The economic worth of Airbus A380 flights to Sydney Airport

By Chris Chamberlin , April 10 2014
The economic worth of Airbus A380 flights to Sydney Airport

A daily A380 flight from Dubai to Sydney Airport contributes an estimated $342 million to Australia’s GDP annually and 4,400 jobs, according to research by international professional services firm Deloitte.

Those full-time equivalent jobs – 2,800 of which are in NSW – contribute $206 million to Australia’s household income each year, while that single daily flight also boosts NSW’s GSP by $213 million over the same time period.

If that A380 ran between Sydney and China, the number-crunchers estimate the annual figures would be even higher – Australia’s GDP would be furthered by roughly $388 million, while that daily service would create around 5,000 full-time equivalent (FTE) jobs – 4,000 of which would be based in NSW.

Household income would also rise by $233 million each year, while the service would add circa $311 million to NSW’s GSP.

A typical (non-A380) daily international service from Sydney adds $120 million to the nation’s GDP and generates an estimated 1,500 FTE jobs on an annual basis, say the experts.

Upgrading from a daily Boeing 777 to an Airbus A380 is also significant – the difference being an extra $55 million towards the nation’s GDP annually, while creating approximately 700 additional FTE positions.

For further reading, download Deloitte’s full report from the Sydney Airport website (PDF, 560KB).

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Chris Chamberlin

Chris Chamberlin is the Associate Editor of Executive Traveller, and lives by the motto that a journey of a thousand miles begins not just with a single step, but also a strong latte, a theatre ticket, and later in the day, a good gin and tonic.

Qantas - Qantas Frequent Flyer

17 Aug 2012

Total posts 2223

And that's why we need a Western Sydney Airport! 

KG
KG

Qantas - Qantas Frequent Flyer

10 May 2011

Total posts 736

Thanks for this article Chris, very interesting to see some actual numbers behind airport / airline economics.

QFF

12 Apr 2013

Total posts 1446

This article just prove to me that aviation has to be regulated and as least international arm of Qantas must be state owned. Privatization of Qantas and deregulation IMHO was biggest mistake. And what is the solution now? Put tax money into A.J. pocket? I do not think so. I know that many will desagree and put minuses to my comment - perhaps it because they realise that I am correct? :-)

07 Aug 2012

Total posts 197

I believe the benefit is seen whether QF flies the A380 or someone else does.

We have far more air traffic to Australia now - arguably due to Australia's liberal air traffic agreements.

QFF

12 Apr 2013

Total posts 1446

Unfortunately it does not automatically mean that we as country earn more money. And unfortunately it does not mean at all that we paying more salaries in Australia.

07 Aug 2012

Total posts 197

Actually it does: "A daily A380 flight from Dubai to Sydney Airport contributes an estimated $342 million to Australia’s GDP annually and 4,400 jobs".

So whoever flies an A380 from DXB-SYD, Australia sees this benefit. Usually this is because of increased economic activity & trade, rather than direct airline/airport jobs.

QFF

12 Apr 2013

Total posts 1446

It is obvious that they are talking about Qantas – keyword here is “daily”. Yes, there are some benefits for Australian economy even if foreign company flies to us. But benefits far greater if it is an Australian company.

31 Aug 2013

Total posts 61

These are economic impact statement, it is irrelevant of whoever if conducting the service.  The really dangerous thing you were suggested by you in your first post (regulation), would actual decrease the economic effects of aviation.  If a carrier is not profitable flying the route, then it is inefficient and the economy benefits by having those who are more efficient on the route (important in this case since the economic benefit outweighs the route profit).

QFF

12 Apr 2013

Total posts 1446

Your statement is plainly ridiculous. According to you it does not matter if 1 out of 10 or 10 out of 10 plane landed in Australia actually Australian – Australia will still have the same profit and generate the same job numbers. I am sorry, but IMHO your logic is incredibly skewed. And as far as I know best carriers actually sate owned – i.e. regulated. YMMV of course.

Qantas - Qantas Frequent Flyer

02 Jul 2011

Total posts 1390

And unfortunately Airports doesn't benefit substantially from increasing this traffic - they get a better return from carparks.

Why Brisbane doesn't have a 3rd runway, and Sydney a 2nd airport. The Government via taxation gains from these GDP increases which is why the Government should own and invest in our nations airports.

British Airways

11 Apr 2014

Total posts 1

 Surly this economic equation is only valid if the airlines are managing to fill their 380's and judging on the strategic plans of Qantas to downsize and cut routes all together it seems that they are having trouble filling these huge planes. So does that makes this article moot!!!!!!!!!


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