Road transport is one of the main sources of greenhouse-gas emissions in the United Kingdom. According to the Department for Transport and the Department for Energy Security and Net Zero, in 2022 the transport sector accounted for 28 % of the country’s total GHG emissions, and roughly 89 % of that came from road vehicles.
Across Europe, road transport contributes about 72 % of CO₂ emissions in the transport sector. In the UK, 81 % of domestic freight moves by road, while rail carries about 7 % (the remainder travels by water).
The transport sector is also a major source of local pollutants: in 2022 it generated 18 % of national PM10 emissions.
In 2020 transport generated about 25% of the EU’s total greenhouse-gas emissions, with road transport responsible for roughly 72% of the sector’s output.
Freight transport contributes significantly to pollution in urban areas. The transport sector generates a large share of PM10 particulate emissions, with road transport making up a substantial part.
Growing demand for goods in cities has led to environmental and economic costs linked to more vehicle-kilometres, congestion and parking pressure. The boom in e-commerce has changed consumer expectations, driving a sharp rise in deliveries.
Forecasts suggest that, globally, carbon emissions from deliveries could grow markedly by 2030, representing a sizeable share of transport-sector and overall city emissions.
Regulatory and social pressure is steadily mounting. The EU aims to cut net GHG emissions by at least 55% versus 1990 levels by 2030.
For heavy vehicles the new rules call for a 45% reduction by 2030, 65% by 2035 and 90% by 2040. For new urban buses the target is 90% zero-emission by 2030 and 100% by 2035.
The EU Emissions Trading System has been expanded with EU ETS2, which now covers road transport—evidence of the growing commitment to decarbonise the sector.
Electric vehicles are an ideal solution for last-mile deliveries, especially in cities. With zero tailpipe emissions they can enter low-emission zones without restriction. Their compact size suits narrow streets and their range can reach 200 km with fast-charging systems.
Well suited to stop-and-go operations, EVs also deliver significant savings in operating and maintenance costs. Many companies are already adopting the technology.
Biofuels offer a practical alternative to petroleum derivatives. SAF, produced from renewables such as vegetable oils and animal fats, can cut GHG emissions by up to 80% compared with fossil fuels.
Hydrogen is emerging as a promising option for heavy transport. Fuel-cell vehicles convert the chemical energy of hydrogen into electricity, emitting only water vapour. They offer ranges up to 800 km and quick refuelling, making them ideal for long haul.
The EU’s AFIR regulation calls for a hydrogen refuelling station every 100 km along the TEN-T core network by 2027.
Digitalisation is a cornerstone of emissions reduction. Advanced software plans optimised routes that consider operational constraints and time windows.
Real-time tracking systems monitor the entire transport process, give all stakeholders visibility and digitise document flows. These technologies can significantly lower transport costs and related emissions.
The purchase price of electric heavy-duty vehicles is a major deterrent, mainly because of battery costs. Studies predict that by 2035 new electric trucks will be cheaper to own and operate than diesel ones, but companies still face high upfront outlays today.
Electric penetration in freight transport remains limited partly due to inadequate infrastructure. Meeting EU targets will require many fast-charging points. A 150 kW charger is expensive, excluding civil works and installation. Firms also report difficulties securing power capacity and timely installation approvals.
Electric trucks have significant range limits—200 to 500 km per charge versus up to 1,000 km for diesel. Charging times vary widely: 2.5 to 11 hours depending on power availability, or 2–4 hours at 150 kW to go from 10 % to 100 %. These constraints affect operational efficiency, especially on long runs and tight schedules. Uneven infrastructure across EU countries hampers cross-border planning.
International freight transport needs shared rules across member states. The absence of common technical standards for infrastructure, taxes and green incentives can distort the market and cause carbon leakage.
Perceived regulatory preference for battery-electric traction has drawn criticism from some industries that call for greater support for alternatives such as synthetic fuels, advanced biofuels and green hydrogen.
Under the Green Deal and the 2050 climate-neutral goal, the EU mandates these road-transport cuts:
These targets form part of the Fit for 55 package, which also revises the Renewable Energy Directive (RED III), extends EU ETS2 to road-fuel use and sets AFIR rules on alternative-fuel infrastructure.
To speed up logistics decarbonisation, the European Commission promotes the ASI model:
This integrated approach is also recommended by the OECD’s International Transport Forum.
In 2023-25, the UK government has allocated more than £580 million for sustainable mobility, including:
At EU level, the Connecting Europe Facility (CEF) and the Innovation Fund support alternative fuels, hydrogen and smart logistics.
Additional smaller funds support innovation through the Freight Innovation Fund and local grants.
With the Corporate Sustainability Reporting Directive (CSRD), large companies must disclose environmental impact under ESRS standards and the GHG Protocol.
Monitoring Scope 3 emissions—indirect emissions from the supply chain (transport, procurement, use and end-of-life)—is crucial, as these often exceed 90 % of total footprint.
Tools like CarbonCare and EcoTransIT let firms calculate shipment impact under EN 16258, facilitating ESG reporting.
Logistics decarbonisation is no longer optional; it is a strategic necessity for complying with EU standards and maintaining long-term competitiveness.
Transport—especially road haulage—remains a major source of climate-altering emissions. The technologies exist, from electric vehicles to hydrogen, biofuels and digitalisation, but uptake is slowed by structural, economic and regulatory barriers.
Overcoming these barriers requires a systemic approach that combines:
The journey toward decarbonised logistics is long and complex but offers tangible benefits: medium-term cost reductions, easier access to ESG funds, more resilient supply chains and a sustainable reputation.
Acting today means building the competitive advantage of tomorrow.