth project completion with due regard for
the needs of those using the facilities², as well as return on investment for shareholders.
FlyGreater stands by our solutions, which are based on international best practice, rigorous
study evaluations and subject matter expert input.
Assessment Criteria
The concept options have been assessed against the key requirements in the following order:
noise and community; runways; terminals; and land acquisition.
Preferred option
The preferred option, Option B, was chosen primarily in response to the lower noise impact
on the community as a result of the runway configuration. Compared to the Option C layout,
in which 300³ existing residential homes are impacted, the preferred option impacts only
200⁴; this is based on 1997 figures which may have substantially changed since the last
assessment was undertaken, as further discussed on page 9.
The terminal layout was considered to be effective for all three options, and as such did not
have an impact on the assessment.
The crosswind runway, included in the preferred option, provides operational flexibility in
response to all meteorological conditions. This provides an attractive commercial advantage
over Option A, which has limited operation in adverse conditions. Whilst this has the potential
to introduce noise issues, these can be mitigated by defining operations for certain times
of the day and for certain types of aircraft. Such operational strategies will be developed
during the detailed design phase. The crosswind runway in the preferred option requires the
acquisition of an adjacent 400 hectares of land. This greatly preferred over the 1150⁵ hectares
required for Option C. The scheduling and economic impacts of land acquisition can be
mitigated by:
-- staging construction such that the cross runway is built at a later date, meaning that land
acquisition timeframe will not delay the planned construction or operation;
-- making land acquisition a key component of the early program to ensure that the
purchase price is fair and reasonable for all parties involved.
OPTION A
1700 Hectares of
Commonwealth land, based
on the original runway layout
developed for the Second
Sydney Airport Site Selection
Program Draft Environmental
Impact Statement. Two parallel
runways separated by 1,670m.
Souther eastern runway of
4,000m and the north western
runway of 3,000m.
OPTION B
The same configuration as
Option A with two 4,000m
parallel runways and an
additional crosswind runway of
2,500m.
Requires the acquisition of an
additional 1,200 Hectares of
land to the south, southwest
and southeast of the site
(shown dashed in Figure 5.2)
OPTION C
The same configuration as
Option B with two 4,000m
parallel runways and an
additional crosswind runway
of 2,500m. However the
orientation of the two runways
is much more north-south.
Requires the acquisition of an
additional 1,150 Hectares of
land to the south, southwest
and southeast of the site
(shown dashed in Figure 5.3)
Table 5.1 Options Assessment
OPTION STRENGTHS WEAKNESSES ASSESSMENT
OPTION A
Two north east -
south west parallel
runways
(Figure 5.1)
-- Noise attenuation through existing
land use zoning
-- No land acquisition required
-- Efficient terminal layout and
location
-- Omission of a
crosswind runway
reduces operational
ability for all
meteorological
conditions
Rejected due
to operational
issues
OPTION B
Two north east -
south west parallel
runways and one
north west - south
east crosswind
runway (Figure 5)
-- Noise attenuation through existing
land use zoning
-- Efficient terminal layout and
location
-- Crosswind runway provision allows
for operations in response to all
meteorological conditions
-- Land acquisition
required
-- Noise impacts related
to the crosswind
runway
Adopted
OPTION C
Two north -south
parallel runways
(Figure 6)
-- Efficient terminal layout and
location
-- Crosswind runway provision allows
for operations in response to all
meteorological conditions
-- Significant noise
impacts on existing
and future community
-- Land acquisition
required
Rejected due to
noise impacts
Programme
FlyGreater has developed a ‘three phase’ staging to meet the key requirements. In order
to deliver an operational airport that meets the expected passenger movements of 3m
pax⁶ in 2027, GWS Airport construction will need to be focused on the essential services,
one runway and enough terminal space to service the passenger movements. This will
allow further expansion to meet the increase movements whilst ensuring that the project
is not overcapitalised. Staging the construction will also allow time for the process of land
acquisition to take place without risking delays to construction.
Full realisation of GWS Airport concept will be 43 years from inception. There are three
distinct phases of the master plan, as identified in Figure 5.5. Ongoing community
consultation and environmental, commercial and operational reviews will form subsequent
phases of the development. A robust Asset Management Plan throughout the lifecycle of the
project will ensure the legacy of the project.
OPERATION
2014
2032
2057
2022
2027
2047
2052
2067
GROW (PHASE 1) SUSTAIN (PHASE 3)
OPERATIONOPERATION
*ASSET MANAGEMENT
CONCEPT DESIGN
FEASIBILITY DESIGN
ASSESSMENTS
DETAILED DESIGN
PROCUREMENT
Construct Review* D&C Review* D&C Review*
WANDER (PHASE 2)
CONCEPTDESIGN
-- Establishment of The Authority, The Corporation and the funding arrangements must
be completed to ensure the correct project delivery approach and forward thinking
procurement. Refer to Page 8 for the delivery and procurement methodology.
-- Consideration to additional land acquisition
-- Establishment of a public engagement and consultation framework
-- Undertaking a forward looking lifecycle orientated risk-management approach to establish
the risk profile of the project
-- Preparation of a new environmental impact assessment and subsequent environmental
impact statement
-- Holding public workshops to feed into the draft master plan
FEASIBILITYAND
ASSESSMENTS
-- Legal reviews, including detailed contracts drafting on land acquisition (now understood to
be developed for industrial use); compulsory land purchasing and review of all legislative
requirements for the development.
-- Finalisation of an Asset Management Plan that identifies the likely lifecycle maintenance
activities and associated costs that would ensure the longevity of the airport.
-- Construction of preliminary road and rail infrastructure to enable economic growth and
social development in Western Sydney. In line with the NSW government plan, roads will be
constructed prior to the airport.
DETAILEDDESIGN
ANDPROCUREMENT
-- Asset owners and financiers are the key stakeholders for the design and construction phase
which will include:
-- Revision of the master plan with due regard for community aspirations and their feedback on
the draft master plan
-- Public notification and communication
-- Commercial reviews and finalisation of land acquisition
-- Construction of Phase 1
Essential planning stages in Phase 1 of the GWS Airport are summarised in Figure 5.6
Between 2027 to2032, we will continue to development strategic links with educational
institutions (notably tertiary institutions including TAFEs and the close by University of
Western Sydney), manage and engage with key stakeholders to ensure long term viability of
GWS Airport.
CONCEPT
FEASIBILITY & ASSESSMENTS
DETAILED DESIGN & PROCUREMENT
2014
2016
2020
LEGAL ASPECTS
The following Legislation and Regulations are relevant to the
planning and regulation of leased federal airports
:
• Airports Act 1996
• Airports Regulations 1997
• Airports (Building Control) Regulations 1996
• Airports (Control of On-Airport Activities) Regulations 1997
• Airports (Environment Protection) Regulations 1997
• Airports (Ownership Interests in Shares) Regulations 1996
• Airports (Protection of Airspace) Regulations 1996
• Sydney Airport Demand Management Act 1997
• Sydney Airport Demand Management Regulations 1998
• Environment Protection and Biodiversity Conservation Act 1999
(the Department of the Environment is responsible for
administering this piece of legislation)
2022 CONSTRUCTION PHASE 1
Figure 5.1 Option A
Figure 5.2 Option B
Figure 5.3 Option C
Figure 5.4 Legal Aspects⁷
Figure 5.5 Master Plan Program
Figure 5.6 Key planning stages for Phase 1 GWS Airport
¹ The World’s Best Airports 2014, Forbes, http://www.forbes.com (Sourced Sept 2014)
² How Airports can achieve world class status- as viewed by Passengers and Airlines, CAP Strategic research, http://capstrategicresearch.
com/Documents/cap-world-leading-airports.pdf (Sourced Sept 2014)
³ Draft EIS Second Sydney Airport Volume 1 Main Report, PPK Environment and Infrastructure Pty Ltd, 1997, Part E, Chapter 12, p.12-46,
Table12.5cap-world-leading-airports.pdf (Sourced Sept 2014)
⁴ Draft EIS Second Sydney Airport Volume 1 Main Report, PPK Environment and Infrastructure Pty Ltd, 1997, Part E, Chapter 12, p.12-46,
Table12.5cap-world-leading-airports.pdf (Sourced Sept 2014)
⁵ Draft EIS Second Sydney Airport Volume 1 Main Report, PPK Environment and Infrastructure Pty Ltd, 1997, Part C, Chapter 9, p.9-17
⁶ Sydney’s second airport – cleared for take-off?, Australian Institute of Urban Studies NSW Division, Presented David Borger, Barry Murphy
and Gary Punch, 23 July 2014
⁷ Australian Government, Dept Infrastructure and Regional Planning, http://www.infrastructure.gov.au/aviation/airport/planning/ (Sourced:
Sept 2014)OPTIONS ASSESSMENT + PROGRAMME PG 5GROW WANDER SUSTAIN: GWS
STAGING
PHASE 1 - AIRPORT
Phase 1 will be developed to provide a fully operational airport meeting the needs
of the local community, as shown in Figure 6:
-- 4000m runway
-- 16 gates at the terminal
-- key infrastructure elements
-- multi-level multi-nodal transport
interchange for buses, cars, taxis
-- key transport links
-- car parking
PHASE 1 - MASTER PLAN
The first phase of realising this aspirational
master plan, is the period of Growth.
The east-west green corridor, links the
Western Sydney Parklands, the Sports and
Recreation Precinct and new 30,000 seat
stadium for Western Sydney, the green belt
around the airport, the bio-bank and in to
the foothills of the world heritage listed Blue
Mountains.
Elizabeth Parkway is a tree-lined boulevard,
representative of the Cumberland Plain, and
provides a unique and memorable arrival to the
airport, much like the rain trees which line the
East Coast Parkway on the arrival to Changi
Airport, Singapore.
The logistics hub of Eastern Creek, the
residential precincts of Leppington and the
Badgerys Creek Major Centre start to emerge
in-line with Phase 1 of the airport.
Figure 6.4 - GWS Airport City Phase 1
Figure 6.5 - GWS Airport City Phase 2
RISKS: Overestimating revenue and growth potential will impact the later phases of
development and deliver lower than expected returns after significant investment
MITIGATION: Sufficient attention paid to controlling future interface risks by
appropriate risk management:
-- Allocate risks to the best risk owner across the lifecycle, with respect to the
individual’s risk appetite.
-- Adequate delivery planning, stakeholder and project management
-- Adopt a realistic commercial model integrating time risk, cost risk and
uncertainties.
-- Adopt a procurement and contractual model to allow transparent decision making
processes and to adjust incentives and penalties to drive behaviour and ongoing
accountability.
PHASE 2 - AIRPORT
From 2032, development of the airport will be required to meet increasing
passenger movements, transportation requirements and fuel consumption, as
shown in Figure 7:
-- fuel pipeline
-- 3000m parallel runway
-- additional 8 gates in the terminal
-- additional hotel and tourism facilities
-- logistics and warehouse hub
-- opening of a Rapid Transit station.
PHASE 2 - MASTER PLAN
Phase 2 is where GWS starts to wander,
and also starts to wonder, to dream of how
special this place can really be.
Innovation and Industry starts to emerge
and respond to the synergies of the airport,
Health and Education Hub, the GWS
Business Park and the Sydney Science Park.
The South West Rail Link extends to the
Airport and a logistics hub springs up
providing for a new distribution centre for
Sydney.
PHASE 3 - AIRPORT
By 2057 the final construction will be completed, as the airport reaches maximum
passenger movements, as shown in Figure 8:
-- 2600m crosswind runway
-- 8 additional gates at the terminal, providing 32 gates in total
-- light rail link to ensure that transport to and from the airport remains flexible.
PHASE 3 - MASTER PLAN
Phase 3 - This is when GWS Airport reaches
a critical phase of sustained growth.
The Outer Sydney Orbital provides direct
motorway access and freight rail corridor,
linking GWS Airport to the entire eastern sea
board.
Agricultural and rural residential lands
become high-value, executive housing,
drawing further investment in the economy
of GWS Airport.
RISK: Construction activity impacts on the operational continuity during subsequent
construction phases.
MITIGATION: Initial design incorporates constructability of later construction
phases.
RISK: Ongoing asset operation and lack of maintenance results in a decaying
asset base.
MITIGATION: Lifecycle design at project inception will enable the correct
specifications are in place to meet the service load, maintenance cycles and
anticipated operating expenses. The type of contract used with outsourced O&M
contractors should ensure contractually agreed KPI’s and service delivery are met.
Figure 6.3 - GWS Airport City Master Plan Phase 3
Figure 6.2 - GWS Airport City Master Plan Phase 2
Figure 6.1 - GWS Airport City Master Plan Phase 1
Figure 6.6 - GWS Airport City Phase 3
PG 6GROW WANDER SUSTAIN: GWS
Risk Mitigation
Project risk management
is a core element of project
selection and is continuous
across the entire lifecycle of
the project. Many projects fail
due to decisions made in the
early stages of development
and planning. The GWS
Airport project is extremely
complex, requiring a strategy
which appropriately reflects
the uncertainty and variety of
risks.
We have identified the main
stages within each phase
of the GWS Airport master
plan and broadly covered the
anticipated and emerging
uncertainties using a forward
looking assessment and the
potential consequences (on
time, cost or quality).
By adopting a risk
management approach, we
will shape the risk profile of
this project, identifying how
uncertainties will be managed.
Risks will be mitigated by
allocating ownership to the
most capable stakeholder¹.
RISK ASSESSMENT
PROJECT STAGE: Procurement and Contractual Design⁴,⁵
IDENTIFIED
RISK
CAUSE CONSEQUENCE OWNERSHIP MITIGATION
Financial risk Failure of
the Delivery
Authority
Project delayed/
abandoned
Delivery
Corporation
FlyGreater
-- Insurances to cover economic environment and potential lack of funding/ support
-- Staged delivery to ensure cash injection and revenue are at sustainable levels
-- Economic model with a clear business case and range of expected financial
returns
Financial risk Economic
Downturn
Reduced income
generation
Reputational risk
Delivery
Corporation
FlyGreater
-- Diversification of income streams through a mixture of uses on-site
-- Establish the financial management plan during early phase to ensure economic
viability
Overall Delivery Failure in
programme
and budget
Project delayed e.g.
$600 million loss
from delays to HK
airport
Delivery
Corporation
FlyGreater
The
Authority
-- Design cognisant of constructability and early contractor engagement
-- Procurement model- Contractor selection based on value to ensure quality
-- Construction model- Contract type to ensure financial support, transparent
penalties and incentives
-- Involvement of risk taking financiers to ensure realistic commercial approach
-- GWS airport forms part of a wider national strategy to enhance Western Sydney
PROJECT STAGE: Construction Delivery
IDENTIFIED
RISK
CAUSE CONSEQUENCE OWNERSHIP MITIGATION
Safety and
security
Mismanaged
construction, poor
design
Fatalities, harm to
workers, project delays,
legal implications
Delivery
Corporation
FlyGreater
-- Reduce risks in the workplace through a safety
management system, construction risk assessments,
task briefings etc
-- Safety in design and top- down safety culture
-- Contractors with proven OHS track record and experience
in the field
Industrial
relations
Misalignment between
workforce and Delivery
Corporation.
Poor industrial relations
resulting in project
delays, legal implications
Delivery
Corporation
FlyGreater
-- Contractors with proven IR track record and experience
in the field
-- Fair working practices
Environmental
Risk
Construction
machinery, ongoing
building work
Noise, air and
hydrological systems
pollution, community
impacts, flood
exacerbation; impacts on
flora and fauna
Delivery
Corporation
FlyGreater
-- Environmental management plan, on- going
environmental assessments with suitable protection
strategy (e.g. Reptile corridors through the construction-
site, as implements on the M4/ M5 widening in the UK)
-- Considerate construction practices (i.e. limits to
construction working hours); community communication/
notification
-- Comprehensive on-site capture, detention, retention, re-
use of storm water
Traffic and
Transport
Right of way to the site
complicated
Access to the airport and
congestion on existing
and future roads
FlyGreater
Delivery
Corporation
-- Provision of a staged public transport program and rights
of way approvals sought early on
-- Planned and thoughtful access to/ from the site to
minimise disruption
Unidentified
utility impacts
Unmapped utilities Project cost increase and
delays
Delivery
Corporation
-- Contingency plan and services investigation at early stage
-- Liaison with utility companies to foster cooperative design
and information capture
Unexpected
findings
Archaeological/
protected species
uncovered
Project delays Delivery
Corporation
FlyGreater
-- Sufficient upfront and ongoing assessments
Contractual
Risks
Claims, contractor
mismanagement
Project cost increase and
delays
FlyGreater
Delivery
Corporation
-- Interfacing with contractor regularly to minimise risks and
lessen the impact later on in the project
-- Regular contractor performance KPI’s measurement
-- Management of financial risks by incentives, milestone
payments, contractor compliance
PROJECT STAGE: Selecting, Planning and Designing²,³
IDENTIFIED
RISK
CAUSE CONSEQUENCE OWNERSHIP MITIGATION
Incorrect
forecast and
assumptions.
Demographics,
demand, prices,
revenues, capital and
operating expenditure
uncertainty
Lower than expected returns
E.g. Oedo Subway Line, Tokyo-
earned revenues more slowly than
anticipated due to delivery delays
and optimistic forecasting
E.g. Clem Jones Tunnel, Brisbane-
$1.67bn loss due to traffic levels
below forecast
FlyGreater
-- Stringent reviewing procedures and division of
responsibilities (risk, finance etc)
-- Long term capacity usage from market research
-- Economic and demographic forecasting by independent
experts
-- Staged reviews prior to subsequent investment at key
milestones
-- Plan for volatility and adverse scenarios
Inaccurate cost
estimate
Economic situation
(i.e. inflation)
Underestimated budget
Delivery
Corporation
FlyGreater
-- Investigation during design phase to minimise
uncertainty
-- Allowance for suitable contingency in pricing (e.g. off-
site material spoil)
Project not fully
funded
Budget allocation in
doubt or subject to
change
Project delayed or abandoned
Delivery
Corporation
FlyGreater
-- Clarification of project scope for allocation of budget
-- Identification and securing of funding sources
-- FlyGreater forms part of The Corporation to provide
continuity with negotiations
Project
timeframe
accelerated
Political pressures
Fast tracked design phase resulting
in errors
The
Authority
FlyGreater
-- Communication with The Authority and Stakeholders to
agree project timeframes
Permit/
Approvals
delays
Permits expire or
agency actions are
delayed.
Fines, penalties, project delays
Delivery
Corporation
FlyGreater
-- Early coordination of permits and identification of permit
requirements.
Differing site
conditions
Unexpected site
conditions.
Increased project cost and
programme delay FlyGreater
-- Thorough site investigations performed as part of the
early works package
Environmental
Risk
Operations and
expansion of airport
Detrimental impacts upon the
environment: Cumberland Plain
Large Land Snail, Bat population in
Badgerys Creek Community Hall,
Cumberland Plain Woodland and
River- flat forest, riparian corridors
and native fauna.
Delivery
Corporation
FlyGreater
-- Manage environmental issues
-- Regular environmental action plan developed and
revised
-- Undertake ongoing resilience planning to balance
business objectives and stakeholder interests within a
holistic management framework
Poor
management of
interface risks
Lack of early stage
decisions on project
structure and design
Cost over run
E.g. HSL- Zuid High Speed Rail PPP,
Netherlands- 43% cost over- run
due to interface risks
FlyGreater
-- Research the risk appetite of developers, contractors
and private investors
-- Alignment of people and management on risk conscious
processes
Legal Risk
Design/ construction
not within legal
framework;
non- compliance
with regulatory
requirements, breach
of contract
Damage to reputation, disruption to
business or operations, pecuniary
loss associated with enforcement
actions/ law suits. Project delays.
Delivery
Corporation
FlyGreater
-- Monitor changes in government policy and legislation
-- Proactive approach, collaborative working and t reviews
at key stages
-- Collaboration with The Authority
Human
Resources Risk
Insufficient supply of
talent
Effect on growth and hub status of
GWS Airport
Delivery
Corporation
FlyGreater
-- Early consultation with business and tertiary educational
facilities
Design delays/
abortive work
Design complexity Project delays FlyGreater
-- Utilise airport design experts and local experts (e.g
Barry Murphy)
-- Engage stakeholders to define what success looks like
Community
Objection to project by
community
Reputational risk to image of GWS
Airport.
Delivery
Corporation
FlyGreater
The
Authority
-- Upfront participation from key stakeholders and the
community
-- Early and on-going engagement to shape the project
and future development
PROJECT STAGE: Asset Operation⁶,⁷
IDENTIFIED
RISK
CAUSE CONSEQUENCE OWNERSHIP MITIGATION
Safety &
security
Airport security
targeted/ terrorism/
community discontent
resulting in protests
Building and content
risk, visitor and
passenger concern,
reputational impact
Delivery
Corporation
FlyGreater
-- Ongoing review of standard operating procedures
-- High end, fast tracked security systems used and
maintained at the terminal
-- Ongoing community notification
Strategic and
Operational
Risks
Lack of investment,
Fog and wind
shear concerns ,
continuous operations
during subsequent
development stages
GWS Airport fails
to achieve centre of
international and
regional aviation as
planned
Delivery
Corporation
FlyGreater
-- Continuous improvements to ensure efficient and safe
operations
-- Optimised runway layout to allow operation in all
meteorological conditions
-- Programming development to allow for ongoing airport
operations even during construction of Phases 2 and 3
Poor
Maintenance of
Facilities
Lack of investment,
aging facilities
Reduced use,
degradation of service
delivery standards
Delivery
Corporation
-- Continuous investments in facilities upgrade/replacement
and monitoring of service delivery standards, operating
procedures and fall back contingency plans.
-- Whole Lifecycle Asset Management Plan
Environmental
Risk
Ongoing airport
operations
Water quality
Noise quality
Flora and fauna impacts
Delivery
Corporation
-- Management of environmental challenges incorporated in
a facilities planning process
-- On- going assessments and review
Tenancy Overestimate of
revenue streams
Lack of demand for retail
space
Delivery
Corporation
FlyGreater
-- Varied uses for different areas of the airport.
-- Key tenants involved in the decision making process to
ensure a vested interest in the project success.
Reputational
risk
Failure to meet
performance targets
Poor service quality and
reduction in passenger
movements
Delivery
Corporation
-- Early engagement with O&M contractors during design
phase and monitoring of performance
-- Forecasting techniques with ongoing monitoring and
reporting
-- Focus on KPIs rather than operational structure
Fuel Provision Growing demand
outstrips supply of fuel
Operational delays, lack
of customer support
FlyGreater -- Provision of a fuel pipeline to be staged in line with
demand
Access
and egress
congestion
Poor traffic
management planning
Congestion adversely
impacts upon the
operational efficiency of
GWS Airport
FlyGreater -- Multi-modal, multi-level access arrangement
-- Streamlined security, integrated way finding and
automated systems to avoid queues
-- Subsidised public transport access and active transport
encouraged through design.
-- Sufficient and ongoing traffic monitoring with auxiliary
lane intersections rather than signalised
Selecting, Planning
and Designing
Procurement and
Contractual Design
Construction
Delivery
Asset Operation
¹ McKinsey working paper on risk, A risk
management approach to a successful
infrastructure project- initiation, financing and
execution, Nov 2013
² Why do major infrastructure projects
fail?, http://blogs.crikey.com.au/
theurbanist/2010/09/02/why-do-major-
infrastructure-projects-fail/ (Sourced Oct 2014)
³ Success and failure in urban transport
infrastructure projects, Allport et al, May 2008,
https://workspace.imperial.ac.uk/rtsc/public/
Success%20and%20Failure%20in%20Urban%20
Transport%20Infrastructure%20Projects.pdf
(Sourced Oct 2014)
⁴ Economic Development Board- Major
Infrastructure Funding Alternatives, PWC, July
2012, http://economicdevelopmentboardsa.com.
au/wp-content/uploads/2013/07/2012_07-MajorI
nfrastructureFundingAlternativesreportfinal.pdf
(Sourced: Oct 2014)
⁵ Airports that never took off, Centre for Aviation,
12/08/2011, http://centreforaviation.com/
analysis/airports-that-never-took-off-56804
(Sourced: Oct 2014)
⁶ Reference made to Risk Management at
Hong Kong International Airport, http://
www.hongkongairport.com/eng/pdf/media/
publication/report/11_12/E_10_Risk_
Management_Report.pdf (sourced Oct 2014)
⁷ Badgerys Creek airport will be a white
elephant, The Sydney Morning Herald,
16/12/2013,http://www.smh.com.au/comment/
badgerys-creek-airport-will-be-a-white-
elephant-20131215-2zf8x.html#ixzz3FVmqTA2i
(Sourced Oct 2014)
PG 7GROW WANDER SUSTAIN: GWS
DELIVERY
Airport Authority
The immediate establishment of The Authority comprising members from Federal, State and
Local Government levels will contribute to the timely delivery of GWS Airport. The Authority
is not a ‘delivery authority’; it is an approvals and regulatory body whose role is to streamline
the approvals process, undertaking the following:
-- Provide consultation to The Corporation on what regulatory requirements are required
to be met and what official approvals need to be gained through the relevant levels of
government in order to successfully deliver GWS Airport.
-- Communicate with The Corporation as to the timing of the required approvals so key
project stages and milestones can be appropriately planned.
Delivery Corporation
The Corporation will be established to facilitate the planning, consultation and development
of GWS Airport. Its purpose will be to deliver and implement the construction of GWS Airport
to ensure an operational date of 2027. The Corporation and The Authority are based on a
model used in Sydney’s WestConnex project, with a stringent delineation between approval
and delivery responsibilities.
The Corporation will comprise invested stakeholders such as financing organisations and
technical advisors, contractors and operators.
A list of proposed roles that The Corporation will undertake is presented below and is based
on previously proposed delivery mechanisms used at similar Airports around the world:
-- Promote healthy collaboration between all stakeholders.
-- Drive the program so that the GWS Airport is delivered in a timely manner.
-- Manage the procurement, negotiation and implementation of contracts (refer to Table 8.1)
-- Communicate with The Authority to manage the approval process in a timely manner.
-- Manage administration, performance and continuous improvement over the whole life of
the project.
- Determine project drivers
and needs
- Identify long leads, critical
paths and strategic material
requirements
- Define partnering
relationship, and the roles
and responsibilities of each
party
- Develop partnership
structures
- Align Project management
and engineering needs with
supply-chain activities
- Identify key areas of risk, as
well as the likelihood and
consequences of risks
eventuating
- Define management and
mitigation strategies
- Establish performance
metrics
- Work with project
management, engineering
and construction teams to
define commercial needs in
support of technical and
project goals
- Merge technical plans,
commercial strategies, and
pricing and contract
requirements
- Define a process for
tendering, evaluating and
awarding contracts.
- Evaluate available contract
structures to balance project
and supplier risks
- Modify contract structures
to eliminate contracting gaps
and encourage competition
- Define and conduct
fact-based negotiations
based on in-depth market
knowledge of market and
industry trends
- Implement excellent
material controls
- Increase the use of vendor
managed inventory, just in
time and other sequencing
techniques
- Conduct statistical analysis
of existing quantities and
workflows
- Develop optimised physical
flows from point of
consumption to point of
origin
- Create total visibility across
all positions at all times
- Have a fully optimised cost
base at each stage of flows
- Define supplier needs and
areas where supply
deficiencies exist
- Evaluate opportunities to
outsource business
processes
- Develop prequalification
criteria that cover
commercial, quality and
technical needs
- Conduct global, regional and
local request for information
to identify suppliers
- Select suppliers based on
project needs
- Evaluate and select optimal
contract format
- Define contract clauses and
definitions aligned with
project needs
- Establish contract
management system
- Ensure contract alignment
between project teams
- Define standard approaches
to contracts, pricing,
administration and claims,
contract performance
monitoring and enforcement
PROCUREMENT
OPTIONS
IDENTIFY, MANAGE
& MITIGATE
ESTABLISHMENT LIFECYCLE
APPROACH
SCOPE MATERIAL
MANAGEMENT
MANAGING
SUPPLIERS
RISK: Project not being realised due to
inappropriate procurement and contractual
arrangement
MITIGATION: Clearly outline accountabilities
for all delivery packages of the GWS Airport.
AIRPORT
AUTHORITY
WESTERN SYDNEY AIRPORT ALLIANCE
TECHNICAL ADVISORS
FLYGREATER
DELIVERY CORPORATION
OPERATIORS
CONTRACTORS
FINANCIERSCOMMUNITY
LIASON
LEGAL
FINANCE
DESIGNERS
ENVIRONMENTAL
PLANNERS
WESTERN SYDNEY
COMMUNITY FORUM
SYDNEY & NSW BUSINESS
CHAMBERS
UNIONS: NSW, AUSTRALIAN
WORKERS (AWU) &
CONSTRUCTION (CEMEU)
NARELIAN, CAMPBELLTOWN
& LIVERPOOL CHAMBER OF
COMMERCE
GROUP TRAINING
ASSOCIATION OF NSW & ACT
REGIONAL DEVELOPMENTS
AUSTRALIA SYDNEY
HOLROYD CITY COUNCIL
CONSULT AUSTRALIA
ADVISORS
BARRY MURPHY &
BOB MEYER
SHAREHOLDERS
TRANSPORT BODIES
- ROAD
- RAIL
- BUS
RETAILERS
HOTEL
SERVICE PROVIDERS
(E.G VALET, MECHANICS)
CATERING
CUSTOMERS
(AIRLINE OPERATORS)
LOCAL
GOVERNMENT
STATE
GOVERNMENT
FEDERAL
GOVERNMENT
PROCUREMENT
METHOD
CONTRACT
TYPE
DELIVERABLE ACCOUNTABILITY
Traditional Design &
Construct
NSW road infrastructure strategy
- relocation and upgrade of road
infrastructure
-- Finance – State Government
-- Approvals – State Government
-- Delivery – Local Government
Traditional Design &
Construct
Early Works - earthworks /
relocation of key services
-- Finance – Private Sector
-- Approvals –The Authority
-- Delivery – Private Sector
PPP Design &
Construct
Civil works – runways, taxiways,
remaining civil and drainage works
-- Finance – Private Sector
-- Approvals –The Authority
-- Delivery – Private Sector
PPP Design &
Construct
Airport terminal and control tower -- Finance – Private Sector
-- Approvals –The Authority
-- Delivery – Private Sector
PPP Design &
Construct
Building Structures – commercial,
retail, research and development
(R&D)
-- Finance – Private Sector
-- Approvals –The Authority
-- Delivery – Private Sector
PPP Design &
Construct
Building Structures – freight
warehouse, maintenance hangers,
catering facilities, fuel storage
tanks
-- Finance – Private Sector
-- Approvals –The Authority
-- Delivery – Private Sector
PPP Design &
Construct
Light Rail Link – GWS Airport
Station
-- Finance – State Government
-- Approvals – The Authority
-- Delivery – State Government/
Private Sector
PPP Design &
Construct
Fuel pipeline -- Finance – Federal/ Private Sector
-- Approvals – The Authority
-- Delivery – State Government/
Private Sector
PPP Design &
Construct
Heavy Rail Link – GWS Airport
Station
-- Finance – State Government
-- Approvals – The Authority
-- Delivery – State Government/
Private Sector
PPP Operation
and
Maintenance
Contracts
Airport - terminal, runway, freight
warehouse, maintenance hangers,
catering facilities, fuel storage
tanks
-- Finance – Airport Operator
-- Delivery –specialist
subcontractors overseen by
Airport Operator
PPP Maintenance Airport Terminal - Cleaning
contracts
-- Finance /operation – Airport
Operator
-- Delivery – specialist
subcontractors overseen by
Airport Operator
PPP Operation
and
Maintenance
Contracts
Building Structures – freight
warehouse, maintenance hangers,
catering facilities, fuel storage
tanks
-- Finance – Airport Operator
-- Delivery –specialist
subcontractors overseen by
Airport Operator
PPP Operation
and
Maintenance
Contracts
Building Structures – commercial,
retail, R&D
-- Finance / operation –
Leaseholders
-- Delivery – Leaseholders
overseen by Airport Operator
PPP Maintenance Grounds keeping –trees, terminal
building living roof, billabong, and
land within the airport boundaries.
-- Finance – Airport Operator
-- Delivery – specialist
subcontractors overseen by
Airport Operator
Procurement and Implementation
FlyGreater have carefully selected the procurement models during the project lifecycle, as
depicted in Table 8.1. A poorly designed delivery approach or procurement method can lead
to delay, cost overruns and diminished returns on investment. Large infrastructure projects
on average overrun cost by 27.6%¹. Examples of where large infrastructure projects have
faced challenges can be seen in Figure 8.1. FlyGreater believe a Public Private Partnership
(PPP) model that is privately funded with private sector design, finance, construction,
operation and maintenance would provide the best outcome in terms of:
-- Effective risk transfer
-- Whole of life efficiencies
-- Improved asset and service quality
-- Design innovation
-- Operational flexibility
Reinforcing the selection of a PPP procurement model, PPPs have demonstrated minor
cost and time overruns of 1.2% and 3.4% respectively compared with the Traditional projects
which on average overrun cost and time by 14.8% and 23.5% respectively² . A PPP model
was proven during the delivery of the Victorian Desalination Plant (VDP) . We will provide a
timely delivery of the airport through a comprehensive risk-based delivery approach. The
Implementation Schedule in Table 8.1 has been identified to provide the most optimal value
outcome.
PUBLIC PRIVATE
PARTNERSHIPS
Table 8.1 Implementation Schedule
Figure 8.1 Organisation Chart
¹ Delivering Large Scale Capital Projects in the Infrastructure Sector – A Baseline of Performance in Australia, Evans & Peck, November 2011
² Performance of PPPs and Traditional Procurement in Australia, Infrastructure Partnerships Australia, 2007
³ Major Projects, Major Decisions, Major Impacts – Taking a strategic approach to procurement in Australia’s large-scale capital projects, Accenture, 2013.
Figure 8.2 Project Lifecycle³
Figure 8.3 Infrastructure examples of historical
problems on some large infrastructure projects
PG 8GROW WANDER SUSTAIN: GWS
Sustainability and Environmental Enhancements
FlyGreater are proposing a number of sustainable facilities to achieve the green credentials.
Visual design
The terminal building will have a living roof that blends in with
the skyline of the Blue Mountains, covered with solar panels,
water collection for harvesting and native grasses from the
region². The vegetation and earth fill will form an insulation
layer, reducing the amount of air conditioning required.
Skylights will fill the terminal with natural light, opening and
closing automatically as dictated by the ambient temperature.
Parking is anticipated to be underground to minimise the
visual obtrusion and avoid detracting from this focal point.
Construction
During construction, sustainable working practices will be
developed. Material will be sourced locally; construction
plant will use biodiesel where possible and best practices
will be applied to minimise the impact on the community and
environment.
Landscaping
We are mindful of keeping as much of the natural elements
at the site. There will be a full landscaping methodology
considered during the design – replanting any displaced
forest on/within the terminal plus maintaining, protection
and enhancing existing riparian corridors. A green belt will
be regenerated around GWS Airport, linking the cycle ways³
to newly developed mountain bike tracks and providing
connection to the wider Blue Mountains off road trails.
Green energy & recycling
A number of green energy generation facilities are proposed,
most notably being the “Tri-generation on-site energy
generator” in which bio-gas and black-water is recycled.
This method of recycling will be linked to the research and
development facilities comprising the “innovation hubs”
further linking educational institutions and GWS Airport to
lead worldwide research. Storm water will be retained, treated
and reused on-site.
ENVIRONMENTAL, COMMUNITY & NOISE
The existing EIS was undertaken without a clear scope
for the airport. The document lacks details on specific
impacts and evaluation to mitigate the issues. Legal
obligations regarding environmental assessment
and the need to establish and maintain Airport
Environment Strategies (AESs) subsequently invoked
after the publication of the original EIS, now need to be
considered, including:
-- Environmental Protection and Biodiversity
Conservation Act 1999
-- Airports Act 1996 and Airports (Environment
Protection) Regulations 1997
-- The Environmental Protection (Impact of Proposals )
Act 1974
Specifically, the intent of the Airports Regulation Act is
to promote awareness of environmental issues and to
ensure that effective management systems are in place
to deal with pollution, noise from ground-based sources
and other environmental impacts that are produced
by and on airports, with a view to reducing those
environmental impacts and increasing public amenity
over time.
Consideration is also to be given to:
-- Heritage Act 1977 (NSW)
-- National Parks and Wildlife Act 1974 (NSW)
FlyGreater want the community to take a part in land planning for the future. Our long term
project objectives include providing employment and training programs to the community,
ultimately improving the prosperity, liveability and diversity for Western Sydney.
Identified Environmental Impacts
Outcomes of the current Environmental Impact, which has been address in our concept
design for GWS Airport, are summarised in Table 9.1.
Community
The community of Badgerys Creek is a major stakeholder with a spectrum of interest and
influence over the decisions and outcomes of GWS Airport. FlyGreater has a philosophy of
engaging the community through several channels:
INTEGRATION OF WESTERN SYDNEY AIRPORT COMMUNITY FORUM AND BADGERYS CREEK
COMMUNITY FORUM. Members will be invited from a broad range of people to represent the
interests of the communities surrounding GWS Airport, local councils and representatives
from the international and domestic airline industry. The aim will be to provide collated
advice and feedback to The Corporation on the abatement of aircraft noise and related
environmental issues and to facilitate information flow to the community on the Long Term
Operating Plan for GWS Airport. This will be similar to the established Sydney Airport
Community Forum¹.
DURING THE “GROW” PHASE OF GWS AIRPORT, ACTIVE COMMUNICATION WITH THE
COMMUNITY WILL BE THROUGH A PARTICIPATORY PROCESS. This will be via public
workshops to engage all members of the community and seek their views, opinion and
support on the master plan. Feedback from these sessions will directly input into the
evolving design of GWS Airport. A strong, visible communication framework will be
established early on with particular emphasis placed on when activities will be occurring.
DURING THE CONSTRUCTION STAGE, THERE WILL BE DEDICATED COMMUNITY LIAISON
OFFICERS AND THE ESTABLISHMENT OF A DEDICATED COMMUNITY LIAISON TEAM, SIMILAR
TO MUNICH AIRPORT, WHICH WILL BE A FOCAL POINT FOR INFORMATION SHARING AND
ACTIVE DIALOGUE BETWEEN THE AUTHORITY, THE CORPORATION AND THE COMMUNITY.
Ongoing communication, combined with careful construction planning will minimise
disruption to the community and noise at unsociable hours.
RISK: Community disgruntlement
MITIGATION:
-- Make information about the GWS Airport
available
-- Consult with the community about the impact of
GWS Airport
-- Encourage collaboration with the local
community regarding questions, complaints, and
information sharing
-- Establish a transparent process for recording
and analysing inputs from stakeholders in order
to incorporate these in the project planning.
PROSPERITY
-- Job creation for Western Sydney: The right
types of jobs in the right place with the focus
on education and long term employment
opportunities. These range from daily airport
maintenance to aircraft repairs and shuttle bus
drivers.
-- Engagement of TAFE and local Universities to
improve current educational programs which
are both theoretical and hands-on, catering for
the demands of a diverse range of educational
aspirations.
-- TAFE apprenticeships will be linked to the
aeronautical and mechanical industries- taking
full advantage of the proximity of the GWS Airport
to the innovation hubs.
-- Research and Development opportunities have
been identified around the adaptive reuse of
fuels, bio-mass and tri-generation plus the
ongoing impact of noise and sleep deprivation,
near airports (or otherwise).
LIVEABILITY
-- GWS Airport will support population growth
in the region. Ongoing “sprawl” will be limited
through careful planning, housing diversity and
urban planning to include green spaces and
effective use of technology.
-- Local roads and community improvements such
as public art, better bike parking and other
measures will be implemented to improve the
quality of life in Western Sydney.
-- Effective land use planning will provide the
community with space for retail, culture, social,
educational and recreational space- all on the
doorstep.
DIVERSITY
-- GWS Airport will be a legacy for the area and the
community providing a benchmark for future
development in Western Sydney.
-- GWS Airport, with its inherent links to the
community, will provide a landmark and sense of
achievement for the community as relationships
are forged and initiatives are made for long term
economic sustainability.
Table 9.1 Environmental Impacts Table
ISSUE THE IMPACT GWS AIRPORT DESIGN MITIGATION
Heritage:
Changing
the
character
of the area
-- World Heritage
Site Blue
Mountains
Biodiversity
-- Land development will be an economic
catalyst in line with the long term master plan
-- Land development will be in accordance with
statutory regulations, industry standards and
under strict environmental approvals
-- Development of an environmental and
conservation management plan
Aircraft
and ground
based
noise
-- Badgerys Creek
communities
-- Independent and updated noise
assessments. Noise amelioration initiatives
implemented
-- Revised social and economic benefit
assessment
-- No new housing within 20 Australian Noise
Exposure Forecast (ANEF) contour
Pollution -- Fuel dumping
-- Air and noise
pollution
-- Airplane crash
risk
-- Climate change
-- Soil and water
contamination
-- Mass transport innovations and a long term
improvement strategy to reduce reliance on
individual transportation
-- Fuel provisions in line with commercial
feasibility
-- Biodiesel for ground based transport
-- Active spill response
-- An Environmental Management Plan will
cover construction and operation of GWS
Airport
-- Water quality retention ponds and water
purification plants on-site
-- Energy management from innovations within
the terminal
Community -- Neighbourhood
impact and the
feeling of not
being consulted
and engaged
-- Inter- governmental organisation comprising
local, regional and federal representatives
-- Active stakeholder management
-- The programme will providing the
opportunity for stakeholder input on the
master plan throughout development and
implementation
-- Enhance the environment with riparian
corridor preservation
-- Facilitating positive change in terms of the
economy and land value
-- Provision of new health services under the
wider master plan.
Noise
GWS Airport understands the disruption and impact
noise can create and recognises this as one of the
largest community concerns.
We will mitigate noise impact on the surrounding
community using initiatives such as: Land zoning and
noise buffer areas; Quiet aircraft by the GWS Airport
customers; Steeper landing approaches and regimes;
Runway alternation; Noise insulation to existing
dwellings; Dwelling purchase and fair compensation;
and Operational modes to minimise disturbances during
the night.
The Government has already taken steps to reduce the
number of residents affected by largely protecting the
surrounding areas from incompatible residential and
urban development. The proposed runway layout will
utilise a north-east to south-west directionality which
will reduce the number of residents within the ANEF
noise contours. Figure 5 shows the ANEF noise contours
positioned over the GWS Airport concept, illustrating
how the North-West and South-West growth suburbs are
predominantly missed. The contours mainly impact the
North-East areas proposed for commercial, retail and
leisure spaces and the South-West which is proposed to
house the warehouse storage and distribution facilities.
¹ Sydney Airport Community Forum, http://sacf.infrastructure.gov.au/ (Sourced Oct 2014)
² The Living Roof, http://www.calacademy.org/academy/building/the_living_roof/ (Source Oct 2014)
³ Western Sydney Parklands, http://www.westernsydneyparklands.com.au/where-to-go/wylde-mtb-trail/
(Sourced Oct 2014)
Figure 9.1 ANEF Contours and proposed Land Uses
Source: FlyGreater
PG 9GROW WANDER SUSTAIN: GWS
COMMERCIAL VIABILITY
The diversification of income streams at GWS Airport results in less dependence on parking,
accounting for only 9% of the total revenue. This model encourages passengers to utilise
GWS Airport, and further support the retail and commercial income streams.
Commercial Viability
GWS Airport will sustain value creation through a yield driven business model integrating
active areas of economic growth in the region such as agriculture, retail, education, health,
sports and leisure under a proven ‘Aerotropolis’ model.
With a staged operational expansion, FlyGreater will create additional facilities required
to enable customers to implement a growth strategy, tailoring capital investment and
operational services to their requirements. To support passenger movements, GWS Airport
needs to meet the operational date, the functional requirements of the airlines and provide
access to the passengers.
The strength of GWS Airport comes from the diversification of its revenue streams, beyond
the conventional passenger movements and parking.
A discount rate of 11% has been used, with consideration given to:
yy Source of funds – private debt equity provides uncertainty in the availability of cash
yy Level of accuracy of costs – The costing accuracy is at concept stage, ±30%
yy Certainty of revenues - The discount rates for projects underwritten by government, for
which revenues are expected to be certain, allow for lower rates of around 7%. Private
sector projects are usually higher, 12-15%, as the private sector has higher costs of funds
than government.
The preferred PPP delivery has the benefit of revenue being underwritten, but funding will
be private sector.
Revenue costs are staggered to ensure that incomes reflect the realistic uptake of tenancy
leases and visitor spending.
The current modelling results in a Net Present Value of $64m. No sensitivity analysis has
been applied to the Lifecycle Costing at this stage.
Other Income Streams
Car parking at airports is a well know revenue generator. Car parking prices at airports
reflects the costs of the service, the convenience and amenity associated with the facility;
demand management strategies and the opportunity cost of the land¹. The single largest
revenue source (at U.S. airports) is usually public parking, representing approximately 25%
of all airport revenues and more than 40% of non-airline revenues, as shown in Figure 10.3
RISK: The operation of the airport is not a
profitable venture
MITIGATION: Diversify income streams and
invest capital when the cost-benefit analysis
shows it is efficient.
RISK: The uptake of retail space leaves
shops vacant.
MITIGATION: Varied uses for different areas
of GWS airport. Key tenants consulted in the
design to ensure that required layouts and
features are achieved.
CONSTRUCTION COSTS
OPERATION AND
MAINTENANCE COSTS
REVENUE STREAMS
$1.3b Terminal
$2.3b Airport Operations
$50m Sustainable Innovations
$1.7b Intermodal, Access and
Movements
$320m Tourism and
Hospitality
$17b Terminal
$7.6b Airport Operations
$400m Sustainable
Innovations
$895m Intermodal
$800m Access and Movements
$205m Tourism and
Hospitality
$38b Retail and Commercial
$10b Airport Operations
$379m Sustainable
Innovations
$5.7b Parking
$4b Access and Movements
$2.5b Tourism and Hospitality
$2.5b Freight and Logistics
Figure 10.1 GWS Airport return on investment - shows the cash flow profile for GWS Airport for
2014 – 2067.
Table 10.2 GWS Costs and Revenues
Figure 10.3 Revenue sources at US Airports²
Construction O+M Revenue
(REAL$000,0002014/15)
$3,000
$2,500
$2,000
$1,500
$1,000
$500
$0
-$500
REDUCE UPFRONT DEBT MINIMISE FINANCIAL
RISK
ACHIEVE SUSTAINABLE
INCOME STREAMS
The staged
construction of GWS
Airport delays capital
expenditure until it is
necessary to invest in
the growth of
passenger
movements and the
associated
infrastructure for the
other revenue
streams.
Income Streams are
diversified, including:
- Retail and
commercial space
- Sports and
recreation
- Tourism facilities
- Our unique farmers
market
- Intermodal
- And on-site energy
generation for airport.
Revenue earned
throughout the
operation of GWS
Airport will be used to
reduce the level of
debt.
The cost of capital will
be delayed through
the staged
construction.
Figure 10.4 Revenue sources at GWS Airport
Total
At the ‘Bidgigal Garden’ cafes and restaurants will open onto green spaces that
will encourage visitors to meet and spend time at the airport. This provides a
place of rest for passengers and visitors and also creates a high utilisation of
the retail outlets by encouraging visitors to dwell.
The ‘Fruit bowl’ is a Flemington-style market that showcases exemplars of
New South Wales produce and will present some of Australia’s manufacturing
techniques. Produce is available for consumption and purchase by passengers
and visitors alike. This also serves as an opportunity for providores to sell their
wares duty free; produce that is samples land side of the airport can be ordered
and picked up export ready air-side. This will be used to facilitate overnight
exports to foreign markets; The ‘Food Bowl’ becomes a hub for distribution
locally, regionally and internationally.
The retail areas of GWS Airport serve not only to provide passengers and visitors
with essential services, but to provide economic opportunities to local business
owners. Retail areas will include local goods, art and homewares, as well as
the standard fashion, electronics and beauty. The retail and commercial areas
of the airport will generate revenue of $38b over the anticipated duration of the
master plan. The uptake of retail spaces will determine the rate at which this
revenue is achieved.
The tourism and hospitality precinct provides accommodation for passengers,
as well as a source of local employment. Located within the airport boundary
and in close proximity to the terminal, this option will provide convenience for
regional and international passengers for transit and short stay options.
The Tourism Precinct will generate revenue of $2.5b, through a long term
operating lease. The construction of the Tourism Precinct is staged to ensure
that capital outlay is delayed until expansion is required to meet the predicted
demand.
The freight and logistics hub supports the export of local produce from the Food
Bowl and farmers market to the domestic and international markets.
The inclusion of sustainable innovations serves the purpose of reducing GWS
Airport’s carbon footprint, whilst also resulting in a reduction of operating costs
of $379m through generated energy and water re-use.
Southern Cross Airports Corporation Holdings Limited (SCACH) has an option until June
2032 on first right of refusal to develop and operate any additional airport within Greater
Sydney.
FlyGreater’s vision for GWS Airport is to operate as a direct competitor to the existing
Kingsford-Smith Airport to assure service levels for Greater Western Sydney. If operated
under a collaborative approach, we suggest a robust regulatory framework to prevent
cross-subsidisation and ensure ring-fencing delivers the best outcomes for the broader
community.
¹ Car Parking & Ground Transport Access, Chapter 11, http://www.pc.gov.au/__data/assets/pdf_file/0018/114660/14-airport-regulation-
chapter11.pdf (Sourced: September 2014)
² Guidebook for evaluating airport parking strategies and supporting technologies, Airport Cooperative Research Program, October 2009
PG 10GROW WANDER SUSTAIN: GWS
AIRPORT OPERATIONS
Operational Date
Population is expected to grow in Western Sydney from 2 million to 4 million by 2051 as
shown in Figure 11.1, increasing the demand for aircraft transportation. The Western
Sydney Airport Alliance believes that by 2027 demand will exceed supply- in the order 100
flights per day of unmet demand¹. It is essential that GWS Airport is operable by 2027 to
accommodate the future needs of Western Sydney. In order to achieve this key milestone,
planning must commence now.
Population growth also translates to a growth in the workforce of Western Sydney. In 2006
there was an employment deficit in Western Sydney resulting in 183,000 commuting to
Eastern Sydney for work. If the Draft Metropolitan Strategy for Sydney projections are
extrapolated through to 2051, the job deficit of Western Sydney will increase to 406,000 jobs.
This would result in an increase of 2.2 times the existing transport demand on the M2, M4
and M5 (and all regional roads) and the Western Line, Bankstown Line, Cumberland Line,
Airport and East Hills Line and the Inner West Line. Employment-generating projects such
as GWS Airport and those contained within the CEC will rebalance this deficit and match the
jobs to the workforce of Western Sydney.
Primary Runway
GWS Airport is designed to handle a diverse array of aircraft from its first day of operation
to encourage customer takeup of gates. This is achieved by initially constructing the
4000m long runway, opening revenue streams and enticing a variety of airlines and freight
operators. Whilst this longer runway will lead to higher initial capital outlay, the benefits
from commercial competition will outweigh the cost.
Final Runway Layout
When the final phase of GWS Airport is completed and operations commence on the third
crosswind runway, the airport will consist of an efficiently planned and designed runway
layout, enabling the safe operation of aircraft through all meteorological conditions and at
all hours of the day. The two major runways (4000m and 3000m) are parallel in configuration
with the spacing between them allowing continuous independent operation. The third
crosswind runway (the last to be constructed), provides an alternative landing path for
smaller aircraft during inclement weather conditions.
FlyGreater has made provision for run-up aprons, adjacent to the ends of the parallel
runways. This will allow aircrafts to take off closer together increasing the capacity of the
airport, further increasing revenue potential.
Taxiways
Taxiways have been designed to reduce taxing time, allowing more flights to land and take
off per hour. This is achieved by providing twin parallel, one-way, taxiways adjacent to each
runway allowing bi-directional movement around the airport. This configuration is similar
to that provided at Hong Kong International Airport. Taxiway routes have been designed to
provide the shortest practicable distance from the terminal area to the ends of runways for
take-off. This is assisted by a centrally placed terminal adjacent to all three runways.
An exit taxiway with geometry designed to permit higher turnoff speeds is provided to
reduce the time that a landing aircraft occupies the runway. Taxiways have been arranged so
that there is limited interference between aircraft movements.
The efficient design of the taxiway system means customers will undergo less taxiing time,
improving their experience and encouraging repeat use of GWS Airport.
Terminal
A lasting impression for passengers and visitors is created by the terminal functionality,
layout and design. To this end FlyGreater have designed GWS Airport with the users in mind.
Aesthetically, the terminal building will limit the visual impact of GWS Airport to the region
and provide a landmark for Western Sydney.
The terminal will be multilevel to assist in separating arrivals and departures. International
and domestic gates will be separated into two wings that will maximise the ratio of
perimeter to volume, increasing the number of gates.
1961
1966
1971
1976
1981
1986
1991
1996
2001
2006
2011
2016
2021
2026
2031
2036
2041
2046
2051
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
Population
Sydney Region
1.15%
1.88%
0.42%
Western Sydney
Eastern Sydney
Central Coast
WESTERN
SYDNEY
183,000
EASTERN
SYDNEYWEST TO EAST
WESTERN
SYDNEY
406,000
EASTERN
SYDNEYWEST TO EAST
Figure 11.1 - Western Sydney and the
Regions of Sydney
Figure 11.2 - Population Growth of Western Sydney and the Regions of Sydney
Figure 11.3 - Commuters from Western Sydney
to Eastern Sydney 2006 Figure 11.4 - GWS Airport Final Phase Master Plan
Figure 11.5 - GWS Airport Terminal Design demonstrating shared arrivals/departure halls, retailing facilities, and transport interchange.
Source: FlyGreater
Figure 11.4 - Commuters from Western Sydney
to Eastern Sydney 2051
¹ Building Badgerys: The next steps towards a Western Sydney Airport, Western Sydney Airport Alliance, 2013.
PG 11GROW WANDER SUSTAIN: GWS
AIRPORT OPERATIONS
Land Acquisition
To ensure the most economically viable option is developed, a crosswind runway is
necessary. Construction of this runway will require the acquisition of 400 hectares of
additional land as shown in Figure 12.2.
This will need to be addressed early in the planning stage so that consultation and legal
activities can be undertaken as soon as possible. This is for two reasons:
1. The economic costs associated with delaying this process (i.e. land prices)
2. The risk of natural growth of the area seeing more residents and business settle which
will significantly increase constraints and likely strengthen the barriers against future
airport growth.
By carrying out the ground work early, we will ensure the land can be purchased at today’s
prices and not at inflated prices in the future. Added benefits from addition land include:
yy Helping expand the noise buffer between airport operations and the surrounding
community
yy Providing additional area to diversify revenue streams such as expanding retail area and
hotel facilities
yy Providing a greater flexibility in the layout of the airport facilities.
Freight Facilities
Freight is located at south west end of the airport which has a number of key advantages:
yy Reduces congestion in and out of the airport for freight operators, passengers and
visitors.
yy On-site freight handling facilities have direct access to the airport taxiway system
increasing the speed at which operations can load and offload aircraft.
yy The freight facility at the airport will link directly to the proposed Logistics Hub located
across the Northern Road.
yy The South West side of the airport has direct links to the Northern Road and the M7. This
will remove freight trucks from local roads reducing community impact. This will provide
a link from air to road transport from Sydney to Newcastle and Wollongong or other parts
of the state via the Outer Sydney Orbital.
Fuel
Fuel will be tank-truck delivered into the airport during the first phase of operation when
the number of aircraft movements per day does not warrant the construction of a pipeline.
As the number of daily aircraft movements increase, a fuel pipeline will be required. The
pipeline will provide a constant source of fuel to service the airport, which will be cheaper
and more efficient.
Whilst the construction of the pipeline is not immediate, The Corporation will need to secure
the fuel corridor. Early action will produce fewer complications in the future when the
surrounding land may be more developed.
The proposed concept corridor is shown in the below Figure 12.1. Currently, Sydney’s
Kurnell Refinery sends fuel to Newcastle via a pipeline from Kurnell to Plumpton.
FlyGreater propose that a new pipeline be constructed from Plumpton to Badgerys Creek
Airport which is approximately 28 kilometres to the south west of Plumpton. The refinery at
Kurnell is planned to be decommissioned in October 2014 and replaced with a major import
terminal. This should not impact the design and construction of the proposed pipeline, as
fuel flushing will be utilised in the on-site tri-generation facility.
RISK: Fuel trucks create concern within the
community given the number of tankers on
Sydney Roads per day
MITIGATION: Fuel service entry positioned
adjacent to the M7 will ensure the tankers
remain off the local roads.
RISK: Energy produced from the natural
energy sources does not meet airport
operations demand.
MITIGATION: Connect the airport to the
grid for use during these times, particularly
important during the night. Provide essential
emergency and operational elements such
as the control tower and runway approach
lighting with appropriate backup systems in
the case of grid failure, such as generators.
PLUMPTON
GWS AIRPORT
FUEL PIPELINE
COMMONWEALTH LAND
ACQUISITION LAND
FOR CROSSWIND
RUNWAY
ACQUISITION LAND
FOR BIO-BANK
Figure 12.2 - Commonwealth Land and potential acquisition-sites for GWS Airport.
Figure 12.1 - Possible fuel pipeline extension from Plumpton to GWS Airport.
Emergency Services
Emergency Service Stations will be located adjacent to each parallel runway. This will
provide direct, fast access to the runways and taxiways in emergency situations. These
stations will house emergency vehicles and personnel, including fire trucks.
The terminal itself will also house facilities for trained emergency staff 24/7.
Passenger Movements
GWS Airport will need to meet an expected 3m pax in 2027, equating to 82,600 aircraft
movements requiring a minimum of 8 gates. In 2047 9m pax will equating to 93,000 aircraft
movements requiring 16 gates. In 2067 30m pax will equating to 280,000 aircraft movements
requiring 32 gates.
Airline Operators
The success of GWS Airport is dependent on customers (the airline operators) choosing to
gate at GWS Airport. FlyGreater have planned for diverse aircraft types and flight durations
to increase competition. The terminal layout allows for contracting of both premium and
budget gates to suit a range of operating strategies.
Curfew 24/7 Operations
We will provide optimum conditions with diverse businesses and operating models by
enabling airlines to operate at GWS Airport 24hours 7days. This will generate economic
opportunity, balanced with community expectations, taking advantage of the pre-planned
zoning strategy implemented by the local government.
Aircraft Catering
On-site catering services will be available to the customers to increase the efficiency of
the airport terminal operations. A catering and food preparation area can be located within
the airport land. Having an on-site catering service connected to Sydney’s South West food
industry will remove the need for double handling (farm to preparation facility and then
preparation facility to airport storage). The on-site food preparation and storage facility will
have direct access to the taxiways to enable quick delivery of catering required for all types
of flights.
Maintenance
The maintenance hangar will be strategically located towards the South West corner of the
site near the freight facility. Materials and supply can be transported to site from the access
gate, avoiding public access, thereby reducing congestion. It is located close to the runways
to minimise aircraft taxi distances.
Power, Water, Communications Systems
The majority of essential services and relocation of existing services, such as electricity
distribution, sewage, gas and communications, will be constructed as a part of the early
works package.
RISK: Emergencies, such as fire, pose
significant health and safety consequences
and financial implications to Customers and
the Operator.
MITIGATION: Provide adequate facilities
located adjacent to the runways and in the
terminal to provide a quick response.
RISK: Airline customers choosing not to
gate at GWS Airport. This has significant
financial implications on the feasibility of the
airport. Without the customers, the airport
will lose a significant portion of the revenue
earning capacity.
MITIGATION: Early planning and customer
engagement to ensure demand for GWS
Airport is high. FlyGreater also suggests that
the Airport operator provides concessions
on customer gate access fees for the first
two years of operation to encourage airlines
to consistently provide services from GWS
Airport. From the moment of opening, this
will create an image and feeling of a lively
and an inhabited airport.
PG 12GROW WANDER SUSTAIN: GWS
team-2---flygreater---fnbl-design-report-(email)
team-2---flygreater---fnbl-design-report-(email)
team-2---flygreater---fnbl-design-report-(email)

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team-2---flygreater---fnbl-design-report-(email)

  • 1. EXECUTIVE SUMMARY Our vision for the Greater Western Sydney (GWS) Airport is to promote economic growth and diversity in the Western Sydney Region. This will be achieved by creating a gateway connecting the world to the natural, cultural and historical wonders that Greater Western Sydney and Australia have to offer by delivery of a sustainable first-class airport. In developing the concept for GWS Airport, three options were considered. These options were assessed against their environmental impacts, benefit to the community and commercial viability. Option A was rejected due to limitations on airport operations: the lack of a cross runway would prevent flights from being able to land in adverse weather conditions. Option C proved unfavourable because of the high noise impacts and excessive land acquisitions requirements. After thorough assessment, Option B encompassed the most viable qualities: low noise impact on the community; operational flexibility in all meteorological conditions; and reduced land acquisition. GWS Airport will evolve through three key phases over its lifecycle. The first and arguably the most important phase, is the period of Growth where GWS Airport will establish itself as the centrepiece of the economic and social heart of Sydney for all to enjoy and benefit from. GWS Airport will become the nucleus of the region encouraging the development of the adjacent areas which will thrive off its success. From a broader perspective, the east-west green corridor will link the Western Sydney Parklands, the proposed Sports and Recreation Precinct including a new 30,000 seat stadium for Western Sydney, the green belt around the airport and the environmental facilities to the foothills of the World Heritage Listed Blue Mountains. Customers and passengers will access the terminal via Elizabeth Parkway, a tree-lined boulevard, representative of the Cumberland Plain, providing a unique and memorable arrival to the airport. PHASE 1 - GROW The first phase will involve the majority of the planning, consultation, design and construction works. The establishment of an Airport Authority to drive the concept through legislative barriers shall be formed as early as possible. This will coincide with the establishment of an Airport Delivery Corporation which will charged with the timely delivery of the project. By 2027, this phase will see GWS Airport operational, comprising of a 4000-metre north-east to south-west runway with 16 gates at the terminal. The initial layout will include key infrastructure elements, multi-level multi- modal rapid transport, a hotel and convention centre, greenspace, retail facilities and logistics hub. PHASE 2 - WANDER This phase will see a second 3000-metre parallel runway operational by 2047 with 8 additional gates at the terminal. A fuel pipeline will be built to support the increased fuel needs of the airport. Airport income will be supplemented with additional hotel and tourism facilities. Additional transport links will allow for increased passenger movements with the opening of a heavy rail station. PHASE 3 - SUSTAIN By 2057 a third 2600-metre crosswind runway will be operational with 8 additional gates at the terminal, making 32 gates in total. This phase will include the completion of a light rail link and the Outer Sydney Orbital to ensure transport to and from the airport remains flexible as the airport reaches maximum passenger movements. FlyGreater Lachlan Stuart Abercrombie Mathew Craig Carter Johana Jehasnelly Fragozo Rebecca Victoria Main Abbie Marjolyn Tipping
  • 2. CONTENTS EXECUTIVE SUMMARY PG 1 BACKGROUND PG 2 VISION PG 2 MASTER PLAN PG 3 KEY STAKEHOLDERS PG 4 KEY REQUIREMENTS PG 4 OPTIONS ANALYSIS PG 5 PROGRAMME PG 5 STAGING PG 6 RISK ASSESSMENT PG 7 DELIVERY PG 8 PROCUREMENT + IMPLEMENTATION PG 8 ENVIRONMENT PG 9 COMMUNITY PG 9 NOISE PG 9 COMMERCIAL VIABILITY PG 10 REVENUE STREAMS PG 10 AIRPORT OPERATIONS PG 11 AIRPORT OPERATIONS PG 12 PUBLIC TRANSPORT PG 13 ROADS + ACCESS PG 13 PARKING PG 14 THE GWS AIRPORT EXPERIENCE PG 15 VISION Our vision for GWS Airport is to promote economic growth in the Western Sydney Region and to serve as a gateway connecting the world to the natural, cultural, artistic and historical wonders that GWS and Australia have to offer. We have focused our efforts on the design and detail of the airport itself and considered in significant detail the wider development strategy and master plan for the surrounding area. The development of GWS Airport represents a remarkable opportunity to deliver a world-class, integrated, sustainable new Airport City which will enable the growing population of Great Western Sydney to live, work, learn, shop, play and travel in a socially, environmentally and economically sustainable way. GWS Airport will provide opportunities for growth and diversification of the Western Sydney economy, creating tailored jobs closer to home for the growing population in Western Sydney. GWS Airport will provide an ‘Australian Experience’ with green spaces showcasing native plant species and a Billabong to provide passengers with encounters with nature to lighten the stress from a long journey or visitors with a day of recreation. We will embed our nation’s culture in the ‘Food Bowl’ by incorporating spaces to display fresh produce, exquisite cuisine, fine wine and our arts and crafts. Dedicated retail and leisure areas, along with the adjacent new Western Sydney stadium will welcome domestic and international passengers and cater for the needs of the local community. BACKGROUND Sydney’s second airport was first envisioned by the Government around 1946 when it was recognised that future demand would exceed the capacity of the existing airport. The need and feasibility has been deliberated ever since, until now. On 15 April 2014, the Prime Minister of Australia, Tony Abbott, announced: “Badgerys Creek will be Sydney’s Second Airport; it will be an Airport for Western Sydney”. Planning and design will need to start immediately in order to meet population growth and aviation demand. We, FlyGreater are a diverse team of experienced professionals who understand the local environment and stakeholders, are knowledgeable of the area, and are familiar with the critical issues and drivers that influence the success of a project of this nature, size and complexity. As an aspiring candidate for the concept design of GWS Airport, we understand Western Sydney Airport Alliance’s need for creative ideas to realise this dream. This concept proposal delivers imaginative, yet realistic and functional ideas that will ultimately help drive forward the successful development of GWS Airport and provide the facilitator of growth that we envisage it to be. ARTISTS IMPRESSION: GWS AIRPORT LOOKING SOUTH WEST SOURCE: FLYGREATER COVER IMAGE: ARTISTS IMPRESSION: GWS AIRPORT LOOKING NORTH WEST SOURCE: FLYGREATER FlyGreater PG 2GROW WANDER SUSTAIN: GWS
  • 3. CUMBERLAND ECONOMIC CORRIDOR The GWS Airport project will be a transformative city-shaping project, providing a once in a generation opportunity to fully integrate land use, transport and infrastructure planning within Sydney. Investment in the GWS Airport will drive a diversified, competitive and sustainable economy, generating substantial economic, social and environmental benefits for Western Sydney. The delivery of GWS Airport is an opportunity to comprehensively plan for a new economic corridor for Western Sydney extending from Penrith in the North to Campbelltown in the South, anchored by the GWS Airport at Badgerys Creek. This new economic corridor, identified as ‘The Cumberland Economic Corridor’ (CEC) promotes synergistic development to maximise the benefits of major infrastructure investment and deliver, educational, employment and housing growth in line with the Draft Metropolitan Strategy for Sydney to 2031. The CEC will incorporate the key developments of GWS Airport, Western Sydney Employment Area and the Outer Sydney Orbital, offering certainty to investors and an identity to residents. Realisation of the full potential of GWS Airport and the wider CEC requires an integrated land use and transport plan- initiated through this Master Plan and developed in the future at a more detailed level through the Precinct Plans. GWS Airport Badgery’s Creek Hospital Sydney Science Park Nepean Hospital Campbelltown Hospital UWS Badgery’s Creek University of Sydney Bringelly University of Sydney Cobbitty UWS Penrith UWS Campbelltown UWS Werrington GWS Sport + Recreation PENRITH BADGERYS CREEK CAMPBELLTOWN This Master Plan has originated from a broad vision of a Garden Airport City: –– AN AIRPORT CITY: to introduce vibrancy and activity to the broader CEC as a key destination for living, working, education, tourism, and recreation by providing multiple and related facilities. –– A GARDEN CITY: to continue the established relationship with the natural elements. A series of green valleys and waterways will meander through the natural landform facilitating movement corridors between key destinations and attractions and provide transitional buffer zones between conflicting uses. THE MASTER PLAN This Master Plan will: –– Assist stakeholders and Government in understanding the role, positioning and character of GWS Airport City. –– Provide a clear direction for development of both the public domain and individual districts whilst maintaining the overall vision for GWS Airport City. –– Assist approval bodies in the consideration of the planning applications and aid developers in the preparation of relevant material. –– Continue efforts to establish GWS Airport and the CEC as a sustainable, world class, corporate, recreation and leisure destination. To enable the realisation of the Master Plan vision, it is important to understand how the site may evolve over time and what shape and form it may resemble at different periods of development. The Master Plan is formulated on a principle of flexible staging which allows an efficient and effective evolution of development. This staged rollout will allow the site to evolve in line with the overall vision for GWS Airport City. Through this incremental and considered approach, each individual sub-community is effectively self-contained allowing for socially, economically and environmentally sustainable redevelopment to occur. A staged approach based on the delivery of complete precincts of activity and neighbourhoods will allow development to be efficiently managed. While a certain level of function will be provided within neighbourhoods and localities of similar uses, clustering into precincts allows for the creation of focal points, housing shared services, retail and activities for wider communities. Figure 3.1: Cumberland Economic Corridor Figure 3.2: GWS Airport City Master Plan MASTER PLAN ¹ Multibillion science precinct proposed for GWS, http://www.accessnews.com.au/sector/regional-development/initiatives/ item/737-multibillion-science-precinct-proposed-for-gws, sourced: 4th October 2014 A healthy city is a desirable city and the GWS Airport City, a combination of CEC and GWS Airport, aims to be one of the healthiest areas in Australia. This will be achieved through a combination of health-oriented master planning, encouraging active modes of transport and walkable neighbourhoods, and a collocated ‘Health and Education Precinct’ to foster the theory and practice of healthy methods of living. The Precinct is strategically located between the ‘Major Centre’ and the Science Park and incorporates a Level 5 Hospital, UWS technical campus, TAFE college and a technical high school to leverage off the symbiotic relationships between such learning institutions. Required regional-scale health care facilities are consolidated into this precinct to establish a relationship with biomedical, health and technology related businesses and educational opportunities. There is also the potential to establish health-tourism related uses in this precinct, given the attractive natural setting provided for recuperation and rest, day spas and meditation retreats, with immediate access to GWS Airport. The ‘Sports and Recreation Precinct’ will provide a new 30,000 seat stadium, multi-purpose indoor arena, outdoor courts and fields, plus a network of recreational trails. This precinct thrives on the direct access to GWS Airport, providing a new gateway for local, interstate and international teams across a wide variety of sports. Beyond the green belt, peripheral activity centres include the GWS Business Park, Health and Education Hub and the Sydney Science Park, all which benefit from immediate access to the ‘Major Centre’ and GWS Airport. The location and amenity provided within the landscaped surrounds of the Business Park will compliment and accelerate the expansion and the delivery of the CEC and GWS Airport. The ‘Business Park’ will be home to a number of new skill-intensive and high-value employment-generating uses such as high-tech, biomedical, aerospace and information technology related industries. These industries will have a strong relationship to the existing and growing education, transport and commercial sectors. The Sydney ‘Science Park’ will be a “multi-billion dollar research and development centre specialising in the food, health and energy sectors”¹. The Science Park has direct links to the educational institutions and will use the ‘Food Bowl’ within GWS Airport as a dynamic space to exhibit food and health research it is undertaking. Elizabeth Parkway is a tree-lined boulevard, representative of the Cumberland Plain, and provides a unique and memorable arrival to the airport similar to the rain trees which line the East Coast Parkway on the arrival to Changi Airport in Singapore. To the North West (within the Western Sydney Employment Area), a cluster of innovation and industry parks will be located. These areas will provide facilities for light manufacturing, incubator industries, start-up businesses and critical urban services, all strengthened by access to the GWS Airport, Outer Sydney Orbital and the M7 Motorway network. These activity precincts sit on edges of preserved natural valleys – the central feature of the CEC – which extends from south to the north, starting out as slender green fingers of riparian corridors and opening up as expansive regional gardens and recreational spaces. Unlike traditional parklands, which serve either a singular aesthetic, active or passive recreational use, the vision is anchored upon a multi- purpose green network that serves as a: natural valley and drainage corridor; passive relaxation space; active recreation space; movement corridors for active transport; distinct tourist attractions; conservation areas and natural forests. The Intermodal Hub will be the new multi-modal freight transfer facility for the eastern seaboard. It will cater for road-rail-air transfers complementing and relieving the current road-rail-air-sea facility at Port Botany. The Intermodal Hub located at the south-western edge of GWS Airport will separate passenger and freight movement, provide direct access to the eastern seaboard via the Outer Sydney Orbital and allow efficient linkage with the new dedicated freight line. Strategically located in the heart of the central core, the ‘Tourism Precinct’ accommodates a number of hotels to cater for a variety of passengers. The number of different tourism products will ensure that this precinct is well occupied year round by a diverse array of people, from international business travellers, local and south-east Asian family holiday-makers, tourists related to a special sporting event or calendar festivals, gastro-tourists exploring the traditional “Food- Bowl of Australia” or those forming part of the growing health-tourism industry. The ‘Major Centre’ will serve as an essential service, retail and civic destination for the working and residential population of the corridor; providing an estimated 10,000 jobs in the commercial, retail and services sectors. The ‘Logistics Hub’ will be promoted as a precinct in which freight handling, light manufacturing and logistics will be located with a strong relationship to GWS Airport, the Intermodal Hub and the Outer Sydney Orbital. The proximity of the airport and the dedicated access to transport networks make this precinct the ideal location for low density, clean logistics and manufacturing uses. In addition, this precinct will accommodate large retail destinations such as hypermarkets, malls and big box outlets to boost retail expenditure by supporting the intensification of GWS Airport as a retail hub. The landscape surrounding the central core comprise the east-west extension of the Western Sydney Parklands, providing a green belt around the airport, linking to the foothills of the World Heritage listed Blue Mountains National Park. A ‘bio-bank’ will be provided on approximately 400 Hectares of land to the west of GWS Airport as a means of generating ‘biodiversity credits’ to offset the environmental impact from developing land for the airport. The bio- bank will comprise of preserved and restored natural landscapes, riparian corridors and replanting species of the Cumberland Plain Woodland. Supported by a network of detention basins, which capture, treat and re-use stormwater run-off from GWS Airport, and a field of solar arrays to generate renewable energy for GWS Airport and surrounding developments. PG 3GROW WANDER SUSTAIN: GWS
  • 4. KEY STAKEHOLDERS, KEY REQUIREMENTS RISK: Managing the competing interests of the investors and the beneficiaries. For the investors, a successful project will be one that achieves the key project objectives, mainly a return on investment. The measures of success are likely to be quantifiable – a project, delivered within a fixed timeframe and a fixed budget. For the beneficiaries, a successful project will be one that offers the community hope in a better future. The measures of success are likely to be qualitative and harder to measure – the degree to which people feel they have made their own decisions about matters is important to them. MITIGATION: Successful management of potentially competing interests. Risk mitigation will be achieved by determining what a successful project outcome means at the beginning of the project, for each respective group and bring these stakeholders together to agree a common definition of success. Discussing what success means and how this can be measured will be the first step in establishing a relationship that endures beyond the project lifecycle³. KEY REQUIREMENTS FlyGreater has identified the following ‘key requirements’ to direct the development of the airport concept design; guiding both the options analysis and the associated risk mitigation. Environmental EIS, EIA The original Environmental Impact Statement (EIS), prepared in accordance with the Environmental Protection Act 1974 was written in 1985. Subsequent revisions occurred in 1997 after public review of the draft EIS and acknowledgement of some 15,600 comments. The final EIS (and current version) for the Badgerys Creek site is dated June 1999. Shortcomings have been identified with the environmental assessments- notably, the legislation has changed and the area has altered in character. A new environmental statement (and associated environmental assessment) is required to provide a holistic and well managed world class airport. GWS Airport will be considered as part of the overall strategy to improve transport and employment in Greater Western Sydney, acting as a catalyst for prosperity but with an underpinning philosophy of flora and fauna biodiversity preservation, protection, environmental enhancement and long term management. SUSTAINABILITY Whilst not a specific requirement, GWS Airport seeks to be a sustainable airport, with a six star green star rating and the world’s first certified carbon neutral airport. Community COMMUNITY ACCEPTANCE / SUPPORT Development of the airport will require close consultation with the community to ensure that the community supports, and at a minimum accepts, its construction and future operation. This will be an ongoing process throughout the airports life; however, development of a framework and significant effort into the consultation will be required by 2022 to ensure that the airport is constructed without unimpeded progress and is successful as a commercial entity. NOISE The development of the airport will need to minimise the impacts of aircraft noise on the surrounding community in so far as possible. Commercial Viability OPERATIONAL DATE GWS Airport will need to be operational by 2027⁴. PASSENGER MOVEMENTS GWS Airport will need to meet an expected 3m passengers per annum (pax) in 2027, increasing to 9m pax in 2047 and anticipated to reach 30m pax in 2067⁴. RUNWAYS The runway will need to support the operation of aircraft to provide sufficient competition from the airlines bidding for gates at the terminal. The staged construction of the runways will need to support the plane movements required to meet expected passenger movements. LAND ACQUISITION The Lands Acquisition Act 1989 provides specific powers to the Commonwealth Government to acquire interest in land. FlyGreater has identified that an additional 400 hectares of land will need to be purchased for the provision of the crosswind runway. This process has the potential to be time consuming⁵. Previous land acquisitions have taken three to five years . Any development of the airport on land not yet acquired may potentially only commence after 2020. TERMINALS The terminal is required to process passengers according to the expected passenger movements for both domestic and international passengers. It must provide adequate security for operation. OTHER SERVICES The provision of ancillary services will be required for the airport to function, including a control tower, emergency response station, fuel provision, catering facilities, waste services, freight and logistics, aircraft maintenance/servicing and security. ACCESS To support passenger movements, GWS Airport needs access for passengers by both public transport and roads. Access for freight, maintenance, staff and catering shall also be supported. OTHER INCOME STREAMS In order to support the economic viability of GWS Airport, the development of the project will need to make provision for the diversification of income streams⁶, including retail, commercial, industrial, freight, education, innovation and research- in collaboration with local tertiary education institutions. STAKEHOLDER ENGAGEMENT Stakeholder management is critical to the successful delivery and smooth operation of GWS Airport. Engaging stakeholders in an active and participatory manner will underwrite the success of this project. FlyGreater have undertaken stakeholder analysis, as shown in Figure 1, to shape the project at an early stage with the clear objective of producing the best value for money end product that coincides with differing stakeholder views, desires and expectations. Ultimately, understanding key stakeholders, their priorities and what motivates them will help us to best engage and communicate with each unique group during the project lifecycle. By communicating early, frequently and to the correct level, using the most appropriate delivery method and allowing adequate time for information to be considered, thoughtful decisions can be planned and implemented. We will ensure that all Stakeholders are fully aware of the project benefits and how their voices will be heard. This not only ensures social accountability, necessary for a project of this magnitude but allows for a two-way knowledge exchange and much needed market research. Definitions for our stakeholders with greatest influence on the project and subject to greatest impact from the project outcomes are defined below, their key roles and responsibilities are discussed in further detail throughout this document. The contractual arrangement and degree of communication between these key stakeholders depends on the preferred procurement methods as discussed on PG8. THE STAKEHOLDERS Western Sydney Airport Alliance (The Alliance) The independent body comprised of members such as the Sydney Business Chamber, NSW Business Chamber, Western Sydney Community Forum, Unions NSW, AWU, CFMEU, Group Training Association of NSW and ACT, Regional Development Australia Sydney, Consult Australia, Royal Aeronautical Society, and the Liverpool, Narellan and Campbelltown Chambers of Commerce. The Alliance are in full support of the Federal Government’s decision to proceed with developing a Western Sydney Airport at Badgerys Creek and the accompanying commitments by the Federal and NSW Governments to build supporting road infrastructure and preserve a rail corridor for the future¹. Airport Authority (The Authority) The respective local, state and federal government body responsible for the consideration and consent of any part of the development. Airport Delivery Corporation (The Corporation) The body responsible for the overall delivery of GWS Airport and the long term custodian and operator. The Community The people of Greater Western Sydney whose lives will be impacted by GWS Airport and who will utilise GWS Airport and its facilities for work and / or recreation. The Customers The Airline operators and other businesses that will occupy GWS Airport. Passengers Users of the air travel services at GWS Airport Visitors All people that use and spend time at GWS Airport Shareholders Any stakeholder with financial investment in GWS Airport FlyGreater We are the design team consortium responsible for developing the master plan concept and the design of GWS Airport to meet: 1. The expectations of The Alliance, 2. The required approvals at all levels of governance to be managed by The Authority, 3. The needs of The Community, 4. Key risks The Corporation need to consider during planning stages. Figure 2.1 - The Stakeholder Puzzle² ¹ http://www.westernsydneyairportalliance.com.au/Home (Sourced: 30/09/2014) ² Australian Airports Association, Regional Airport Masterplanning Guideline: http://airports.asn.au/wp-content/uploads/2012/12/Regional- Airport-Master-Planning-Guideline-March-2014.pdf ³ Contribution by Kirsten McDonald, Associate Principal, Arup- assistance with understanding how to engage stakeholders in participatory planning, design and project delivery processes and on aspects of social sustainability ⁴ Sydney’s second airport – cleared for take-off?, Australian Institute of Urban Studies NSW Division, Presented David Borger, Barry Murphy & Gary Punch (Sourced 23/07/2014 ⁵ Building Badgerys: The next steps towards a Western Sydney Airport, Western Sydney airport Alliance, available from: http://www. westernsydneyairportalliance.com.au/ (Sourced: Sept 2014) ⁶ Second Airport Struggles to get off ground, Sydney Morning Herald http://www.traveller.com.au (Sourced Sept 2014) HIGH INTEREST + HIGH POWER STAKEHOLDERS: -- Federal Government -- State Government -- Local Government -- Airport Operator -- Shareholders -- Sydney Kingsford Smith Airport -- Prospective businesses/ retailers -- Prospective customers -- Research centres -- Approval bodies -- FlyGreater APPROACH: Manage Closely HOW? -- Tailored made and agreed engagement framework strategy for respective stakeholders -- Establishment of regular meetings with representatives from all interest groups to discuss commercial and programme milestones, where and when appropriate HIGH INTEREST + LOW POWER STAKEHOLDERS: -- Media (bad news) -- Interest groups / activists -- Community -- Local tertiary institutions (TAFE, UNSW) -- Local businesses -- Professional sporting organisations -- Suppliers -- Tendering contractors APPROACH: Keep Informed HOW? -- Public consultation workshops to gauge interest; engage people and gain feedback -- Ongoing communication via notice boards in medical centres, local council offices, town halls, local newspaper, letter/ leaflet drops -- Forums, questionnaires, surveys, reports and statistics -- Website (refer Crossrail London) showing environmental, health and safety, design and construction progress -- Early contractor involvement LOW INTEREST + HIGH POWER STAKEHOLDERS: -- Trade Unions -- Energy + Utility Companies -- State Government APPROACH: Keep Satisfied HOW? -- Website -- Local media publications LOW INTEREST + LOW POWER STAKEHOLDERS: -- Media (good news) -- Prospective passengers -- Prospective visitors -- Prospective airport workers -- Wider public APPROACH: Monitor HOW? -- Website -- Local media publications STAKEHOLDERPOWER STAKEHOLDER INTEREST PG 4GROW WANDER SUSTAIN: GWS
  • 5. Options analysis During the early stages of the concept development, FlyGreater studied and assessed feasible options for the Airport layout with particular attention to the orientation of the runways. These options were aligned with The Alliance’s drivers and our interpreted requirements for the GWS Airport development. FlyGreater has developed the solution, the concept level design and operational strategies by adopting the learnings from other world class airports¹. We have also drawn from other infrastructure projects in Australia and numerous discussions with construction contractors. We have developed and implemented a range of innovative, achievable approaches that can be incorporated safely and effectively into the GWS Airport delivery. Our designs are directly related to the project objectives to ensure smooth project completion with due regard for the needs of those using the facilities², as well as return on investment for shareholders. FlyGreater stands by our solutions, which are based on international best practice, rigorous study evaluations and subject matter expert input. Assessment Criteria The concept options have been assessed against the key requirements in the following order: noise and community; runways; terminals; and land acquisition. Preferred option The preferred option, Option B, was chosen primarily in response to the lower noise impact on the community as a result of the runway configuration. Compared to the Option C layout, in which 300³ existing residential homes are impacted, the preferred option impacts only 200⁴; this is based on 1997 figures which may have substantially changed since the last assessment was undertaken, as further discussed on page 9. The terminal layout was considered to be effective for all three options, and as such did not have an impact on the assessment. The crosswind runway, included in the preferred option, provides operational flexibility in response to all meteorological conditions. This provides an attractive commercial advantage over Option A, which has limited operation in adverse conditions. Whilst this has the potential to introduce noise issues, these can be mitigated by defining operations for certain times of the day and for certain types of aircraft. Such operational strategies will be developed during the detailed design phase. The crosswind runway in the preferred option requires the acquisition of an adjacent 400 hectares of land. This greatly preferred over the 1150⁵ hectares required for Option C. The scheduling and economic impacts of land acquisition can be mitigated by: -- staging construction such that the cross runway is built at a later date, meaning that land acquisition timeframe will not delay the planned construction or operation; -- making land acquisition a key component of the early program to ensure that the purchase price is fair and reasonable for all parties involved. OPTION A 1700 Hectares of Commonwealth land, based on the original runway layout developed for the Second Sydney Airport Site Selection Program Draft Environmental Impact Statement. Two parallel runways separated by 1,670m. Souther eastern runway of 4,000m and the north western runway of 3,000m. OPTION B The same configuration as Option A with two 4,000m parallel runways and an additional crosswind runway of 2,500m. Requires the acquisition of an additional 1,200 Hectares of land to the south, southwest and southeast of the site (shown dashed in Figure 5.2) OPTION C The same configuration as Option B with two 4,000m parallel runways and an additional crosswind runway of 2,500m. However the orientation of the two runways is much more north-south. Requires the acquisition of an additional 1,150 Hectares of land to the south, southwest and southeast of the site (shown dashed in Figure 5.3) Table 5.1 Options Assessment OPTION STRENGTHS WEAKNESSES ASSESSMENT OPTION A Two north east - south west parallel runways (Figure 5.1) -- Noise attenuation through existing land use zoning -- No land acquisition required -- Efficient terminal layout and location -- Omission of a crosswind runway reduces operational ability for all meteorological conditions Rejected due to operational issues OPTION B Two north east - south west parallel runways and one north west - south east crosswind runway (Figure 5) -- Noise attenuation through existing land use zoning -- Efficient terminal layout and location -- Crosswind runway provision allows for operations in response to all meteorological conditions -- Land acquisition required -- Noise impacts related to the crosswind runway Adopted OPTION C Two north -south parallel runways (Figure 6) -- Efficient terminal layout and location -- Crosswind runway provision allows for operations in response to all meteorological conditions -- Significant noise impacts on existing and future community -- Land acquisition required Rejected due to noise impacts Programme FlyGreater has developed a ‘three phase’ staging to meet the key requirements. In order to deliver an operational airport that meets the expected passenger movements of 3m pax⁶ in 2027, GWS Airport construction will need to be focused on the essential services, one runway and enough terminal space to service the passenger movements. This will allow further expansion to meet the increase movements whilst ensuring that the project is not overcapitalised. Staging the construction will also allow time for the process of land acquisition to take place without risking delays to construction. Full realisation of GWS Airport concept will be 43 years from inception. There are three distinct phases of the master plan, as identified in Figure 5.5. Ongoing community consultation and environmental, commercial and operational reviews will form subsequent phases of the development. A robust Asset Management Plan throughout the lifecycle of the project will ensure the legacy of the project. OPERATION 2014 2032 2057 2022 2027 2047 2052 2067 GROW (PHASE 1) SUSTAIN (PHASE 3) OPERATIONOPERATION *ASSET MANAGEMENT CONCEPT DESIGN FEASIBILITY DESIGN ASSESSMENTS DETAILED DESIGN PROCUREMENT Construct Review* D&C Review* D&C Review* WANDER (PHASE 2) CONCEPTDESIGN -- Establishment of The Authority, The Corporation and the funding arrangements must be completed to ensure the correct project delivery approach and forward thinking procurement. Refer to Page 8 for the delivery and procurement methodology. -- Consideration to additional land acquisition -- Establishment of a public engagement and consultation framework -- Undertaking a forward looking lifecycle orientated risk-management approach to establish the risk profile of the project -- Preparation of a new environmental impact assessment and subsequent environmental impact statement -- Holding public workshops to feed into the draft master plan FEASIBILITYAND ASSESSMENTS -- Legal reviews, including detailed contracts drafting on land acquisition (now understood to be developed for industrial use); compulsory land purchasing and review of all legislative requirements for the development. -- Finalisation of an Asset Management Plan that identifies the likely lifecycle maintenance activities and associated costs that would ensure the longevity of the airport. -- Construction of preliminary road and rail infrastructure to enable economic growth and social development in Western Sydney. In line with the NSW government plan, roads will be constructed prior to the airport. DETAILEDDESIGN ANDPROCUREMENT -- Asset owners and financiers are the key stakeholders for the design and construction phase which will include: -- Revision of the master plan with due regard for community aspirations and their feedback on the draft master plan -- Public notification and communication -- Commercial reviews and finalisation of land acquisition -- Construction of Phase 1 Essential planning stages in Phase 1 of the GWS Airport are summarised in Figure 5.6 Between 2027 to2032, we will continue to development strategic links with educational institutions (notably tertiary institutions including TAFEs and the close by University of Western Sydney), manage and engage with key stakeholders to ensure long term viability of GWS Airport. CONCEPT FEASIBILITY & ASSESSMENTS DETAILED DESIGN & PROCUREMENT 2014 2016 2020 LEGAL ASPECTS The following Legislation and Regulations are relevant to the planning and regulation of leased federal airports : • Airports Act 1996 • Airports Regulations 1997 • Airports (Building Control) Regulations 1996 • Airports (Control of On-Airport Activities) Regulations 1997 • Airports (Environment Protection) Regulations 1997 • Airports (Ownership Interests in Shares) Regulations 1996 • Airports (Protection of Airspace) Regulations 1996 • Sydney Airport Demand Management Act 1997 • Sydney Airport Demand Management Regulations 1998 • Environment Protection and Biodiversity Conservation Act 1999 (the Department of the Environment is responsible for administering this piece of legislation) 2022 CONSTRUCTION PHASE 1 Figure 5.1 Option A Figure 5.2 Option B Figure 5.3 Option C Figure 5.4 Legal Aspects⁷ Figure 5.5 Master Plan Program Figure 5.6 Key planning stages for Phase 1 GWS Airport ¹ The World’s Best Airports 2014, Forbes, http://www.forbes.com (Sourced Sept 2014) ² How Airports can achieve world class status- as viewed by Passengers and Airlines, CAP Strategic research, http://capstrategicresearch. com/Documents/cap-world-leading-airports.pdf (Sourced Sept 2014) ³ Draft EIS Second Sydney Airport Volume 1 Main Report, PPK Environment and Infrastructure Pty Ltd, 1997, Part E, Chapter 12, p.12-46, Table12.5cap-world-leading-airports.pdf (Sourced Sept 2014) ⁴ Draft EIS Second Sydney Airport Volume 1 Main Report, PPK Environment and Infrastructure Pty Ltd, 1997, Part E, Chapter 12, p.12-46, Table12.5cap-world-leading-airports.pdf (Sourced Sept 2014) ⁵ Draft EIS Second Sydney Airport Volume 1 Main Report, PPK Environment and Infrastructure Pty Ltd, 1997, Part C, Chapter 9, p.9-17 ⁶ Sydney’s second airport – cleared for take-off?, Australian Institute of Urban Studies NSW Division, Presented David Borger, Barry Murphy and Gary Punch, 23 July 2014 ⁷ Australian Government, Dept Infrastructure and Regional Planning, http://www.infrastructure.gov.au/aviation/airport/planning/ (Sourced: Sept 2014)OPTIONS ASSESSMENT + PROGRAMME PG 5GROW WANDER SUSTAIN: GWS
  • 6. STAGING PHASE 1 - AIRPORT Phase 1 will be developed to provide a fully operational airport meeting the needs of the local community, as shown in Figure 6: -- 4000m runway -- 16 gates at the terminal -- key infrastructure elements -- multi-level multi-nodal transport interchange for buses, cars, taxis -- key transport links -- car parking PHASE 1 - MASTER PLAN The first phase of realising this aspirational master plan, is the period of Growth. The east-west green corridor, links the Western Sydney Parklands, the Sports and Recreation Precinct and new 30,000 seat stadium for Western Sydney, the green belt around the airport, the bio-bank and in to the foothills of the world heritage listed Blue Mountains. Elizabeth Parkway is a tree-lined boulevard, representative of the Cumberland Plain, and provides a unique and memorable arrival to the airport, much like the rain trees which line the East Coast Parkway on the arrival to Changi Airport, Singapore. The logistics hub of Eastern Creek, the residential precincts of Leppington and the Badgerys Creek Major Centre start to emerge in-line with Phase 1 of the airport. Figure 6.4 - GWS Airport City Phase 1 Figure 6.5 - GWS Airport City Phase 2 RISKS: Overestimating revenue and growth potential will impact the later phases of development and deliver lower than expected returns after significant investment MITIGATION: Sufficient attention paid to controlling future interface risks by appropriate risk management: -- Allocate risks to the best risk owner across the lifecycle, with respect to the individual’s risk appetite. -- Adequate delivery planning, stakeholder and project management -- Adopt a realistic commercial model integrating time risk, cost risk and uncertainties. -- Adopt a procurement and contractual model to allow transparent decision making processes and to adjust incentives and penalties to drive behaviour and ongoing accountability. PHASE 2 - AIRPORT From 2032, development of the airport will be required to meet increasing passenger movements, transportation requirements and fuel consumption, as shown in Figure 7: -- fuel pipeline -- 3000m parallel runway -- additional 8 gates in the terminal -- additional hotel and tourism facilities -- logistics and warehouse hub -- opening of a Rapid Transit station. PHASE 2 - MASTER PLAN Phase 2 is where GWS starts to wander, and also starts to wonder, to dream of how special this place can really be. Innovation and Industry starts to emerge and respond to the synergies of the airport, Health and Education Hub, the GWS Business Park and the Sydney Science Park. The South West Rail Link extends to the Airport and a logistics hub springs up providing for a new distribution centre for Sydney. PHASE 3 - AIRPORT By 2057 the final construction will be completed, as the airport reaches maximum passenger movements, as shown in Figure 8: -- 2600m crosswind runway -- 8 additional gates at the terminal, providing 32 gates in total -- light rail link to ensure that transport to and from the airport remains flexible. PHASE 3 - MASTER PLAN Phase 3 - This is when GWS Airport reaches a critical phase of sustained growth. The Outer Sydney Orbital provides direct motorway access and freight rail corridor, linking GWS Airport to the entire eastern sea board. Agricultural and rural residential lands become high-value, executive housing, drawing further investment in the economy of GWS Airport. RISK: Construction activity impacts on the operational continuity during subsequent construction phases. MITIGATION: Initial design incorporates constructability of later construction phases. RISK: Ongoing asset operation and lack of maintenance results in a decaying asset base. MITIGATION: Lifecycle design at project inception will enable the correct specifications are in place to meet the service load, maintenance cycles and anticipated operating expenses. The type of contract used with outsourced O&M contractors should ensure contractually agreed KPI’s and service delivery are met. Figure 6.3 - GWS Airport City Master Plan Phase 3 Figure 6.2 - GWS Airport City Master Plan Phase 2 Figure 6.1 - GWS Airport City Master Plan Phase 1 Figure 6.6 - GWS Airport City Phase 3 PG 6GROW WANDER SUSTAIN: GWS
  • 7. Risk Mitigation Project risk management is a core element of project selection and is continuous across the entire lifecycle of the project. Many projects fail due to decisions made in the early stages of development and planning. The GWS Airport project is extremely complex, requiring a strategy which appropriately reflects the uncertainty and variety of risks. We have identified the main stages within each phase of the GWS Airport master plan and broadly covered the anticipated and emerging uncertainties using a forward looking assessment and the potential consequences (on time, cost or quality). By adopting a risk management approach, we will shape the risk profile of this project, identifying how uncertainties will be managed. Risks will be mitigated by allocating ownership to the most capable stakeholder¹. RISK ASSESSMENT PROJECT STAGE: Procurement and Contractual Design⁴,⁵ IDENTIFIED RISK CAUSE CONSEQUENCE OWNERSHIP MITIGATION Financial risk Failure of the Delivery Authority Project delayed/ abandoned Delivery Corporation FlyGreater -- Insurances to cover economic environment and potential lack of funding/ support -- Staged delivery to ensure cash injection and revenue are at sustainable levels -- Economic model with a clear business case and range of expected financial returns Financial risk Economic Downturn Reduced income generation Reputational risk Delivery Corporation FlyGreater -- Diversification of income streams through a mixture of uses on-site -- Establish the financial management plan during early phase to ensure economic viability Overall Delivery Failure in programme and budget Project delayed e.g. $600 million loss from delays to HK airport Delivery Corporation FlyGreater The Authority -- Design cognisant of constructability and early contractor engagement -- Procurement model- Contractor selection based on value to ensure quality -- Construction model- Contract type to ensure financial support, transparent penalties and incentives -- Involvement of risk taking financiers to ensure realistic commercial approach -- GWS airport forms part of a wider national strategy to enhance Western Sydney PROJECT STAGE: Construction Delivery IDENTIFIED RISK CAUSE CONSEQUENCE OWNERSHIP MITIGATION Safety and security Mismanaged construction, poor design Fatalities, harm to workers, project delays, legal implications Delivery Corporation FlyGreater -- Reduce risks in the workplace through a safety management system, construction risk assessments, task briefings etc -- Safety in design and top- down safety culture -- Contractors with proven OHS track record and experience in the field Industrial relations Misalignment between workforce and Delivery Corporation. Poor industrial relations resulting in project delays, legal implications Delivery Corporation FlyGreater -- Contractors with proven IR track record and experience in the field -- Fair working practices Environmental Risk Construction machinery, ongoing building work Noise, air and hydrological systems pollution, community impacts, flood exacerbation; impacts on flora and fauna Delivery Corporation FlyGreater -- Environmental management plan, on- going environmental assessments with suitable protection strategy (e.g. Reptile corridors through the construction- site, as implements on the M4/ M5 widening in the UK) -- Considerate construction practices (i.e. limits to construction working hours); community communication/ notification -- Comprehensive on-site capture, detention, retention, re- use of storm water Traffic and Transport Right of way to the site complicated Access to the airport and congestion on existing and future roads FlyGreater Delivery Corporation -- Provision of a staged public transport program and rights of way approvals sought early on -- Planned and thoughtful access to/ from the site to minimise disruption Unidentified utility impacts Unmapped utilities Project cost increase and delays Delivery Corporation -- Contingency plan and services investigation at early stage -- Liaison with utility companies to foster cooperative design and information capture Unexpected findings Archaeological/ protected species uncovered Project delays Delivery Corporation FlyGreater -- Sufficient upfront and ongoing assessments Contractual Risks Claims, contractor mismanagement Project cost increase and delays FlyGreater Delivery Corporation -- Interfacing with contractor regularly to minimise risks and lessen the impact later on in the project -- Regular contractor performance KPI’s measurement -- Management of financial risks by incentives, milestone payments, contractor compliance PROJECT STAGE: Selecting, Planning and Designing²,³ IDENTIFIED RISK CAUSE CONSEQUENCE OWNERSHIP MITIGATION Incorrect forecast and assumptions. Demographics, demand, prices, revenues, capital and operating expenditure uncertainty Lower than expected returns E.g. Oedo Subway Line, Tokyo- earned revenues more slowly than anticipated due to delivery delays and optimistic forecasting E.g. Clem Jones Tunnel, Brisbane- $1.67bn loss due to traffic levels below forecast FlyGreater -- Stringent reviewing procedures and division of responsibilities (risk, finance etc) -- Long term capacity usage from market research -- Economic and demographic forecasting by independent experts -- Staged reviews prior to subsequent investment at key milestones -- Plan for volatility and adverse scenarios Inaccurate cost estimate Economic situation (i.e. inflation) Underestimated budget Delivery Corporation FlyGreater -- Investigation during design phase to minimise uncertainty -- Allowance for suitable contingency in pricing (e.g. off- site material spoil) Project not fully funded Budget allocation in doubt or subject to change Project delayed or abandoned Delivery Corporation FlyGreater -- Clarification of project scope for allocation of budget -- Identification and securing of funding sources -- FlyGreater forms part of The Corporation to provide continuity with negotiations Project timeframe accelerated Political pressures Fast tracked design phase resulting in errors The Authority FlyGreater -- Communication with The Authority and Stakeholders to agree project timeframes Permit/ Approvals delays Permits expire or agency actions are delayed. Fines, penalties, project delays Delivery Corporation FlyGreater -- Early coordination of permits and identification of permit requirements. Differing site conditions Unexpected site conditions. Increased project cost and programme delay FlyGreater -- Thorough site investigations performed as part of the early works package Environmental Risk Operations and expansion of airport Detrimental impacts upon the environment: Cumberland Plain Large Land Snail, Bat population in Badgerys Creek Community Hall, Cumberland Plain Woodland and River- flat forest, riparian corridors and native fauna. Delivery Corporation FlyGreater -- Manage environmental issues -- Regular environmental action plan developed and revised -- Undertake ongoing resilience planning to balance business objectives and stakeholder interests within a holistic management framework Poor management of interface risks Lack of early stage decisions on project structure and design Cost over run E.g. HSL- Zuid High Speed Rail PPP, Netherlands- 43% cost over- run due to interface risks FlyGreater -- Research the risk appetite of developers, contractors and private investors -- Alignment of people and management on risk conscious processes Legal Risk Design/ construction not within legal framework; non- compliance with regulatory requirements, breach of contract Damage to reputation, disruption to business or operations, pecuniary loss associated with enforcement actions/ law suits. Project delays. Delivery Corporation FlyGreater -- Monitor changes in government policy and legislation -- Proactive approach, collaborative working and t reviews at key stages -- Collaboration with The Authority Human Resources Risk Insufficient supply of talent Effect on growth and hub status of GWS Airport Delivery Corporation FlyGreater -- Early consultation with business and tertiary educational facilities Design delays/ abortive work Design complexity Project delays FlyGreater -- Utilise airport design experts and local experts (e.g Barry Murphy) -- Engage stakeholders to define what success looks like Community Objection to project by community Reputational risk to image of GWS Airport. Delivery Corporation FlyGreater The Authority -- Upfront participation from key stakeholders and the community -- Early and on-going engagement to shape the project and future development PROJECT STAGE: Asset Operation⁶,⁷ IDENTIFIED RISK CAUSE CONSEQUENCE OWNERSHIP MITIGATION Safety & security Airport security targeted/ terrorism/ community discontent resulting in protests Building and content risk, visitor and passenger concern, reputational impact Delivery Corporation FlyGreater -- Ongoing review of standard operating procedures -- High end, fast tracked security systems used and maintained at the terminal -- Ongoing community notification Strategic and Operational Risks Lack of investment, Fog and wind shear concerns , continuous operations during subsequent development stages GWS Airport fails to achieve centre of international and regional aviation as planned Delivery Corporation FlyGreater -- Continuous improvements to ensure efficient and safe operations -- Optimised runway layout to allow operation in all meteorological conditions -- Programming development to allow for ongoing airport operations even during construction of Phases 2 and 3 Poor Maintenance of Facilities Lack of investment, aging facilities Reduced use, degradation of service delivery standards Delivery Corporation -- Continuous investments in facilities upgrade/replacement and monitoring of service delivery standards, operating procedures and fall back contingency plans. -- Whole Lifecycle Asset Management Plan Environmental Risk Ongoing airport operations Water quality Noise quality Flora and fauna impacts Delivery Corporation -- Management of environmental challenges incorporated in a facilities planning process -- On- going assessments and review Tenancy Overestimate of revenue streams Lack of demand for retail space Delivery Corporation FlyGreater -- Varied uses for different areas of the airport. -- Key tenants involved in the decision making process to ensure a vested interest in the project success. Reputational risk Failure to meet performance targets Poor service quality and reduction in passenger movements Delivery Corporation -- Early engagement with O&M contractors during design phase and monitoring of performance -- Forecasting techniques with ongoing monitoring and reporting -- Focus on KPIs rather than operational structure Fuel Provision Growing demand outstrips supply of fuel Operational delays, lack of customer support FlyGreater -- Provision of a fuel pipeline to be staged in line with demand Access and egress congestion Poor traffic management planning Congestion adversely impacts upon the operational efficiency of GWS Airport FlyGreater -- Multi-modal, multi-level access arrangement -- Streamlined security, integrated way finding and automated systems to avoid queues -- Subsidised public transport access and active transport encouraged through design. -- Sufficient and ongoing traffic monitoring with auxiliary lane intersections rather than signalised Selecting, Planning and Designing Procurement and Contractual Design Construction Delivery Asset Operation ¹ McKinsey working paper on risk, A risk management approach to a successful infrastructure project- initiation, financing and execution, Nov 2013 ² Why do major infrastructure projects fail?, http://blogs.crikey.com.au/ theurbanist/2010/09/02/why-do-major- infrastructure-projects-fail/ (Sourced Oct 2014) ³ Success and failure in urban transport infrastructure projects, Allport et al, May 2008, https://workspace.imperial.ac.uk/rtsc/public/ Success%20and%20Failure%20in%20Urban%20 Transport%20Infrastructure%20Projects.pdf (Sourced Oct 2014) ⁴ Economic Development Board- Major Infrastructure Funding Alternatives, PWC, July 2012, http://economicdevelopmentboardsa.com. au/wp-content/uploads/2013/07/2012_07-MajorI nfrastructureFundingAlternativesreportfinal.pdf (Sourced: Oct 2014) ⁵ Airports that never took off, Centre for Aviation, 12/08/2011, http://centreforaviation.com/ analysis/airports-that-never-took-off-56804 (Sourced: Oct 2014) ⁶ Reference made to Risk Management at Hong Kong International Airport, http:// www.hongkongairport.com/eng/pdf/media/ publication/report/11_12/E_10_Risk_ Management_Report.pdf (sourced Oct 2014) ⁷ Badgerys Creek airport will be a white elephant, The Sydney Morning Herald, 16/12/2013,http://www.smh.com.au/comment/ badgerys-creek-airport-will-be-a-white- elephant-20131215-2zf8x.html#ixzz3FVmqTA2i (Sourced Oct 2014) PG 7GROW WANDER SUSTAIN: GWS
  • 8. DELIVERY Airport Authority The immediate establishment of The Authority comprising members from Federal, State and Local Government levels will contribute to the timely delivery of GWS Airport. The Authority is not a ‘delivery authority’; it is an approvals and regulatory body whose role is to streamline the approvals process, undertaking the following: -- Provide consultation to The Corporation on what regulatory requirements are required to be met and what official approvals need to be gained through the relevant levels of government in order to successfully deliver GWS Airport. -- Communicate with The Corporation as to the timing of the required approvals so key project stages and milestones can be appropriately planned. Delivery Corporation The Corporation will be established to facilitate the planning, consultation and development of GWS Airport. Its purpose will be to deliver and implement the construction of GWS Airport to ensure an operational date of 2027. The Corporation and The Authority are based on a model used in Sydney’s WestConnex project, with a stringent delineation between approval and delivery responsibilities. The Corporation will comprise invested stakeholders such as financing organisations and technical advisors, contractors and operators. A list of proposed roles that The Corporation will undertake is presented below and is based on previously proposed delivery mechanisms used at similar Airports around the world: -- Promote healthy collaboration between all stakeholders. -- Drive the program so that the GWS Airport is delivered in a timely manner. -- Manage the procurement, negotiation and implementation of contracts (refer to Table 8.1) -- Communicate with The Authority to manage the approval process in a timely manner. -- Manage administration, performance and continuous improvement over the whole life of the project. - Determine project drivers and needs - Identify long leads, critical paths and strategic material requirements - Define partnering relationship, and the roles and responsibilities of each party - Develop partnership structures - Align Project management and engineering needs with supply-chain activities - Identify key areas of risk, as well as the likelihood and consequences of risks eventuating - Define management and mitigation strategies - Establish performance metrics - Work with project management, engineering and construction teams to define commercial needs in support of technical and project goals - Merge technical plans, commercial strategies, and pricing and contract requirements - Define a process for tendering, evaluating and awarding contracts. - Evaluate available contract structures to balance project and supplier risks - Modify contract structures to eliminate contracting gaps and encourage competition - Define and conduct fact-based negotiations based on in-depth market knowledge of market and industry trends - Implement excellent material controls - Increase the use of vendor managed inventory, just in time and other sequencing techniques - Conduct statistical analysis of existing quantities and workflows - Develop optimised physical flows from point of consumption to point of origin - Create total visibility across all positions at all times - Have a fully optimised cost base at each stage of flows - Define supplier needs and areas where supply deficiencies exist - Evaluate opportunities to outsource business processes - Develop prequalification criteria that cover commercial, quality and technical needs - Conduct global, regional and local request for information to identify suppliers - Select suppliers based on project needs - Evaluate and select optimal contract format - Define contract clauses and definitions aligned with project needs - Establish contract management system - Ensure contract alignment between project teams - Define standard approaches to contracts, pricing, administration and claims, contract performance monitoring and enforcement PROCUREMENT OPTIONS IDENTIFY, MANAGE & MITIGATE ESTABLISHMENT LIFECYCLE APPROACH SCOPE MATERIAL MANAGEMENT MANAGING SUPPLIERS RISK: Project not being realised due to inappropriate procurement and contractual arrangement MITIGATION: Clearly outline accountabilities for all delivery packages of the GWS Airport. AIRPORT AUTHORITY WESTERN SYDNEY AIRPORT ALLIANCE TECHNICAL ADVISORS FLYGREATER DELIVERY CORPORATION OPERATIORS CONTRACTORS FINANCIERSCOMMUNITY LIASON LEGAL FINANCE DESIGNERS ENVIRONMENTAL PLANNERS WESTERN SYDNEY COMMUNITY FORUM SYDNEY & NSW BUSINESS CHAMBERS UNIONS: NSW, AUSTRALIAN WORKERS (AWU) & CONSTRUCTION (CEMEU) NARELIAN, CAMPBELLTOWN & LIVERPOOL CHAMBER OF COMMERCE GROUP TRAINING ASSOCIATION OF NSW & ACT REGIONAL DEVELOPMENTS AUSTRALIA SYDNEY HOLROYD CITY COUNCIL CONSULT AUSTRALIA ADVISORS BARRY MURPHY & BOB MEYER SHAREHOLDERS TRANSPORT BODIES - ROAD - RAIL - BUS RETAILERS HOTEL SERVICE PROVIDERS (E.G VALET, MECHANICS) CATERING CUSTOMERS (AIRLINE OPERATORS) LOCAL GOVERNMENT STATE GOVERNMENT FEDERAL GOVERNMENT PROCUREMENT METHOD CONTRACT TYPE DELIVERABLE ACCOUNTABILITY Traditional Design & Construct NSW road infrastructure strategy - relocation and upgrade of road infrastructure -- Finance – State Government -- Approvals – State Government -- Delivery – Local Government Traditional Design & Construct Early Works - earthworks / relocation of key services -- Finance – Private Sector -- Approvals –The Authority -- Delivery – Private Sector PPP Design & Construct Civil works – runways, taxiways, remaining civil and drainage works -- Finance – Private Sector -- Approvals –The Authority -- Delivery – Private Sector PPP Design & Construct Airport terminal and control tower -- Finance – Private Sector -- Approvals –The Authority -- Delivery – Private Sector PPP Design & Construct Building Structures – commercial, retail, research and development (R&D) -- Finance – Private Sector -- Approvals –The Authority -- Delivery – Private Sector PPP Design & Construct Building Structures – freight warehouse, maintenance hangers, catering facilities, fuel storage tanks -- Finance – Private Sector -- Approvals –The Authority -- Delivery – Private Sector PPP Design & Construct Light Rail Link – GWS Airport Station -- Finance – State Government -- Approvals – The Authority -- Delivery – State Government/ Private Sector PPP Design & Construct Fuel pipeline -- Finance – Federal/ Private Sector -- Approvals – The Authority -- Delivery – State Government/ Private Sector PPP Design & Construct Heavy Rail Link – GWS Airport Station -- Finance – State Government -- Approvals – The Authority -- Delivery – State Government/ Private Sector PPP Operation and Maintenance Contracts Airport - terminal, runway, freight warehouse, maintenance hangers, catering facilities, fuel storage tanks -- Finance – Airport Operator -- Delivery –specialist subcontractors overseen by Airport Operator PPP Maintenance Airport Terminal - Cleaning contracts -- Finance /operation – Airport Operator -- Delivery – specialist subcontractors overseen by Airport Operator PPP Operation and Maintenance Contracts Building Structures – freight warehouse, maintenance hangers, catering facilities, fuel storage tanks -- Finance – Airport Operator -- Delivery –specialist subcontractors overseen by Airport Operator PPP Operation and Maintenance Contracts Building Structures – commercial, retail, R&D -- Finance / operation – Leaseholders -- Delivery – Leaseholders overseen by Airport Operator PPP Maintenance Grounds keeping –trees, terminal building living roof, billabong, and land within the airport boundaries. -- Finance – Airport Operator -- Delivery – specialist subcontractors overseen by Airport Operator Procurement and Implementation FlyGreater have carefully selected the procurement models during the project lifecycle, as depicted in Table 8.1. A poorly designed delivery approach or procurement method can lead to delay, cost overruns and diminished returns on investment. Large infrastructure projects on average overrun cost by 27.6%¹. Examples of where large infrastructure projects have faced challenges can be seen in Figure 8.1. FlyGreater believe a Public Private Partnership (PPP) model that is privately funded with private sector design, finance, construction, operation and maintenance would provide the best outcome in terms of: -- Effective risk transfer -- Whole of life efficiencies -- Improved asset and service quality -- Design innovation -- Operational flexibility Reinforcing the selection of a PPP procurement model, PPPs have demonstrated minor cost and time overruns of 1.2% and 3.4% respectively compared with the Traditional projects which on average overrun cost and time by 14.8% and 23.5% respectively² . A PPP model was proven during the delivery of the Victorian Desalination Plant (VDP) . We will provide a timely delivery of the airport through a comprehensive risk-based delivery approach. The Implementation Schedule in Table 8.1 has been identified to provide the most optimal value outcome. PUBLIC PRIVATE PARTNERSHIPS Table 8.1 Implementation Schedule Figure 8.1 Organisation Chart ¹ Delivering Large Scale Capital Projects in the Infrastructure Sector – A Baseline of Performance in Australia, Evans & Peck, November 2011 ² Performance of PPPs and Traditional Procurement in Australia, Infrastructure Partnerships Australia, 2007 ³ Major Projects, Major Decisions, Major Impacts – Taking a strategic approach to procurement in Australia’s large-scale capital projects, Accenture, 2013. Figure 8.2 Project Lifecycle³ Figure 8.3 Infrastructure examples of historical problems on some large infrastructure projects PG 8GROW WANDER SUSTAIN: GWS
  • 9. Sustainability and Environmental Enhancements FlyGreater are proposing a number of sustainable facilities to achieve the green credentials. Visual design The terminal building will have a living roof that blends in with the skyline of the Blue Mountains, covered with solar panels, water collection for harvesting and native grasses from the region². The vegetation and earth fill will form an insulation layer, reducing the amount of air conditioning required. Skylights will fill the terminal with natural light, opening and closing automatically as dictated by the ambient temperature. Parking is anticipated to be underground to minimise the visual obtrusion and avoid detracting from this focal point. Construction During construction, sustainable working practices will be developed. Material will be sourced locally; construction plant will use biodiesel where possible and best practices will be applied to minimise the impact on the community and environment. Landscaping We are mindful of keeping as much of the natural elements at the site. There will be a full landscaping methodology considered during the design – replanting any displaced forest on/within the terminal plus maintaining, protection and enhancing existing riparian corridors. A green belt will be regenerated around GWS Airport, linking the cycle ways³ to newly developed mountain bike tracks and providing connection to the wider Blue Mountains off road trails. Green energy & recycling A number of green energy generation facilities are proposed, most notably being the “Tri-generation on-site energy generator” in which bio-gas and black-water is recycled. This method of recycling will be linked to the research and development facilities comprising the “innovation hubs” further linking educational institutions and GWS Airport to lead worldwide research. Storm water will be retained, treated and reused on-site. ENVIRONMENTAL, COMMUNITY & NOISE The existing EIS was undertaken without a clear scope for the airport. The document lacks details on specific impacts and evaluation to mitigate the issues. Legal obligations regarding environmental assessment and the need to establish and maintain Airport Environment Strategies (AESs) subsequently invoked after the publication of the original EIS, now need to be considered, including: -- Environmental Protection and Biodiversity Conservation Act 1999 -- Airports Act 1996 and Airports (Environment Protection) Regulations 1997 -- The Environmental Protection (Impact of Proposals ) Act 1974 Specifically, the intent of the Airports Regulation Act is to promote awareness of environmental issues and to ensure that effective management systems are in place to deal with pollution, noise from ground-based sources and other environmental impacts that are produced by and on airports, with a view to reducing those environmental impacts and increasing public amenity over time. Consideration is also to be given to: -- Heritage Act 1977 (NSW) -- National Parks and Wildlife Act 1974 (NSW) FlyGreater want the community to take a part in land planning for the future. Our long term project objectives include providing employment and training programs to the community, ultimately improving the prosperity, liveability and diversity for Western Sydney. Identified Environmental Impacts Outcomes of the current Environmental Impact, which has been address in our concept design for GWS Airport, are summarised in Table 9.1. Community The community of Badgerys Creek is a major stakeholder with a spectrum of interest and influence over the decisions and outcomes of GWS Airport. FlyGreater has a philosophy of engaging the community through several channels: INTEGRATION OF WESTERN SYDNEY AIRPORT COMMUNITY FORUM AND BADGERYS CREEK COMMUNITY FORUM. Members will be invited from a broad range of people to represent the interests of the communities surrounding GWS Airport, local councils and representatives from the international and domestic airline industry. The aim will be to provide collated advice and feedback to The Corporation on the abatement of aircraft noise and related environmental issues and to facilitate information flow to the community on the Long Term Operating Plan for GWS Airport. This will be similar to the established Sydney Airport Community Forum¹. DURING THE “GROW” PHASE OF GWS AIRPORT, ACTIVE COMMUNICATION WITH THE COMMUNITY WILL BE THROUGH A PARTICIPATORY PROCESS. This will be via public workshops to engage all members of the community and seek their views, opinion and support on the master plan. Feedback from these sessions will directly input into the evolving design of GWS Airport. A strong, visible communication framework will be established early on with particular emphasis placed on when activities will be occurring. DURING THE CONSTRUCTION STAGE, THERE WILL BE DEDICATED COMMUNITY LIAISON OFFICERS AND THE ESTABLISHMENT OF A DEDICATED COMMUNITY LIAISON TEAM, SIMILAR TO MUNICH AIRPORT, WHICH WILL BE A FOCAL POINT FOR INFORMATION SHARING AND ACTIVE DIALOGUE BETWEEN THE AUTHORITY, THE CORPORATION AND THE COMMUNITY. Ongoing communication, combined with careful construction planning will minimise disruption to the community and noise at unsociable hours. RISK: Community disgruntlement MITIGATION: -- Make information about the GWS Airport available -- Consult with the community about the impact of GWS Airport -- Encourage collaboration with the local community regarding questions, complaints, and information sharing -- Establish a transparent process for recording and analysing inputs from stakeholders in order to incorporate these in the project planning. PROSPERITY -- Job creation for Western Sydney: The right types of jobs in the right place with the focus on education and long term employment opportunities. These range from daily airport maintenance to aircraft repairs and shuttle bus drivers. -- Engagement of TAFE and local Universities to improve current educational programs which are both theoretical and hands-on, catering for the demands of a diverse range of educational aspirations. -- TAFE apprenticeships will be linked to the aeronautical and mechanical industries- taking full advantage of the proximity of the GWS Airport to the innovation hubs. -- Research and Development opportunities have been identified around the adaptive reuse of fuels, bio-mass and tri-generation plus the ongoing impact of noise and sleep deprivation, near airports (or otherwise). LIVEABILITY -- GWS Airport will support population growth in the region. Ongoing “sprawl” will be limited through careful planning, housing diversity and urban planning to include green spaces and effective use of technology. -- Local roads and community improvements such as public art, better bike parking and other measures will be implemented to improve the quality of life in Western Sydney. -- Effective land use planning will provide the community with space for retail, culture, social, educational and recreational space- all on the doorstep. DIVERSITY -- GWS Airport will be a legacy for the area and the community providing a benchmark for future development in Western Sydney. -- GWS Airport, with its inherent links to the community, will provide a landmark and sense of achievement for the community as relationships are forged and initiatives are made for long term economic sustainability. Table 9.1 Environmental Impacts Table ISSUE THE IMPACT GWS AIRPORT DESIGN MITIGATION Heritage: Changing the character of the area -- World Heritage Site Blue Mountains Biodiversity -- Land development will be an economic catalyst in line with the long term master plan -- Land development will be in accordance with statutory regulations, industry standards and under strict environmental approvals -- Development of an environmental and conservation management plan Aircraft and ground based noise -- Badgerys Creek communities -- Independent and updated noise assessments. Noise amelioration initiatives implemented -- Revised social and economic benefit assessment -- No new housing within 20 Australian Noise Exposure Forecast (ANEF) contour Pollution -- Fuel dumping -- Air and noise pollution -- Airplane crash risk -- Climate change -- Soil and water contamination -- Mass transport innovations and a long term improvement strategy to reduce reliance on individual transportation -- Fuel provisions in line with commercial feasibility -- Biodiesel for ground based transport -- Active spill response -- An Environmental Management Plan will cover construction and operation of GWS Airport -- Water quality retention ponds and water purification plants on-site -- Energy management from innovations within the terminal Community -- Neighbourhood impact and the feeling of not being consulted and engaged -- Inter- governmental organisation comprising local, regional and federal representatives -- Active stakeholder management -- The programme will providing the opportunity for stakeholder input on the master plan throughout development and implementation -- Enhance the environment with riparian corridor preservation -- Facilitating positive change in terms of the economy and land value -- Provision of new health services under the wider master plan. Noise GWS Airport understands the disruption and impact noise can create and recognises this as one of the largest community concerns. We will mitigate noise impact on the surrounding community using initiatives such as: Land zoning and noise buffer areas; Quiet aircraft by the GWS Airport customers; Steeper landing approaches and regimes; Runway alternation; Noise insulation to existing dwellings; Dwelling purchase and fair compensation; and Operational modes to minimise disturbances during the night. The Government has already taken steps to reduce the number of residents affected by largely protecting the surrounding areas from incompatible residential and urban development. The proposed runway layout will utilise a north-east to south-west directionality which will reduce the number of residents within the ANEF noise contours. Figure 5 shows the ANEF noise contours positioned over the GWS Airport concept, illustrating how the North-West and South-West growth suburbs are predominantly missed. The contours mainly impact the North-East areas proposed for commercial, retail and leisure spaces and the South-West which is proposed to house the warehouse storage and distribution facilities. ¹ Sydney Airport Community Forum, http://sacf.infrastructure.gov.au/ (Sourced Oct 2014) ² The Living Roof, http://www.calacademy.org/academy/building/the_living_roof/ (Source Oct 2014) ³ Western Sydney Parklands, http://www.westernsydneyparklands.com.au/where-to-go/wylde-mtb-trail/ (Sourced Oct 2014) Figure 9.1 ANEF Contours and proposed Land Uses Source: FlyGreater PG 9GROW WANDER SUSTAIN: GWS
  • 10. COMMERCIAL VIABILITY The diversification of income streams at GWS Airport results in less dependence on parking, accounting for only 9% of the total revenue. This model encourages passengers to utilise GWS Airport, and further support the retail and commercial income streams. Commercial Viability GWS Airport will sustain value creation through a yield driven business model integrating active areas of economic growth in the region such as agriculture, retail, education, health, sports and leisure under a proven ‘Aerotropolis’ model. With a staged operational expansion, FlyGreater will create additional facilities required to enable customers to implement a growth strategy, tailoring capital investment and operational services to their requirements. To support passenger movements, GWS Airport needs to meet the operational date, the functional requirements of the airlines and provide access to the passengers. The strength of GWS Airport comes from the diversification of its revenue streams, beyond the conventional passenger movements and parking. A discount rate of 11% has been used, with consideration given to: yy Source of funds – private debt equity provides uncertainty in the availability of cash yy Level of accuracy of costs – The costing accuracy is at concept stage, ±30% yy Certainty of revenues - The discount rates for projects underwritten by government, for which revenues are expected to be certain, allow for lower rates of around 7%. Private sector projects are usually higher, 12-15%, as the private sector has higher costs of funds than government. The preferred PPP delivery has the benefit of revenue being underwritten, but funding will be private sector. Revenue costs are staggered to ensure that incomes reflect the realistic uptake of tenancy leases and visitor spending. The current modelling results in a Net Present Value of $64m. No sensitivity analysis has been applied to the Lifecycle Costing at this stage. Other Income Streams Car parking at airports is a well know revenue generator. Car parking prices at airports reflects the costs of the service, the convenience and amenity associated with the facility; demand management strategies and the opportunity cost of the land¹. The single largest revenue source (at U.S. airports) is usually public parking, representing approximately 25% of all airport revenues and more than 40% of non-airline revenues, as shown in Figure 10.3 RISK: The operation of the airport is not a profitable venture MITIGATION: Diversify income streams and invest capital when the cost-benefit analysis shows it is efficient. RISK: The uptake of retail space leaves shops vacant. MITIGATION: Varied uses for different areas of GWS airport. Key tenants consulted in the design to ensure that required layouts and features are achieved. CONSTRUCTION COSTS OPERATION AND MAINTENANCE COSTS REVENUE STREAMS $1.3b Terminal $2.3b Airport Operations $50m Sustainable Innovations $1.7b Intermodal, Access and Movements $320m Tourism and Hospitality $17b Terminal $7.6b Airport Operations $400m Sustainable Innovations $895m Intermodal $800m Access and Movements $205m Tourism and Hospitality $38b Retail and Commercial $10b Airport Operations $379m Sustainable Innovations $5.7b Parking $4b Access and Movements $2.5b Tourism and Hospitality $2.5b Freight and Logistics Figure 10.1 GWS Airport return on investment - shows the cash flow profile for GWS Airport for 2014 – 2067. Table 10.2 GWS Costs and Revenues Figure 10.3 Revenue sources at US Airports² Construction O+M Revenue (REAL$000,0002014/15) $3,000 $2,500 $2,000 $1,500 $1,000 $500 $0 -$500 REDUCE UPFRONT DEBT MINIMISE FINANCIAL RISK ACHIEVE SUSTAINABLE INCOME STREAMS The staged construction of GWS Airport delays capital expenditure until it is necessary to invest in the growth of passenger movements and the associated infrastructure for the other revenue streams. Income Streams are diversified, including: - Retail and commercial space - Sports and recreation - Tourism facilities - Our unique farmers market - Intermodal - And on-site energy generation for airport. Revenue earned throughout the operation of GWS Airport will be used to reduce the level of debt. The cost of capital will be delayed through the staged construction. Figure 10.4 Revenue sources at GWS Airport Total At the ‘Bidgigal Garden’ cafes and restaurants will open onto green spaces that will encourage visitors to meet and spend time at the airport. This provides a place of rest for passengers and visitors and also creates a high utilisation of the retail outlets by encouraging visitors to dwell. The ‘Fruit bowl’ is a Flemington-style market that showcases exemplars of New South Wales produce and will present some of Australia’s manufacturing techniques. Produce is available for consumption and purchase by passengers and visitors alike. This also serves as an opportunity for providores to sell their wares duty free; produce that is samples land side of the airport can be ordered and picked up export ready air-side. This will be used to facilitate overnight exports to foreign markets; The ‘Food Bowl’ becomes a hub for distribution locally, regionally and internationally. The retail areas of GWS Airport serve not only to provide passengers and visitors with essential services, but to provide economic opportunities to local business owners. Retail areas will include local goods, art and homewares, as well as the standard fashion, electronics and beauty. The retail and commercial areas of the airport will generate revenue of $38b over the anticipated duration of the master plan. The uptake of retail spaces will determine the rate at which this revenue is achieved. The tourism and hospitality precinct provides accommodation for passengers, as well as a source of local employment. Located within the airport boundary and in close proximity to the terminal, this option will provide convenience for regional and international passengers for transit and short stay options. The Tourism Precinct will generate revenue of $2.5b, through a long term operating lease. The construction of the Tourism Precinct is staged to ensure that capital outlay is delayed until expansion is required to meet the predicted demand. The freight and logistics hub supports the export of local produce from the Food Bowl and farmers market to the domestic and international markets. The inclusion of sustainable innovations serves the purpose of reducing GWS Airport’s carbon footprint, whilst also resulting in a reduction of operating costs of $379m through generated energy and water re-use. Southern Cross Airports Corporation Holdings Limited (SCACH) has an option until June 2032 on first right of refusal to develop and operate any additional airport within Greater Sydney. FlyGreater’s vision for GWS Airport is to operate as a direct competitor to the existing Kingsford-Smith Airport to assure service levels for Greater Western Sydney. If operated under a collaborative approach, we suggest a robust regulatory framework to prevent cross-subsidisation and ensure ring-fencing delivers the best outcomes for the broader community. ¹ Car Parking & Ground Transport Access, Chapter 11, http://www.pc.gov.au/__data/assets/pdf_file/0018/114660/14-airport-regulation- chapter11.pdf (Sourced: September 2014) ² Guidebook for evaluating airport parking strategies and supporting technologies, Airport Cooperative Research Program, October 2009 PG 10GROW WANDER SUSTAIN: GWS
  • 11. AIRPORT OPERATIONS Operational Date Population is expected to grow in Western Sydney from 2 million to 4 million by 2051 as shown in Figure 11.1, increasing the demand for aircraft transportation. The Western Sydney Airport Alliance believes that by 2027 demand will exceed supply- in the order 100 flights per day of unmet demand¹. It is essential that GWS Airport is operable by 2027 to accommodate the future needs of Western Sydney. In order to achieve this key milestone, planning must commence now. Population growth also translates to a growth in the workforce of Western Sydney. In 2006 there was an employment deficit in Western Sydney resulting in 183,000 commuting to Eastern Sydney for work. If the Draft Metropolitan Strategy for Sydney projections are extrapolated through to 2051, the job deficit of Western Sydney will increase to 406,000 jobs. This would result in an increase of 2.2 times the existing transport demand on the M2, M4 and M5 (and all regional roads) and the Western Line, Bankstown Line, Cumberland Line, Airport and East Hills Line and the Inner West Line. Employment-generating projects such as GWS Airport and those contained within the CEC will rebalance this deficit and match the jobs to the workforce of Western Sydney. Primary Runway GWS Airport is designed to handle a diverse array of aircraft from its first day of operation to encourage customer takeup of gates. This is achieved by initially constructing the 4000m long runway, opening revenue streams and enticing a variety of airlines and freight operators. Whilst this longer runway will lead to higher initial capital outlay, the benefits from commercial competition will outweigh the cost. Final Runway Layout When the final phase of GWS Airport is completed and operations commence on the third crosswind runway, the airport will consist of an efficiently planned and designed runway layout, enabling the safe operation of aircraft through all meteorological conditions and at all hours of the day. The two major runways (4000m and 3000m) are parallel in configuration with the spacing between them allowing continuous independent operation. The third crosswind runway (the last to be constructed), provides an alternative landing path for smaller aircraft during inclement weather conditions. FlyGreater has made provision for run-up aprons, adjacent to the ends of the parallel runways. This will allow aircrafts to take off closer together increasing the capacity of the airport, further increasing revenue potential. Taxiways Taxiways have been designed to reduce taxing time, allowing more flights to land and take off per hour. This is achieved by providing twin parallel, one-way, taxiways adjacent to each runway allowing bi-directional movement around the airport. This configuration is similar to that provided at Hong Kong International Airport. Taxiway routes have been designed to provide the shortest practicable distance from the terminal area to the ends of runways for take-off. This is assisted by a centrally placed terminal adjacent to all three runways. An exit taxiway with geometry designed to permit higher turnoff speeds is provided to reduce the time that a landing aircraft occupies the runway. Taxiways have been arranged so that there is limited interference between aircraft movements. The efficient design of the taxiway system means customers will undergo less taxiing time, improving their experience and encouraging repeat use of GWS Airport. Terminal A lasting impression for passengers and visitors is created by the terminal functionality, layout and design. To this end FlyGreater have designed GWS Airport with the users in mind. Aesthetically, the terminal building will limit the visual impact of GWS Airport to the region and provide a landmark for Western Sydney. The terminal will be multilevel to assist in separating arrivals and departures. International and domestic gates will be separated into two wings that will maximise the ratio of perimeter to volume, increasing the number of gates. 1961 1966 1971 1976 1981 1986 1991 1996 2001 2006 2011 2016 2021 2026 2031 2036 2041 2046 2051 0 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,000 7,000,000 8,000,000 Population Sydney Region 1.15% 1.88% 0.42% Western Sydney Eastern Sydney Central Coast WESTERN SYDNEY 183,000 EASTERN SYDNEYWEST TO EAST WESTERN SYDNEY 406,000 EASTERN SYDNEYWEST TO EAST Figure 11.1 - Western Sydney and the Regions of Sydney Figure 11.2 - Population Growth of Western Sydney and the Regions of Sydney Figure 11.3 - Commuters from Western Sydney to Eastern Sydney 2006 Figure 11.4 - GWS Airport Final Phase Master Plan Figure 11.5 - GWS Airport Terminal Design demonstrating shared arrivals/departure halls, retailing facilities, and transport interchange. Source: FlyGreater Figure 11.4 - Commuters from Western Sydney to Eastern Sydney 2051 ¹ Building Badgerys: The next steps towards a Western Sydney Airport, Western Sydney Airport Alliance, 2013. PG 11GROW WANDER SUSTAIN: GWS
  • 12. AIRPORT OPERATIONS Land Acquisition To ensure the most economically viable option is developed, a crosswind runway is necessary. Construction of this runway will require the acquisition of 400 hectares of additional land as shown in Figure 12.2. This will need to be addressed early in the planning stage so that consultation and legal activities can be undertaken as soon as possible. This is for two reasons: 1. The economic costs associated with delaying this process (i.e. land prices) 2. The risk of natural growth of the area seeing more residents and business settle which will significantly increase constraints and likely strengthen the barriers against future airport growth. By carrying out the ground work early, we will ensure the land can be purchased at today’s prices and not at inflated prices in the future. Added benefits from addition land include: yy Helping expand the noise buffer between airport operations and the surrounding community yy Providing additional area to diversify revenue streams such as expanding retail area and hotel facilities yy Providing a greater flexibility in the layout of the airport facilities. Freight Facilities Freight is located at south west end of the airport which has a number of key advantages: yy Reduces congestion in and out of the airport for freight operators, passengers and visitors. yy On-site freight handling facilities have direct access to the airport taxiway system increasing the speed at which operations can load and offload aircraft. yy The freight facility at the airport will link directly to the proposed Logistics Hub located across the Northern Road. yy The South West side of the airport has direct links to the Northern Road and the M7. This will remove freight trucks from local roads reducing community impact. This will provide a link from air to road transport from Sydney to Newcastle and Wollongong or other parts of the state via the Outer Sydney Orbital. Fuel Fuel will be tank-truck delivered into the airport during the first phase of operation when the number of aircraft movements per day does not warrant the construction of a pipeline. As the number of daily aircraft movements increase, a fuel pipeline will be required. The pipeline will provide a constant source of fuel to service the airport, which will be cheaper and more efficient. Whilst the construction of the pipeline is not immediate, The Corporation will need to secure the fuel corridor. Early action will produce fewer complications in the future when the surrounding land may be more developed. The proposed concept corridor is shown in the below Figure 12.1. Currently, Sydney’s Kurnell Refinery sends fuel to Newcastle via a pipeline from Kurnell to Plumpton. FlyGreater propose that a new pipeline be constructed from Plumpton to Badgerys Creek Airport which is approximately 28 kilometres to the south west of Plumpton. The refinery at Kurnell is planned to be decommissioned in October 2014 and replaced with a major import terminal. This should not impact the design and construction of the proposed pipeline, as fuel flushing will be utilised in the on-site tri-generation facility. RISK: Fuel trucks create concern within the community given the number of tankers on Sydney Roads per day MITIGATION: Fuel service entry positioned adjacent to the M7 will ensure the tankers remain off the local roads. RISK: Energy produced from the natural energy sources does not meet airport operations demand. MITIGATION: Connect the airport to the grid for use during these times, particularly important during the night. Provide essential emergency and operational elements such as the control tower and runway approach lighting with appropriate backup systems in the case of grid failure, such as generators. PLUMPTON GWS AIRPORT FUEL PIPELINE COMMONWEALTH LAND ACQUISITION LAND FOR CROSSWIND RUNWAY ACQUISITION LAND FOR BIO-BANK Figure 12.2 - Commonwealth Land and potential acquisition-sites for GWS Airport. Figure 12.1 - Possible fuel pipeline extension from Plumpton to GWS Airport. Emergency Services Emergency Service Stations will be located adjacent to each parallel runway. This will provide direct, fast access to the runways and taxiways in emergency situations. These stations will house emergency vehicles and personnel, including fire trucks. The terminal itself will also house facilities for trained emergency staff 24/7. Passenger Movements GWS Airport will need to meet an expected 3m pax in 2027, equating to 82,600 aircraft movements requiring a minimum of 8 gates. In 2047 9m pax will equating to 93,000 aircraft movements requiring 16 gates. In 2067 30m pax will equating to 280,000 aircraft movements requiring 32 gates. Airline Operators The success of GWS Airport is dependent on customers (the airline operators) choosing to gate at GWS Airport. FlyGreater have planned for diverse aircraft types and flight durations to increase competition. The terminal layout allows for contracting of both premium and budget gates to suit a range of operating strategies. Curfew 24/7 Operations We will provide optimum conditions with diverse businesses and operating models by enabling airlines to operate at GWS Airport 24hours 7days. This will generate economic opportunity, balanced with community expectations, taking advantage of the pre-planned zoning strategy implemented by the local government. Aircraft Catering On-site catering services will be available to the customers to increase the efficiency of the airport terminal operations. A catering and food preparation area can be located within the airport land. Having an on-site catering service connected to Sydney’s South West food industry will remove the need for double handling (farm to preparation facility and then preparation facility to airport storage). The on-site food preparation and storage facility will have direct access to the taxiways to enable quick delivery of catering required for all types of flights. Maintenance The maintenance hangar will be strategically located towards the South West corner of the site near the freight facility. Materials and supply can be transported to site from the access gate, avoiding public access, thereby reducing congestion. It is located close to the runways to minimise aircraft taxi distances. Power, Water, Communications Systems The majority of essential services and relocation of existing services, such as electricity distribution, sewage, gas and communications, will be constructed as a part of the early works package. RISK: Emergencies, such as fire, pose significant health and safety consequences and financial implications to Customers and the Operator. MITIGATION: Provide adequate facilities located adjacent to the runways and in the terminal to provide a quick response. RISK: Airline customers choosing not to gate at GWS Airport. This has significant financial implications on the feasibility of the airport. Without the customers, the airport will lose a significant portion of the revenue earning capacity. MITIGATION: Early planning and customer engagement to ensure demand for GWS Airport is high. FlyGreater also suggests that the Airport operator provides concessions on customer gate access fees for the first two years of operation to encourage airlines to consistently provide services from GWS Airport. From the moment of opening, this will create an image and feeling of a lively and an inhabited airport. PG 12GROW WANDER SUSTAIN: GWS