Air Transport

Australia's Labor government has announced sweeping reforms to the country's aviation sector, one of which rekindles a long-running debate over where Sydney's second international airport should be.

Transport minister Anthony Albanese says that Sydney airport is "coping with growth at the moment", but is "nearing capacity". He says he will establish a further process to identify additional capacity for the Sydney region by building a second airport.

A previous Labor government wanted the second airport at Badgery's Creek, in western Sydney, but Albanense says the current Labor government is opposed to this and wants a new site.

The Australian Transport Safety Bureau, meanwhile, is to become an independent statutory authority rather than being part of the Department of Transport.

Albanese says this will strengthen its independence and improve its ability to carry out investigations. The government will appoint a board to oversee Australia's Civil Aviation Safety Authority, he says, adding that this will strengthen governance.

The reforms were tabled in a green paper. Consultations will now be held and a formal white paper is due to be released in the second half of 2009.