Sydney Airport Plans T2 Domestic Investment

Sydney Airport (SYD) has announced plans for a A$200 million ($130 million) renovation of its T2 Domestic terminal, marking the first significant upgrade in more than three decades.

Key improvements will include the installation of additional self-service kiosks and updated bag drop systems, enabling passengers to expedite the check-in process. The airport plans to increase baggage processing capacity from 1,500 to 1,800 bags per hour by 2026.

In compliance with the Australian government's mandate to implement "standard three" security equipment by the end of 2025, T2 will feature new technology. This includes scanners across seven processing lanes, allowing passengers to keep items like laptops and liquids in their carry-on luggage during screening. The new system is expected to process 500 passengers per hour per lane, more than doubling the current average throughput.

“These upgrades will not only transform security performance, but will also support future demand, ensuring that Australia’s busiest airport terminal can accommodate the significant growth in passenger numbers we’re forecasting,” says Sydney Airport CEO Scott Charlton. “We believe these changes will make the T2 experience one of the fastest and most efficient in Australia, which is a great outcome for passengers and our airline partners.”

Built in the 1990s to accommodate 8 million passengers, T2 Domestic hosts Virgin Airlines, Jetstar and regional airlines, with more than 17 million passengers annually.