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ALC urges freight to be central to Australian government’s 2035 climate target

“Australia cannot reach its climate goals without freight” is the message from the ALC as it welcomes the nation’s new net zero targets
The new NSW road categorisation system will speed decisions, clarify funding and deliver more reliable routes for freight operators.

The Australian Logistics Council (ALC) has welcomed the federal government’s announcement last week of its new 2025 emissions reduction target and is calling on freight to be central to this reduction.

Last week, the federal government unveiled a 2035 emissions reduction target of 62 to 70 per cent below 2005 levels alongside the release of its Net Zero Plan.

ALC CEO Dr Hermione Parsons has called this pathway “ambitious and credible” to achieve net zero by 2050, sending a strong signal to investors, industry and the community about Australia’s determination to act.

Parsons says the commitment is a milestone that recognises the scale of change required across the economy.

“Freight and supply chains enable every sector from agriculture to resources to health care. Decarbonising these systems is not simply an environmental imperative, it is essential to national productivity, resilience and prosperity,” she says.

“The Net Zero Plan sets a platform for action, and the ALC advocates for freight to be positioned at the centre of this transition.”

The ALC says the plan rightly identifies clean electricity, electrification, low carbon fuels and technology innovation as national priorities to ensure freight can contribute effectively to these goals.

The ALC says it considers it essential to develop a nationally coordinated transition plan for heavy vehicles. This should include measures such as corridor charging and hydrogen refuelling infrastructure, depot energy planning, targeted operator incentives and reforms to licensing frameworks that currently limit workforce participation.

‘’The ALC also recommends addressing the operational realities of rail freight, including access regimes, pricing and last-mile bottlenecks to enable genuine mode shift rather than a narrow focus on new technologies,” Parsons says.

“Freight continuity, redundancy, and cross-border protocols should be embedded into disaster and infrastructure planning to strengthen resilience and prevent communities and businesses from being isolated during crises.”

The ALC says the transition will also require a workforce transformation. Investment in skills, training and VET pathways must be matched with deliberate measures to boost diversity and First Nations participation.

It says licensing and regulatory reforms should also support broader workforce participation, ensuring freight remains safe, efficient and inclusive as the sector modernises.

Parsons says ALC will work closely with government to ensure the freight sector is positioned at the heart of the transition.
“Australia cannot reach its climate goals without freight. Placing freight at the centre of planning and reform will strengthen supply chains, deliver energy security and create new opportunities for investment and jobs,” she says.

“We welcome the ambition of the 2035 target and the Net Zero Plan, and we look forward to working with government and industry to build a resilient, productive and sustainable freight system that supports a prosperous, low-emissions future for Australia.”

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