Western Sydney Airport




PROJECT
PIPELINE
STATUS

Prospective pipeline

Credibly proposed

Announced

Under procurement

Preferred bidder announced

Recently closed
Western Sydney Airport
WSA Main Works Package 2 - Terminal and Speciality Works
WSA Main Works Package 3 - Landside Civil and Building Works
WSA Main Works Package 1 - Bulk Earthworks and Airside Civil Works
STATUS

Prospective pipeline

Greenfield (construction) or brownfield (government asset divestment) projects needed or likely to occur within the next five years, but is not formally proposed by a state, territory or major local government.

Credibly proposed

The project or divestment is supported by a state, territory or major local government, is subject to studies or other processes (such as pre-feasibility or scoping studies or business case development), and is likely to proceed to formal announcement.   

Announced

The project has a firm commitment and timeline from a state, territory or major local government, but has not yet entered the market.

Under procurement

The project or transaction is under procurement (such as a call for Expressions of Interest, requests for tender, or another offer to the market).

Preferred bidder announced

A preferred bidder has been selected and is in exclusive negotiations.

Recently closed

Projects that have progressed to contractual close remain on ANZIP for 12 months.

ANZIP is focused only on major infrastructure activity, above the following thresholds:

Australia

Construction projects: > AUD$300m

Investable greenfield & brownfield: > AUD$100m

New Zealand

All greenfield and brownfield projects and divestments: > NZD $100 million


STATUS: Announced
VALUE: $5bn AUD
SECTOR: Other transport
JURISDICTION: Commonwealth, NSW
PROCUREMENT APPROACH: Traditional procurement
TYPE: Greenfield

The Western Sydney Airport (WSA) will deliver Sydney a second airport at Badgerys Creek in Sydney's west.

The Federal Government released a revised Airport Plan in 2016 and Key Functional Specifications report in June 2017. These documents will govern the design of the airport.

WSA is being developed by the Federal Government-owned Western Sydney Airport Corporation (WSA Co.) in stages in response to passenger demand. Stage 1 will see a single runway airport constructed with capacity for up to 10 million passengers a year. Future stages would include the construction of a second runway and enhanced facilities, however this is not expected until around 2050.

WSA Co. announced in November 2017 that the Stage 1 main works will be procured as three separate contracts, comprising:

Package 1: Bulk Earthworks and Airside Civil Works;
Package 2: Terminal and Speciality Works; and
Package 3: Landside Civil and Building Works.

The Department of Infrastructure and Regional Development (DIRD) had previously anticipated Stage 1 main works would likely to be procured through a traditional two stage Design & Construct contract process.

Stage 1 main works packages will involve construction of:

- a 3.7-kilometre runway, aprons, taxiways and other appropriate aviation facilities;
- a terminal with a floor area of up to 90,000 square metres;
- car-parking facilities for around 11,500 cars; and
- onsite roads and utilities.

Stage 1 is scheduled for completion in 2026.

As part of enabling activities, an RFT for the provision of geotechnical investigation services was released in October with JK Geotechnics awarded the contract in November 2017An RFT for the provision of land survey services was released on 31 October, with tenders due on 27 November The contract is expected to be awarded in December 2017.

Registrations of Interest (ROIs) for the early earthworks contract opened in December 2017. ROIs will close on 21 February 2018, with an RFT to be released shortly after in late February.

Various advisory and assurance roles with WSA Co. and DIRD will be tendered throughout the life of the project.

EOIs for a Project Management and Technical Support services contract with DIRD opened in August 2017 and closed on September 1. Shortlisted EOI respondents will then be invited to participate in a limited Request for Tender (RFT) process. The successful tenderer will support DIRD in establishing a project management office, undertaking technical reviews, providing procurement oversight, and undertaking general project management services as required.

EOI's for the Project Management contracts with WSA Co. for the delivery of Package 1 and definition of Packages 2 and 3 are scheduled to be released in January 2018, followed by an RFT in March with the contract to be awarded in May 2018.

WSA Co. was established in August 2017, with Paul O'Sullivan appointed as the Chairman.

Consultations

An industry information session was held on 5 December 2017 by WSA Co. to provide further procurement information on the Main Works, Enabling Activities and WSA Co. professional services contracts.

On 1 November 2017, the Sydney Business Chamber, DIRD and the NSW Department of Industry held the Western Sydney Airport Conference to explore a range of issues, including opportunities to attract industry to the region, procurement, governance, planning and design.

Project Development

The preferred location for Sydney's second airport was set at Badgerys Creek in 1999 after being touted for decades.

Under the 2002 Sydney (Kingsford Smith) Airport Sale Agreement, Sydney Airport had a Right of First Refusal to develop and operate a second Sydney airport. The Right of First Refusal process began in 2014 and took two years to complete, which involved a consultative phase and a contractual phase. The consultation phase began in September 2014, with Sydney Airport accepting the Federal Government’s invitation to participate in the consultation process.

In December 2016, the Federal Government issued a 'Notice of Intention' (NOI) to Sydney Airport Group - setting out the formal contractual terms for Sydney Airport Group to develop and operate Western Sydney Airport at Badgerys Creek. The NOI comprises detailed legal documents specifying terms for developing and operating the Western Sydney Airport.

In May 2017, Sydney Airport Group announced it would not accept the NOI for WSA. This was followed by an announcement from the Federal Government that it will build WSA, and not offer the private sector the opportunity to develop WSA.

In the event the NOI was accepted, these terms would form the basis of the contract between Sydney Airport Group and the Federal Government. As the NOI was not accepted, the Government had the option to develop the airport itself, or seek out a new partner under similar terms as those offered to Sydney Airport Group.

The Federal Government's delivery of the project will move forward with terms that are consistent with the terms of the NOI.

Western Sydney Airport Corporation (WSA Co.)

The Federal Government announced in the 2017-18 Budget that up to $5.3 billion in equity would be invested into the Government-owned company WSA Co. from FY2017-18 to build the airport. WSA Co is expected to be established in Q1 FY2017-18 . $8.7 million over 10 years from FY2017-18 will be allocated to DIRD and Department of Finance for shareholder oversight of WSA Co.

Supporting Infrastructure

The Federal and New South Wales governments have also jointly committed $3.6 billion towards the Western Sydney Infrastructure Plan to support transport access to the new airport and within the region.

In addition both governments are jointly undertaking the Western Sydney Rail Needs Study which is considering six potential rail links between the WSA and Western Sydney. The Study's final report will be provided to both governments for consideration in the first half of 2017.

In March 2017, it was announced that a consortium led by SNC-Lavalin will develop the Rail Feasibility Design for rail infrastructure on the Western Sydney Airport site.

The Federal Government indicated in the 2017-18 Budget that part of the $10 billion National Rail Program announced could be allocated towards a Western Sydney Airport Rail Link, subject to a proven business case.



Last reviewed: 16/02/2018

WSA Main Works Package 1 - Bulk Earthworks and Airside Civil Works


PROJECT
PIPELINE
STATUS

Prospective pipeline

Credibly proposed

Announced

Under procurement

Preferred bidder announced

Recently closed
 WSA Main Works Package 1 - Bulk Earthworks and Airside Civil Works

STATUS: Under procurement
SECTOR: Other transport
JURISDICTION: Commonwealth,NSW
PROCUREMENT APPROACH: Traditional procurement
TYPE: Greenfield

Western Sydney Airport (WSA) will be developed by Federal Government-owned Western Sydney Airport Corporation (WSA Co.) in stages in response to passenger demand. Stage 1 will see a single runway airport constructed with capacity for up to 10 million passengers a year. WSA Co. announced in November 2017 that the main works will be tendered in three separate packages.

Package 1 will comprise:

- earthworks to move and redistribute 22 million cubic metres of soil;
- drainage, detention basins and water treatment facilities;
- utilities; and
- pavements for the northern runway, taxiways and aprons.

The package is to be a fixed price lump sum Design and Construct contract, with a reference design developed by GHD. WSA Co. intends to utilise a collaborative tender process for procurement and is proposing to provide unsuccessful tenderers with a capped monetary contribution to offset tender development costs.

Registrations of Interest for the package were called for on 9 February, while Expressions of Interest (EOIs) are indicatively scheduled for June 2018. EOIs will be due in August and will be followed by a Request for Tender (RFT) issued in September or October 2018. A preferred tenderer is to be selected in mid-2019 with package works scheduled to commence in the second half of 2019.

The works are scheduled to be completed in mid-2025.



Last reviewed: 16/02/2018

WSA Main Works Package 2 - Terminal and Speciality Works


PROJECT
PIPELINE
STATUS

Prospective pipeline

Credibly proposed

Announced

Under procurement

Preferred bidder announced

Recently closed
 WSA Main Works Package 2 - Terminal and Speciality Works

STATUS: Announced
SECTOR: Other transport
JURISDICTION: Commonwealth,NSW
PROCUREMENT APPROACH: Traditional procurement
TYPE: Greenfield

Western Sydney Airport (WSA) will be developed by Federal Government-owned Western Sydney Airport Corporation (WSA Co.) in stages in response to passenger demand. Stage 1 will see a single runway airport constructed with capacity for up to 10 million passengers a year. WSA Co. announced in November 2017 that the main works will be tendered in three separate packages.

Package 2 will comprise the construction of the terminal building along with airside to landside interface works. WSA Co. has also indicated speciality works and services such as baggage handling, security and IT will be integrated with the Package.

WSA Co intends to commence procurement of Package 2 in 2020 after Package 1 (earthworks, drainage, utilities and airside pavements) has been awarded, which is expected to be in early 2019. Contract award and construction commencement is indicitively scheduled for 2022.



Last reviewed: 19/02/2018

WSA Main Works Package 3 - Landside Civil and Building Works


PROJECT
PIPELINE
STATUS

Prospective pipeline

Credibly proposed

Announced

Under procurement

Preferred bidder announced

Recently closed
 WSA Main Works Package 3 - Landside Civil and Building Works

STATUS: Announced
SECTOR: Other transport
JURISDICTION: Commonwealth,NSW
PROCUREMENT APPROACH: Traditional procurement
TYPE: Greenfield

Western Sydney Airport (WSA) will be developed by Federal Government-owned Western Sydney Airport Corporation (WSA Co.) in stages in response to passenger demand.

Package 3 will comprise the construction of landside roads, carparks and associated works.

WSA Co intends to commence procurement of Package 3 in 2020 after Package 1 (earthworks, drainage, utilities and airside pavements) has been awarded, which is expected to be in early 2019. Contract award and construction commencement is indicitively scheduled for 2022.



Last reviewed: 16/02/2018

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