A NEW 1.6 kilometre runway will be built at the Bendigo Airport, pending final approval by the state Minister for Planning.
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City of Greater Bendigo Council last night approved an amendment to rezone land needed to expand the airport.
The expanded runway, which will be built next to the existing 1.1 km runway, will allow the airport to receive aircraft with capacity of 60 passengers.
The approved amendment also includes a provision for the construction of a new business park at the site.
Mayor Peter Cox said the expanded airport would grow Bendigo's economic base and improve the city's access to the rest of Victoria and Australia.
"It will result in more jobs for the region as business owners realise the potential a new runway provides for expansion," he said.
The city is awaiting to hear whether the federal government will commit $5 million to the expansion in next week's federal budget.
Councillor Helen Leach expressed concern over the cost of the project should Canberra fail to commit.
"We don't just have an open cheque book," she said.
Cr James Williams said the existing facility was "at the end of its serviceable life".
"There is a desperate need to do something about this," he said.
He said the current runway would be unable to meet the needs of emergency service aircraft in the future.
"My belief is that this will only become more critical with the expansion of the hospital," he said.
Bendigo council's 2015/2016 proposed budget includes $6.8 million for the project, $4 million of which has been committed by the state government.
City Futures director Stan Liacos said it was "time to get on with it".
"An upgraded Bendigo Airport will inject $34.9 million into the local economy and create 84 full-time equivalent jobs so we are very keen to get to work on this major expansion under way as soon as possible," he said.