More competition in asphalt and aggies market

01/05/2012
Highways Reporters

The Competition Commission has ruled that Tarmac owner Anglo American and Lafarge must sell a large chunk of their operations before a proposed joint venture in the UK can go ahead.

The decision will see increased competition in the asphalt and aggregates market as the industry giants are forced to sell of a number of operations.

The move will see another major player enter the domestic cement market to head-off price rise fears due to lack of competition.

The commission first raised concerns about the joint venture plans earlier this year.

It said today that the joint venture “would increase the danger of coordination in the market for bulk cement and would reduce competition in local and national markets for other products including aggregates, asphalt and ready-mix concrete (RMX).”

Tarmac and Lafarge will now be required to sell a swathe of their operations including:


  • a cement plant in Hope, Derbyshire as well as the nearby Dowlow quarry and three linked rail depots;


  • a substantial network of RMX plants, representing well over half of the proposed joint venture’s RMX capacity;


  • six aggregate quarries as well as Tarmac’s share of two quarries owned through its Midlands Quarry Products (MQP) joint venture with Hanson—and one rail depot; and


  • two asphalt plants as well as Tarmac’s share of five plants owned through MQP.


It is envisaged that the Hope plant and supporting operations including the Dowlow quarry and a substantial network of RMX plants will go to a single buyer.

This sale will have to be completed before the joint venture can go ahead.

Chairman of the Anglo/Lafarge Inquiry Group, Roger Witcomb, said: “A large-scale disposal like this is the only way to get a new entrant of sufficient scale to break into the UK cement market and thereby ensure that this joint venture does not damage competition.


“The disposals will also remedy the loss of competition for the supply of RMX, aggregates and asphalt in particular areas of the country, given that the markets for these materials are quite localized.


“We believe that these extensive sales will help protect all customers’ interests in these key markets, which is particularly important when one considers how much construction work is funded by the public purse.”

Latest Issue

latest magazine issue

Also Inside:

  • Buying better roads
  • Coming clean on carbon
View the latest issue


Highways jobs

Project Manager

£32,798 to £38,553
The post holder will be required to undertake all project management duties necessary to deliver those essential activities. Torfaen (Tor-faen)
Recruiter: Torfaen County Borough Council

Parking Team Leader

£28,226 - £29,174
We have an opportunity for a Parking Team Leader to join our team in West Cumbria. Cumbria
Recruiter: Cumbria County Council

Recycling Monitoring Officer

£27,009 - £31,155
Turn your environmental passion into practical action. Kensington and Chelsea, London (Greater)
Recruiter: The Royal Borough of Kensington & Chelsea Council

Engineer (Highways)

£37,491 - £44,598
To provide operational delivery of a range of specialist professional and technical services for the Highways Group. Tower Hamlets, London (Greater)
Recruiter: Tower Hamlets London Borough Council

Senior Engineer (Assets and Design) – Assets

£36,371 - £38,553
We are seeking to recruit a Senior Engineer (Asset and Design) to join our Highway Asset and Design team. Aberaeron, Ceredigion (Sir Ceredigion)
Recruiter: Ceredigion County Council

Assistant Director of Highways and Engineering

to £85,239
Imagine a diverse town full of contrasts, a strong identity and residents who are proud to call it home. Bolton, Greater Manchester
Recruiter: Bolton Council

Assistant Engineer (Assets and Design)

£25,419 - £30,984
We are seeking to recruit an Assistant Engineer (Asset and Design) to join our Highway Asset and Design team. Aberaeron, Ceredigion (Sir Ceredigion)
Recruiter: Ceredigion County Council

Senior Engineer (Assets and Design) – Structures

£36,371 - £38,553
We are seeking to recruit a Chartered Structural Engineer to join our Highway Asset and Design team on a permanent, full-time basis. Aberaeron, Ceredigion (Sir Ceredigion)
Recruiter: Ceredigion County Council

Senior Engineer (Highways Development Control)

£36,371 - £38,553
We are looking to recruit a highly-motivated, creative and innovative and suitably qualified or experienced Senior Engineer. Aberaeron, Ceredigion (Sir Ceredigion)
Recruiter: Ceredigion County Council

Senior Engineer

£35,336 to £41,591
The successful applicant should hold a degree or equivalent in a technical/engineering subject and have 5 years’ experience. Newbury, Berkshire
Recruiter: West Berkshire Council

Transport Strategy Officers

£33702 - £35432 per annum + generous pension, agile working + more
The Transport Strategy team at Buckinghamshire council is recruiting to 4 exciting new roles, focusing on our priorities to encourage people to travel England, Buckinghamshire, Aylesbury
Recruiter: Buckinghamshire Council

Specialist Heavy Plant Operator

£22,571 - £24,920
This new opportunity/position is to work within both the Northumberland County Council SE Maintenance. Northumberland
Recruiter: Northumberland County Council

Network Coordination Assistant

£19,650 - £20,043
This is an exciting opportunity to work in the Network Management team within the Highways service. Barnsley, South Yorkshire
Recruiter: Barnsley Metropolitan Borough Council

Development and Flood Risk Officer

£28,373
Essex is committed to enabling inclusive economic growth. Essex (Anywhere Worker)
Recruiter: Essex County Council

Waste Management Operative

£20,468
Leicestershire County Councils, Contracts and Haulage Team are looking to recruit a Waste Management Operator to join the team. Leicestershire
Recruiter: Leicestershire County Council

Waste Transfer Station Plant Operative

£20,807
An exciting opportunity has arisen within the Waste Management Delivery Service. Leicestershire
Recruiter: Leicestershire County Council

Contract Management Officer

£22,571 - £32,798
Cambridgeshire County Council is seeking to appoint a Contract Management Officer into the Highways Contracts and Commissioning Team. Various places - working out of office base
Recruiter: Cambridgeshire County Council

Waste Management Supervisor

£24,283.58 - £26,812.09
The role will be responsible for supervising the Waste Transfer Station and Internal Haulage operation. Leicestershire
Recruiter: Leicestershire County Council

Project Engineer

£25,418 to £36,370
We are looking for Project Engineers to join our teams in Brompton-on-Swale, Richmond and Boroughbridge. Boroughbridge, York
Recruiter: North Yorkshire County Council

Project Engineer – Electrical

£33,486-£36,370
We are looking for a Project Engineer – Electrical to join our Electrical Engineering Team. Leeming Bar, Northallerton (Hybrid Working)
Recruiter: North Yorkshire County Council

Highways Presents

 

Highways on Fridays

Register now!

Latest Video