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GPS tracking for trucking companies and Scope 3 emissions

The Corporate Sustainability Reporting Directive (CSRD) mandates the reporting of all indirect emissions across a company’s entire value chain. You may not know it, but GPS tracking for trucking companies plays a key role in reporting Scope 3 emissions – and it may experience significant operational changes over the next few years.

Scope 3 emissions refer to the indirect greenhouse gas emissions that occur throughout a company’s value chain, both upstream and downstream. This includes those associated with activities such as the transportation of goods, business travel, employee commuting, and the use and disposal of sold products. 

In other words, the CSRD tackles environmental impact head-on. It requires companies to report not just their emissions, but also those created throughout their supply chain (Scope 3). This transparency helps businesses identify areas for improvement and become more accountable for their environmental footprint.

So, throughout this article, you will learn why GPS tracking for trucking companies is essential, how Thingfox’s tracker can be a massive helping hand, and the many surprising benefits of GPS trackers.

GPS tracking for trucking companies: why is it important?

GPS tracking for trucking companies

Traditionally, trucking companies have relied on manual data collection and estimation methods to track fuel consumption and emissions. However, these methods are often inaccurate, time-consuming, and prone to human error. Relying on manual processes not only increases the risk of reporting inaccuracies but also places a significant administrative burden on companies, diverting valuable resources from their core operations.

GPS tracking technology offers a game-changing solution by automating the data collection process, ensuring precise and reliable information for Scope 3 reporting compliance. This streamlines the reporting process and helps trucking companies avoid potential fines and penalties for non-compliance. Automated data collection eliminates the need for manual intervention, reducing the chances of human error and providing a consistent and standardized approach to emissions tracking.

Beyond compliance, GPS tracking systems offer a robust foundation for trucking companies to gain comprehensive insights into their operations. 

As we’ll see later, with real-time visibility into fleet movements, fuel consumption patterns, and driving behavior, companies can identify areas for improvement and implement targeted strategies to reduce emissions further. This level of granular data analysis was previously unattainable through manual processes, making GPS tracking an invaluable tool for data-driven decision-making.

Relevant Scope 3 emission categories for trucking companies

GPS tracking for trucking companies
GPS tracking for trucking companies

While the CSRD requires reporting Scope 3 emissions, it’s vital to understand the specific categories relevant to trucking companies, which are listed below:

Purchased goods and services

Trucking companies rely on vast arrays of goods and services to support their operations, such as vehicles, fuel, infrastructure materials, maintenance services, and repairs. The production and transportation of these purchased items contribute significantly to the company’s Scope 3 emissions footprint.

Fuel- and energy-related activities

The transportation industry heavily depends on fossil fuels, though we’re slated for a change to EVs, and trucking companies are no exception. The extraction, production, and transportation of fuels used to power their fleets generate substantial indirect emissions, which fall under this category.

Transportation and distribution

Trucking companies don’t exist in a vacuum, relying on other transportation methods, such as shipping, rail, air freight, and third-party trucking services, to deliver inputs and materials necessary for their operations. The emissions generated by these upstream transportation and distribution activities contribute significantly to the company’s carbon footprint.

Waste generated in operations

The daily operations of a trucking company generate various waste streams, including disposed tires, vehicle parts, packaging materials, and other byproducts. The emissions associated with the treatment and disposal of this waste fall under the “Waste Generated in Operations” category.

Use of sold products

For trucking companies that sell or lease vehicles and equipment to customers, the “Use of Sold Products” category becomes relevant. This category encompasses emissions generated during the operational phase of these products, primarily through fuel combustion and vehicle usage.

End-of-life treatment for sold products

When vehicles and equipment reach the end of their operational life, they must be properly disposed of, recycled, or treated. The emissions associated with these end-of-life activities fall under this category.

Downstream transportation and distribution

The transportation of goods and materials downstream in the supply chain, including the delivery of products to customers and end-users, is a significant contributor to Scope 3 emissions for trucking companies. 

This category, known as “Downstream Transportation and Distribution,” also includes emissions from the final leg of the supply chain, often referred to as last-mile deliveries.

How does Thingfox’s Scope 3 tracker work?

Thingfox’s Scope 3 tracker is designed for seamless integration into existing truck infrastructure, minimizing disruptions to daily operations. The tracker is easily plugged into the truck’s systems, allowing for hassle-free deployment and immediate data collection.

This tracker automatically transmits data on gas consumption and CO2 emissions in real time, providing companies with continuous monitoring capabilities. This real-time data stream enables trucking companies to track their emissions with high precision, ensuring accurate reporting and facilitating timely adjustments to operations if needed.

Thingfox’s GPS tracker streamlines reporting for trucking companies thanks to two key features: automated data collection and real-time insights. This marvel of technology acts as a one-stop shop, consolidating all relevant emissions data, so compiling reports and meeting CSRD’s Scope 3 reporting requirements are a breeze.

To learn more about this product, get in touch with our team!

Other surprising benefits of GPS tracking for trucking companies

Enhanced efficiency and optimized operations

GPS tracking technology offers numerous benefits beyond compliance with reporting requirements. By providing accurate data on vehicle routes, fuel consumption, and driving patterns, trucking companies can optimize their operations for increased efficiency. 

This includes identifying opportunities for route optimization, reducing fuel consumption, and improving delivery schedules, all of which contribute to lower emissions and cost savings.

24/7 asset tracking, ensuring security, and reducing risks

GPS tracking systems enable trucking companies to monitor their fleet’s location in real time, enhancing asset security and reducing the risk of theft or loss. With a constant overview of their vehicles’ whereabouts, companies can respond quickly to any potential incidents, safeguarding their valuable assets and minimizing disruptions to operations.

Improved driver behavior

GPS tracking data can provide valuable insights into driver behavior, including acceleration patterns, idling times, and adherence to speed limits. Trucking companies can leverage this information to identify areas for improvement, implement training programs, and promote fuel-efficient and safe driving practices among their drivers. 

And the results couldn’t be better: this reduces emissions while also enhancing overall road safety.

Reduced paperwork by streamlining operations with automated digital records

GPS tracking systems generate digital records of routes, delivery times, and proof of delivery, reducing the reliance on traditional paperwork. This streamlines various aspects of trucking operations, including route planning, dispatching, and customer invoicing, resulting in increased efficiency and reduced administrative burdens.

Improved customer service satisfaction and transparency

GPS tracking for trucking companies

GPS tracking for trucking companies can provide their customers with precise updates on shipment status and expected arrival times by leveraging real-time location data and accurate delivery estimates. This level of transparency and reliability enhances customer satisfaction and further strengthens business relationships.

GPS tracking for trucking companies: wrapping it up

These new emissions reporting rules are no joke for trucking companies, but Thingfox’s GPS tracking tech can help you adapt without missing a beat. No more manual headaches – it automatically tracks fuel use and emissions with minimal effort on your part.

But that’s just the start: GPS tracking also optimizes routes, helps drivers operate more efficiently, provides 24/7 vehicle monitoring, and streamlines operations across the board. You’ll see real cost savings and happier customers too.

Our experts at Datanet IoT have you covered with specialized GPS trackers made for truck fleets. Reach out to see how our tracking solutions (be they related to assets, environments, or oceanographic equipment) can modernize your trucking business while checking the sustainability box!

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