Mr Dauncey, currently finance director for network operations, has been at the agency for three years having previously worked in the nuclear industry.
He will be responsible for ensuring that delivery builds on increasing levels of efficiency and will work with the operational teams and supply chain to deliver accelerated investment as set out by the Government .
Highways Agency chief executive Graham Dalton said: “I am delighted to welcome Steve to the Highways Agency Board. He will bring to the role a sound understanding of the Agency's operations as well as wider experience from the private sector."
Mr Dauncey will take up his new post on 1 February 2009.