Last Updated January 26, 2026
Fuel is one of the largest expenses for fleets, so it follows that you need a good system in place to monitor fuel purchasing and use. Even small inefficiencies multiply quickly across a fleet, cutting into your already tight margins and making it harder to stay financially stable.
Fuel monitoring systems have become an essential part of successful fleet management. They provide clarity into how fuel is being used, where it’s being wasted, and how to control one of the most unpredictable operating costs.
Key Takeaways
- Fuel monitoring systems help fleets control fuel costs by providing real time visibility into fuel consumption and cost per mile across trucks and routes.
- By integrating telematics and fuel cards, fuel monitoring software reduces fuel theft and unauthorized fuel use that hurt fleet profitability.
- Tracking driver behavior and vehicle performance with fuel monitoring tools helps fleets reduce fuel waste and improve overall efficiency.
- Accurate fuel data improves fleet budgeting, forecasting, and pricing decisions, helping carriers understand which loads are profitable and where changes are needed.
What Is a Fuel Monitoring System?
A fuel monitoring system is a type of technology used to track fuel consumption, fuel levels, refills, and overall usage patterns. Instead of expecting drivers to collect receipts and manually log their fuel logs, most systems integrate with a vehicle’s telematics, like tank and engine sensors. In addition, the system usually pulls fuel card activity as well. The result is a crystal clear picture of how much fuel is being consumed and where.
These systems help fleets quickly identify when fuel is being wasted, where there is unusual fuel loss, and when driver behavior or poor vehicle performance is contributing to fuel inefficiency. Because they integrate with fuel telematics, fleet managers don’t have to wait for updates and can spot patterns showing up across the fleet.
Why Is Fuel Monitoring Important?
Fuel is one of the few major trucking expenses that you can actually control from day to day. But if you don’t consistently track fuel usage, it’s easy for losses and inefficiency to go unnoticed until they turn into a problem too big to miss. Here’s why most fleets are implementing fuel monitoring systems for trucks:
Controlling Your Largest Variable Expense
For the average fleet, fuel makes up about 25% of their overall operating costs, but it can massively fluctuate without warning. Just like every other line item in your budget, you need to have an exact picture of how much you’re spending on fuel so you can control costs and make adjustments as necessary.
Preventing Unauthorized Fuel Use
Most company drivers don’t pay for fuel themselves, so fuel cards help centralize fuel purchases across the entire fleet. However, it’s estimated that 73% of commercial fleets are subject to fuel theft each year, including acts such as improper fuel card use and false reporting. A fuel consumption monitoring system helps catch discrepancies between fuel purchases, tank levels, and vehicle location. With this information, fleet managers can flag suspicious activity and implement strategies to prevent freight fraud.
Reducing Waste Caused by Inefficient Driving
Driver behavior has a direct impact on fuel consumption. When drivers speed, accelerate aggressively, idle excessively, or take unnecessary detours, they use more fuel than necessary. Fuel monitoring systems, integrated with vehicle telematics, help highlight these patterns so fleet managers can coach drivers on efficiency and create new routes as necessary.
Improving Cost Accuracy
The data available from fuel monitoring systems gives a precise picture of your cost per mile across different routes and trucks. Knowing this can help you make stronger operational and financial decisions.
Accurate fuel data shows how fuel expenses affect each load, revealing which loads are actually profitable and which loads aren’t worth it. With clear numbers, carriers can adjust pricing based on operating expenses.
In addition, reliable fuel tracking improves your budgeting and forecasting. When fleets know exactly how fuel impacts cost per mile, they can more accurately anticipate cash flow and make long-term decisions about trucks and routes.
Types of Fuel Monitoring Systems
Several types of fuel monitoring systems are available on the market today. Many can be used in conjunction with one another, ensuring you have visibility into every factor that relates to fuel consumption.
Telematics-Based Fuel Tracking
Telematics-based fuel tracking systems pull data from a truck’s engine control module (ECM) to measure fuel consumption while the vehicle is being used. Since most modern fleet vehicles already contain telematics systems for GPS and ELD compliance, it’s usually easy to add fuel tracking without having to install additional hardware. Telematics systems include automated reporting, so fleet managers can see data from the remote fuel monitoring system without waiting for drivers’ manual input.
Fuel Level Sensors
Separate from the factory-installed fuel tank monitoring system on a vehicle, fuel level sensors are installed inside the fuel tank to provide real-time fuel monitoring. While float sensors measure within a 10-20% error range, most standard fuel level sensors offer 99% accuracy. In addition, they can detect sudden drops that might be a sign of fuel theft or a fuel leak.
CAN Bus/Advanced Engine Data Systems
These systems are more sophisticated than basic telematics. Because they connect directly to a truck’s internal communication network (Controller Area Network), they can capture data about fuel flow in greater detail. A CAN-based fuel monitoring device measures actual fuel injection and burn rates in real time and can even help catch mechanical issues before they snowball into a larger, more costly problem. This advanced fuel monitoring solution gives high-level detail, but it can come with a high price tag as well.
Fuel Card Monitoring Systems
These platforms track and analyze fuel card purchases to compare them against vehicle location, tank capacity, and usage patterns.
A fuel card monitoring system is typically used alongside fuel monitoring devices like a fuel level sensor or a telematics-based system. It can detect red flags, such as when:
- A card is used far away from the truck’s GPS location
- An unnecessary number of gallons is purchased
- Purchases are being made outside of typical driving hours
- A card was declined multiple times
Catching misuse quickly helps prevent fuel card fraud and unauthorized purchases.
Integrated Fleet and Fuel Management Platforms
An integrated platform allows managers to see all relevant data in a single place by combining fuel tracking with routing, driver scorecards, and maintenance scheduling. Having all fleet management information together gives a clearer picture of overall fleet performance and operational health.
Tips for Improving Your Trucks’ Fuel Efficiency
Efficient fuel use is the result of thoughtful decisions across a fleet’s operations. Driving, routing, maintenance, and even truck parts all play a role in how much gas your vehicles use when they’re on the road. Here are a few ways you can improve fuel efficiency:
- Optimize Your Routes: Long routes typically require more gas, so use a route optimization tool to find the most direct path and help you avoid high-traffic areas or construction zones.
- Stay Ahead on Preventive Maintenance: Dirty filters, low tire pressure, misaligned wheels, and other maintenance issues cause a truck to burn more fuel. Proactive, preventive maintenance keeps your fleet in top condition and increases fuel efficiency.
- Limit Excessive Idling: Research estimates that one idling truck burns between 1,000 and 1,800 gallons of diesel each year, wasting anywhere from $4,000 to $6,000. For drivers who spend nights in their trucks, you can provide insulation retrofits, heaters, and auxiliary power units. In addition, include idle reduction strategies in your driver training and policies.
- Coach Drivers on the Importance of Fuel Efficiency: Make efficient fuel use part of your onboarding training and professional development. Encourage drivers to use cruise control whenever possible to reduce speeding, frequent acceleration, and hard braking. Telematics data can help you identify driving patterns of individual drivers and offer feedback as necessary.
In-Summary: Fleet Fuel Monitoring
A fuel monitoring system for vehicles in your fleet gives you greater control over one of your biggest and most unpredictable operating expenses, ultimately protecting your profitability. By tracking fuel usage, identifying loss and theft, and catching inefficient fuel use, this tool helps ensure you’re aware of exactly how fuel is being used. Fleets that keep a close eye on fuel usage are better equipped to improve efficiency and maintain a healthy cash flow across their operations.
Michael McCareins is the Content Marketing Associate at altLINE, where he is dedicated to creating and managing optimal content for readers. Following a brief career in media relations, Michael has discovered a passion for content marketing through developing unique, informative content to help audiences better understand ideas and topics such as invoice factoring and A/R financing.
