Regional airports are far more than departure points – they are economic lifelines that keep our communities, businesses and essential services connected across NSW.
A new report from Business NSW, Keeping Regional NSW Connected: The Future of Our Airports, highlights just how critical these assets are and why urgent action is needed to secure their future.
Across the state, more than 60 regional airports support around 3.5 million passenger movements each year, connecting communities to major cities, interstate markets and global opportunities. These airports underpin our tourism, freight, healthcare access, emergency services and workforce mobility – making them essential infrastructure for our regional economies.
Yet despite their importance, the report paints a concerning picture.
More than half of regional airports are operating at a loss, limiting their ability to invest in critical upgrades and maintain services. At the same time, communities are facing higher airfares, reduced competition and declining service levels, with many routes serviced by only one airline.
Rising operational and security costs, ageing infrastructure and workforce shortages are placing further strain on the system. The collapse of carriers like Bonza and the financial challenges facing Rex have also exposed how fragile the regional aviation market has become.
When air services are reduced or withdrawn (which we have seen in Bathurst), the impacts are immediate. Local businesses face higher costs and supply chain disruptions, tourism operators lose visitors, and access to health and emergency services can be compromised.
Business NSW is calling for a coordinated, long-term response. Key recommendations include a 10-year Regional Aviation Strategy, the creation of a dedicated infrastructure fund, improved airline competition and stronger access to major airports. The report also highlights the opportunity presented by Western Sydney International Airport to strengthen regional connections and open new markets.
For regional communities, the message is clear: without decisive investment and policy reform, the risk of reduced connectivity will only grow.
Regional airports are not a luxury – they are a necessity. Investing in their future is an investment in stronger businesses, better services and more resilient communities.
As the report makes clear, keeping regional NSW connected must remain a priority.
