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Decarbonising Freight with Data: Insights from Ofload’s Sustainability Event

October 3, 2024

Explore how data is driving freight decarbonisation and cutting emissions in this recap from Ofload's sustainability event.

Fireside Chat Recap: Harnessing Data to Decarbonise Freight

Last Thursday's Ofload Sustainability Event tackled one of the most pressing issues of our time: Scope 3 emissions and the urgent need for decarbonisation in the transport industry. The event brought together industry leaders to share their insights, best practices, and tangible actions already being taken to reduce carbon emissions. The fireside chat with Richard Savoie (Adiona), Jessica Renton (Kimberly-Clark), and Geoffroy Henry (Ofload), highlighted the immense potential of data-driven solutions in the fight to decarbonise freight and logistics.

The conversation, moderated by Taylor Faint, Sustainability Manager at Ofload, dove deep into the practical applications of data in sustainability and decarbonisation. The panelists shared real-world examples of how their companies are already using data to remove trucks from the road, cut emissions, and build smarter, more efficient supply chains. They also explored the complex but crucial topic of Scope 3 emissions, the challenges it presents, and how companies can collaborate across the supply chain to address these challenges head-on.

Decarbonisation: More Than Just a Buzzword

The fireside chat opened with a discussion on the broader importance of decarbonisation in the transport industry. As the panelists pointed out, decarbonisation is no longer just a buzzword; it’s a critical necessity. The transport sector is set to become Australia’s largest emitter by the end of this decade if current trends continue. Tackling this issue isn’t just about waiting for new technologies like electric trucks or hydrogen fuel—it’s about optimising the assets we already have.

Geoffroy emphasised the need to act now, reminding the audience that we don’t need to, nor do we have the time, to wait for the perfect solution to come along. We can make immediate, tangible changes by better utilising the resources we already have. Smarter freight planning, data analytics, and collaboration can go a long way towards cutting emissions today.

This sentiment was echoed by the other panelists, who noted that while electrification and alternative fuels will play a critical role, the most impactful actions companies can take today revolve around optimising supply chains.

The Power of Data: Tangible Results

One of the most powerful takeaways from the evening was the clear, tangible examples of how companies are already using data to reduce emissions and improve efficiency. Jessica Renton from Kimberly-Clark shared a particularly compelling example, where smarter data use allowed her team to take 700 trucks off the road in a single year. By rethinking their delivery port strategy and using data to identify inefficiencies, they were able to significantly cut both costs and emissions. “It’s not always about massive changes,” Jessica said. “Sometimes, it’s about finding the small inefficiencies and fixing them. Data is critical to identifying those opportunities.”

Similarly, Richard Savoie of Adiona shared how his company worked with a major customer to remove 68 trucks from their fleet. Through the use of data analytics and optimisation tools, Adiona was able to help the customer streamline their logistics operations, reducing emissions while maintaining, or even improving, service levels. “Data is a game-changer,” Richard said. “It allows us to build smarter supply chains and make decisions that are not only good for business but also good for the planet.”

These examples highlight the immense potential of data in the logistics sector. By providing actionable insights, companies can make real-time adjustments to their operations, significantly reducing their carbon footprint without having to invest in new fleets or radical changes to their operations.

Understanding Scope 3 Emissions: A Collaborative Effort

The conversation then turned to the complex issue of Scope 3 emissions. Scope 3 emissions refer to indirect emissions that occur throughout the supply chain, such as those produced by third-party logistics providers or the lifecycle emissions of a product. As Richard explained, “Scope 3 emissions are often the hardest to track, but they’re also where we see the most potential for impact. The challenge is that your Scope 3 emissions are often someone else’s Scope 1 emissions. So it requires a high level of collaboration to really make a difference.”

For smaller companies, this can be particularly daunting. Many small and medium-sized businesses lack the resources to measure or manage their Scope 3 emissions. However, as Jessica pointed out, even small steps can make a big difference. “At Kimberly-Clark, we work closely with our suppliers to ensure that they’re on board with our sustainability goals. Collaboration across the supply chain is key. If one link in the chain isn’t pulling its weight, it impacts the entire operation.”

The panelists agreed that collaboration is essential for tackling Scope 3 emissions. Larger companies can play a pivotal role by partnering with smaller businesses and sharing best practices, data, and tools. But to make this happen at scale, government support will be crucial. Both Richard and Jessica stressed the need for government funding and incentives to help small carriers and logistics companies adopt new technologies and sustainability practices without being left behind.

Looking to the Future: Supporting Smaller Carriers

One of the key messages from the evening was the importance of bringing small carriers along on the decarbonisation journey. While large corporations often have the resources to invest in sustainability initiatives, smaller businesses can struggle to keep up with the pace of change. “The government needs to step in and provide support to ensure that small and medium-sized carriers aren’t left behind,” Richard said. “Without access to funding or the right technology, these companies could face significant challenges in the coming years as regulations tighten.”

Jessica also echoed this sentiment, emphasising that the entire industry needs to work together to create a more sustainable future. “It’s not just about the big players,” she said. “For the industry to truly move forward, we need to make sure that everyone—big and small—has the opportunity to participate in this transition.”

Don’t Wait: Start Reducing Emissions Now

The fireside chat concluded with a clear call to action: Don’t wait. The tools to reduce emissions already exist, and companies that start taking action now will be better positioned for the future. “You don’t need to wait for electric trucks or hydrogen fuel,” Geoff emphasised. “You can make a difference right now by optimising your freight, using data analytics, and collaborating with partners across the supply chain.”

This sense of urgency was echoed by all the panelists. The transport industry is at a crossroads, and the choices made today will shape the future. Whether it’s removing trucks from the road, tracking Scope 3 emissions, or supporting smaller carriers, the time to act is now. The conversation was a powerful reminder that decarbonisation is not only possible but already happening—and the freight industry is in a prime position to lead the charge.

As the event wrapped up, one thing was clear: the road to decarbonisation is long, but with data-driven insights, collaboration, and government support, we can make meaningful progress now.