COP25: Schneider Electric Reaffirms Commitments to 1.5°C Global Temperature Cap
Highlights
Schneider Electric accelerates progress to meet objective to be carbon neutral in its expanded ecosystem by 2025, 5 years in advance.
In 2019, the Schneider Sustainability Impact index reported more than 70 million tons of CO2 were saved on its clients’ end, CO2 efficiency in transportation was improved by 8.8%, the Group confirmed a 45% renewable electricity consumption worldwide.
Revenues from Energy & Sustainability Services (ESS) increased by 20.2%.
At COP25, Schneider Electric reaffirmed its ambition to be a role model in the fight against climate change, by delivering services & solutions that allow its customers to reduce more CO2 emissions than those induced by its activity and by seriously decarbonizing itself.
This is reflected by the commitments made during Climate Week as part of the “Business Ambition for 1.5°C - Our Only Future”. The Group shared its plans for: (1) engaging with suppliers towards a net-zero supply chain by 2050, (2) achieving net-zero operational emissions and reduce scope 3 emissions by 35% by 2030 (vs 2017) as part of its validated 1.5°C Science-Based Target (SBT), (3) being carbon neutral in its operations by offsetting remaining emissions no later than 2025 and (4) reaching by 2025—5 years in advance—its COP21 goal of carbon neutrality in its expanded ecosystem, by delivering more CO2 savings to its customers than its carbon footprint.
Climate change is one of the greatest threats to the planet's health and to its people
"Climate change is one of the greatest threats to the planet's health and to its people. We must work together to achieve this and stop the temperature rise," says Josu Ugarte, president of Schneider Electric Iberia. “Companies play a key role in reducing our carbon footprint. For this reason, the company has recently joined the group of early adopters that lead "Business Ambition for 1.5º C" with the aim of making this situation visible and try to add more leaders in the cause. In Spain, we are pursuing the implementation of new models for the purchase and sale of energy with PPAs (Power Purchase Agreements), which allow much more competitive prices to be set over a specific period of time. Thanks to the signing of these contracts, it is possible to invest in new renewable assets throughout the country.”
Schneider Electric has been a leading contributor to the fight against climate change for the past 15 years by implementing its own energy management and industrial automation offers across its operations, by supporting its clients in achieving their low-carbon and efficiency objectives and by allowing more than 24 million people to gain access to electricity. In 2019, programs in the Schneider Sustainability Impact's Climate pillar confirmed this ambition: more than 70 million tons of CO2 were saved on its clients’ end, CO2 efficiency in transportation was improved by 8.8%, the Group confirmed a 45% renewable electricity consumption worldwide, and the consumption of over 77,000 tons of primary resources was avoided with circular offers.
Schneider Electric accelerates innovation with new circular offers and business models, that enable products to be maintained, repaired, retrofitted for a longer lifetime, and reprocessed at the end of their life. Since 2015, our ecoDesign WayTM program is embedded into our R&D strategy to design new offers which are circular by design, and deliver additional environmental benefits to customers.
2020 Schneider Electric circular goals for 2020 include:
- 75% of global sales under its new Green Premium™ program
- 200 sites labeled toward zero waste to landfill
- 100% cardboard and pallets for transport packing from recycled or certified sources
- 120,000 metric tons of avoided primary resources consumption through ECOFIT™, recycling and take-back programs
Schneider Electric helps accelerate the climate transition of its customers
Through Energy and Sustainability Services (ESS), Schneider Electric is advising clients in more than 100 countries on their carbon strategy and clean energy procurement, delivering efficiency in client facilities and sustaining results over time through long-term partnerships. In 2019, revenues from ESS increased by 20.2%, demonstrating the acceleration of decarbonization.
How these partnerships can impact on carbon is demonstrated with clients like Agrial. The French agricultural group with operations across Europe has embarked in 2015 on an efficiency program together with ESS, targeting a 10% energy reduction for all of Agrial’s sites. After demonstration of success with the pilot site, that even exceeded the guaranteed savings, 46 sites have joined the project to date, significantly reducing greenhouse gas emissions.
Philippe Diez, ESS Vice President EMEA comments “It’s encouraging to see that most of our clients already have a lot of great actions in place. With our services, we try to connect all the internal departments working on clean energy procurement, energy efficiency programs or sustainability actions and make them move in the same direction, ideally toward a science-based carbon target that follows the 1.5-degree pathway.”
Acting today for a more inclusive world
For more than 10 years, Schneider Electric has developed the Access to Energy program which will notably provide electricity to 80 million people by 2030 thanks to its offers and business models. In December of 2019, two solutions, Villaya Community Emergency and Homaya PAYG, were awarded the Solar Impulse label. It is given by a team of independent scientific and financial experts led by Bertrand Piccard. The Solar Impulse label highlights solutions that are proven to be economically and environmentally attractive. These solutions are now part of the 1,000 solutions 
that can change the world for the better.
“Access to energy is a basic human right, but it is also crucial that we are mindful of the effects of energy consumption on the environment,” Gilles Vermot Desroches said. “We must find ways to bring energy-poor populations access to energy and allow them to develop in a sustainable way.”
Together, a net-zero future is possible
Global climate science is clear: public and private spheres must work together to reduce global carbon emissions and halt the rise in temperature. In line with TCFD recommendations, Schneider Electric launched 2 years earlier a prospective approach on climate change and energy transition, by setting up a dedicated organization in charge. The Scenarios developed by Schneider Electric demonstrate that a net-zero carbon future, aligned with IPCC’s 1.5°C scenarios, is possible and the Group is uniquely positioned to embark its ecosystem into an inclusive, low-carbon transition.