Tourism industry plays a significant role in NSW economy, directly contributing $17.3 billion to NSW Gross State Product (GSP) in 2016-17. Adding the indirect impacts of this sector, the total contribution of tourism to the NSW GSP will increase to $34.2 billion in the same year. The globally known attractions such as the Opera House, Bondi Beach and the Harbour Bridge make Sydney the most visited tourist destination in the State, especially for international tourists. The Illawarra region is also a nationally and internationally recognised tourist destination due to its proximity to Sydney, its unique natural resources such as the Illawarra Escarpment and beautiful beaches, and its well-developed tourism infrastructure. The opening of a second airport in Western Sydney will impact on the Illawarra economy including its tourism demand. However, the transport infrastructure between the Illawarra and Western Sydney is currently very limited and without any improvements, the Illawarra may not be able leverage the benefits of the new airport. This paper investigates the effects of improving the transport connectivity between Western Sydney and the Illawarra on the Illawarra region. We will also consider the required actions to increase its positive impact, particularly on tourism sector.