Study shows: Fleets must address digital gaps to cut emissions

• 27% of companies can accurately measure their CO₂ output
• Outdated methods for emission tracking remain common
• Nearly half of fleet managers feel underinformed about electrification and available support
• CSRD and similar initiatives have had little impact so far

MUNICH 13/05/2025 – European companies are collecting more emissions data than ever before – but have yet to fully leverage it. According to the latest European Fleet Emission Monitor (EFEM) by Alphabet, only 27% of companies can accurately quantify their fleet’s CO₂ output, despite a steady rise in tracking efforts. Based on responses from over 740 fleet managers across 12 countries, the report reveals a growing disconnect: digitalisation is advancing, sustainability is high on the agenda – yet most fleets remain stuck in outdated systems, overwhelmed by information, and unprepared for tightening regulations. In an increasingly high-stakes landscape, this inaction is no longer a passive choice – it’s a business risk.

The 2025 survey highlights a steady increase in companies tracking fleet emissions, now at 43%, a modest rise of nearly 1% from last year. However, only 27% can precisely measure their CO₂ output, revealing a growing disparity between data collection and actionable insight. This doesn't indicate a lack of interest; rather, it shows many companies are still establishing the digital infrastructure and internal capabilities necessary to manage the expanding data effectively. 

Many businesses remain overwhelmed by unstructured data and outdated tools: 42% still rely on fuel-based estimates and 26% use Excel spreadsheets for tracking. This reliance on manual, fragmented systems makes it difficult for fleet managers to derive meaningful insights or respond effectively to regulatory and cost pressures. Despite the obvious need, the uptake of advanced digital tools has stalled, and the sector remains slow in embracing automation: only 7% of companies currently integrate AI into their fleet management, with just over 3% using it specifically for emissions reporting.

No plan, no progress: fleets without targets face rising costs and compliance risks
Furthermore, many companies are still navigating fleet sustainability without a clear direction. A staggering 43% have no CO₂ targets, and about a third don't monitor their fleet emissions at all. The CSRD, anticipated to prompt stronger action, has had limited effect so far, with just over 8% of companies reporting an impact on their fleet planning. However, there are signs of structural progress: over one-third of companies now have dedicated sustainability departments, and another 12% plan to establish one. These steps could pave the way for more consistent action in the future. Yet, the chasm between awareness and execution remains critical. Without defined targets and reliable monitoring, companies risk higher costs, missed incentives, and diminished competitiveness in an increasingly regulated landscape.

Knowledge gaps undermine electrification incentives
Despite the increased focus on electric vehicle adoption, 43% of fleet managers still feel under-informed about e-mobility developments and opportunities – a slight improvement on last year. This ongoing knowledge gap is not only hindering the pace of electrification but also diminishing the impact of available incentives. Over a quarter of companies are unaware of financial support schemes, and fewer than one in three fully grasp the benefits they could access. The result is a noticeable disconnect between well-intentioned policy and practical implementation – highlighting the need for stronger guidance, better communication, and more integrated support across the industry.

Jesper Lyndberg, CEO of Alphabet International, comments: “This year’s survey uncovers both the progress and the pitfalls of sustainability. While the ambition to drive change across is evident across Europe, the real challenge remains the execution. Companies that invest in electrification, integrated data systems and sustainability now, will be better positioned to avoid rising costs and adapt to tightening regulations in the future. This way they can reap the full benefits of operational savings, incentives and strategic resilience: Those who delay will pay. Those who act will lead.”