STRATEGIC PLAN

Project undertaken
For the City of Greater Bendigo

May 2017
DRAFT V.07
2
ii CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN

City of Greater Bendigo:

Bendigo Airport
Strategic Plan

This project has been conducted by REMPLAN

Project team

Nick Byrne
Principal Consultant

Phillipa Allan
Consultant

November 2016
REMPLAN and the City of Greater Bendigo hold all rights in relation to this document. Reproduction or
distribution of this document in part or as a whole, requires the express permission of either of these
parties.

Disclaimer
All figures and data presented in this document are based on data sourced from the Australian Bureau
of Statistics (ABS) and other government agencies. This document is provided in good faith with every
effort made to provide accurate data and apply comprehensive knowledge. However, REMPLAN does
not guarantee the accuracy of data nor the conclusions drawn from this information. A decision to pursue
any suggestions mentioned in the report is wholly the responsibility of the party concerned. REMPLAN
advises any party to conduct detailed feasibility studies and seek professional advice before proceeding
with any action and accept no responsibility for the consequences of pursuing any of the findings or actions
discussed in the document.

Contact Us:
Remplan
Po Box 5006
Sandhurst East,
Bendigo, VIC 3550
Tel: 1300 737 443
Email: info@remplan.com.au
 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN iii
3

Contents

Disclaimer ii

1 The Strategic Plan 4

1.1 Purpose of the plan 4

1.2 Structure of the plan 4

2 The Bendigo Airport 5

2.1 Vision 5

2.1.1 Economic statement 5

2.1.2 Objective 5

2.2 Current context 7

2.2.1 The Bendigo Airport Precincts 8

2.3 Drivers of change 10

3 Strategic Directions 11

3.1 Strategic Direction 1 Connected and active regional transport hub 11

3.1.1 Strategic Direction 1 - Actions 12

3.2 Strategic Direction 2 Transformative operations and project delivery 14

3.2.1 Strategic Direction 2 - Actions 14

3.3 Strategic Direction 3 Ongoing financial viability 16

3.3.1 Strategic Direction 3 - Actions 18

3.4 Strategic Direction 4 Governance for the future 19

3.4.1 Strategic Direction 4 - Actions 20

4 Implementation of the Plan 21

4.1 Implementation, monitoring and review 21

4.1.1 Summary of Strategic Plan actions 21

4 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN

1. The Strategic Plan

Bendigo is located in the geographic centre of
the state. The City of Greater Bendigo covers an
area of 3,000 square kilometres and is home to
over 110,000 people. Bendigo is the largest urban
area in northern Victoria and southern New South
Wales. Bendigo provides a geographic base for
an extensive region supplying high order services
in fields such as health, education, finance
and banking, advanced manufacturing, food
processing, arts and culture, and government
services.
With the largest capacity airport in north central
Victoria the region served is extensive. The map
below indicates the extent of the region that can
readily access Bendigo Airport as against any
other airport with a relative level of capacity. The
region embraces the regional centres of Bendigo,
Shepparton, Echuca and Swan Hill together with
a range of smaller centres such as Castlemaine,
Deniliquin, Maryborough, Kyabram and Kerang.
The catchment area for Bendigo Airport embraces
an area of over 25,000 square kilometres, one
of Australias most productive agricultural and
horticultural regions with an estimated population
of over 300,000 people.
Establishing and expanding Bendigo Airport
as a key transport hub is a priority for the
region and strongly supports its aspiration for
Greater Bendigo to be the worlds most liveable
community.
1.1 Purpose of the Strategic Plan
The Plan has been developed to provide a clear set of
actions and associated tasks to guide development at
Bendigo Airport over the next five years (until 2022).
The Plan provides strategic guidance to enable
the Bendigo Airport to successfully transition from
a registered airport with general aviation activities
to a certified and commercially viable airport that
includes Regular Passenger Transport (RPT) services.
It will also outline opportunities for the non-airside
land, which underpins Bendigo Airports long term
commercial viability.
Recommendations for the successful implementation
of the plan, including appropriate governance
requirements, are also addressed in this document.
1.2 Structure of the Strategic Plan
The following Plan has been developed in close
consultation with Bendigo Airport Advisory
Committee and key City of Greater Bendigo staff,
including the Airport Manager.The Plan provides
an overview of Bendigo Airport, including a draft
vision for its long term redevelopment. Following a
short summary of Bendigo Airport Precincts and key
drivers of change, the Plan outlines four key strategic
directions and associated actions. A summary of the
actions arising from the development of the plan is
also provided, which details key actions, dates, and a
process for monitoring and review.

Cities the size of Bendigo require sophisticated

Swan Hill
transport methods and there is a long-held
local ambition for Bendigo Airport to support
Denilliquin
the movement of residents and visitors, and the
freight of goods and services both nationally and
internationally. Kerang

Strong growth in Bendigos diverse economic

base, including health care, financial and
insurance services, and professional services
continue to drive job creation, population Echuca
expansion and established business activity.
Kyabram
These factors underpin the importance of
Shepparton
continued investment in Bendigo Airport. As Wedderburn

Bendigo Airport expands its own services and

Bendigo as a destination, there is a mandate to St Arnaud
ensure it is financially sustainable and profitable.
Bendigo
This Strategic Plan (the Plan) sets out a clear
vision, objectives and priority actions to drive this
transformation of Bendigo Airport.
Maryborough
Castlemaine

Kyneton

2. The Bendigo Airport
2.1 Vision
To link passengers and freight within the Loddon
Campaspe region to national and international
destinations.
2.1.1 Economic statement
To establish and maintain an economically
viable airport that attracts commercial transport
operators; encourages job growth across the
airport and surrounding commercial precincts;
and supports business prosperity in the region by
connecting Bendigo nationally and internationally.
Economic viability will be achieved by creating
sustainable revenue and recognisable economic
value within the Bendigo Airport itself and
Bendigo Airport precinct sites across airline
operations and a range of passenger, freight,
general aviation, and allied retail and commercial
opportunities.
Figure 1 Bendigo Airport Proposed Flight Path Map
BENDIGO
Primary Destinations
Secondary Destinations
CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN 5
2.1.2 Objective
The Plans objectives for Bendigo Airport include:
Becoming a transformative community asset,
acknowledged as a pivotal community resource
that supports a diverse and robust economy
underpinned by prosperous and connected
communities
Ensuring delivery of the highest levels of safety
and security in regard to airport operations
Creating value (financial and in-kind) that is
aligned with the regional economy through a
range of credible, profitable and viable economic
activities supporting a range of passenger, freight
and general aviation services
Extending essential community services for
emergency and natural disaster responses
Engaging proactively with the community to
ensure Bendigo becomes a thriving transport hub
that is valued by the community
Being the preferred travel method for interstate
and international visitors travelling to and from
Bendigo and the Loddon Campaspe region
Being a major generator of employment and other
economic benefits for Bendigo and the Loddon
Campaspe region through providing quality
transport facilities and services including freight
Ensuring we continue to enhance the range of
facilities, products and services offered to meet
customer expectations
The vision and objectives will be achieved through
a range of actions aligned to the following
strategic directions:
Strategic Direction 1
Connected and active regional transport hub
Strategic Direction 2
Transformative operations and project delivery
Strategic Direction 3
Ongoing financial viability
Strategic Direction 4
Governance for the future
6 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN
2.2 Current context
Bendigo Airport is located four kilometres
north-east of the Bendigo CBD (Figure 2). The
land around Bendigo Airport is relatively flat
and adjoined by areas of low density residential
development, industrial activity and the Wellsford
Forest.
Bendigo Airport is a registered airport and
home to Bendigo Flying Club, HEMS 3 Air
Ambulance helicopter service and DELWP
temporary emergency service during fire season,
as well as commercial operations including jet
charter services and a flying school. Previous
development, completed in 2014, included the
creation of 25 hangar sites, three taxiways and
upgrades to road access and drainage.
With the development of the new 1,600m runway
underway, opportunity exists to allow 70-seat
aircraft to fly in and out of Bendigo and encourage
further economic development to the region. The
third stage in developing the Bendigo Airport will
include the addition of a business park, expected
to include airside commercial (five lots), airport
compatible business (16 lots) and private hangars
(68 lots).
Figure 2 Bendigo Airport city context
Bendigo is located to the north of the Great
Dividing Range and enjoys a warm mediterranean
climate, averaging 240 rain-free days per year.
The area avoids extreme weather conditions such
as strong wind and snow and has an average
temperature in January of 29 degrees and 12
degrees in July. The pleasant weather conditions
make Bendigo a reliable location for aircraft
activities including Regular Passenger Transport
(RPT) operations, flight training and emergency
services.
The Bendigo Airport Master Plan (2007) and the
Bendigo Airport Strategic Plan (2009) have driven
key actions including:
Purchase of three neighbouring properties to
accommodate the development of a new high
capacity north-south runway
Adopting new property lease arrangements for
Bendigo Airport to improve business, investment
certainty and revenue generation
Attracting a number of new tenants including the
new charter company My Jet, which has invested
more than $1.5M at Bendigo Airport
Construction of 25 new hangar sites in Precinct 1
General aviation
Appointing a dedicated Airport Manager for the
first time in the life of Bendigo Airport

Improving the main road entrance, erecting new
fencing, and installing new apron line markings
and signage in accordance with Civil Aviation
Safety Authority (CASA) requirements
Refurbishment of the former airport terminal
building currently vacant and ready for first
stage of Regular Passenger Transport (RPT)
operation
Reviewing and amending the planning scheme
and associated strategic direction to ensure
capital works and future services are supported
by land use planning
Completing detailed (tender ready) engineering
design and preliminary costing on the proposed
business park
Attracting co-funding support from all three levels
of government for the stage 2, $15M runway
realignment and associated capital works and
works completed
2.2.1 The Bendigo Airport Precincts
The Plan seeks to consolidate the previous focus
on construction activity and associated capital
work stages by consolidating them into precincts
within Bendigo Airport.
Bendigo Airport is defined by the following four
precincts:
Precinct 1 - General aviation
a. General aviation
b. Aircraft hangars and maintenance
c. Commercial and emergency services
Precinct 2 Airside
a. Terminal Complex
b. Ancillary Support Services
c. Aircraft Parking
d. Runway Infrastructure
Precinct 3 - Business and public
a. Business park
b. Commercial precinct
Precinct 4 Future development (to be defined)
a. Commercial precinct
Figure 3 provides a map of Bendigo Airport
precincts.
CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN 7
2.3 Drivers of change
A renewed Strategic Plan for Bendigo Airport is
required to ensure the appropriate resources are in
place to enable the next phase of project delivery,
operational management and investment attraction.
Engagement with the Bendigo business
community has been conducted and RPT
demand has highlighted the importance of
routes for business purposes and from Bendigo
to key interstate connections in South Australia,
New South Wales and Queensland (See Figure
1: Proposed Flight Path Map). According to
Infrastructure Victoria, freight volumes across
Victoria are expected to increase over the coming
decades, though consideration must be made into
whether air freight will have the same demand
as freight conducted via rail and road throughout
the region. Detailed local assessment of freight in
Bendigo is underway and should inform strategies
to integrate Bendigo Airport with the movement
of goods to and from the region.
Significant economic development opportunities
exist within the region and Bendigo Airport is
ready for the next level of investment. Ongoing
engagement with residents in the wider Loddon
Campaspe area will assist in increasing the
perceived and real value of Bendigo Airport
to ensure the site meets the needs of the
community now and into the future.
Bendigo is 141kms from the closest major
airport, Melbourne Airport. Identified regular RPT
destinations include Sydney (841 km), Canberra (626
km), Adelaide (621 km) and Brisbane (1,604 km).
Bendigos central location in Victoria is an attractive
destination for freight carriers, emergency services
and State and Federal Government administration.
Key future priorities include:
1. Commercial management Ensure the
Bendigo Airport is a commercially-sensitive
organisation by understanding our customers,
our strengths and ensuring we seek to improve
performance; while simultaneously seeking
increased local investment in both airside and
non-airside opportunities
2. Operations - Ensure the Bendigo Airport meets
regulatory compliance standards as it transitions
from a registered to a certified airport; and
exceeds the expectation of customers.
Consideration must be made to airport security,
safety, noise and environmental monitoring,
day/night activity and pest management
8 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN

Figure 3 Bendigo Airport Precincts

 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN 9

3. Project Management Successfully

commission the current Precinct 2: Airside
capital works program and deliver the Precinct
3: Business and public redevelopment. Deliver
an updated Masterplan regarding Precinct 4.

4. Governance Ensure Bendigo Airport has an

effective corporate governance structure that
drives performance, meets legal and regulatory
requirements and is in line with the renewed
strategic direction.

Having completed works on upgrading airside

facilities to support a new Class 3C runway,
attention must shift toward changing Bendigo
Airport as a whole. Bendigo Airport remains a Tier
6 Airport and significant effort is required to shift
its status to include RPT services (Figure 4).

Figure 4 National Aviation Infrastructure Network Bendigo Airport aims to move to the left

Tier 1 Tier 2 Tier 3 Tier 4 Tier 5 Tier 6 Tier 7

Capital city Non- Major Major Regional Regional Remote

airports capital city regional regional airports airports community
international airports RPT airports without without aerodromes
gateway with direct without direct RPT (exist for
airports interstate direct interstate services community
services interstate services (general service
services (with less aviation aviation:
(with more than 20,000 operations medical,
than 20,000 passengers) only) emergency
passengers) flights)

E.g. E.g. E.g. E.g. E.g. E.g. E.g.

Tullamarine Coolangatta Alice Mildura Wagga Ballarat Tibooburra
Springs Wagga

Bendigo Airport does not currently generate
adequate income to match its operating
expenditure. Long term, Bendigo Airport has
objectives to increase and diversify its revenue
streams. This includes RPT route development,
growth of general aviation activities, freight
services, car parking and commercial
leases/land agreements.
To achieve this, increased engagement between
existing and new stakeholders of Bendigo Airport
will need to manage change, ensure compliance
with regulatory requirements and drive
investment activities.
It is important Bendigo Airport continues to meet
regulatory compliance standards as it transitions
from a registered airport to a CASA-authorised
certified airport. The key differences between
registered and certified airports include airport
manual, a safety management system, airport
technical inspection and a suite of integrated
quality assurance reporting systems.
10 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN
Personal profile
Brad Martin
Bendigo has been
home to a Helicopter
Emergency Medical
Service since July
2001. Brad Martin is
one of seven MICA
flight paramedics based at the Bendigo
Airport. He has been an Air Ambulance
paramedic for eight years and has been
attending critical incidents across northern
Victoria and southern New South Wales for
the past five years.
Patients as far north as Finley, Jerilderie,
Swan Hill and Mildura, and those to
the west in Stawell, Horsham and the
Grampians have all benefited from the
Bendigo Air Ambulance service and
its convenient location in the centre of
Victoria.
About half of Brads work involves
supporting road ambulance crews at
traumatic cases, such as car, motorbike,
farming and horse riding incidents. The
other half focuses on transferring patients
from regional hospitals so as they can
access specific medical skills found in
Melbourne hospitals. Winch and water
rescue operations are also part of the job,
so its physically demanding too.
The crew attends to about 40 incidents
a month, similar to a metropolitan Air
Ambulance workload.
The role of an Air Ambulance officer is very
challenging and clinically demanding,
requiring more expertise than a general
ambulance officer. A stringent process
is applied to selecting Air Ambulance
officers. They must all start in a road crew
before applying to commence a MICA
intensive care paramedic course. From
there, theres an opportunity to apply for
the Air Ambulance.
Brad considers Bendigo Airport
redevelopment to be good for the
community and welcomes the idea of
private businesses making better use of it.
3. Strategic Directions
3.1 Strategic Direction 1
Connected and active
regional transport hub
Infrastructure investment at Bendigo Airport is
central to repositioning the asset to a transport hub
that links passengers and freight within the Loddon
Campaspe region to national and international
destinations. Engagement through a co-ordinated
marketing and investment attraction strategy will
be critical in achieving this objective.
A commercial transport operator is required to
anchor the RPT services from Bendigo Airport
and ensure delivery of a sustainable and reliable
service. Opportunities exist for Bendigo Airport
to act as an alternative airport for aircrafts
experiencing landing constraints as a result of
weather, emergency and risk management.
Further consideration should be placed on
attracting additional tenants into Precinct 1
General aviation, which includes general aviation,
aircraft hangars and maintenance.
Opportunities exist to explore Public Private
Partnership investment opportunities, particularly
for regular travellers or regular freight customers.
There will be continued focus on investment
opportunities into Precinct 3 - Business park and
commercial precinct, cornerstone of the overall
Bendigo Airport development. Economic analysis
indicates that a fully operational business park
could support $178M in output and up to 439
jobs. There is a strong requirement to maintain a
focus on this aspect of the overall Bendigo Airport
development through actions to secure funding,
develop a business case and consider the best
commercial arrangement for ownership. Further
land, potentially for freight-related activity is
available for investment within Precinct 4 of the
Bendigo Airport. There is an opportunity to further
investigate formal relationships between the
freight services and commercial operators in and
around Wellsford Road, East Bendigo.
Ensuring the terminal building is fit for purpose and
meets the needs of increased use of visitors to the
region will be critical for future investment. As the
key point of interaction upon arrival and departure,
the terminal building provides an opportunity
to engage with business, government officials,
tourists and flight crews, promoting the values
of the Bendigo region and central Victoria. The
building should be well maintained and functional
with a high profile reception facility as well.
 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN 11

3.1.1 Strategic Direction 1 Actions

Table 5 provides an outline of the actions to support Strategic Direction 1.

Table 5 Strategic Actions to support a connected and active regional transport hub

Key performance
Strategy Action Priority Timing
measure
Precinct 1:
Immediate
Co-ordinated Prepare an investment prospectus and Prepare investment
Precinct 2:
investment program that outlines opportunities for High prospectus and
6 12 months
attraction investment at Bendigo Airport program
Precinct 3 & 4:
12 - 24 months
Regular media,
Continue to enhance the profile of news and reporting
Bendigo Airport as a regional transport of Bendigo Airport
hub for business, general aviation and Medium Ongoing progress
emergency services strongly aligned to
the liveability of the region Review Airport
Enhance name
regional
business Work with key
Engage with business community
engagement regional business
(through Business Excellence Bendigo,
to build a organisations and
Agri-Business Forum, Bendigo Health, Medium Ongoing
foundation networks, analyse
Bendigo and Adelaide Bank) to identify
for RPT and understand
business development opportunities
community needs

Business survey
Engage with community to develop a
developed,
quantitative assessment of potential High 2017 - 2019
delivered and
Strategic Direction 1

future users
results analysed

Undertake activities to attract and Commercial

Attract secure RPT services for the transport operator
commercial Bendigo Airport secured for Bendigo
High 2017 - 2020 Airport by 2019
transport Investigate adequacy of terminal
operator building to meet future RPT Improve terminal and
requirements other shared areas

Develop and Precinct 3 & 4

Ensure attraction strategy addresses non-airside
implement
project feasibility and funding business case
business case
mechanisms that recognise the High 2017 - 2018 developed
and investment
intrinsic link to Bendigo Airport
attraction Precinct 4
operations and land use development
strategies Masterplan delivered
Ensure
recommendations
Align local strategies for land use and from the City of
airport investment with the findings Greater Bendigo
Medium 2017 onwards
Increase the of the City of Greater Bendigo Freight Freight Study are
alignment Study programmed into
between Airport business
Bendigo planning
Airport Annual reporting
business by City of
and regional Work with the City of Greater Bendigo
Greater Bendigo
freight activity to identify opportunities to strengthen
and Bendigo
freight-related business activity both Medium 2017 onwards
Airport indicate
through Bendigo Airport and within the
strengthening
proposed Precinct 3 business park.
freight industry
involvement
12 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN

Personal profile 3.2 Strategic Direction 2

Transformative operations
ROB JARVIS and project delivery
Rob Jarvis The future of Bendigo Airport will result in
comes from a increased complexity of operations. Adaptive
family of aviation resourcing strategies will be required to support
professionals. the increasing level of operational intensity across
Robs father was a the Bendigo Airport.
general aviation pilot
Ensuring Bendigo Airport meets regulatory
and regularly flew interstate to conduct
compliance standards as it transitions from a
business and his interest in flying flowed to
registered to a certified airport with increased
the next generation. One of Robs brothers
CASA involvement is fundamental to manage
was a commercial pilot and captain with
two major international airlines flying ongoing operations and attract new investment.
Fokker F28s, Boeing 747s and 777s, while
the other is a senior aircraft engineer
The Bendigo Airport Manager role is multi-
managing maintenance at the East Sale
dimensional and typically involves a range of
Royal Australian Air Force base and runs
skills including general administration, project
his own flying school at Sale Airport.
planning, management, commercial negotiation
Rob also has an impressiversumof and technical aviation management.There is
flight experience. He has worked with a need to develop an integrated management
Parks Victoria and Victorian emergency system and required performance outcomes.
services for 39 years, mainly in flood A skills audit to support the Bendigo Airport
and fire response, and participated in should remain an ongoing focus as the scale and
numerous operational aviation roles at diversity of operations across both airside and
major campaign fires in Victoria, New
non-airside activities advance, including increased
South Wales and South Australia. Rob
freight, general aviation, RPT services and the
has also supported three American fire
development of the business park.
agencies in Montana, Idaho and Oregon.
During his time assisting emergency The development of the business park is currently
services, Rob was an Air Operations limited by site constraints, particularly provision
Manager, Air Attack Supervisor and Air of adequate infrastructure services. Actions
Observer, and conducted fire aviation that de-risk Precinct 3 and ensure development
training, some of which took place at can proceed as planned will be important for
Bendigo Airport.On numerous occasions attracting future investment.
Bendigo Airport has been used as an
airbase to respond to major fire, flood and
locust plague control.
Rob said he is looking forward to the
completion of the new Bendigo Airport
runway, which will secure its future as
an emergency services hub for central
Victoria and the wider region.
Rob was awarded an Australian Fire
Services Medal in 2012 for his contribution
to fire, aircraft operations and safety.
Rob has also conducted many air tours
out of Bendigo Airport, taking passengers
over central and eastern Australia, and has
worked as a flying instructor for Bendigo
Aviation Services.He recently retired from
professional flying but intends to continue
taking to the skies for recreational
purposes.
 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN 13

3.2.1 Strategic Direction 2 Actions

Table 6 provides an outline of the actions to support Strategic Direction 2.

Table 6 Strategic Actions to support transformative operations and project delivery

Key performance
Strategy Action Priority Timing
measure
Match human
Review the roles and functions of Human resources
capital
existing Bendigo Airport to ensure strategy that
resourcing
there is a focus on current and future Immediate FY2017-18 supports business
with project
Bendigo Airport operations and planning has been
delivery and
grounds management requirements developed
airport need
Prepare a gap analysis that outlines
Ensure
the procedural policy, infrastructure
reporting and Gap analysis
and resourcing gaps between current High FY2017-18
compliance complete
operations and future Bendigo Airport
actions
certification requirements
strengthen
the transition Update Bendigo Airport Manual to meet Updated Airport
High FY2016-18
to CASA future certified airport requirements Manual completed
certification
Integrated
and meet Develop Integrated Management
Management
legislative System and determine associated High FY2016-18
System developed
requirements performance indicators
and operational

Effectively
Undertake asset management
manage and Bendigo Airport
planning to audit and review suitability
maintain Medium FY2017 19 Asset Management
and adequacy for future asset
Bendigo Plan completed
Strategic Direction 2

management budget finance

Airport assets

Manage
engagement Ongoing annual
Continue a process of engagement
with existing reporting by
and communication with existing Medium Ongoing
general aviation Bendigo Airport
aircraft owners and operators
owners and Manager
operators
Recruit appropriately skilled
technical resources to ensure timely Staff/contractor
Immediate FY2016-17
commissioning and certification of recruited
Class 3C runway

Development of business plan that

Support supports the Stage 2 business case.
actions The business plan should establish
to ensure the operational costs associated
commissioning with Bendigo Airport precinct.
and effective This includes cross charges and
management Airside Business
strategies to guide future resourcing, High FY2017 18
of Precinct 2 Plan completed
alignment with market/investment
strategies and financial forecasts
Recruitment strategies that
address the operational and project
management functions of the Bendigo
Airport should be clearly outlined

Prioritise Pending the direction of the Precinct

Project delivery
the project 3 renewed business case, prepare
and commercial
delivery and a plan for the project delivery and Medium FY2018 19
management plan
commercialisation commercial management of the
prepared
of Precinct 3 business park
14 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN

3.3 Strategic Direction 3 raising. Renewing the business case to secure

Ongoing financial viability
Bendigo Airport precinct must operate with a
sustainable economic focus and be financially
viable into the long term. Implementing the Stage
2 Bendigo Airport Redevelopment Business
Case is at the core of Strategic Direction 3
to ensure that government investment and
forecast operational expenditure is matched by
income growth with a focus on RPT and revenue
generated through this new service.
During the construction phase, there were limited
income growth opportunities, compared with
outgoing operational and capital expenditure.
While forecast shortfall in operational income is
experienced across a number of regional airports,
there is a strong desire to increase the diversity
of revenue streams to drive a sustainable level of
financial viability.
The need to identify the intrinsic and locally specific
strengths of Bendigo Airport is central to increasing
revenue in both scale and diversity. Revenue from
existing tenants provides an important annual
contribution to Bendigo Airports operations.
Opportunities exist to further investigate and define
a fees and charges structure to diversify and
extend income through new revenue sources. The
Stage 2 Business Case identified RPT and leasing
revenue streams as the primary opportunity for
revenue creation at Bendigo Airport (Figure 3).
The completion of the Precinct 3 business park
has been identified as critical for future revenue
additional funding support to address current
infrastructure shortfalls remains a priority.
Investment in human and built capital is required
to realise future commercial opportunities arising
from land development.
Completing a cost analysis to determine
quantified pricing and accounting for Bendigo
Airports total costs is required to determine cost
centre budgeting, ongoing revenue forecast and
future profit and loss. Benefit to the community
must be clearly reflected, accounted and
appreciated in any regular review of Bendigo
Airport. Bendigo Airport has a vision to provide
both passenger and freight service, as well as
extending the established emergency services
base. Ensuring operations are financially
sustainable is at the centre of the long term vision
for Bendigo Airport.
Increasing alignment between Bendigo Airport
and the business community will be important
to strengthen freight-related business activity
through Bendigo Airport and within the proposed
Precinct 3 business park.
Commercial opportunities exist to capitalise on
increased activity across Bendigo Airport because
of both business and passenger use. Ultimately,
the focus on sustainable economic management
of Bendigo Airport that lessens the requirement
for government support is a priority of this
Strategic Plan.

Figure 3 $1,500
Bendigo
Airport
revenue
forecast $1,200
post RPT
establishment
($000s)

$900

$600

$300

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Source: SED Advisory (2014) Ready for Take Off: Bendigo Airport Redevelopment Business Case

Personal profile
ANGUS BAXTER
Angus Baxter is a first
generation pilot. His love
of flying started with a trial
introductory flight at the
age of 13. Its the way most
students first take flight and
they get to have a go at flying the aircraft.
Angus was hooked and requested vouchers for
lessons for Christmas and birthdays after that,
and went about researching the types of job
opportunities available in the aviation industry.
To become a qualified pilot takes about 200 hours
of training and after he finished school it took
Angus about two and a half years to achieve his
commercial pilot licence and instructor rating.
Hes now a fully qualified commercial pilot, flying
charter planes and leading flight training at
Bendigo Aviation Services. The charter flights take
him anywhere in Australia, most often regional
Victoria and sometimes New South Wales or
South Australia.
Angus is excited about the new runway and the
impact it will have on providing new opportunities
for Bendigo and the wider region.
For Angus, he believes the longer runway will
be attractive to regional airlines and means the
community can be more connected to cities and
towns outside of Bendigo. Hes also excited about
the job opportunities it will create for local current
and aspiring pilots.
CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN 15
Personal profile
Dr Robert Proctor
Dr Robert Proctor was
around 50 years old when
he finally said to himself:
If I dont learn to fly now,
I never will.
For Dr Proctor, flying is in the
family. His great uncle was a pilot in the First World
War, while two uncles were pilots in the Second
World War.
Now aged 75, the third generation pilot combines
his love of flying with practising medicine. Each
Monday the psychiatrist flies his Piper Aerostar
from Bendigo to Swan Hill, where he sees patients
on Tuesdays before flying to Horsham Tuesday
evening in preparation for seeing patients on
Wednesdays. He heads for home on Wednesday
evenings, arriving after dark in
the winter months.
Despite being an instrument-qualified pilot, he
always flies the night before to avoid the risk of
early morning fog. At 200 knots, each flight lasts
about 35 minutes and means Dr Proctor can cover
a vast distance that driving simply wouldnt allow
on a regular basis.
Naturally, his patients think its very special to have
their doctor visit by flying his own plane a true
flying doctor. Flying also means Dr Proctor can
carry out his lifesaving work in some of the most
rural areas of Victoria that may otherwise miss out
on access to his specialist medical advice.
16 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN

3.3.1 Strategic Direction 3 Actions

Table 7 provides an outline of the actions to support Strategic Direction 3.

Table 7 Strategic actions to support Bendigo Airports ongoing financial viability

Key performance
Strategy Action Priority Timing
measure
Prepare annual report of Bendigo
Fully account
Airport operations that outlines
for precinct Annual reporting
detailed management and operations High Annually
income and complete
financial accounts including
costs
community and economic value

Quantify Fees and Charges

Develop and implement a Fees and
appropriate and associated
Charges and associated Conditions of
pricing for Medium 2017 Conditions of Use
Use Policy, with a focus on applying
use of airport Policy completed
the appropriate fees and charges
precinct and endorsed
Strategic Direction 3

Complete cost
analysis to
forecast total
costs, income, Develop and implement a budget Profit and loss
Medium 2017
ongoing forecast forecast complete
revenue and
future profit
and loss

Undertake a co-ordinated approach

across Bendigo Airport to identify
income streams, for example:
Increase Precinct 1 Fees, charges, Fees and Charges
income leaseholds, user agreements and associated
diversity
Precinct 2 RPT services, ancillary Medium 2017 Conditions of Use
to match
retail/passenger services, terminal Policy completed
business and
leases, passenger fees, commercial and endorsed
passenger use
anchor
Precinct 3 & 4 Land development
sale or lease agreements

3.4 Strategic Direction 4 forecast for the Bendigo Airport, specifically

Governance for the future
Good governance is imperative in operating a
financially sustainable, flexible organisation that is
in line with the needs of the community now and
for the years to come.
The current operational structure for Bendigo
Airport resides with the City of Greater Bendigo,
supported by Bendigo Airport Advisory Committee
(BAACC). This paring co-ordinates alignment
between the councils economic vision for the
Bendigo Airport and specialist community, aviation
and airport advice.
Existing governance arrangements have been
effective in planning and attracting significant
investment for the redevelopment of the Bendigo
Airport (Stage 2). However pressure points are
associated with RPT service delivery, Stage 3 Land
Development and ultimately the most appropriate
ownership/management structure to benefit
Bendigo Airport long term.
Consideration to be made to establish a Board
of Management that could include experienced
airport operator/s, technically competent
person/s, business representatives, airport users
and commercial development specialists to
ensure that Bendigo Airport is supported in its
immediate and ongoing need for commercial
and technical development.
It has been recognised that there is a need
for specialist skills, specifically to support the
transition of Bendigo Airport to reach RPT
capacity; and drive the commercialisation
of the Bendigo Airport (Figure 8).
 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN 17

Going forward, it will be important to establish a Figure 8 Recognised skill gap to drive RPT capability
core set of operating principles for the Bendigo and commercialisation at Bendigo Airport
Airport that define:

The role and function of the Current Stage

Board of Management
City of Greater Bendigo Advisory Committee
An agreed community value for the Bendigo
Airport as a strategic local asset; and
The commercial relationship between revenue
generated through development of Precinct 3 & 4
Business and public and the viable operations of
Precinct 2 Airside
RPT capacity
Recognised skill gap to support the
transition of Bendigo Airport to
reach RPT capacity

Commercial operation
Recognised skill gap to drive the
commercialisation of Bendigo Airport to
ensure it is financially sustainable

3.4.1 Strategic Direction 4 Actions

Table 9 provides the outline of the action to support Strategic Direction 4.

Table 9 Strategic Actions to support governance to match changing demands

Key performance
Strategy Action Priority Timing
measure
Undertake a Strategic Governance
Review of Bendigo Airport, the review
should include:
Ensure
Strategic Direction 4

governance Role and terms of Bendigo Airport

and Advisory Committee or new
operational governance model
Strategic
capability Establish agreed ongoing FY2017 Governance Review
match community obligation for High
2019 complete and
Bendigo operational requirements, endorsed
Airports reporting mechanisms and
changing ownership structures
technical
Need to ensure Board level skills
requirements
match project implementation and
changing operational environment
of Bendigo Airport
18 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN

Personal profile 4. Implementation of the Plan

Grahame and Marilynne Bateman
Grahame Bateman is a self-confessed
aviation tragic. Hes had a career in aviation
all his life, getting his start as an Airforce
cadet before working as an air traffic
controller at airports across Australia. Hes
also held commercial and private hot air
balloon pilot licences.
The opportunity to build his own hangar at
Bendigo Airport saw the Kyneton resident
relocate his two planes to Bendigo.
When Grahame and his wife, Marilynne,
prepare for take-off, theyre either in a
Beechcraft Debonair or a 1944 World War II
Auster Mk V, which was at Dunkirk, France
the day after D-Day and stayed in Europe
for the whole war. It was flown by the British
artillery as an observation platform.
4.1 Implementation, monitoring
and review
The implementation and governance of Bendigo
Airport is a central component of this Plan.
Currently the ownership, implementation and
monitoring of progress is the responsibility of the
City of Greater Bendigo and is led by Bendigo
Airport Manager. The Bendigo Airport Strategic
Plan will form part of service unit planning and
reporting and will be integrated into City of
Greater Bendigo annual reporting.
4.1.1 Summary of Strategic Plan actions
Table 10 provides a summary of the actions
required to complete the implementation
of the Bendigo Airport Strategic Plan.

Like most pilots, Grahame is often looking

for any excuse to fly and he and Marilynne
regularly head to Temora and occasionally
to Brisbane. Grahame also enjoys fly-ins
with the Antique Aircraft Association and
does the air show circuit where he manages
radio communications at these events. Hes
recently taken on a management position at
the Avalon Air Show.

Grahame is excited by Bendigo Airport

redevelopment and hopes it will attract an
RPT service, which in turn will bring more
people to Bendigo.
 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN 19

Table 10 Summary of Strategic Plan actions

Key performance
Strategy Action Priority Timing
measure
Precinct 1:
Immediate
Co-ordinated Prepare an investment prospectus and Prepare investment
Precinct 2:
investment program that outlines opportunities for High prospectus &
6 12 months
attraction investment at Bendigo Airport program
Precinct 3 & 4:
12 24 months
Continue to enhance the profile of
Regular media,
Bendigo Airport as a regional transport
news and reporting
hub for business, general aviation and Medium Ongoing
of Bendigo Airport
emergency services strongly aligned
progress
to the liveability of the region
Enhance
regional Work with key
Engage with business community
business regional business
(through Business Excellence Bendigo,
engagement organisations and
Agri-Business Forum, Bendigo Health, Medium Ongoing
to build a networks, analyse
Bendigo and Adelaide Bank) to identify
foundation and understand
business development opportunities
for RPT community needs
Strategic Direction 1

Business survey
Engage with community to develop a
developed,
quantitative assessment of potential High 2017 - 2019
delivered and
future users
results analysed
Commercial
Undertake activities to attract and transport operator
Attract secure RPT services for Bendigo secured for
commercial Airport Bendigo Airport
High 2017 - 2020 by 2019
transport Investigate adequacy of the
operator terminal building to meet future Improve terminal
RPT requirements and other shared
areas

Develop and Precinct 3 and

Ensure attraction strategy addresses Precinct 4 non-
implement
project feasibility and funding airside business
business case
mechanisms that recognise the High 2017 - 2018 case developed
and investment
intrinsic link to Bendigo Airport
attraction Precinct 4
operations and land use development
strategies Masterplan delivered
Ensure
Increase the
recommendations
alignment
Align local strategies for land use and from the City of
between the
airport investment with the findings Greater Bendigo
Bendigo Airport Medium 2017 onwards
of the City of Greater Bendigo Freight Freight Study are
business and
Study programmed into
regional freight
Airport business
activity
planning
20 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN

Key performance
Strategy Action Priority Timing
measure
Match human Review the roles and functions of Human resources
capital existing Bendigo Airport to ensure strategy that
resourcing with there is a focus on current and future Immediate FY2017-18 supports business
project delivery airport operations and grounds planning has been
and airport need management requirements developed
Prepare a gap analysis that outlines
Ensure the procedural, infrastructure and
Gap analysis
reporting and resourcing gaps between current High FY2017-18
complete
compliance operations and future Bendigo Airport
actions certification requirements
strengthen
Updated Bendigo
the transition Update Bendigo Airport Manual to meet
High FY2016-18 Airport Manual
to CASA future certified airport requirements
completed
certification
and meet Integrated
Develop Integrated Management
legislative Management
System and determine associated High FY2016-18
requirements System developed
performance indicators
and operational

Effectively
Undertake asset management
manage and Bendigo Airport
planning to audit and review suitability
maintain Medium FY2017 19 Asset Management
and adequacy for future asset
Bendigo Plan completed
management budget finance
Airport assets

Manage
Strategic Direction 2

engagement Ongoing annual

Continue a process of engagement
with existing reporting by
and communication with existing Medium Ongoing
general aviation Bendigo Airport
aircraft owners and operators
owners and Manager
operators
Recruit appropriately skilled
technical resources to ensure timely Staff/contractor
Immediate FY2016-17
commissioning and certification of recruited
Class 3C runway

Development of business plan that

Support supports the Stage 2 business case.
actions The business plan should establish
to ensure the operational costs associated
commissioning with the Bendigo Airport precinct.
and effective This includes cross charges and
management Airside Business
strategies to guide future resourcing, High FY2017 18
of Precinct 2 Plan completed
alignment with market/investment
strategies and financial forecasts
Recruitment strategies that
address the operational and project
management functions of the Bendigo
Airport should be clearly outlined

Prioritise Pending the direction of the Precinct

Project delivery
the project 3 renewed business case, prepare
and commercial
delivery and a plan for the project delivery and Medium FY2018 19
management plan
commercialisation commercial management of the
prepared
of Precinct 3 business park
Prepare annual report of Bendigo
Fully account
Airport operations that outlines
for precinct Annual reporting
detailed management and operations High Annually
income and complete
financial accountsincluding
costs
community and economic value
 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN 21

Personal profile

Grant Welling

Grant Welling loves

nothing more than
chasing clouds. For
him, flying is his
hobby in the same
way some people
play tennis or scuba dive. The Qantas pilot
flies A380s and Boeing 747s a few times
a month to London and Los Angeles, but
Grant is always looking for an excuse to
jump in his own light aircraft and take to
the skies for a joy flight.

Grant could fly before he could drive. His

family moved to Bendigo when he was 10
and it was his father that instilled in him a
love of flying.

Grant got his pilot licence through Bendigo

Aviation Services and began working for
the company as a flying instructor. He
then moved onto flying for smaller carriers
in places like Papua New Guinea before
making the switch to long haul flying.

He considers Bendigo Airport the Peoples

Airport with a great social atmosphere that
acts as an important source of recreation
for the local flying community.

Grant gives back to the local flying

community by serving as a member of
the Bendigo Flying Club Committee and
the Greater Bendigo City Councils Airport
Advisory Committee.

Grant sees the Airport as a necessary piece

of infrastructure, similar to the Calder
Highway or the Bendigo Railway station.

For Grant, the Airport redevelopment will

allow it to welcome larger aircraft and
help people to see Bendigo as a serious
alternative to Melbourne when it comes
to landing aircraft and overall liveability,
as well as open up the airport to more
recreational pilots and possible RPT routes.
22 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN

Key performance
Strategy Action Priority Timing
measure
Fully account Prepare annual report of Bendigo
for precinct Airport operations that outlines Annual reporting
High Annually
income and detailed management and operations complete
costs financial accounts

Quantify Fees and Charges

Develop and implement a Fees and
appropriate and associated
Charges and associated Conditions of
pricing for use Medium 2017 Conditions of Use
Use Policy with a focus on applying the
of Bendigo Policy completed
appropriate fees and charges
Airport precinct and endorsed

Complete cost
analysis to
forecast total
Strategic Direction 3

costs, income, Develop and implement a budget Profit and loss

Medium 2017
ongoing forecast forecast complete
revenue and
future profit
and loss

Undertake a co-ordinated approach

across the Bendigo Airport to identify
income streams, for example:
Increase Precinct 1 Fees, charges, Fees and Charges
income leaseholds, user agreements and associated
diversity
Precinct 2 RPT services, ancillary Medium 2017 Conditions of Use
to match
retail/passenger services, terminal Policy completed
business and
leases, passenger fees, commercial and endorsed
passenger use
anchor
Precinct 3 & 4 Land development
sale or lease agreements

Undertake a Strategic Governance

Review of Bendigo Airport.
Ensure The review should include:
Strategic Direction 4

governance Role and terms of Bendigo Airport

and Advisory Committee
operational
Establish agreed ongoing Strategic
capability
community obligation for FY2017 Governance Review
match High
operational requirements, 2019 complete and
Bendigo
reporting mechanisms and endorsed
Airports
changing ownership structures
technical Need to ensure Board level skills
requirements match project implementation and
changing operational environment
of Bendigo Airport
 CITY OF GREATER BENDIGO:
BENDIGO AIRPORT STRATEGIC PLAN 23

Personal profile

Chris Gobel

Chris Gobel
remembers a time
when a group of 27
lawyers wanted to
charter a plane from
Bendigo to Adelaide
but they couldnt be helped because the
runway wouldnt cope with large aircraft.

The group were surprised, like the many

number of people who call wanting to
book a plane ticket to or from Bendigo only
to find out they cant.

The development of the new runway and

the goal to attract RPT to the Bendigo
Airport means that problem will soon be
a thing of the past.

Chris cant believe the new runway will

be built in his time working at the airport.
Hes been there for more than 25 years
running Bendigo Aviation Services, a flying
school and charter company. Chris sold the
business 18 months ago but remains its
chief pilot and flying instructor.

The former Qantas pilot was with the

aviation company throughout its name
changes. Chris remembers a staff
meeting where the pilots were pushing
for discount airfares so there would be
more passengers and the need for bigger
aircraft. The General Manager said that
strategy wouldnt work. Times certainly
have changed.

Chris has been flying since 1957. A school

excursion to Amsterdam airport sparked
his interest. He no longer pilots charter
flights and instead focuses on flight
testing. He helps people obtain or renew
their licences and having been in the
aviation industry for so long, people come
from near and far to Bendigo to be taught
by Chris. Although at 76, Chris thinks its
time to hand the airways over to the next
generation.
PMS 1807 RED
PMS 432 GREY
PMS 142 GOLD