Australia’s freight and logistics sector is facing a pivotal moment.
For decades, our industry has enabled the movement of goods across cities, regions, and borders – supporting supply chains and underpinning economic activity.
But as the urgency to reduce carbon emissions grows, we must confront a fundamental question: how do we continue to deliver essential transport services while transitioning away from carbon-intensive fuels?
This is not a distant challenge. It is already reshaping the way we operate. Regulatory pressures, shifting customer expectations, and the increasing viability of alternative technologies are converging to make the transition to lower-emitting fuels a reality. The question is no longer if we transition, but how – and how quickly.
Australia’s commitment to reduce greenhouse gas emissions by 62–70 per cent below 2005 levels by 2035 sets a clear direction for the nation’s energy future. This ambitious target, supported by the Climate Change Authority, is part of a broader strategy to reach net zero by 2050.
For the freight industry, which is heavily reliant on diesel and other liquid fuels, this means significant change is on the horizon.
Recognising the scale of this challenge, the federal government has committed $1.1 billion to stimulate domestic production of low-carbon liquid fuels, including renewable diesel and sustainable aviation fuel. These “drop-in” fuels – designed to work with existing engines and infrastructure – offer a practical pathway for decarbonising sectors that are difficult to electrify, such as heavy transport, aviation, and shipping.
Biofuels represent a promising solution. Australia has access to abundant feedstocks like canola, sugarcane, and agricultural waste, and the potential to build a thriving domestic biofuel industry.
The Cleaner Fuels Program aims to unlock this potential, supporting innovation and investment across the supply chain – from farmers to refiners to fleet operators.
At the Victorian Transport Association, we recognise that this transition will be complex. It will require thoughtful planning, investment, and a willingness to adapt. But it also presents an opportunity to rethink how we power our fleets, design our infrastructure, and future-proof our operations.
To support this, the VTA is convening its fourth Alternative Fuel Summit on Tuesday, November 18 in Melbourne at Hyatt Place, Essendon Fields. The theme – “Is the transport industry ready to decarbonise?” – reflects the urgency and complexity of the issue.
The summit is not about promoting a single technology or pathway. It’s about creating space for informed discussion, sharing experiences, and learning from those already navigating the transition.
The program includes contributions from energy providers, infrastructure specialists, legal experts, and sustainability leaders.
Speakers such as Professor Hadi Ghaderi from Swinburne University will offer insights into supply chain decarbonisation, while case studies from operators like DHL, Fleet Plant Hire, and Cookers Oil will highlight practical approaches to reducing emissions while maintaining service excellence.
Panel discussions will explore the regulatory and commercial landscape, with input from organisations including Gallagher, Impact HQ, and NetNada. Legal and infrastructure perspectives will be provided by Hall & Wilcox, NTI, Mondo, and others, helping attendees understand the broader systems that will shape the transition.
I encourage transport operators, fleet managers, and suppliers to attend, not because the answers are simple, but because the questions are too important to ignore.
The energy transition will affect every part of our industry. By participating in the conversation, we can help shape a transition that is practical, inclusive, and grounded in the realities of freight. You can register at vta.com.au.
While the transition to lower-emitting fuels will undoubtedly be challenging – requiring new thinking, new investments, and new partnerships – it also offers a chance to improve how we operate.
Cleaner fuels can lead to more efficient fleets, reduced maintenance costs, and better alignment with customer expectations. More broadly, they contribute to a healthier environment, stronger communities, and a more resilient economy.
- Peter Anderson is the CEO of the Victorian Transport Association.