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The Australian transport sector is at a tipping point. According to the Transport and Infrastructure Net Zero Roadmap, the sector is responsible for 22% of Australia’s national emissions and is the third-largest source of greenhouse gases.
Historically, managing these emissions meant a spreadsheet and a stack of fuel receipts. But with the introduction of AASB S2 mandatory climate reporting and the tightening of the Safeguard Mechanism, the "spreadsheet method" is now a liability.
For logistics operators and fleet managers, carbon accounting is no longer just a maths problem. Our enterprise customers are demanding accurate Scope 3 data, and investors are scrutinising your transition risk.
NetNada co-founder, Lochie Burke, spoke at the Alternative Fuel Summit in November 2025 and one thing was crystal clear: heavy transport and logistics in Australia can’t wait to decarbonise. When selecting carbon accounting software for a transport business you need a platform capable of handling complex fleet assets, subcontractor data, and the transition to Low Carbon Liquid Fuels (LCLFs).
Here is what Australian transport leaders must prioritise.
1. Granular Fuel Tracking (Beyond "Spend-Based" Data)
In many industries, estimating emissions based on financial spend is acceptable. In transport, it is dangerous. Fuel prices fluctuate, but carbon intensity does not.
- The Requirement: Your software must move beyond "Spend-based" calculations (e.g., $10,000 on Diesel) to "Activity-based" calculations (e.g., 5,000 Litres of Diesel).
- Why it matters: The Transport Sector Plan relies heavily on the adoption of renewable diesel and Sustainable Aviation Fuel (SAF) to decarbonise heavy transport where electrification isn't yet feasible. A spend-based model cannot differentiate between standard diesel and renewable diesel. Your software must be able to apply specific emission factors to specific fuel types to capture the reduction in your carbon footprint.
2. Hybrid Scope 3: Managing Subcontractors
For logistics providers, a massive portion of your footprint lies with subcontractors—the trucks, ships, and planes you don’t own but do employ. This falls under Scope 3, Category 4 (Upstream Transportation) and Category 9 (Downstream).
- The Requirement: Look for "Hybrid Scope 3" capabilities. You need a tool that allows you to start with spend-based estimates for smaller subcontractors but easily overwrite that with primary activity data (e.g., actual fuel burn or km travelled) from your major partners as you get access to it.
- Why it matters: Under AASB S2, you are required to disclose material Scope 3 emissions. If you rely solely on industry averages, you cannot claim the benefits of choosing greener subcontractors.
3. Asset-Level Granularity & Boundary Management
Real transport companies are complex. You have leased vehicles, owned fleets, warehouses, and cross-docking facilities.
- The Requirement: The software must handle Organisational Boundaries with precision. Can you tag a specific truck to a specific contract? Can you separate emissions from a facility you operate versus one you own?
- Why it matters: Accurately defining your "Operational Control" is critical for NGERs reporting and avoiding double-counting. As fleets transition to EVs, you need a system that can track a mixed fleet of ICE (Internal Combustion Engine) and electric vehicles simultaneously, applying the correct grid emission factors to the EVs based on their charging location.
4. Automated Data Ingestion (Telematics & OCR)
Transport generates more data than almost any other sector. Manually entering odometer readings is a waste of high-value talent.
- The Requirement: Look for Carbon-Specific OCR (Optical Character Recognition). The software should scan bulk fuel invoices and automatically extract litres and fuel types. Furthermore, look for API connectivity that can eventually integrate with telematics systems to pull distance and fuel data directly from the vehicle.
- Why it matters: Data gaps are the enemy of auditability. Automated ingestion creates a digital audit trail from the source file to the final report, which is essential for third-party assurance under the new reporting regime.
5. Australian Context: NGA Factors & LCLFs
A US-centric software platform might default to US EPA emission factors, which are irrelevant for an Australian trucking company.
- The Requirement: Ensure the platform is built on the National Greenhouse Accounts (NGA) Factors published by the Department of Climate Change, Energy, the Environment and Water (DCCEEW).
- Why it matters: Australia’s energy grid varies wildly by state. Charging an electric delivery van in Tasmania (hydro-heavy) has a different carbon profile to charging it in Victoria (coal-heavy). Your software must automatically apply the correct state-based factor to be compliant.
In November 2025, The Victorian Transport Association - VTA made an important point — transport operators can’t do this alone. Major customers and supply chain partners are already demanding lower-emissions freight, cleaner fuels, and transparent data. Those who move first on electric and hydrogen trucks, alternative fuels, and smarter logistics will be the ones winning (and keeping) the big contract
The NetNada Difference for Transport
The transition to net zero in transport is not linear; it is a complex shift involving efficiency, electrification, and alternative fuels. NetNada is designed to handle this complexity.
- Audit-Ready: We provide a complete calculation trail for every litre of fuel and kWh of energy.
- Supply Chain Engagement: Our platform automates the engagement of your supply chain, allowing you to visualize emissions by supplier and move from estimates to actuals.
- LCLF Ready: We support the granular tracking required to prove the benefits of switching to low-carbon liquid fuels.
Is your fleet ready for mandatory reporting? Book a Demo with NetNada today.
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