By Fredrik Lindhagen, nShift
In this blog:
- Corporate Social Responsibility Directive (CSRD)
- Traditional methods vs. emerging technologies to reduce delivery emissions
- GPS-based tracking systems
- Sensor-based monitoring
- Future trends and innovations
- Benefits and considerations
- Strive to meet emissions reduction targets
- Further reading: Emissions tracking FAQs
Corporate Social Responsibility Directive (CSRD)
Businesses are responsible for minimizing their ecommerce carbon footprint and contributing to a more sustainable future.
In order to encourage positive action, the European Union is set to implement the Corporate Social Responsibility Directive (CSRD) in late 2023, with the first reports due in 2025. This will require some 50,000 businesses to provide verifiable data on their emissions.
As a result, tracking greenhouse gas emissions will become a crucial requirement for many businesses. The retail and e-commerce sector is no exception.
Here, we explore the latest technologies for tracking greenhouse gas emissions, their benefits and limitations, and future trends in this field that will help reduce the e-commerce carbon footprint.
Traditional methods vs. emerging technologies to reduce delivery emissions
Traditional methods for tracking greenhouse gas emissions include manual data collection and paper-based reporting, which are time-consuming and prone to errors. On the other hand, emerging technologies are revolutionizing emission monitoring by providing real-time data collection and analysis. Some of the latest technologies for tracking greenhouse gas emissions include GPS-based tracking systems and sensor-based monitoring.
GPS-based tracking systems
GPS technology is widely used for real-time greenhouse gas emission monitoring in deliveries. GPS-based tracking systems can estimate the emissions produced during transportation by tracking the location and movement of vehicles. The benefits of GPS-based tracking systems include improved accuracy, increased efficiency, and reduced costs. However, limitations include the need for a strong GPS signal and the inability to measure emissions from stationary sources.
According to a report by WorkWave GPS, based tracking systems can increase delivery efficiency by up to 30% and fuel consumption by up to 20%.
Sensor-based monitoring
Sensor technologies are used for precise greenhouse gas emission measurements. These sensors can detect pollutants like carbon dioxide and nitrogen oxides in real time. Examples of sensor-based monitoring solutions in the deliveries and supply chain sector include onboard sensors in vehicles and stationary sensors at warehouses and distribution centers. The benefits of sensor-based monitoring include improved accuracy, reduced emissions, and increased compliance. However, limitations include the high cost of installation and maintenance.
Future trends and innovations
Emerging trends and technologies in greenhouse gas emission tracking include the Internet of Things (IoT), blockchain, and remote sensing. IoT devices can collect and transmit real-time data on emissions, while blockchain can provide a secure and transparent platform for tracking emissions across the supply chain. Remote sensing technologies, such as satellite imagery, can provide a comprehensive view of emissions at a global scale. These technologies can potentially revolutionize greenhouse gas emission tracking by providing more accurate and reliable data.
Benefits and considerations
Adopting advanced emission tracking technologies can bring several benefits, such as improved accuracy, increased efficiency, and reduced costs. However, there are also challenges and considerations associated with implementation, such as the need for specialized skills and resources.
This is why businesses must work closely with a trusted partner like nShift.
Strive to meet emissions reduction targets
As businesses strive to meet delivery emissions reduction targets, tracking greenhouse gas emissions in real time is crucial. nShift's delivery management software integrates cutting-edge emission tracking capabilities, enabling businesses to reduce their carbon footprint.
We encourage readers to explore how nShift can leverage advanced greenhouse gas emission tracking technologies by contacting us for an initial consultation.
Let's work together to create a more sustainable future.
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Explore the nShift platformFurther reading: Emissions tracking FAQs
What are emissions tracking technologies and how do they work?
Emissions tracking technologies monitor and calculate greenhouse gas (GHG) emissions using real-time data from transport, fuel usage, and supply chains. They combine sensors, telematics, and software to generate reports aligned with standards like the GHG Protocol or ISO 14083.
Why is Scope 3 emissions tracking crucial in logistics?
Scope 3 emissions include indirect emissions from transport and supply chain partners. Tracking them helps logistics companies measure their full carbon footprint, meet ESG reporting obligations, and reduce emissions beyond their direct operations.
What methodologies and standards are used for emissions tracking?
Common standards include the GHG Protocol, the GLEC Framework, ISO 14083, and DEFRA/EPA emission factors. These ensure consistent, transparent, and comparable emissions reporting across industries and regions.
What data do I need to accurately measure transport emissions?
Accurate emissions tracking requires data such as distance traveled, fuel consumption, vehicle type, shipment weight, and carrier-specific emissions factors. The more granular the data, the more precise the calculations.
What features should I look for in an emissions tracking tool for logistics?
Look for features like multimodal emissions tracking, real-time data collection, compliance-ready reporting, Scope 3 capabilities, API integration, and support for GLEC/ISO 14083 methodologies.
How do emissions tracking tools support CSRD and regulatory compliance?
Emissions tracking tools automate data collection and generate reports aligned with the EU’s CSRD, ESRS, and GHG Protocol standards, helping companies meet disclosure requirements for Scope 1, 2, and 3 emissions.
Is it difficult or costly to set up emissions tracking in a supply chain?
Modern emissions tracking tools are designed for easy setup with existing logistics systems. Cloud-based platforms reduce upfront costs, and ROI is typically seen through improved efficiency and sustainability compliance.
How accurate are emissions calculations and what affects their reliability?
Accuracy depends on the quality of input data—primary (real-time) data is more reliable than default or estimated values. Route-specific data, carrier-level granularity, and standardized methodologies also boost accuracy.
What are the practical benefits of emissions tracking for businesses?
Benefits include regulatory compliance, cost savings, improved efficiency, better ESG reporting, and enhanced brand reputation. Tracking also identifies emissions hotspots for targeted reduction.
How can companies reduce their emissions after tracking them?
Companies can reduce emissions by optimizing routes, shifting to greener transport modes, improving load efficiency, collaborating with low-emission carriers, and using insetting or carbon offsetting strategies.
Author
Fredrik Lindhagen
Product Manager
Fredrik has 12+ years of experience within the shipping industry. At nShift his responsibility is in developing our Transport Management Solution as well as evolving the Emissions Dashboard allowing customers to keep track of and reduce their CO2 emissions.
