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Submission 69: Kingston Council (Rating: excellent -   )

Via the 20/20 Inquiry submissions page: 69 City of Kingston (PDF 4481 KB)

Moorabbin Airport Preliminary Draft Masterplan 2021


Council recently made its submission to the MAC draft Masterplan 2021 process. A primary issue
reinforced through its submission was safety. The submission reinforced the critical role of aviation
regulators to examine the substantive non-aviation building encroachments into areas in very close
proximity to both fixed wing and helicopter approaches.

An objective assessment of the evolution of non-aviation development in very close proximity to aviation
infrastructure over recent years, will illustrate how encumbered the airport approaches have now become.

Council considers that Moorabbin Airport presents a very useful case study into the management of
federally leased airports when considering the non-aviation developments that have dominated over the
past 25 years.

A copy of Council’s submissions to the Moorabbin Airport preliminary draft masterplan has been attached
for the Committee’s viewing. It illustrates the extent to which development has occurred within the
proximity of the runway thresholds. Council do not support the preliminary draft masterplan and are calling
upon the Federal Minister to refuse it in its current state.

Operation and Effectiveness of Civil Aviation Safety Authority (CASA) and Other Relevant Aviation
Agencies

With regards to safety and development that has occurred near the runway thresholds, Council has raised
both through the preliminary draft masterplan process and also at any other opportunity, its concerns as to
how these substantial factories were approved. Council have been assured by the MAC that these have
been approved by CASA.

It is recommended that the enquiry critically examine the degree to which these developments comply with
the relevant guidelines from the National Airport Safeguarding Framework in areas including obstacle
limitations and windshear, with a particular focus on any variations to the technical requirements. Further,
the enquiry should turn its mind to the level of independent technical oversight that has occurred.

Council is concerned that, on occasion, development on airport land may not meet the technical
requirements under a NASF guideline that would appear to receive some discretion when considered by
CASA. It would be most appropriate that this decision-making process better mirror that which occurs in
State or Territory planning systems where significant decisions are publicly determined.

The community have a right to understand how such decisions are made, particularly given the regulatory
regimes being established off the airport that can have the consequence of restricting development.

Over the past 12 months the State Government of Victoria, through an Advisory Committee, attempted to
ensure that planning around airports consider the potential safety and amenity impacts on the surrounding
communities and that airport operations are protected. The Melbourne Airport Environs Safeguarding
Standing Advisory Committee (MAESSAC) is now trying to determine how the NASF can be implemented
into planning schemes in Victoria.

Many local councils and residents have participated in this advisory committee process, making numerous
submissions and appearing throughout the hearing. On the one hand the State Government and local
government are actively trying to protect and safeguard the aviation industry by way of what occurs around
airports, yet significant development (non-aviation) can occur seemingly unabated on airport land. The
City of Kingston continues to advocate for the safeguarding of our aviation assets.

‘any related matters’

The Committee are also seeking comment on d) any related matters. Council believes that a more
focused look into the management of federally leased airports is required to review the depletion of
aviation activity on airport land to expedite non-aviation development.

Council respectfully submits this inquiry should consider the amount of non-aviation development
occurring and planned on federally leased airport land.

increase in non-aviation development is seen as a critical factor, inhibiting existing aviation tenants
remaining on airport land into the future, with insufficient regard given to future needs. It is worthwhile the
Committee consider the land use intent in the preliminary draft masterplan for Moorabbin Airport in 2021,
when compared with the level of land set aside and protection for aviation at the time of airport
deregulation, particularly in the context of a large city like Melbourne. This land cannot be replaced
elsewhere limiting the reach of regional Australia into Australia’s biggest cities.

The Airports Act 1996 (the Act) sets out the regulatory arrangements between airports formerly owned and
operated on behalf of the Commonwealth by the Federal Airports Corporation (FAC). It requires, as set
out in Part 1, Section 3 that airports “promote sound development of civil aviation in Australia”.

The Moorabbin Airport is also subject to Part 5 of the Act and the corresponding regulations. As per Part
5, ‘Obligation to use airport site as an airport’. The Airport is declared to be an airport site within the
meaning of Section 5 of the Act and Regulations.

The Lease agreement by the Commonwealth to the MAC over the Airport states that the MAC “must
provide for the use of the [Airport] as an airport” and may “permit the [Airport] to be used for other lawful
purposes that are not inconsistent with its use as an airport”. The legislation that underpins the role of the
Airport clearly seeks to ensure that an efficient and fully functioning airport is provided which gives priority
to its core aviation function.

Council acknowledges that non-aviation development has some role to play in providing sufficient income
for the Airport Lessee Company to ensure sufficient resources are available to maintain the airport.

Consideration must, however, be given to the appropriate balance being struck between development and
the risk of directly undermining aviation.

When the then FAC privatised airports in 1996, from the readings of the Act and the justification for selling
off the leaseholds, it was not the intent of the Federal Government to legitimise business plans geared to
maximising shareholder returns at the expense of the aviation industry.

The privatisation of federal airports was meant to do the exact opposite by assisting in bolstering of the
aviation industry. It is a now a unique situation where privatised airport leaseholders are able to hold
unique and often unregulated monopoly powers which negatively impact the aviation industry and sidestep
State and Local planning powers. Developments (non-aviation) can completely disregard existing
residential neighbours and provide serious negative amenity outcomes with no checks or balances
available. Practical examples are reinforced through Council’s submission to the 2021 preliminary draft
masterplan.

The critical role that Moorabbin Airport, as well as other regional and rural airports, cannot be downplayed.
They are a vital part of the nation’s transport infrastructure. The ongoing viability of Moorabbin Airport is
now being called into question with aviation tenants questioning whether there will be enough space set
aside for aviation both now and into the future.

Following the impact of Covid-19, this industry has been significantly impacted. The classifications of the
runways at Moorabbin are proposed to be reduced, which according to airport tenants will deplete the core
number of aircraft based at Moorabbin.

Tenants are being removed from the site, which has a huge flow on effect to other tenants on site. For
example, where a maintenance company is no longer able to remain on site, this has a huge impact to
operators who rely on that maintenance company to ensure planes do not remain grounded.

Council and the aviation community share the concern that the MAC require much greater regulation to
ensure that they not only provide a safe efficient airport but also do not put warehousing/industrial
developments ahead of the land’s intended purpose.

There is very significant tension between the MAC’s role in managing and future proofing Moorabbin
Airport as an aviation asset, whilst advancing lucrative non-aviation related commercial endeavours.

During the consultation phase of the preliminary draft Masterplan process, Council was contacted by a
number of aviation tenants at Moorabbin Airport who expressed significant concerns for the future of their
businesses. The feedback indicated that existing aviation tenants believe that there is not enough space
for each tenant on the site and that multiple tenants are now competing for the same hanger space.

Noting the extent of land already developed for non-aviation uses, it is critical that existing aviation
operators are provided with the ability to remain on site.

Regardless of whether the preliminary draft masterplan for Moorabbin Airport is approved or refused, the
concerns raised throughout this submission are vitally important.

The extent of non-aviation development needs closer examination and the Senate enquiry provides a
useful platform in which to consider the implications of what is occurring at Moorabbin at a broader
national scale.

For the future of our small and medium aviation businesses, as well as residents who are adjacent to our
airports and are impacted by decisions to construct major warehouses immediately adjacent to their
properties without meaningful consultation, we submit that issues associated with the deregulation of
Airports warrants review.

Council would like to thank the Committee for the opportunity and respectfully request the Committee’s
consideration of our submission.

Yours faithfully

Cr Steve Staikos
MAYOR

MTF...P2