Firm’s decision not to build bottling plant ‘nothing to do with the authority’

Elgan Hearn, Local Democracy Reporter

A Turkish firm’s decision not to build a £390 million glass bottle making factory in south Wales had ‘nothing to do’ with the local authority.

Earlier this month it was revealed CiNER had shelved their plans to build the factory at the Rassau Industrial Estate in Ebbw Vale which had been hoped would create 650 jobs in the area.

At a council meeting on Thursday, July 17, councillors brought up the project failure up for discussion as they looked at what capital projects the council intends to invest in over the next five years.

In the list of proposals £300,000 is earmarked for improvements to the council’s industrial unit/constrained units to take place this year.

‘Unfortunate news’

Cllr Wayne Hodgins (Independent group leader) said: “It’s nice to see that we’re spending on the constrained units.

“With the unfortunate news that we received regarding the bottling plant, after councillors and officers across the council worked so hard to achieve it, SME’s (Small Medium Enterprises) are going to be key to the future employment in Blaenau Gwent.

“It appears that we find it difficult to attract new big employers.”

Cllr Macolm Day (Independent group) asked: “Are we responsible for this by not moving fast enough, or is it Welsh Government?”

He added that more needed to be done to ensure that small businesses are encouraged to invest and stay in the county borough and suggested that the council set up a business forum so that the council could listen to the concerns of the business community.

Cllr Day said: “We have to be switched on to hold on to our small businesses we cannot afford to lose any.”

Council leader Cllr Steve Thomas (Labour) said: “CiNER said they were pulling out due to market forces; it’s not because of anything we’ve done.”

Committed

Cabinet member for economy and place, Cllr John Morgan (Labour) said that he and senior council staff had met the CiNER board on July 7.

Cllr Morgan stressed: “It’s nothing to do with the authority, there’s no longer the need for bottling.

“However, they have committed themselves to working with Blaenau Gwent.”

He explained that the firm had already invested £20 million into the area, and they are now looking at alternatives for the site.

Cllr Morgan added that glass production is just one facet of the company which also has substantial media holdings.

The firm were given planning permission by councillors to build the factor back in June 2022.

In February 2024 planning officers approved amendments to the planning permission for the factory which would have made it smaller than the original scheme.

Concerns

During the last couple of yeas concerns were raised regularly by councillors over the lack of progress being seen with the scheme.

This is because of past projects such as the Circuit of Wales proposal which was for a motor racing circuit and technology park development proposal on moorland on the outskirts of Ebbw Vale, which promised much but failed to materialise.

The proposed factory in Ebbw Vale was one of two new state-of-the-art glass factories to help increase its glass production capacity to serve the European market.

The first glass plant will be situated in Lommel, Belgium.

In their statement CINER confirmed the fim will continue to support a range of community and sporting initiatives, locally and across Wales.

These include Ebbw Vale Rugby Club and the Welsh Rugby Union’s Fit, Fed, Fun campaign.