Knowledge Hub
White paper: It’s Not the Truck – It’s the System: How to Make Electric Freight Work
The road to decarbonized freight isn't blocked by technology — it's blocked by outdated thinking.
Battery-electric vehicles (BEVs) are ready. Long-range electric trucks exist. Public charging infrastructure is growing along Europe’s major corridors. So why aren’t we seeing widescale adoption of electric road freight?
The answer is simple: it’s not about the truck. It’s about the system around it.
The road to decarbonized freight isn’t blocked by technology — it’s blocked by outdated thinking.
Battery-electric vehicles (BEVs) are ready. Long-range electric trucks exist. Public charging infrastructure is growing along Europe’s major corridors. So why aren’t we seeing widescale adoption of electric road freight?
The answer is simple: it’s not about the truck. It’s about the system around it.
Why Diesel Still Dominates
Heavy-duty trucks make up just 2% of the vehicles on European roads but produce over a quarter of all road transport emissions. While biofuels like HVO offer a transitional step, their supply limitations make them unsustainable at scale.
Electric trucks offer a zero-emission alternative — but running one today without redesigning the operation can make costs skyrocket. On a typical long-haul route, simply swapping a diesel truck for an electric one can increase costs by 30%. That’s not viable in a cost-sensitive industry.
A New Blueprint: The Green Lane Model
Instead of waiting for technology or policy to catch up, logistics leaders can take action now. By redesigning freight lanes as integrated production systems, we can unlock the full potential of electric transport.
The Green Lane concept is built on two pillars:
- Maximize Asset Utilization
Use driver-swap hubs to keep electric trucks moving continuously across shifts, tripling utilization and cutting lead times. - Minimize Charging Costs
Distribute charging across the route, shift to off-peak hours, and avoid expensive peak tariffs — bringing electricity costs down as low as €0.20/kWh.
When done right, this model brings the cost of electric freight to €1.44/km — cheaper than today’s diesel benchmark of €1.55/km, and dramatically below the projected diesel cost of €1.89/km by 2030 due to rising CO₂ tolls.
Three Building Blocks for Success
To make this work, companies must build three core capabilities in parallel:
-
Commercial Design – Aggregate high, committed volumes through shipper collaboration.
-
Physical Infrastructure – Establish hubs for driver swaps and intelligent charging.
-
Digital Orchestration – Use AI and integrated platforms to manage energy pricing, scheduling, and truck availability in real time.
This is not plug-and-play. It’s a systems redesign. But those who invest now stand to gain a lasting competitive advantage.
Preparing for the Autonomous Era
Perhaps most strategically, building this new freight architecture today lays the foundation for what’s coming next: autonomous transport. With cost reductions of up to 42% per kilometer, autonomy will not start with pilots — it will scale fast on high-volume lanes. Those who already control and operate these corridors will be best positioned to lead.
Beyond Cost: A New Deal for Drivers
This model also transforms the driver experience. By enabling daily return-to-base operations, it creates a more stable, attractive career — one that could help address the industry’s chronic labor shortage and bring greater diversity to the driver workforce.
The Bottom Line
Electric freight doesn’t become viable when battery tech improves or carbon prices rise. It becomes viable when we redesign how we operate.
At LOTS Group, we’re not waiting — we’re building. Read the full whitepaper to see how.
Insights
Cases
News
Packoplock and LOTS Group: Driving Logistics Efficiency Through Strategic Partnership and AI Innovation
Packoplock and LOTS Group have entered a results-oriented partnership to enhance European logistics operations. Central to this collaboration is the LOTS Group Pathfinder platform, which leverages advanced AI to analyze, simulate, and optimize logistics for maximum efficiency and smarter planning.
Racing Against 2030: Small Carriers, Big Sustainability Challenges
Europe’s transport sector must cut emissions fast to meet 2030 climate goals. While big players push ahead, small and medium carriers – the backbone of the industry – risk being left behind. This article highlights their challenges and the solutions needed to keep them part of the transition.
LOTS Pathfinder in Dagens Industri
In an interview with Dagens industri, Johan Palmqvist, Managing Director of LOTS Europe, and Jonathan Jönsson, Tech Lead, explain how LOTS Group leverages AI and data to reduce empty mileage, optimize vehicle utilization, and make electric freight commercially viable.
LOTS Group Acquires Elain – Strengthening capacity for data-driven CO₂ reduction
As pressure mounts on the logistics sector to cut emissions, many companies still struggle to turn climate data into actionable change. With the acquisition of Elain, LOTS Group is bridging that gap. By combining operational expertise with one of the market’s most advanced emissions platforms, the two companies aim to deliver deeper insights, stronger compliance, and measurable CO₂ reductions — without compromising on cost or quality.
White paper: Collaborative Shipping: Paving the Way to Net Zero Logistics
The logistics industry is at a pivotal moment. As one of the largest contributors to global emissions, transportation must evolve swiftly to meet the increasing demands for sustainability and carbon reduction. The future of logistics is rooted in reducing carbon footprints, and two critical strategies have emerged: electrification and collaborative shipping.
SKF and LOTS Group Collaborate on Electrification – Launching One of Europe’s Longest BEV Routes
As the demand for greener transport solutions grows, SKF and LOTS Group, together with Scania and Ahréns Åkeri, are taking action by launching one of Europe’s longest battery-electric vehicle (BEV) routes. This initiative significantly reduces emissions while optimizing transport efficiency. By leveraging digital tools and collaboration across the supply chain, the project demonstrates that long-haul electrification is both feasible and economically viable, setting a new standard for sustainable logistics.
Navigating Electricity Cost Structures: Optimizing BEV Charging Economics
Electrifying freight means mastering grid costs. Peak demand, not fuel price, defines BEV economics.
Women Driving Change in Logistics
LOTS Group’s female driver training program fosters inclusion and changes the face of road transport.
Battery Energy Storage Systems: A Smart Step Toward Scalable Fast Charging
As the world races towards net-zero emissions targets, the electrification of long-haul trucking offers immense potential to reduce emissions. However, the higher upfront costs of battery electric vehicles (BEVs) pose a challenge to widespread adoption in the freight industry. This is where Battery Energy Storage Systems (BESS) emerge as a game-changing solution, enabling lower charging prices and helping to offset the increased capital expenditure associated with BEVs, thus paving the way for a more sustainable and economically viable future in heavy-duty transportation.
ETS2: Calculating Your Emissions – A Guide for Logistics Professionals
Article 2 in our series about ETS2: Accurately calculating emissions. With ETS2 introducing a cost for carbon and CSRD driving demand for primary emissions data, logistics professionals must adopt standardized methodologies like those outlined in the GHG Protocol, ISO 14083, and the GLEC framework. Choosing the right calculation approach and collaborating with supply chain partners will be critical for meeting regulatory requirements, maintaining competitiveness, and driving meaningful CO2 reductions.
ETS2: The End of Business as Usual for Logistics and Transport
Article 1 in our series on ETS2: The EU’s Emissions Trading System 2 (ETS2), launching in 2027, will bring carbon pricing to road transport, buildings, and smaller industries—driving long-overdue emissions reductions in logistics. This article series breaks down the key impacts and offers practical insights to help businesses adapt.
Case: Boosting Efficiency Through Lean Principles: The Power of Small Changes
Lean production is about more than cutting costs. It’s about creating a smarter, more resilient system that adds value at every step. By embracing lean efficiency, we’re not only improving processes but also laying the foundation for a more sustainable, greener supply chain.
Collaborative Shipping – Decarbonization won’t happen in silos
One of the most significant challenges facing the logistics sector is its fragmented nature. With multiple stakeholders, from manufacturers to logistics providers, each working in their own domain, inefficiencies are bound to arise. This siloed approach hinders the progress needed to transition toward sustainable, electric transport. The lack of a cohesive strategy results in duplicated efforts, wasted resources, and slower overall progress toward sustainability goals.
The Changing Landscape of Logistics
The logistics industry stands at a critical crossroads, grappling with unprecedented challenges as it seeks to reduce emissions while meeting the demands of a rapidly evolving global economy. Currently, transport accounts for 25% of total EU emissions, with heavy-duty vehicles representing a significant portion of this total.
Electrification – The Next Frontier for Decarbonizing Transport
Electrification offers a promising path to reducing transport emissions, but challenges like high costs and limited charging infrastructure slow its adoption. This article examines the potential of electric trucks and the key obstacles to creating a sustainable logistics future.
Enhancing Efficiency and Sustainability in Logistics
The logistics industry is constantly evolving, and companies are always looking for ways to improve efficiency, reduce costs, and enhance sustainability. One such initiative is the transition from non-stackable to stackable pallets. This document explores the potential benefits of this transition for a client who has been using non-stackable pallets for bulk transportation of components. The goal is to identify how switching to stackable pallets can optimize logistics operations, reduce costs, and support sustainability goals while adhering to lean efficiency principles.