Melbourne Avalon Airport this week saw its first AirAsia X international flight take off. The new flight sees AirAsia X move its twice daily Kuala Lumpur – Melbourne Tullamarine flight as part of a 10 year deal with operator Linfox Airports, which the airline signed early this year.
As part of the deal, a new terminal was built to facilitate international operations (the airport had only previously catered to domestic operation) in partnership with the Commonwealth and Victorian governments. The new terminal features border processing facilities, two duty free stores, tax refund facilities, as well as a bar and cafe spanning across 6,370 square metres. The airport anticipates 500,000 passengers will pass through its newly built international terminal during its first year of operations.
AirAsia X is the only airline currently offering international flights from Avalon. Whilst the move from some in the sector feel that shift to Avalon is risky for AirAsia, the large subsidies from the Victorian Government will ensure that the move from Tullamarine to Avalon is at least cost effect. Combined with Geelong experiencing a large spike in population growth in recent years due to its close proximity to Melbourne and housing options, the move to me seems quite a smart one. I don’t envision that the move will pay dividends instantly but give it one to two years and I believe Avalon will be a viable option for price conscious flyers looking to fly between Melbourne and Asia.