The federal government will build Sydney's second airport at Badgerys Creek.
This announcement was made on Tuesday after the operator of the city's main Kingsford Smith airport confirmed it will not take up an option to develop the project, AAP reports.
Sydney Airport declined to develop the proposed second major airport in western Sydney, saying the project does not meet its investment criteria.
A statement from Prime Minister Malcolm Turnbull and infrastructure minister Paul Fletcher said the government had been planning for either acceptance or refusal from Sydney Airport.
"We are well positioned to move forward," the statement said.
Here are 5 most important facts about the new airport planned in Sydney.
1. The federal government predicts a jobs boom associated with Sydney's second airport at Badgerys Creek will result in a new city in the west.
2. The project will cater to 2 million residents living in Sydney's west. Federal Assistant Cities Minister Angus Taylor is expected to tell a summit at Parramatta that a "city deal" between the Commonwealth, NSW and eight local governments will transform the lives of its two million residents.
The aim is "to build an aerotropolis offering tens of thousands of jobs, to deliver reform to planning laws to free up more housing supply, and to get roads and rail infrastructure built faster," Mr Taylor will tell the Out There Summit on Friday.
3. This second airport is expected to create jobs for residents nearby.
A third of employees travel outside the area for work each day. "The western Sydney Airport will be a once-in-a-generation opportunity for new jobs and long-term growth, which will support the emerging western city as a thriving CBD," Mr Taylor will tell the conference.
The government says the second airport is expected to generate nearly 9000 jobs by the early 2030s and 60,000 jobs long-term.
4. Thousands more jobs are expected to flow from businesses attracted by the airport, with universities and the aviation, defence and logistical industries already eyeing off the area.
5. Mr Taylor is expected to reaffirm the Commonwealth's pledge to ensure the airport is up and running by 2026.
