MoD approves digital fuel accounting concept: what will change and why it matters

The Ministry of Defence of Ukraine has approved a concept for the digital accounting and monitoring of fuel consumption and quality. This step aims to ensure the maximum transparency and control of fuel supplies to the military and to support the implementation of the National Anti-Corruption Program.

The concept was initiated by the Command of the Logistics Forces of the Armed Forces of Ukraine. The document primarily outlines the operational framework for controlling fuel stocks at logistics centers.

“We are starting with the concept and moving step by step toward full digital accounting and monitoring of fuel—one of the key resources for the military,” said Minister of Defence of Ukraine Denys Shmyhal.

What will change

Fuel storage and transfer tanks will be gradually equipped with specialized sensors integrated into the digital accounting system. The sensors will automatically measure fuel levels and transmit the data to logistics support units.

Why this matters

Fuel accounting is already carried out via a SAP-based digital system, a modern resource management software used by the armed forces of 90 percent of NATO member countries. However, verifying accounting data against actual fuel stocks previously necessitated on-site inspections and manual measurements. This approach was time-consuming and posed risks of errors or abuse, especially considering the large volumes of fuel at storage facilities.

The sensors will enable real-time visibility of actual fuel levels online. If shortages or abnormal losses occur, they can be quickly detected and addressed.

This will also eliminate the need for paper logs and daily manual measurements. The control process will become fully automated and continuous.

The next stage will involve introducing digital tools to automate the calculation of fuel requirements.

“The system has full visibility of fuel availability, consumption, and replenishment. Going forward, this will enable demand forecasting and timely stock replenishment. This is the approach used by modern retail globally,” said Oksana Ferchuk, Deputy Minister of Defence of Ukraine for Digital Development, Digital Transformation, and Digitalization.