Roads & Infrastructure February 2019

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NEWS

DEMAND FOR CONCRETE EXPECTED TO RISE OVER NEXT FIVE YEARS – REPORT Major infrastructure projects underway in eastern Australia are expected to lift demand for concrete and related products, according to new figures from industry representative body Cement Concrete and Aggregates Australia (CCAA). CCAA CEO Ken Slattery said the construction of the new Western Sydney Airport at Badgery’s Creek was expected to lift demand for concrete by at least one per cent over the next five years. Melbourne’s Metro Rail Project was also highlighted as an infrastructure project with the potential to increase demand for concrete by another two per cent, according to Mr. Slattery. This rise in demand also follows a record production year for Australia’s concrete, cement and aggregates industry with figures

from the CCAA finding more than 30 million cubic metres of pre-mixed concrete were produced across Australia in 2017. In 2015, the total amount of pre-mixed concrete produced across Australia was estimated to be 27 million cubic metres, which grew to 28.5 million cubic metres in 2016, according to figures commissioned from industry research company Macromonitor. The CCAA highlighted the concrete industry contributes more than $15 billion to the national economy each year, with more than 30,000 people employed directly by the industry and 80,000 estimated to be employed in work related to the industry. Data released by the CCAA also found NSW construction projects are expected to consume an average of 9.5 million

cubic metres of pre-mixed concrete a year between 2018 and 2022, with Victoria following at around 8 billion cubic metres and Queensland predicted to grow to reach 7.2 million cubic metres a year. “The boom in infrastructure projects such as WestConnex and NorthConnex in Sydney and the West Gate Tunnel in Melbourne is good news for the heavy construction materials industry and for the more than 110,000 Australians who are employed directly or indirectly in the sector,” Mr. Slattery said. “Demand for concrete is increasing rapidly at a time when more and more planners realise what architects and builders have known for a long time: no other material is as versatile, sustainable and cost effective.”

RADAR TECHNOLOGY TRIAL TO REDUCE QLD RED LIGHT CRASHES The Queensland Government has implemented new technology that uses radar to detect vehicles about to run a red light. Known as Hold the Red, the technology is part of a trial to reduce the risk of crashes caused by running red lights. When a danger is identified, the opposing traffic lights are held on red to halt drivers waiting for the lights to turn green. Queensland Minister for Transport

and Main Roads Mark Bailey said the innovation was already in use in Florida in the US where it has been credited with cutting collisions at intersections. “Red light running is a complex problem. There is no single reason why drivers do it but what we do know is that resulting accidents are likely to be T-bone crashes, which have a higher potential of causing death or serious injury,” Mr. Bailey said. “Hold the Red lowers the risk of a crash

at sites where it is installed while still allowing for offenders to be penalised.” Mr. Bailey said about 11 per cent of all serious casualties on Queensland roads occurred at intersections with traffic lights. “During the past five years, 42 people have been killed and more than 3000 hospitalised in crashes at signalised intersections in Queensland,” he said. The trial will be evaluated by independent consultants.

JOHN HOLLAND ACQUIRES RCR TOMLINSON RAIL After RCR Tomlinson entered voluntary administration in November 2018, John Holland was quick to scoop up the rail unit for an undisclosed amount. The December sale was RCR’s first since McGrathNicol was appointed administrators to recover the company’s $590 million in debt with roughly 4000 unsecured creditors. 6

ROADS FEBRUARY 2019

McGrathNicol administrator Jason Preston said that the rail business was an enticing business and a good fit for John Holland which has a solid presence in the industry. “The sale preserves the jobs of circa 400 Australian employees with RCR O’Donnell Griffin Rail who will transfer to John Holland, and ensures the entitlements of those staff are preserved,” Mr. Preston said.

“RCR’s Rail business has an outstanding track record, with highly skilled staff and a blue-chip client base that made it an attractive target for prospective acquirers and a strategic fit for John Holland.” Following this sale, Environmental Group Limited acquired RCR Tomlinson’s Energy Services business in a deal completed by the end of January.


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