CO2 Impact
Methodology:
Saved and avoided emissions
by Schneider Electric offers
Methodological Guide
Version 2, September 2022

se.com
CO₂ impact methodology

1Contents

Time for climate impact disclosure

4

The need for an innovative CO2e methodology

4

Our promise: 800 MtCO2e saved and avoided from 2018 to 2025

6

Key guiding principles

6

Accounting and reporting principles

81.

Applicability

82.

Temporality

8

3.

Greenhouse gases

84.

Link between saved & avoided emissions and Schneider’s carbon footprint

8

5.

Emission factors

9

6.

Data collection

10

7.

Uncertainties

10

8.

Recommended disclosure for transparency

11

9.

Double-accounting

11

Distinction between saved and avoided emissions

12

Calculating CO2e emissions savings

14

Top-down philosophy

14

STEP 1: Product, system, ecosystem boundaries

14

STEP 2: Choose the Brownfield and Greenfield reference situations

15

STEP 3: Calculate the share of Greenfield and Brownfield sales

16

STEP 4: Identify emission hotspots across the product’s lifecycle

18

STEP 5: Calculate emissions from the production (product) or provision (service)of Schneider’s offer

19

STEP 6: Calculate the product or service’s positive impact on CO2 emissions

CO₂ impact methodology

2

20

Contents (cont’d.)Glossary23

How investors can use the CO2e impact metric24

Credentials

24

Appendix: Detailed CO2e impact methodology for Schneider Electric offers 24
1.

Variable Speed Drives (VSD)25

2.

Process Automation for the Oil & Gas industry

25

3.

Electricity Transformers

31

4.

Uninterruptible Power supply (UPS) Single Phase

34

5.

Power Purchase Agreements (PPA)

36

6.

Building Management Systems

40

7.

Power Monitoring Systems

43

8.

Energy Performance Contracting

46

9.

Power SCADA Operations48

10. Distribution and Energy Management Systems

50

11. Cooling machines

53

12. Microgrids

57

13. Power Quality equipment

60

14. Data Center Design & Science63

15. SF6 Recovery services

66

16. AirSeT products

68

17. Field Services

70

		 17.1 Maintenance, recurring services, spare parts, and electrical		

distribution modernization72

		 17.2 Battery recycling

CO₂ impact methodology

74

3

Time for climate impact disclosure
Climate is increasingly embedded in companies’ strategies. Economic actors are committing
to reduce their carbon emissions and set science-based targets compatible with a global warmingof 1.5 or 2°C, striving to reduce risks and capture new opportunities associated with the energy
and climate transition. Climate mitigation strategies make good business sense: energy efficiency,
resource circularity and renewable energy enable recurring cost savings and increase the resiliencyof supply chains. CO2e pricing has already been enforced in several geographies (through quotas
or taxes), and the cost of resources shows important volatility, weighing on productivity. Companies
also ambition to increase the resiliency of their assets by avoiding “stranded assets” risks, meaning
the deterioration of asset value due to inequation with “2°C-compatible” markets and regulations.
The climate transition is also an opportunity to innovate, outpace competitors and attract talents, andappears as one of the mega-trends driving market evolution.
Standardized definitions and quantification methodologies are essential to assess climate
impact and build trust, on corporate, customers and investors side.
Time has come to go one step further with transparent climate impact disclosure, focusing on
key impact metrics depending on the activity of companies. For the capital goods and consumer
durables sectors, a priority is to measure and reduce the CO2e impact of offers during their
lifetime, as solutions sold today will be used for years or even decades. Emissions from theuse-phase of offers typically represent over 80% of the end-to-end CO2 footprint of capital goods
and consumer durables companies, and therefore the main lever of action to contribute to climatechange mitigation. Many technologies bring energy efficiency and flexibility, enabling to cut CO2
emissions from historical emissions. Climate impact disclosure therefore needs to account fully
for induced, avoided and saved emissions over offers’ lifetime.

The need for an innovative CO2e methodology
To meet the challenge of the climate transition, it appears necessary to reinforce theability to quantify the CO2e impact of offers, looking both at induced and avoided or saved
emissions. Customers demand increased transparency, with environmental information available
at a fingertip and the ability to distinguish offers with a positive impact on climate. Investors request
a full overview of the impact of investee companies, to reduce risks and capture opportunities intheir portfolio. Both needs should be answered in a consistent manner, with a CO2e methodologythat can be used both at a granular and aggregated level, to quantify the CO2e impact of single
offers and full lines of business, and that enables to quantify CO2e savings or avoidance compared
to a reference situation.
Various initiatives exist today to try and clarify how CO2e impact is quantified. The GHG
Protocol published a paper1 recommending best practices aligned with the ones implemented
in our methodology, and works within the electrical technology industry are in progress topublish an industry specific standard. However, no methodology standardized today meets
yet the need to quantify the CO2e impact of offers for customers and investors. While traditional
Life-Cycle Analysis (LCA) concentrates on quantifying end-to-end (cradle to grave) emissions, it
gives no guidance on how to quantify CO2e savings or avoidance compared to a reference situation.
CO2e Project Accounting methodology is granular and bottom-up, focusing on single identified large
projects. It is therefore not applicable to a wide range of offers sold across a variety of end-user
markets with different use-cases. Finally, Corporate CO2e Accounting standards of the GHG Protocolcannot be applied at the offer level and provide no guidance on how to quantify CO2e savings or
avoidance compared to a reference situation. As a result, claims made by economical actors areoften inconsistent and lack transparency, thus reinforcing the need for a shared methodology.
1 https://ghgprotocol.org/estimating-and-reporting-avoided-emissions
CO₂ impact methodology

4

LCA

CO2e Project
Accounting

CO2e Corporate
Accounting

Applicable at offer / single
project level







Applicable at aggregated lineof business / corporate level







CO 2 savings or avoidancecompared to a reference
situationThe objective of this guide is to share and promote an innovative CO2e impact methodology,
that enables to quantify saved and avoided emissions by offers in use. This methodology is
inspired from existing CO2e accounting standards, with the ambition to leverage best practices
from each.
This methodology ambitions to become a shared industry standard within the consumer
durables and capital goods sectors. This methodology guide is an effort to share transparently
on principles and calculation rules, so that all companies can disclose consistently the CO2e impactof their offers.
The methodology is pragmatic, robust and flexible to allow fast adoption in the industry.

CO₂ impact methodology

5Our promise: 800 MtCO2e saved and avoided
from 2018 to 2025
Schneider Electric, the global specialist in energy management and automation, iscommitted to helping its customers become more efficient and reduce CO2e emissions. With
EcoStruxure, our IoT-enabled architecture, we help buildings, data centers, energy infrastructuresand industries manage their energy and processes in ways that are safe, reliable and efficient.
CO2e savings are delivered at every layer of the 3-layer EcoStruxure™ architecture:• We eco-design our Connected Products, to improve their efficiency and deliver electricity
savings.
• The Edge Control layer gives the capability to manage on-site operations, with day-to-day
optimization of energy consumption through remote access and advanced automation.
• Our portfolio of Apps, Analytics & Services leverages IoT data and the expertise of ourengineers to identify additional energy efficiency opportunities, increase the lifetime of assets,
optimize maintenance services and boost demand flexibility and renewable electricity.
At Schneider Electric, sustainability is a top priority and is embedded in our strategy, shaping ourvalue propositions and technologies. The Group’s target is to enable its customers to save andavoid 800 million tonnes of CO2 from 2018 to 2025 (7-year cumulative).

Catch-up of historical saved & avoided emissions for new technologies
Every year, new Schneider Electric offers are included in the scope of this methodology andemissions saved or avoided related to them are calculated. But just because an offer is only
included at year N does not mean that it did not save emissions over the previous years. These
historical saved or avoided emissions are thus added to the consolidated indicator that is definedfor the 2018-2025 period.
Methodology
coverage (%)
Historical MtCO2e from newly included techHistorical MtCO2e from newly included techBaseline 2018-2020
263 MtCO2e saved & avoided

2018

CO₂ impact methodology

2018

2020

YearlyMtCO2e frompreviously
covered tech2021

6YearlyMtCO2e frompreviously
covered tech

2022

t

Key guiding principles
The CO2e Impact Methodology is a transversal framework, applicable for all offers across thecapital goods and consumer durables sectors, and that covers products, software and services.
The methodology follows 5 guiding principles:
1. Rigorous and detailed, the methodology has been developed with the support of an
independent and expert consulting company (Carbone 4):– Detailed calculation rules per offer/technology, leveraging in each case the best available
data (such as sales data, market data, or expert estimates)– Forward-looking emission factors, to account for the future decarbonization of the world(as technologies sold today will be used for decades).
2. Conservative and realistic, we applied a conservative approach to all methodology
assumptions to avoid “greenwashing” in climate claims. One of the most important principlesof the methodology is the distinction between Brownfield sales (enabling emissions savings
compared to previous years – saved CO2e emissions) and Greenfield sales (enabling alimitation of emissions increase versus an alternative scenario – avoided CO2e emissions).
3. Transparent, with a recommended disclosure framework applicable to all offers and allcompanies. The choice of reference situation and emission factors can lead to important variabilityof results between actors. It is therefore paramount to disclosure transparently calculation rules, tobuild trust and to enable further alignment between peers. This is why Schneider Electric choseto publish the hereby full and detailed methodology and to make it available for the market. All
calculation rules and data sources are disclosed transparently for each offer.
4. Compliant and verified– The methodology is aligned with the Greenhouse Gas Protocol accounting and reporting
principles. Notably, results are expressed in metric tons of CO2 equivalent (tCO2e) andinclude scope 1, 2 and 3 emissions as defined by GHG Protocol Standard.
– As an independent verifier, EY reviewed the methodology prepared by Schneider Electricwith regards to its consistency, accuracy, understandability, neutrality, completeness andrelevance. The methodology has been assessed in view of the requirements of ISO 14067 andISO 14021.
5. Pragmatic, flexible and widely applicable– This methodology has been designed to be applicable across the capital goods andconsumer durables sectors.
– Key principles are transversal to all long-lasting equipment manufacturers, software andservice providers (capital goods and consumer durables sectors).
– Pragmatic and flexible calculation rules can easily be adapted to a wide variety of activities,
leveraging existing financial and business reporting.

CO₂ impact methodology

7

Accounting and reporting principles
1. Applicability
This methodology is applicable to companies selling long-lasting tangible assets (such asbuildings, machinery, equipment, vehicles and tools), software and services that will be usedeither by other businesses to produce consumer goods or by final consumers. Said differently,
this methodology is applicable to the capital goods and consumer durables sectors, coveringboth sales to businesses and final consumers. For instance, this methodology is applicableto manufacturers of automobiles, aircrafts and machinery, as well as to their supply chain ofcomponents manufacturers.

2. Temporality
Two methodologies are available to quantity emissions from the use of products and services overtheir lifetime: yearly accounting and cumulative accounting.
This methodology uses the yearly accounting methodology, meaning that the methodology
considers induced, avoided and saved emissions of the offers sold within the year, cumulated overthe expected offers’ lifetime.
The methodology takes into account 100% of lifetime emissions of offers sold within the year:• 100% of lifetime CO2e emissions are taken into account at the time the sale is booked asrevenues into financial statements, meaning that only the sales of the year are taken into accounteach year;• Net sales are considered each year (sales output minus refunds) to account for overpayments,
product recalls, cancellations, etc.
This enables to align the scope and period of financial and CO2e reporting, while ensuring theabsence of double-counting. The delay between the sale and the commissioning of offers at
customer’s site (due to stock at customer’s sites, shipping time, installation time, billing time, etc.)
does not impact results.
Cumulative accounting (not used in this methodology) considers induced, avoided and saved
emissions of the offers sold in the past during the year of reporting. The implementation of thismethod is complex as it requires to have access to detailed sales and technical data of offers soldover the past decades, as well as defining tailored reference situations to account for each period.
In addition, cumulative accounting does not meet the need from investors and customers to assess
the CO2e impact of offers currently sold by a company.

3. Greenhouse gases
According to the GHG Protocol Standard, results are reported in CO2 equivalent (CO2e). Throughthis unit, it is possible to aggregate contributions to global warming from the six main greenhousegases: carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs),
perfluorocarbons (PFCs), and sulphur hexafluoride (SF6). To achieve this, their Global Warming
Potential on 100 years, sourced from the IPCC’s AR6 (Assessment Report 6) is taken into account.

4. Link between saved & avoided emissions and Schneider’s carbon footprint
Avoided and saved emissions are net emissions calculated over the full life cycle of offers (similarly to
an LCA calculation approach) and thus include data from the company’s scope 1, 2 and 3 emissions.
However, the methodology only covers a part of Schneider’s activities so far. That is why total saved& avoided emissions should not be compared to the company’s footprint.

CO₂ impact methodology

85. Emission factors
The selection of GHG emission factors follows recommendations from ISO14064: emission factors
are derived from a recognized origin, appropriate and consistent.
As a general rule, emission factors from public databases are preferred, such as ADEME, GHG
Protocol and International Energy Agency (IEA). Emission factors from private databases can also
be used when more relevant or accurate, such as Ecoinvent.
Emission factors include all greenhouse gases under the GHG Protocol Standard and are in metrictons of CO2 equivalent.
In all cases, the source and update frequency of emission factors should be disclosed
transparently for each offer.
As a key guiding principle, this methodology is “forward-looking”, meaning that relevant emission
factors are adjusted to consider the future “decarbonization” of the world. Indeed, offers sold today
have life expectancies of several years or decades, and induced, avoided and saved emissions will
evolve in time depending on the evolution of the environment.
This mainly applies to electricity emission factors, where significant reductions of CO2e emissions
are expected over the next decades. Using current electricity emission factors would lead to asystematic overestimation of induced, avoided and saved emissions. Electricity emission factors
are chosen using the “location-based” approach (as defined by the GHG Protocol), meaning that
average country electricity emissions factors are used. The “market-based” approach cannot be
used in this methodology, as Schneider Electric has no visibility of energy suppliers chosen by its
customers’ over the lifetime of sold offers.
In this version of the methodology, Schneider Electric uses the 2017 “Reference Technology
Scenario” (RTS) by the IEA2 to discount electricity emission factors from expected future reductionof CO2e emissions. The RTS takes into account commitments made in 2017 by countries to limit
GHG emissions, including the Nationally Determined Contributions pledged under the Paris
Agreement at the time3. By factoring in these commitments and recent trends, the RTS alreadyrepresents a major shift from a historical “business as usual” approach and results in an averagetemperature increase of 2.7°C by 2100. Calculation is done for each offer, depending on the offer’s
expected lifetime. For instance, in the RTS scenario, the average world electricity emission factor is
reduced by 28% in 2035 compared to 2018.

2 Energy Technology Perspectives 2017, International Energy Agency (IEA)
3 NDCs have since been updated at the COP26 in 2021
CO₂ impact methodology

96. Data collection
According to the ISO 14064 Standard, data used in the calculation can be primary data orsecondary data. Sales data is typically primary data, from financial or business databases. Other
data used in calculation will mostly be secondary data, from market studies, expert estimates orexisting technical standards.
Data type

Data source

Primary data

Sales data

Sales database

Secondary data

Energy and material efficiency,
Brownfield/ Greenfield split, offer use
case scenario, lifetime, etc.

Market studies, expert estimates,
technical standards

Primary data is preferred to secondary data. Among secondary data, the most consistent is chosen
on a case by case basis, following the preferred order below:
1. Primary data
2. Technical standards
3. Public market studies (historical or prospective)
4. Private market studies (historical or prospective)
5. Expert estimates (internal)
In all cases, the source and update frequency of collected data should be disclosed
transparently for each offer.

7. Uncertainties
This methodology follows the GHG Protocol principle for “accuracy”, meaning that results should
give a faithful representation of the CO2e impact of sold offers, reducing uncertainties as much as
possible and enabling users to make decisions with reasonable assurance as to the integrity of thereported information.
With this methodology, uncertainties of results are similar to uncertainties of corporate scope 3CO2e accounting, and typically of the order of magnitude of +/-30%.
Uncertainty results from the combination of uncertainties of all terms of the calculation, as detailed
in the table below:
Calculation terms

Uncertainty

Sales data

Very low, data typically comes from sales databases used for financial
and business reporting

Energy and material efficiency,
Brownfield/ Greenfield split, offer
use case scenario

Medium, mostly world-average estimated based on experts estimates,
technical standards, market studies

Lifetime

Low, from existing technical standards where possible. Conventional
values from existing technical standards will further enable comparisonof results between peers

Emission factors for electricity
consumption

Low, as calculation rely mostly on energy emissions factors with a goodlevel of accuracy. However, the forward-looking approach (discounting
for future CO2e decarbonzation of energy mix) relies on energy
scenarios and increases the level of uncertainty

Rebound effects

Calculations in this methodology do not account for rebound effects
that could occur after adopting energy efficient technologies,
potentially leading to erase part of the energy savings due to highcomplexity and high level of uncertainty. Therefore, rebound effect isconsidered out of scope for this methodology.

CO₂ impact methodology

108. Recommended disclosure for transparency
To ensure transparency and comparability of CO2e savings and avoidance published by companies,
the following should be disclosed for each offer:• Description of the offer• Definition of Greenfield reference situation• Definition of Brownfield reference situation• Boundary of calculation• Emission sources included in calculation• Avoided CO2e calculation formula• Saved CO2e calculation formula• Source of data of each term used in saved CO2e and avoided CO2e calculation formulas,
including origin of data (expert estimate, sales data, market data, etc.) and calculation
granulometry (world average, regional data, country data, etc.)• Frequency of data update• Non-confidential calculation terms, that have a significant impact on results, notably offer
expected lifetime• Source of emission factors

9. Double-accounting
As defined in the GHG Protocol, scope 2 and 3 emissions are by definition direct emissions (i.e.
scope 1) of another entity. Like with all accounting methodologies, this methodology therefore
generates double-accounting, between the reporting company (here Schneider Electric), its
suppliers and its customers. This reflects the reality, as multiple entities in a value chain influenceat the same time induced emissions, saved and avoided emissions. Scope 3 accounting therefore
facilitates the simultaneous action of multiple entities to reduce GHG emissions.
This methodology follows scope 3 guidance from ISO 14064 and the GHG Protocol and considers
all relevant upstream, internal and downstream emissions induced, avoided and saved withoffers sold during the year.
Furthermore, the segmentation of Schneider’s business can potentially lead to counting emissions
twice between studied offers. It is especially true of cross-segment offers studied as a whole but
through which some products may already have been accounted for in other offers. Whenever thiscase presents itself, double counting is clearly identified and neutralised for the aggregationof all savings into one global indicator.

CO₂ impact methodology

11Distinction between saved
and avoided emissions
The distinction between saved and avoided emissions enables to better understand thecontribution of Schneider Electric to mitigating climate change. It is based on separating
Brownfield sales, which enable a reduction of global CO2e emissions compared to previous
years (saved CO2e), from Greenfield sales, which enable a limitation of the increase of global
emissions versus a business-as-usual alternative situation (avoided CO2e).
Brownfield sales correspond to the situation where the offer sold replaces or upgrades an existing
system, and Greenfield sales where the offer sold equips a new infrastructure.
A similar distinction exists in the finance and accounting communities, to distinguish “cost savings”
that are calculated compared to the previous situation and impact the company’s P&L (Profit& Loss account), from “avoided costs” that enable to avoid having to incur costs in the future.
Cost avoidance will never be reflected in the budget or the financial statements, they will only bereflected in situations where the proposed action is not implemented. Cost avoidance is calculatedcompared to an alternative situation, such as a reduction of a proposed price from a vendor or the
reduction for the need for additional headcount through process improvement4.
“Avoided CO2e” and “Saved CO2e” are both net values, meaning they deduct emissions of
the new offer installed across its lifecycle.
Following vocabulary defined in the finance sector, net CO2e emissions in the case of Brownfieldsales are called “CO2e savings”. They correspond to a reduction of CO2e emitted into theatmosphere compared to previous years. In this case, the reference situation is defined as theinitial situation, meaning the greenhouse gas emissions that were emitted to the atmosphere before
the sale of offer.

Saved emissions

Induced = CO2eemissions over fulllife-cycle

Induced emissionsof Brownfieldreference

Induced emissionof offer

Brownfield reference
situation

Brownfieldsale

Net CO2e emissions in the case of Greenfield projects are called “avoided CO2e”. For a Greenfield
sale, the reference situation answers the following question: « What would the customer’s situation
be if he was not implementing this offer? ». In other words, the reference situation reflects the most
realistic market situation. The Greenfield reference situation can vary depending on the offer, on
the end-user segment and on the geography, and can typically be a competitor’s offer, a regulatory
requirement or no alternative offer. Constructing highly performing new systems, to answer theneeds of market growth, results in a limitation of the increase of global CO2e emissions.

4 Defining cost reduction and cost avoidance, CAPS Research, March 2006
CO₂ impact methodology

12

Avoided emissions

Induced = CO2eemissions overfull life-cycle
Induced emissionsof Greenfieldreference

Induced emissionof offer

Greenfield reference
situation

Greenfieldsale

The distinction between saved and avoided CO2e is at the heart of the CO2e Impact
Methodology: the objective to divide by 2 global emissions by 2050 compared to 1990 refers to“CO2e savings”, meaning a twofold division of total CO2e emissions into the atmosphere. However,
emissions avoidance is crucial to prevent future economic growth (and therefore Greenfield sales)
to drive emissions up. Schneider Electric estimates that a threefold increase in energy efficiency
is necessary to meet the combined objectives of saving and avoiding CO2e emissions to mitigate
climate change.
In a nutshell: Brownfield sales enable reduction of global CO2 emissions compared to previous
years (saved CO2), Greenfield sales enable a limitation of the increase of global emissions (avoided
CO2). This distinction is crucial to quantify impact on climate change, with robust reference
scenarios and conservative results.
s
ale
ld s wth)efi
en groGre rketa(mGlobal CO2
emissions

2 Avoided CO2

ns

sio

ica

tor

His

is
l em

1 Saved CO2

Brown(exis field saleting s
s
ystem
s)

2018

2050

The table below summarizes the distinction between saved and avoided CO2e:
Brownfield (BF)

Greenfield (GF)

What is the definition of
BF/GF offer sales?

Is the situation in which the product orservice sold replaces or upgrades anexisting system (retrofit projects).

Is the situation in which the productor service sold equips a new
infrastructure to answer demand
growth (new projects).

How to define thereference situation?

The Brownfield reference situation isdefined as the solutions in place prior
to the sale of the offer. For instance,
the product or service used in thepast to fulfil the same objective.

The Greenfield reference situation isdefined as the most likely alternative
to fulfil the same output or service ofthe offer. For instance, the alternative
offer from competitors or analternative technology.

Saved or avoided
emissions

SAVED EMISSIONS
correspond to the reduction of CO 2
emission compared to previous
situation

AVOIDED EMISSIONS
correspond to the reduction of CO 2
emission compared to the most
likely alternative

CO₂ impact methodology

13Calculating CO2e emissions savings
Top-down philosophy
This methodology has been designed to be applicable in a “top-down” manner, looking at
the CO2e impact of total sales over a year. Calculation rules have therefore been designed toreflect accurately global market trends and average impact of technologies. Notably, Brownfieldand Greenfield reference situations are assessed against market averages, rather than looking at
specific contracts. For instance, in the building sector, the methodology will look at the global shareof buildings being retrofitted, destroyed and newly built, to assess the share of Schneider Electric’s
offers that will address Brownfield and Greenfield market.
This choice is motivated by 3 reasons:• Availability of data: detailed contract by contract information is rarely consolidated at global
level, considering the variety of Schneider’s customers (the 4 main markets are buildings, data
centres, industries and energy infrastructure, representing 70% of global energy consumption),
geographies (100 countries) and offers.
• Reproducibility and consistency of results: market averages can be consistently used by allcompanies within the same industry, at the condition that their own market exposure is in line with
global trends (a niche actor would have to tailor calculation terms to reflect accurately his markets)• Accuracy of results: global CO2e impact is best estimated looking at global trends and markets.
For instance, a sales team working on a specific new renewable capacity would not be able toassess whether this capacity will replace an existing capacity in the grid or whether it will answer
a growth of electricity demand. Similarly, a sales team working on the commissioning of a newbuilding will not know if a domino effect of moving companies and households will lead to thedestruction of other building stock in the country. “Macro-effects” on climate are better assessedat the country or global level, rather than on a project-by-project basis.
This methodology can also be used in a more “bottom-up” manner, looking at specific sales
per end-segment, country or line of business. Generally, the more “bottom-up” and granular the
calculation is, the more information will be available on the offer’s characteristics and the use caseby the customers. In this case, offer or country-specific data will be used in the calculation insteadof average market values, to reflect the specific situation. To perform a CO2e impact calculation ona single project for a single customer, CO2e project accounting standards would be preferred.

STEP 1: Product, system, ecosystem boundaries
The boundaries of CO2e emissions calculation are defined on a case-by-case basis, depending on
the offer considered.
When looking at a product, three different levels of boundaries can be defined:• Product-level boundary: The boundary can be set to the product itself, looking at the energy
consumed and dissipated (e.g. Joule effect) over the product’s lifetime.
Examples: Transformers, Uninterruptible Power Systems, etc.
• System-level boundary: The boundary can be defined as the system in which the product isincluded, for instance a building or an industrial process.
Examples: Building Management Systems (BMS) that deliver energy efficiency in buildings,
Variable Speed Drives (VSD) that deliver energy efficiency on electrical motors, Process
Automation solutions in industrial facilities, etc.

CO₂ impact methodology

14• Ecosystem-level boundary: The boundary can be defined as a larger ecosystem, for instancewhen the offer enables a superior quality of service and operation to a network, thanks toincreased connectivity and managing capabilities.
Examples: Smart Grid EcoStruxure that enables renewable integration in the electricity grid andenergy demand management.
Boundary
Product

3 different boundaries of CO2e impact
Ecosystem

System:process or building
Product

System: process
or building

Ecosystem

Induced, avoided and saved emissions• CO2e use e-phase emissions due to the final consumption of the
product and CO2e efficiency v/s reference product
Examples: Transformers, UPS, etc.
• CO2e savings delivered to the clients’ process or building thanks to
the offer sold
Examples: Variable speed drives, BMS in buildings, process automation
solutions, energy audit, energy performance contracting, etc.
• CO2e savings in an ecosystem thanks to increased connectivity andmanaging capabilities of an infrastructure enabled by the offer soldor thanks to superior quality of service and operation
Examples: Smart grid solutions (that enable renewable integration inelectricity grid, energy demand management), field service enabling
better ecosystem energy efficiency and longer asset lifetime, etc.

When looking at a service, the product, system or ecosystem in relation to which the service
is provided shall be identified. The CO2e emissions to consider are then the ones within theboundaries of this product/system/ecosystem, to which must be added the CO2e emissions
related to the provision of the service itself.
In all cases, saved and avoided emissions are considered on the same boundary for a given
offer. The definition of boundaries should follow ISO 14064 principles of relevance and accuracy.
Boundaries defined for each offer should be disclosed for transparency.

STEP 2: Choose the Brownfield and Greenfield reference situations
A Brownfield reference situation is defined as the initial situation prior to the sale of the offer,
meaning greenhouse gas emissions that were released into the atmosphere in the near past without
the offer. This definition is applicable to all offers, end-user segments and geographies.
The choice of a Greenfield reference situation needs to be decided on a case-by-case basis,
depending on offers, end user segments and geographies. The choice of a Greenfield reference
situation should be based on the following principles inspired from UNFCCC Standards for thedefinition of Clean Development Mechanism baseline5:
Step 1: List of alternative scenarios. Identify all plausible alternative scenarios that provide thesame output as the offer sold. These alternative scenarios should focus on common practice in theend-user sector and geography, and should consider:
1. Greenfield scenario 1: alternative offers on the market
2. Greenfield scenario 2: average market penetration of the offer, and other available technologies
3. Greenfield scenario 3: compulsory regulatory performance of new equipment or infrastructure,and reality of enforcement of these regulatory requirements
4. Greenfield scenario 4: impact of innovation on the environmental performance of the offer overthe past years
5. Greenfield scenario 5: other offers that can provide the same output or service, without
necessarily being the same technology or a direct competitor
Step 2: Barrier analysis. Establish a complete list of realistic and credible barriers that may
prevent alternative scenarios from occurring, such as investment barriers (insufficient financial
returns, lack of capital availability) and technological barriers (skilled labor, lack of infrastructure,risk of technological failure, technology availability in geography).
5 UNFCCC, CDM Standard, Determining coverage of data and validity of standardized baselines, version 2,
CDM-EB77-A05-STAN
CO₂ impact methodology

15

Step 3: Reference scenario selection. Eliminate alternative scenarios which are prevented by
identified barriers. If several alternative scenarios still exist, select the most plausible scenario,
that reflects the market common practice. Several scenarios can be combined to design a mixed
alternative scenario, with weighing of several alternative scenarios.
In all cases, the Greenfield reference scenario used to calculate avoided CO2e should be
disclosed transparently for each offer. Depending on the sales distribution of Schneider’s offers,
different Greenfield reference scenarios can be applied for different sales cases.

STEP 3: Calculate the share of Greenfield and Brownfield sales
The split between Greenfield sales and Brownfield sales is assessed based on market data, either
historical or prospective.
Method 1: Based on historical market data
Assessment of the shares of Brownfield and Greenfield sales can be based on historical market
growth in volume of the offer and on the average lifetime of the offer, using the formula below:With:d: expected lifetime of the offer
x%: compound annual growth rate of market in volume over d past years
Calculation formula for % Brownfield and % Greenfield sales is:% Brownfield sales = 1 / (1+x%)^d% Greenfield sales = 1 – % Brownfield sales
This method is relevant if the dynamics of markets that the offer is targeting is expected to follow
historical trends.
Two examples are illustrated below, for growth rates of 1% and 5%, logically resulting in contrasted
share of Greenfield sales.
Historical market growth (in volume)

Historical market growth (in volume)

example with CAGR of 1%

140

200
% Greenfield = 9%

80

14%

18%

60
40
20
15yrs

Lifetime = 10yrs
0

5

10

15

20yrs
20

Index base 100

Index base 100

120
100

0

example with CAGR of 5%

250

150
100

% Greenfield = 39%

52%

62%

15yrs

20yrs

50
0

Lifetime = 10yrs
0

5

Years

10

15

20

Years

Market growth should be in volume rather than in value to neutralize price change and inflation.
Method 2: Based on prospective (future) market data
Assessment of % Brownfield and Greenfield sales can also be made using prospective market
studies, based on future expected market trends.
This method is relevant if the market dynamics of the offer are expected to change over the next
years, due to economic growth, energy and climate transition, digitalization of the economy or any
other reasons.
For instance, in the building sector, the methodology will look at the global share of buildings
expected to be retrofitted, destroyed and newly built in the coming years, to estimate the share ofSchneider Electric’s products for Brownfield and Greenfield markets. This enables to quantify froma “macro” (top-down) point of view CO2e savings against historical emissions and “avoided CO2e”
on the net increase of the global building stock.

CO₂ impact methodology

16Illustration of building sector prospective market study is available below:
160
ILLUSTRATIVE

140
120
100
80
60

33% of new buildings replace
existing building stock40
20
0
Current building
stock

Demolition

Addition

Future expectedbuilding stock

Another example is in the power sector, with the analysis of expected electricity capacity additions
and retirements over the coming years. This analysis enables to estimate the share of capacity
additions that will enable to meet electricity demand growth versus the share that will replace
decommissioned electricity capacity. Global data can be found in World Energy Investment
Outlook published by the International Energy Agency, and country-specific data is often publishedby national governments.
Illustration of electricity capacity prospective market study is available below:
Expected
capacity
installation(GW)

ILLUSTRATIVE
Futureinstalled
capacity (GW)

Futuregeneration(GWh)

Existing capacity (GW)
Coal

Oil

Gas

NuclearRenewables

Expected capacity
retirement (GW)

31% of new electricity capacities
replace existing production

For both methods, attention should be put to select the right underlying market data that drives
the offer’s dynamics. For instance, for variable speed drives installed on electric motors, bothspeed drives and electric motors markets trends have to be considered to understand whether
new speed drives are sold to equip new motors, existing motors with an obsolete speed drive or
existing motors with no speed drive previously installed. Similarly, to assess the share of Greenfieldsales for renewable equipment technologies (such as inverters installed on solar or wind farms), it isnecessary to look at market dynamics of total installed (fossil and non-fossil) electricity capacitiesof the country.

CO₂ impact methodology

17

STEP 4: Identify emission hotspots across the product’s lifecycle
After identifying the most relevant reference scenarios, it is important to understand how theemissions of Schneider’s offer relates to the emissions of these references.
1. If the offer is a product (UPS, VSD, etc.), the reference and Schneider’s product should be
systematically compared across their whole lifecycle. However, in most cases, only a few life stages
will reveal relevant trends, either because:• The other stages represent a very small portion of the total life cycle emissions. Negligible
emission sources are generally identified using Life Cycle Assessment results available in
Product Environmental Profiles (PEP). Our products’ PEPs are publicly available in Schneider
Electric Check a Product website or via the PEP EcoPassport association website.
• The two situations do not differ on the other stages. In this case, the difference between the two
scenarios is zero and there are no saved or avoided emissions.
Schneideremissions(tCO2e)Referenceemissions(tCO2e)Production

30

0Transport

10Installation

1

0

Use

70

180

End of Life20

22

An example of actual data

Schneider
vs
Reference

Emissions not
equivalent andnot negligible
EmissionsnotEmissions
not equivalentequivalentand not
negligiblebut

negligible compared

Emissions
not equivalent
to whole
life cycle
but negligible compared towhole life cycle

Emissions

Emissionsequivalentequivalent
but but
not negligible
not negligible
Emissions equivalent andnegligible
Emissions

How relevant phases
are identified

equivalent andnegligible

Across Schneider Electric’s offer portfolio (such as variable speed drives (VSD), process
automation, electricity transformers, UPS, power metering infrastructures, etc.), the most significant
life cycle phases contributing to Global Warming Potential are:
• The use phase, due to energy consumption and the raw materials used in products. For use
phase emissions (which correspond to category 11 “use stage of the product” in the GHG
Protocol and ISO 14064), emissions considered can typically include:– direct and indirect emissions from energy consumption of the offer during use phase– direct emissions from fugitive or process emissions of offer during use phase– indirect emissions from the purchase of goods and services, travel, freight, etc. during use
phase of offer• The production phase emissions, which includes all emissions relating to the manufacture andsale of the product.
This assumption could be safely applied to a vast majority of capital goods and consumer durables6.
The summary table below gives examples of emission sources that are considered, depending on
the type of offer.
Emission sources

Examples of offer where emission sources will
be taken into accountDirect and indirect emissions from energy consumptionof the offer and reference situation during use-phase• Variable Speed Drive• Building management system

Direct emissions from fugitive or process emissions ofoffer and reference situation during use-phase• Process automation for natural gas flaring in O&G• Low-GWP gas cooling equipment

Indirect emissions from the purchase of goods andservices, travel, freight, etc. during use-phase of offer
and reference situations• Predictive analytics for maintenance optimisation• Retrofit-ready offer that enables longer lifetime

6 Some exceptions exist within this methodology, as for instance SF6 -free switchgears. For this solution,
End-of-Life emissions are most crucial.
CO₂ impact methodology

18

All relevant emission sources are considered, based on ISO 14064 and the GHG Protocol
principles of relevance and accuracy. The methodology covers scope 1, 2 and 3 emissions.
2. If the offer is a service, (Field Services, PPA, etc.), the product in relation to which the service
is provided is identified. The impact of this service on said product should be systematicallycompared across its whole lifecycle. In addition, one should consider the emissions relating to theprovision of the service itself.

STEP 5: Calculate emissions from the production (product) or provision(service) of Schneider’s offer
To implement the calculations identified thanks to STEP 4, production emissions and provisionemissions need to be known. In the case of products:• For Greenfield reference scenarios based on a market benchmark, emissions from productionof the Schneider Solution can be ignored because we make the hypothesis that the production
phase emissions of our competitors is equivalent to ours.
• For Brownfield scenarios or Greenfield scenarios in which the reference scenario is “do nothing”,
emissions from production are compared to the fact of “producing nothing”. Emissions fromproduction of the Schneider solution will thus be recorded as negative amounts in the total
reduction of emissions.
In the case of services, emissions from the provision of the service must always be deducted fromreduction of emissions.
Production and provision phase emissions are calculated for each offer in a two-step process:1. Computing production phase emissions per euro of revenue thanks to an approach combining:– a top-down approach based on Schneider's 2020 carbon footprint on Scope 1,2 and 3
Upstream. From this carbon footprint we calculate a CO2e/€ revenues ratio representing
emissions from overheads (corporate, sales, marketing, etc.), and another one representing
average emissions from product manufacturing.
– a bottom-up approach based on the relative carbon intensity of Schneider's manufactured
goods that enables a differentiation between the various carbon footprints.
Turnover split
20% services
Services
80% products

Overheads
25%

Products
Manufacturing
75%

Financialratio
related to
product
activities

Averagemanufacturing
ratio

Financialratio
related tosoftware& serviceactivities

Non-manufacturing
financial ratio

Relative productline carbon weight(delta with respect
to average)

Carbon footprint
Scope 1, 2 & 3 upstream

2. KgCO2e/€ revenues ratios are then multiplied by revenues for each Schneider solution. Data on
2020 revenues are sourced differently depending on the solution. One main source of data is adatabase of all business orders for Schneider Electric in 2020 (restricted access).

CO₂ impact methodology

19

Non-manufacturing
financial ratio

STEP 6: Calculate the product or service’s positive impact on CO2 emissions
For each offer, a tailored methodology needs to be created and disclosed transparently to calculate
CO2 emissions reductions at every appropriate life stage. By convention, if the result of thecalculation is positive, reductions are performed. Four different calculation methods can be used
depending on the available sales data:
1. Method 1: Based on the volume of offers sold during the year
2. Method 2: Based on industry-specific ratios in kgCO2e/€ of sale
3. Method 3: Based on the ROI from energy savings enabled by the offer
4. Method 4: Based on the share of energy OPEX in the offers’ total lifecycle cost
For methods 2, 3, and 4, there might be a geographical bias affecting the average pricing of the
products, and consequently their emission intensity; therefore, a particular attention should begiven to the distribution of sales and their average price. A possible solution to overcome thispotential issue is to consider the specific price of the product for every geography or to calculate
an average price based on the distribution of sales.
Method 1: Based on the volume of offers sold during the year
This methodology is applicable to homogeneous lines of business for which it is possible to countsales with a “physical unit”, such as a number of units, MW, kWh of energy, etc.
Examples: variable speed drives, transformers, green electricity contracts, energy performance
contracting, etc.
In this case, terms of the calculation will typically be:• Volume of offer sold during the year (unit/year)• Annual energy consumption of the offer (kWh/year/unit)• Energy consumption of Brownfield and Greenfield reference situation (or energy savings of theoffer versus reference) (kWh/year/unit)• Offer lifetime (years)• % Brownfield and Greenfield sales (%)• Electricity emission factor7 (kgCO2e/kWh)Calculation formula for use-phase emissions will typically be:
AvoidedemissionsGreenfieldsales (%)

Volumeoffer sold(unit/yr)

Energy consumption
Greenfield reference(kWh/yr/unit)

Energyconsumption offer(kWh/yr/unit)

EF energy
over lifetime(kgCO2e/kWh)Offerlifetime
(yrs)

Saved
emissions

Brownfieldsales (%)

Volumeoffer sold(unit/yr)

Energy consumption
Brownfield reference(kWh/yr/unit)

Energyconsumption offer(kWh/yr/unit)

EF energy
over lifetime(kgCO2e/kWh)Offerlifetime(yrs)

7 Shortened EF in the rest of the document
CO₂ impact methodology

20

Method 2: Based on industry-specific ratios in kgCO2e/€ of saleThis methodology is applicable for lines of business for which typical ratios of saved and avoided
emissions in kgCO2e/€ of sales can be created. This is the case in industries, such as the renewableindustry, where CO2e savings per Euro of investment can be estimated, based on market studies.
Examples: inverters and electrical distribution technologies for solar and wind farms, etc.
In this case, terms of the calculation will typically be:

•
•
•
•
•

AvoidedemissionsOfferrevenues(€/yr)

Avoided emissions
v/s Greenfield reference(kgCO2e/€/an)Offer
lifetime(yrs)

Greenfieldsales (%)

Saved
emissionsOfferrevenues(€/yr)

Avoided emissions
v/s Brownfield reference(kgCO2e/€/an)Offer
lifetime(yrs)

Brownfieldsales (%)

Offer revenue during the year (€/year)
Saved emissions per € of sale (kgCO2e/€/year)
Avoided emissions per € of sale (kgCO2e/€/year)
Offer lifetime (years)% Brownfield and Greenfield sales (%)

Calculation formula for use-phase emissions will typically be:
Method 3: Based on the Return on Investment from energy savings enabled by the offer
This methodology is applicable for lines of business that enable energy savings in a system, andthat have negligible or nil use-phase emissions.
Examples: variable speed drives, building management system, etc.
In this case, terms of the calculation will typically be:• Offer revenue during the year (€/year)• ROI (return on investment) enabled by energy savings (years)• Average energy price (€/kWh)• Offer lifetime (years)• % Brownfield and Greenfield sales (%)• Energy emission factor (kgCO2e/kWh)Calculation formula will typically be:

Avoidedemissions

Savedemissions

CO₂ impact methodology

Offer revenues (€/yr)

Offer revenues (€/yr)

Greenfield reference ROI
on energy savings (yrs)Offer ROI
on energy savings (yrs)= Reference annual
energy savings (in €)= Offer annual energy
savings (in €)Offer revenues (€/yr)

Offer revenues (€/yr)

Brownfield reference ROI
on energy savings (yrs)Offer ROI
on energy savings (yrs)= Reference annual
energy savings (in €)= Offer annual energy
savings (in €)21

EF energy(kgCO2e/kWh)Offer lifetime (yrs)Greenfieldsales (%)

Offer lifetime (yrs)

Brownfieldsales (%)

Energy price(€/kWh)EF energy(kgCO2e/kWh)
Energy price(€/kWh)Method 4: Based on the share of energy OPEX in the offers’ total lifecycle costThis methodology is applicable for lines of business that generate significant use-phase emissions,while enabling use-phase emission savings compared to the reference situation.
Examples: electric motors, data center cooling, etc.
In this case, terms of the calculation will typically be:• Offer revenue during the year (€/year)• % energy consumption cost and % CAPEX cost in offer total lifecycle costs• % energy efficiency versus Greenfield and Brownfield reference• Average energy price (€/kWh)• % Brownfield and Greenfield sales (%)• Energy emission factor (kgCO2e/kWh)Calculation formula for use-phase emissions will typically be:

Offer revenues (€/yr)

Saved
emissions

Energy consumption
in lifecycle cost (%)

EF energy(kgCO2e/kWh)CAPEX in lifecycle
cost (%)

Energy price(€/kWh)= Energy consumed overproduct’s lifetime (€)

Notes• Same formula for “Avoided emissions” than “Saved emissions”,
replacing Brownfield by Greenfield• “Saved emissions” formula is valid only for changes of equipmentusing the same source of energy (otherwise slightly more complex
formula that accounts for the change of energy emission factor)

CO₂ impact methodology

22

1(1 - % EE-1Brownfield)

Brownfieldsales (%)

Glossary
Induced emissions of offers – emissions generated by the goods and services sold by thecompany in the reporting year, over their expected lifetime, and covering the full lifecycle of theoffer (manufacturing, installation, use and end-of-life).
Induced emissions of reference situation – emissions generated without the company offer
either in Brownfield or Greenfield situation, over its expected lifetime, and covering the full lifecycle(manufacturing, installation, use and end-of-life).
Brownfield sale – is the situation where the offer sold replaces or upgrades an existing system.
Greenfield sale – is the situation where the offer sold equips a new infrastructure.
Reference situation – is the scenario that reasonably represents the anthropogenic emissions thatwould occur in the absence of the sale of the offer.
Brownfield reference situation – is the reference situation in the case of a Brownfield sale. In
this case, the reference situation is defined as the initial situation, meaning the greenhouse gas
emissions that were emitted to the atmosphere before the sale of offer.
Greenfield reference situation – is the reference situation in the case of a Greenfield sale. For a
Greenfield sale, the reference situation answers the following question: “What would have been
the customer’s situation if they hadn’t purchased this offer?”. In other words, the reference situationreflects the most realistic market situation.
Saved emissions – of an offer are net emissions, calculated as the difference between induced
emissions of an offer and induced emissions of the “Brownfield reference situation”.
Avoided emissions – of an offer are net emissions, calculated as the difference between induced
emissions of an offer and induced emissions of the “Greenfield reference situation”.
Yearly accounting – the method takes into account induced and avoided emissions of the offers
sold during the year, cumulated over the expected offers’ lifetime.
Emission factor (EF) – it is defined by the UNFCCC as the average emission rate of a given GHG
for a given source, relative to units of activity (e.g. kWh, tonnes of product, € of revenue).
Forward-looking emission factor – the average emission rate of a given GHG for a given source,
adjusted for its lifetime accordingly to “Reference Technology Scenario” (RTS) by the International
Energy Agency (IEA)8.
Net emissions – across the whole methodology takes into consideration: a) the difference between
the reference situation and Schneider Electric’s offer, b) the emissions from production of the offer(which are deducted from emissions avoidances).

8 Energy Technology Perspectives 2017, International Energy Agency (IEA)
CO₂ impact methodology

23How investors can use theCO2e impact metric
Following the dynamic created during the Paris Agreement (COP21) in 2015, an increasing numberof investors are investigating and valuating climate risks and opportunities in their portfolio.
Notably, the Task Force on Climate-Related Financial Disclosure (TCFD) published in 2017
recommendations to improve communication on climate risks between investors and companies.
Regulation is also evolving; for instance, the French law on Energy Transition for Green Growth(Article 173) defines a “comply or explain” rule for investors to report on how they integrate energy
transition and climatic risks.
Saved and avoided emissions can be used by investors to calculate “climate investment
impact ratios”, to assess how much CO2e their investment in Schneider Electric enables to save or
avoid, in tCO2e per € of equity and/or obligation.

Credentials
The methodology hereby presented was initially developed in collaboration with Carbone 4 in 2017.
Starting 2018, Schneider Electric discloses externally quarterly CO2e savings enabled by its offers
for customers.
This methodology was initially published in July 2019, after being verified by EY (see independent
report on se.com). The first version of this document included 8 Schneider offers on which themethodology was applied; the version 2 of this document includes now 17 offers on which themethodology is applied.

CO₂ impact methodology

24Appendix: Detailed CO2e impact
methodology for Schneider Electric offers
The following section discloses CO2e impact methodology for the following offers sold bySchneider Electric:
1. Variable Speed Drives
2. Process Automation for the O&G industry
3. Electricity Transformers
4. UPS Single phase
5. Power Purchasing Agreements (PPA)
6. Building Management Systems
7. Power Monitoring Systems
8. Energy Performance Contracting
9. Power SCADA Operations
10. Distribution and Energy Management Systems
11. Cooling machines
12. Microgrids
13. Power Quality equipment
14. Data Center Design & Science
15. SF6 Recovery services
16. AirSeT products
17. Field Services

CO₂ impact methodology

25

1. Variable Speed Drives (VSD)
Definition of the offer
A Variable Speed Drive (VSD) is an equipment that regulates the speed and rotational force of anelectric motor, via the control of the power that the machine uses, allowing to operate at variable
speeds depending on operational needs of the machine.
For instance, many industrial processes, such as assembly lines, must operate at different speeds
for different products. VSD are equally useful when process conditions demand adjustment of flow,such as in a pump or a fan, where the variation of the drive’s speed may save energy comparedwith other techniques for flow control.
Schneider Electric’s VSD offers are grouped into four main applications: machines, building,
process and soft starters. For this methodology, soft starters are not considered to allow any
efficiency benefit; machine application allow a limited saving; the most important savings are
generated with building and processes applications (further details in the calculation terms table).

Boundaries
System boundary, considering electricity savings delivered by the VSD on motor’s electricity
consumption.

Definition of reference situation
Brownfield reference situation: Brownfield reference situation distinguishes two cases:• VSD sales that are installed on existing machines, processes and buildings not previously
equipped with a VSD.
• VSD sales that are installed on existing machines, processes and buildings previously equippedwith a VSD (replacement).
Greenfield reference situation: Greenfield reference situation is based on the actual market
penetration (x%) of VSD in the Greenfield electric motor market (Greenfield scenario 2). The
calculation distinguishes two cases:• For x% (=VSD market penetration) of sales volumes, VSD equip newly commissioned electricmotors for which a VSD will be installed in current market conditions. Schneider Electric’s VSD
are not considered to be more energy efficient than the industry average. The reference situationis the case where another VSD is installed, and avoided emissions are equal to 0.
• For (1-x)% of sales volumes, VSD equip newly commissioned electric motors for which a VSD
will not be installed in current market conditions (‘Schneider Electric vs. GF no market’ in tablebelow). The reference situation is the case where no VSD is installed.

CO₂ impact methodology

26

Emission Sources
Schneidervs. BF noprevious VSD

Schneidervs. BF VSD
replacement

Schneider vs.
GF no adoptionof the solution
on the market

Schneider vs. GF
on a market where
the solution isadoptedComments

Production

Schneider induces additional emissions when
the alternative does not require a new VSD

Transport

Schneider induces additional emissions when
the alternative does not require a new VSD,
but they are negligible

Installation

Schneider induces additional emissions when
the alternative does not require a new VSD,
but they are negligible

Use

Energy Efficiency performance comparison
for all situations. GF market reference isconsidered as efficient as Schneider offer

End of Life

Emissions are small compared to a whole
life cycle

Emissions not equivalent and not negligible
Emissions not equivalent but negligible compared to whole life cycle
Emissions equivalent but not negligible
Emissions equivalent and negligible

Relevant emission sources have been identified using Life Cycle Assessment results available in
Product Environmental Profiles. The PEPs are publicly available in Schneider Electric “Check a
Product” website or via the PEP EcoPassport association website.

Calculation method for use-phase
Method 1, based on the total volume of VSD sold during the year, in number of units sold per reference.
Calculation formula
VSD
Saved CO2

VSD sales(W/country)

VSD
Avoided CO2

VSD sales(W/country)

Brownfield new
installation (%)

Greenfieldsales (%)

Net EE new
installation* (%)

Net EE new
installation* (%)

Brownfield
replacement (%)

VSD use case overlifetime (hour.yr)

Net EE
replacement (%)

VSD use case overlifetime (hour.yr)

Country electricity
EF (kgCO2e/kWh)* Value depends on end-user segment (machine / other); Net EE: net energy efficiency, discounting internal
VSD consumption

CO₂ impact methodology

27

Country electricity
EF (kgCO2e/kWh)Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Updatefrequency

Value

Sales data

Schneider Electric sales
database

For direct VSD sales: Nb ofunits sold per product reference
number and per country.
For system VSD sales: linear
extrapolation based on direct
VSD sales

AnnualConfidential

Power (W) and enduser segment

Schneider Electric technicaldatabase

Product reference number
enables to know the power of
each VSD, in Watt and the enduser segment (machine, soft
starters, other applications)

AnnualConfidential

Use CaseIs the usage of the products interms of hours over its lifetime(details below)

World average

Every 3years–

Lifetime

CEMEP9: "Energy-Efficiency
with Electric Drive Systems"(page 22)

World average

Every 3years

12 years

Hours used peryear

IEA EE Electric Systems

World average

Every 3years

250 days/year, 12 hours/day

Internal VSD energy
consumption

Expert estimate, based on
Schneider Electric’s VSD LCA(PEP Ecopassport)

World average

Every 3
years

2% (VSD efficiency of 98%)

% Brownfield(new installation/ replacements),
Greenfield sales

Expert estimate

World average

Every 3years

Confidential% marketpenetration of VSD
in Greenfield

Market study

World average

Every 3years

30%

% energy efficiency(EE)

Expert estimate

World average, depending on
end-user: machines, soft startersor other applications (building,
process)

Every 3years

• Replacement: 4%• New installation for:– Machines: 5% Soft– Starters: 0%– Other applications (building,
process, etc): 30%

Net Energy
Efficiency

Is the calculated difference
between the energy saved by
the products and the energy
consumed by it

-

-

-

Emission Factors
Emission factor

SourceScope

Update frequency

ValuesElectricity – directemissions

IEA, electricity emission factors, 2017
edition (2014 data)

Country

Every 3 years–

Electricity – upstream andT&D losses

DEFRA 2017

Country when available, or
global average

Every 3 years–

Electricity – Infrastructureand supply chain

IEA and IPCC, 2014

Country when available, or
global average

Every 3 years–

Electricity – forwardlooking

Forward-looking discounting: ETP 2017,
RTS scenario

RegionEvery 3 years–

9 The European Committee of Manufacturers of Electrical Machines and Power Electronics.
CO₂ impact methodology

28

2. Process Automation for the Oil & Gas industry
Definition of the offer
Process Automation is providing architectures and system solutions to end-users from various
industries, which enable management optimization for industrial production processes andconsequently save energy and reduce CO2e emissions.
The calculation of avoided and saved emissions focuses on the Oil & Gas sector (O&G), which is
historically an important end segment.
The O&G industry is typically categorized into three main segments: upstream, midstream anddownstream. They are defined as follow:• Upstream – searching for potential underground or underwater crude oil and natural gas fields,
drilling exploratory wells, and subsequently drilling and operating the wells that recover andbring the crude oil or raw natural gas to the surface.
• Midstream – transportation (by pipeline, rail, barge, oil tanker or truck), storage, and wholesalemarketing of crude or refined petroleum products. In the case of liquefied natural gas (LNG) it
also includes the liquefaction and regasification of gas.
• Downstream – refining of petroleum crude oil and the processing and purifying of raw naturalgas, as well as the marketing and distribution of products derived from crude oil and natural gas.
Given the market structure of Schneider’s offers, CO2e emissions of upstream operations havebeen calculated together with midstream operations (which include LNG plants, LNG regasificationand gas processing).
In addition, petrochemical activities (for ethylene, ammonia and methanol production) have been
considered as another category in the methodology.

Boundaries
System-level boundary: considering electricity savings delivered by the automation processes
installed or maintained in oil & gas facilities and operations.

Definition of reference situation
Brownfield reference situation: Brownfield reference situation distinguishes two cases:• Replacement and maintenance of existing Process Automation Systems (PAS), or parts of it, inexisting installations.
• New PAS projects that replace existing capacity being decommissioned.
Greenfield reference situation: Greenfield reference situation refers to the installation of a PAS
for a new plant or a plant extension. Greenfield reference situation is defined as the situation whereanother PAS system is installed, providing similar energy efficiency benefits. Avoided emissions are
therefore equal to 0. (Greenfield scenario 3).

CO₂ impact methodology

29

Emission sources
Schneider vs.
BF retrofit

Schneider vs.
BF replacement

Schneider vs.
GF market

Comments
Schneider induces additional emissions when the alternative does
not require a new equipment
Schneider induces additional emissions when the alternative does
not require a new equipment, but they are negligible
Schneider induces additional emissions when the alternative does
not require a new equipment, but they are negligible
Energy Efficiency performance comparison for all situations. GF
market reference is considered as efficient as Schneider offer
Emissions are small compared to a whole life cycle

Production
Transport
Installation
Use
End of Life
Emissions not equivalent and not negligible
Emissions not equivalent but negligible compared to whole life cycle
Emissions equivalent but not negligible
Emissions equivalent and negligible

There are no avoided emissions as it is estimated that the whole Greenfield market is equippedwith process automation systems, given the importance of energy costs in the Oil & Gas sector.
In this methodology, we consider that Schneider Electric’s process automation systems delivercomparable savings to that of competitors.
Relevant emission sources have been identified using Life Cycle Assessment results available in
Product Environmental Profiles. The PEPs are publicly available in Schneider Electric “Check a
Product” website or via the PEP EcoPassport association website.

Calculation method for use-phase emissions
Method 2: a ratio of saved and avoided emissions in kgCO2e per € of sales has been created forthis methodology. This ratio is multiplied by yearly sales to estimate CO2 savings and avoidance.
Considering the important weight of energy costs in total operating costs of the O&G industry,the O&G sector is mature in terms of energy efficiency. In this methodology, we considered that
all relevant O&G operations are equipped with a process automation system. Recurring sales aremainly maintenance contracts renewed every year with the objective of maintaining and improving
the energy efficiency of existing operations. Saved emissions are calculated for each year of sales,
and not cumulated in time as yearly maintenance is needed to sustain performance.
Large project sales correspond to the installation of the new process automation system. In thiscase, total saved and avoided emissions are cumulative over the lifetime of the system. Sales are
distinguished between recurring maintenance contracts and large project sales depending onorder value (using a threshold limit).
Calculation formulaPA
Saved CO2

Averageemissionssavings
per € of retrofit(kgCO2e/€)Average emissions savings
per € of retrofit (kgCO2e/€)Average savings in
CO2 emissions (%)

CO₂ impact methodology

Total volume of orders(€) - Brownfield retrofit

Average emission
per site (kgCO2e/yr)

Brownfield (retrofit)
average order cost (€/yr)

Average emissions savings per € ofreplacing existing capacity (kgCO2e/€)Averageemissions
reduction
per € of replacing
existing capacity(kgCO2e/€)30

Average savings in
CO2 emissions (%)

Total volume of orders(€) - Brownfield replacing capacity

Average emission per
new site (kgCO2e/yr)

Brownfield (replacing capacity)
average order cost (€/yr)

Average lifetime
equipment (yr)Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Sales data (average order cost,
volume of orders)

Process Automation
sales database

Global sales

AnnualConfidential

Average reduction in CO2 emissions
for Brownfield (maintenance)

Schneider expert
estimate

World

Every 3 years

0.5%

Average reduction in CO2 emissions
for Brownfield (replacing existing
capacity)

Schneider expert
estimate

World

Every 3 years

0.5%

Average CO2 emission per site
(MTons/Yr)

Schneider expert
estimate

World

Every 3 years

Upstream: 0.23 MtCO2
Downstream: 1.88 MtCO2
Petrochemicals: 0.92 MtCO2

Average CO2 emissions per new
project (new site or extension)(MtCO2/Yr)

MTO Market Report 2016
IEA

World

Every 3 years

Upstream: 0.15 MtCO2
Downstream: 1.23 MtCO2
Petrochemicals: 0.60 MtCO2

Average lifetime equipment – for new
projects sales (years)

Schneider expert
estimate

World

Every 3 years

15 years

Brownfield replacing capacity –Share of new projects replacing
existing capacity

Capacity reduction overcapacity addition – MTO
Market Report 2016 IEAWorldEvery 3 years

18%

Emission Factors
The average emissions of CO2 per site are based on average emission intensities of the industry,
per unit of output. The average emission per site is calculated based on the average production
output per type of site.
Emission Factor

SourceScope

Update frequency

CO2 emissions ofpetroleum refining

2001 US Refining Energy Balance“Energy Efficiency Improvement and Cost Saving
Opportunities For Petroleum Refineries”, an ENERGYSTAR® Guide for Energy and Plant Managers (LBNL56183), Feb. 2005

World average

Every 3 years

CO2 emissions of
ethylene production"Environmental impacts of ethylene production fromdiverse feedstocks and energy sources", Ghanta, M.,
Fahey, D. and Subramaniam, B., Applied Petrochemical
Research, June 2014, Volume 4, Issue 2, pp 167-179

World average

Every 3 years

CO2 emissions ofammonia production

https://ammoniaindustry.com/ammonia-production-causes- World average
1-percent-of-total-global-ghg-emissions/

Every 3 years

CO2 emissions ofmethanol production"A comparative analysis of methanol production routes:
synthesis gas versus CO2 hydrogenation", Proceedingsof the 2014 International Conference on Industrial
Engineering and Operations Management, Machado,
Camila F. R., de Medeiros, José Luiz, Araújo, Ofélia F. Q.,
Alves and Rita M. B., Bali, Indonesia, January 7 – 9, 2014

World average

Every 3 years

2015 global CO2
emissions data

https://insideclimatenews.org/news/19052016/global-co2emissions-still-accelerating-noaa-greenhouse-gas-index

World average

Every 3 years

CO₂ impact methodology

31

3. Electricity Transformers
Definition of the offer
Transformers are static electrical devices that transfers electrical energy between two or morecircuits; they are used for increasing or decreasing the alternating voltages in electric power
applications, and for coupling the stages of signal processing circuits.
A transformer is essentially characterized by its rating (the power it can transform), and its losses(no load losses and load losses). No load losses are independent from the load, while load losses
are proportional to the load squared. To assess the energy consumed per year by the transformer(e.g. energy lost in the transformer), it is necessary to know the load squared at every moment. A
load profile is therefore needed to estimate transformers’ energy losses.
Schneider Electric produces a large range of transformers, with ratings varying from a few kVA
to dozens of MVA. This diversity enables Schneider Electric to address several markets, fromcommercial buildings to electric utilities, to industry.

Boundaries
Product-level boundary: The boundary is set to the product itself, looking at the energy consumed
and dissipated (Joule effect) over the product’s lifetime.

Definition of reference situation
Brownfield reference situation: Brownfield reference situation is defined as the share of today’s
sales that replace transformers installed 25 years ago (average lifetime of transformers). This shareis estimated using historical economic growth. Based on sales geographical split, a distinction ismade between developing and developed countries (retrofit share is higher in developed countries).
Greenfield reference situation: Greenfield reference situation refers to the installation of atransformer to equip a new infrastructure. Avoided CO2 emissions are estimated based on theperformance of other transformers available on the market (Greenfield scenario 1). The current
transformer technology of Schneider Electric is not more efficient than market equivalents, so
avoided emissions will be 0.

Emission sources
Schneider vs. BF
replacement

Schneider vs. GF
marketComments

Production

Schneider induces additional emissions when thealternative does not require a new transformer

Transport

Schneider induces additional emissions when thealternative does not require a new transformer, butthey are negligible

Installation

Schneider induces additional emissions when thealternative does not require a new transformer, butthey are negligible

Use

Energy Efficiency performance comparison for all
situations. GF market reference is considered as
efficient as Schneider offer

End of Life

Emissions are small compared to a whole life cycle

Relevant emission sources have been identified using Life Cycle Assessment results available in
Product Environmental Profiles. The PEPs are publicly available in Schneider Electric “Check a
Product” website or via the PEP EcoPassport association website.

CO₂ impact methodology

32

Emissions not equivalentand not negligible
Emissions not equivalent
but negligible compared towhole life cycle
Emissions equivalent but
not negligible
Emissions equivalent andnegligible

Calculation method for use-phase
Method 1, based on the volume of transformers sold during the year. Total saved and avoided
emissions are cumulative over the average lifetime of the products.
Two load profiles have been defined, depending on the size of the transformer (below or
above 3150 kVA). The consumption profiles are defined considering periods of low consumption(ex: night, holidays, etc.) and periods of high consumption. Load profiles also take into accountend users’ needs (transformers for utilities or large industries have a higher load factor thantransformers for buildings or small industries). Energy losses are assessed for each transformer,
using the load profile, the transformer technical data (rating and loss values).
Rating (kW)

Efficiency (%)
Rating (kW)Load Factor (%)

Cos PhiLoad Factor (%)

No Load Losses (P0 kW)

Cos PhiLoad Factor (%) ^2

Load Losses (Pk kW)

As technical characteristics of sold transformers are only available for some of the transformers, an
extrapolation is made based on the ratings. This extrapolation enables to assess all total induced,
saved and avoided emissions based on the emissions of known transformers.
Calculation formula
Transformer
Saved CO2

Total Energy saved(MWh/year)

Energy Saved(MWh/year)

New generation
average efficiency (%)

Brownfield (%)

Average lifetime ofthe product (years)

Previous generation
average efficiency (%)

Country electricity EF(kgCO2e/MWh)

Quantity of unit sold

Rating (kW)Load profile (hours)

Avoided emissions
To assess avoided CO2 emissions, it is necessary to evaluate the performance of othertransformers available in the market. As a general rule, Schneider Electric transformers show
similar performance than to that of transformers of other global suppliers. Some local transformer
suppliers sell transformers with lower performance levels. However, as a conservative hypothesis,
this methodology estimates that the performance of Schneider Electric transformers’ is similar toother transformers available on the market. We therefore quantify no avoided CO2 emissions for
Schneider Electric transformers.

CO₂ impact methodology

33

Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Updatefrequency

Value

Sales Data: Quantity of units sold

Sales data, in quantity of units
sold per reference

Country

AnnualConfidential

Technical specificities of products:
Rating, No Load Losses, Load Losses

Product technicalspecifications

GlobalAnnualConfidential

Cos PhiSchneider expert estimate

GlobalEvery 3 years

0.9

Schneider expert estimate

World average

Every 3 years

Confidential

Average efficiency of previous
generation of transformers

Schneider expert estimate

World average

Every 3 years

98.4%

Average lifetime of the productSchneider expert estimate

World average

Every 3 years

25 years% Brownfield

Weighted economic growthover the last 25 years in
Schneider main sales
countries

Developing/ developed
countries

Every 3 years

Developing countries: 24%
Developed countries: 66%

Load profile
Efficiency rating per load
Average efficiency (calculated)

Emission Factors
Emission factor

SourceScope

Update frequency

ValuesElectricity – direct emissions

IEA, electricity emission factors, 2017
edition (2014 data)

Country

Every 3 years–

Electricity – upstream andT&D losses

DEFRA, 2017

Country when available,or global average

Every 3 years–

Electricity – Infrastructureand supply chain

IEA and IPCC, 2014

Country when available,or global average

Every 3 years–

Electricity – forward-looking

Forward-looking discounting: ETP 2017,
RTS scenario

RegionEvery 3 years–

CO₂ impact methodology

34

4. Uninterruptible Power supply (UPS) Single Phase
Definition of the offer
UPS Single Phase are products that enable devices to be powered at the right voltage andfrequency. They ensure that devices receive a continuous, supply of power, whatever may happen
on the grid.
To transform the power from the grid into power that has the right characteristics tailored to thedevice, a UPS consumes energy. A ratio therefore exists between the energy supplied to the device
and the energy entering the UPS.
New UPSs perform better than old ones given that for the same amount of energy supplied to thedevice, less energy enters into the UPS (the ratio increases). Therefore, replacing an older UPS by
a new one enables to save energy.

Boundaries
Product-level boundary: The boundary is set to the product itself, looking at the energy consumed
and dissipated (Joule effect) over the product’s lifetime.

Definition of reference situation
Brownfield reference situation: Brownfield reference situation is defined as the share of today’s
UPS sales that replace old products installed 10 years ago (average lifetime of UPS). This share isestimated using a weighted average of historical market growth by geographical area, based on
private market studies.
Greenfield reference situation: Greenfield reference situation refers to the installation of a UPS
in a new facility. Avoided CO2 emissions are estimated based on the performance of other UPS
available on the market (Greenfield scenario 1).

Emission sources
Comments

Emissions not equivalentand not negligible

Production

Schneider induces additional emissions
when the alternative does not require a newequipment

Emissions not equivalent
but negligible compared towhole life cycle

Transport

Schneider induces additional emissions
when the alternative does not require a newequipment, but they are negligible

Schneider vs. BF

Schneider vs. GF

Installation

Schneider induces additional emissions
when the alternative does not require a newequipment, but they are negligible

Use

Energy Efficiency performance comparison
for all situations. GF market reference isconsidered less efficient as Schneider offer

End of Life

Emissions are small compared to a whole
life cycle

Relevant emission sources have been identified using Life Cycle Assessment results available
in Product Environmental Profiles. The PEP are publicly available in Schneider Electric “Check a
Product” website or via the PEP EcoPassport association website.

CO₂ impact methodology

35

Emissions equivalent but
not negligible
Emissions equivalent andnegligible

Calculation method for use-phase emissions
Method 1, based on the volume of UPS single phase sold during the year. Total saved emissions
are cumulative over the average lifetime of the products.
To assess avoided CO2 emissions, it is necessary to evaluate the performance of other UPSs
available in the market and used for the same applications. A benchmark is available, as ENERGYSTAR label compares the performances of all UPS ranges in order to identify the highest
performing ones.
For Greenfield sales, it is therefore possible to assess the average performance of sold UPSs andto compare this with Schneider Electric’s UPS performance.
Calculation formula
UPS
Saved CO2

Brownfield (%)

Power use difference between
Schneider and reference (kW)Use time (h)Forward looking EF(kgCO2e/kWh)Average lifetime ofthe product (years)

UPS
Avoided CO2

Greenfield (%)

Power use difference between
Schneider and reference (kW)Use time (h)Forward looking EF(kgCO2e/kWh)Average lifetime ofthe product (years)

Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Sales data, perreference (Output
Wattage)

Schneider sales database

Sales perreference andgeneration

AnnualConfidential

Average annual
CO2 emissions per
W per generation

Single phase UPS efficiency
comparison calculator, online
public tool, Schneider Electric
https://www.schneider-electric.
com/en/work/solutions/system/
s1/data-center-and-networksystems/trade-off-tools/
single-phase-ups-efficiencycomparison-calculator/

World Note:
CO2 emission
electricity
emission factor iscorrected to alignwith forwardlooking EF

Annual

Detailed results (per generation)
available online% Brownfield

UPS market growth forecast(private market study), CAGR of
1.2% with lifetime 10 years)

World

Every 3 years

88.4%% Greenfield

GF = 1-Brownfield %World

Every 3 years

11.6%

Average lifetime

Schneider expert estimate

World

Annual10 years

Average efficiency
of UPS sold in themarket (Greenfieldsales)

Schneider expert estimate,based on the ENERGY STAR
market study

World

Every 3 years

Smart UPS On-Line: 0.64 kgCO2e/W/yr
Smart UPS: 0.2 kgCO2e/W/yr
Smart UPS VT: 0.39 kgCO2e/W/yr
Back UPS: 0.92 kCO2e/W/yr

Average efficiency
of previous
generation UPS(Brownfield sales)

Schneider sales database from
10 years ago

World

AnnualConfidential

Emission Factors
Emission factor

SourceScope

Update frequency

ValuesWorld electricity
emission factor
over the studied
period – RTS– Direct emissions: IEA, electricity emission factors,
2017 (2014 data)– Upstream and T&D losses: DEFRA, 2017
– Infrastructure and supply chain, IEA and IPCC, 2014

World average

Every 3 years

573 gCO2eq/kWh

CO₂ impact methodology

36

5. Power Purchase Agreements (PPA)
Definition of the offer
A power purchase agreement (PPA) is a contract between two parties, one which generates
electricity and one which is looking to purchase electricity.
Within Schneider Electric, the Sustainability Business provides advisory services to negotiate andsign PPA contracts, providing market, accounting, procurement and legal expertise. This enables
customers to source renewable electricity, mitigate the risk of energy cost volatility and negotiate
better contracts in energy markets.
This methodology has been developed specifically for medium to long term (several years) PPA
agreements concerning the development of new (or very recent) renewable power capacities andis not applicable to electricity contracts with existing renewable capacities. To date, all projects
considered are solar or wind (both onshore and offshore) power plants, but the methodology isapplicable to all electricity renewable PPA contracts.

Boundaries
As PPA contracting is a service, both emissions from the system to which the service relates andemissions from service provisioning must be accounted for.
Here the system to which the service relates to is an electricity supply system.
Ecosystem-level boundary: considering saved emissions during the whole duration of powerpurchase agreements compared to a situation without this project.

Definition of reference situation
Brownfield reference situation: Brownfield reference situation refers to the situation where the
PPA contract replaces existing power capacity in the grid. As a conservative hypothesis, themethodology considers the average forward-looking electricity emission factor of the country where
the contract is signed (see detailed discussion below on the choice of the relevant Brownfieldemission factor).
The Brownfield percentage is calculated based on national electricity scenario planning bygovernment agencies and defined as the ratio between the electricity capacities (in MWh of annual
production volume) that will be decommissioned in the coming years and the capacities that will be
installed over the same period.
Greenfield reference situation: Greenfield reference situation refers to the situation where the
PPA contract contributes to answering electricity demand growth, without replacing existing power
capacity in the grid. The Greenfield percentage is calculated based on national electricity
scenario planning by government agencies (Greenfield scenario 3). The Greenfield reference
emission factor is the average emission factor of future installed capacities in the country where thecontract is signed.

CO₂ impact methodology

37

Emission sources
Emissions of the electricity supply system change on all life stages thanks to the PPA.
Schneidervs. BF

Schneidervs. GF

Emissions not equivalentand not negligible

Comments

Production

Comparison in emissions is included through the“Infrastructure & supply chain” emission factor

Transport

Comparison in emissions is included through the“Infrastructure & supply chain” emission factor

Installation

Comparison in emissions is included through the“Infrastructure & supply chain” emission factor

Use

Energy Efficiency performance comparison for all
situations. GF market reference is considered lessefficient as Schneider offer

End of Life

Emissions are small compared to a whole life cycle

Emissions not equivalent
but negligible compared towhole life cycle
Emissions equivalent but
not negligible
Emissions equivalent andnegligible

Renewable LCA studies10 show the significant impact of the construction phase (~90%) on lifecycle CO2 emissions, and negligible CO2 emissions during the use phase (due to operation andmaintenance activities). End of life (EoL) CO2 emissions are estimated around 10% of total lifecycle emissions. However, these emissions from EoL are considered negligible compared to CO2emissions of the reference situation. For instance, infrastructure emissions of onshore wind power(15 kgCO2e / MWh) represent less than 5% of reference situation emissions (340 kgCO2e / MWh,see details below). In this example, EoL CO2 emissions represent less than 0.5% of total life-cycle
CO2 emissions, which is negligible. Similar magnitude of results can be derived from solar power
plant LCAs11.
Besides emission changes of the electricity supply system, emissions from service provisioning by
Schneider Electric must be added to this analysis.

Calculation method for emissions outside of Schneider’s service provisioning
Method 1, based on the installed capacity contracted (MW). Total saved emissions are cumulative
over the lifetime of the PPA contract.
Calculation formula
PPA
Saved CO2

Brownfield (%)

Installed capacity (MW)Use Case(hours/yr)

Contract length(year)Country electricity
EF (kgCO2e/kWh)

Renewable manufacturing
emissions (kgCO2e)

PPA
Avoided CO2

Greenfield (%)

Installed capacity (MW)Use Case(hours/yr)

Contract length(year)Country electricity
EF (kgCO2e/kWh)

Renewable manufacturing
emissions (kgCO2e)

Calculation method for emissions of Schneider’s service provisioningSee ‘Calculating CO2 emissions savings, STEP 5’

10 The “Wind Energy – The Facts” – European project financed by the Intelligent Energy – Europe program of the
Executive Agency for Competitiveness and Innovation, published a LCA of wind energy.
11 Appendix B (Life Cycle Assessment of Solar Thermal Power Technology in China) of the publication “Thepower of renewables, Opportunities and Challenges for China and the United States”, by National Academy ofEngineering, National Research Council, Chinese Academy of Sciences and Chinese Academy of Engineering
CO₂ impact methodology38

Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Updatefrequency

Value

Sales data (Installedcapacity, Contract Length(yrs), Project Location)

Schneider sales database

Specific to each contract
signed during the current
year

AnnualConfidential

Use case (Load factor,
operating time)

Schneider expert
estimate, based on
historical sales data

Load factor pertechnology (Wind, Solar)

AnnualWind: 42%
Solar: 28%
Operating time = 365 days * 24h% Brownfield

World: IEA, WEIO 2014

Every 3 years

Brownfield %:USA: 56%
India: 26%
World: 31%

USA: EPA, Outlook on
Electricity Supply, 2018
India: Ministry of Power,
National Electricity Plan, 2017

Per country**95% of PPA sold by Schneider Electric are based in USA or in India, which is why a specific methodology has
been developed for those countries. The World average is used for other contracts.

Emission Factors
Several methodologies have been considered to define the electricity emission factor of the
Brownfield reference situation.
The UNFCCC12 prompts the use of Combined Margins (CM) emissions factors (EF) to evaluate
CDM13 project activities. The CM is the result of a weighted average of two emission factors
pertaining to the electricity system: the “operating margin” (OM) and the “build margin” (BM). For
the presented methodology, the CM emission factor has been considered but not chosen, due tothe complexity of the calculation process, high volatility of the emission factor depending on thesource and year of analysis, and overall high resulting EF.
Two other options have been considered to define the electricity emission factor of thereference situation:• Country electricity EF, forward-looking to take into account evolution over the PPA contract
duration (same as for other technologies in this methodology).
• Average EF of decommissioned capacities, based on energy scenario planning of government
agencies. This EF is calculated as the average electricity emission factor of electricity capacities
that will be decommissioned and replaced in the coming years.
This EF can only be used for new developing projects which allow an addition of renewablecapacity on the grid.
The forward-looking country electricity EF is the lowest of the three emission factors considered
above, for all geographies studied (World, USA, India). Considering that there is no agreement fromCO2 experts on which EF should be used in this case, this methodology uses the average forwardlooking country electricity EF (over contract duration), as a preliminary conservative assumption.
For the Greenfield reference situation, the average emission factor of future installed capacities istaken into account, according to national electricity scenario planning.
The emission factor for the wind or solar capacities during use phase is equal to zero.

12 United Nation Framework Convention on Climate Change
13 Clean Development Mechanism
CO₂ impact methodology

39

Emission Factors
Emission factor

SourceScope

Updatefrequency

ValuesElectricity – direct emissions

IEA, electricity emission factors,
2017 edition (2014 data)

Country

Every 3 years–

Electricity – upstream andT&D losses

DEFRA 2017

Country whenavailable, or
global average

Every 3 years–

Brownfield: Electricity – forwardlooking

Forward-looking discounting: ETP
2017, RTS scenario

RegionEvery 3 years–

Renewable manufacturing
emissions

IPCC AR 5 WG3, Annex III Electricity:
infrastructure & supply chain

World average

Every 3 years

Solar: 48 kgCO2e / MWh
Onshore wind: 15 kgCO2e/ MWh
Offshore wind: 17 kgCO2e/ MWh

Brownfield: Average country
electricity – replaced capacity(not used in this methodology
as a preliminary conservative
assumption)

USA – Energy Information
Administration (EIA), 2018
India – Ministry of Power, National
Electricity Plan, 2017
World – IEA, WEIO 2014

Country

Every 3 years

USA: 0.52 kgCO2e / kWh
India: 0.94 kgCO2e / kWh
World average: 0.43
kgCO2e / kWh

Greenfield: average electricity
emission factor reference
situation

USA – Energy Information
Administration (EIA), 2018
India – Ministry of Power, National
Electricity Plan, 2017
World – IEA, WEIO 2014

Country

Every 3 years

USA: 0.14 kgCO2e / kWh
India: 0.52 kgCO2e / kWh
World average: 0.34
kgCO2e / kWh

CO₂ impact methodology

40

6. Building Management Systems
Definition of the offer
A building management system (BMS), also known as a building automation system (BAS), is acomputer-based control system installed in buildings that controls and monitors the building’s
mechanical and electrical equipment such as ventilation, lighting, power systems, fire systems, andsecurity systems. A BMS is composed of both software and hardware, and it is a critical component
to manage energy demand in buildings.
Building management systems are most commonly implemented in large sites with extensive
mechanical, HVAC14, electrical systems. Systems linked to a BMS typically represent 40% of abuilding's energy usage.
Considering the wide variety of products and software needed to install a full BMS, and thesubsequent risk of multiple accounting, this methodology focuses on Automation and Enterpriseserver sales. Servers deliver data management and supervisory services core to BMS systems
and are a good proxy to estimate the volume of BMS sold during the year. The number of buildings
equipped with a BMS is estimated based on the number of servers sold, further enabling toestimate energy and CO2 savings.

Boundaries
System-level boundary: considering saved emissions of the building in which the servers are installed.

Definition of reference situation
Brownfield reference situation: Brownfield reference situation distinguishes two cases:• BMS installed on existing buildings, not previously equipped with such a system.
• BMS installed in new buildings, which are replacing demolished buildings.
The total Brownfield percentage is calculated as the sum of retrofit sales (%, provided by Schneider
Electric’s experts) plus the share of new buildings that allow to replace demolitions, based onbuilding market forecast from IEA15 (see formula below).
Greenfield reference situation: Greenfield reference situation refers to the installation of a BMS in
a new site. Greenfield reference situation is defined as the situation where another BMS system isinstalled, providing similar energy efficiency benefits 0 (Greenfield scenario 3).

Emission sources
Schneidervs. BF retrofit

Schneider vs. BF
demolition

Schneidervs. GF

Comments

Production

Schneider induces additional emissions
when the alternative does not require a newequipment

Transport

Schneider induces additional emissions
when the alternative does not require a newequipment, but they are negligible

Installation

Schneider induces additional emissions
when the alternative does not require a newequipment, but they are negligible

Use

Energy Efficiency performance comparison
for all situations. GF market reference isconsidered less efficient as Schneider offer

End of Life

Emissions are small compared to a whole
life cycle

14 Heating, Ventilation, Air-Conditioning
15 IEA (2013) Transition to Sustainable Buildings, Strategies and Opportunities to 2050

CO₂ impact methodology

41

Emissions not equivalentand not negligible
Emissions not equivalent
but negligible compared towhole life cycle
Emissions equivalent but
not negligible
Emissions equivalent andnegligible

Relevant emission sources have been identified using Life Cycle Assessment results available in
Product Environmental Profiles. The PEPs are publicly available on Schneider Electric’s “Check a
Product” website or via the PEP EcoPassport association website.

Calculation method for use-phase emissions
Method 1, based on the total volume sold of automation and enterprise servers per year. Total
saved emissions are cumulative over the average lifetime of the products.
Brownfield and Greenfield shares are calculated based on prospective (future) market data. The
methodology looks at the global share of buildings expected to be retrofitted, destroyed and newly
built in the coming years, to estimate the share of Schneider Electric’s sales for Brownfield andGreenfield markets.
Calculation formula
Overall
Brownfield (%)

BMS
Saved CO2

Size of smallbuildings (m2)Size of medium
buildings (m2)Size of smallbuildings (m2)

Automation Servers
Sales (n/country)

Used for HVAC
control (%)

Greenfield (%)

Overall
Brownfield (%)

Average m2 persmall building (m2)

Average number of automation
servers per building (n)Share of additions that
replace demolitions (%)

Energy intensityof buildings(kWh/m2/yr)

Size of medium
buildings (m2)Calculation method for production emissions
See ‘Calculating CO2 emissions savings, STEP 5’

CO₂ impact methodology

Average energy
savings (%)

42

Brownfield (%)

Share of energy
source(%, type energy)Enterpriseserves sold (n)Electricity or fuel EF(kgCO2e/kWh)

Small buildings w
enterprise servers (n)Average number of enterpriseservers per building (n)Average Lifetime(years)Average m2 per
medium building (m2)

Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Updatefrequency

Value

Automation Servers, Smartx
Controllers and EntrepriseServers sales

Schneider Sales data

Country

AnnualConfidential

Schneider expert estimates

World

Every 3 years

Confidential

Energy sources for commercial
building

IEA (2015) Energy Technology
Perspectives; IEA (2013) Transition to
Sustainable Buildings, Strategies andOpportunities to 2050; Energy Information
Administration EIA (2012) Commercial
buildings energy consumption survey(CBECS)World

Every 3 years

Electricity: -37%
Natural Gas: -31%
Oil & Coal: -24%
Commercial Heat: -8%

Average size of small, medium
and large buildings equippedwith BMS (in m2)

Schneider expert estimate

World

Every 3 years

Small: 5,000 m2
Medium: 50,000 m2
Large: 100,000 m2
Weighted average:
43,750 m2

Energy consumption ofbuildings (kWh/m2)

International Institute for Applied System
Analysis, Global Energy Assessment(GEA), Chapter 10 Energy End-Use:
Buildings; Carbone 4 expertise

Country

Every 3 years–

Average lifetime of the offer

Schneider expert estimate

World

Every 3 years

10 years% Brownfield sales withbuildings’ retrofit

Schneider expert estimate

World

Every 3 years

Confidential% Brownfield sales withnew buildings that replace
demolitions

IEA (2013) Transition to Sustainable
Buildings, Strategies and Opportunities
to 2050

OECD, NonOECD

Every 3 years

OECD: 40%
Non OECD: 30%

Share of Automation servers’
sales used for HVAC
control and for Field Control
applications
Average number of automationand enterprise servers
installed per building
Share of small buildings
equipped with EnterpriseServerAverage energy savings
enabled by BMS – Brownfield

Emission Factors
Emission factor

SourceScope

Updatefrequency

ValuesElectricity – directemissions

IEA, electricity emission factors,
2017 edition (2014 data)

Country

Every 3 years–

Electricity –upstream and T&D
lossesDEFRA 2017

Country whenavailable, or global
average

Every 3 years–

Electricity –Infrastructure andsupply chain-

IEA and IPCC, 2014

Country whenavailable, or global
average

Every 3 years–

Electricity –forward-looking

Forward-looking discounting: ETP
2017, RTS scenario

RegionEvery 3 years

–

Fuels

Bilan GES, Ademe, Europe data;
Carbone 4 expertiseWorld

Every 3 years

Natural Gas: 239 gCO2e / kWh
Oil & Coal: 323 gCO2e / kWhCommercial heat: 239 gCO2e / kWh

CO₂ impact methodology

43

7. Power Monitoring Systems
Definition of the offer
A power monitoring system (PMS) is a system that gathers energy and power data in a facility.
Stand-alone or embedded meters measure, collect and deliver essential data from key distribution
points across the entire electrical network. That gives users the ability to manage on-site
operations, with day-to-day optimization of energy consumption. The PMS can be used for very
different applications, such as buildings, marine vessels, industrial processes, etc.
Considering the wide variety of products and software needed to install a full PMS, and thesubsequent risk of multiple accounting, this methodology focuses on edge control software sales.
Edge control software delivers data management and supervisory services core to PMS systems
and are a good proxy to estimate the volume of PMS sold during the year. The number of facilities
equipped with a PMS is estimated based on the number of software licenses sold, further enablingto estimate energy and CO2 savings.
Saved and avoided emissions are calculated based on average energy savings allowed by PMS,
used in service buildings (such as commercial or healthcare building) and industrial facilities fromvarious sectors (including data centres, utility, food and beverage, automotive, mining, minerals andmetals, oil & gas, transportation, water and wastewater and other industries).

Boundaries
System-level boundary: considering saved emissions of the building in which the software is installed.

Definition of reference situation
Brownfield reference situation: Brownfield reference situation distinguishes two cases:• PMS installed on existing facilities, not previously equipped with such a system.
• PMS installed on new facilities, are replacing replacing a demolished facility.
The total Brownfield percentage is calculated as the sum of retrofit sales (in %, provided by
Schneider Electric’s experts) plus the share of new facilities that allow to replace demolitions, basedon market forecast provided by the IEA16 (see formula below).
Greenfield reference situation: Greenfield reference situation refers to the installation of a PMS in
a new site. Greenfield reference situation is defined as the situation where another PMS system isinstalled, providing similar energy efficiency benefits. Avoided emissions are therefore equal to 0
(Greenfield scenario 3).

Emission sources
Schneider vs. BF
retrofit

Schneider vs. BF
demolition

Schneider vs. GF
new building

Comments

Production

Schneider induces additional emissions when the alternative
does not require a new equipment

Transport

Schneider induces additional emissions when the alternative
does not require a new equipment, but they are negligible

Installation

Schneider induces additional emissions when the alternative
does not require a new equipment, but they are negligible

Use

Energy Efficiency performance comparison for all situations. GF
market reference is considered as efficient as Schneider offer

End of Life

Emissions are small compared to a whole life cycle
Emissions not equivalent and not negligible
Emissions not equivalent but negligible compared to whole life cycle
Emissions equivalent but not negligible

16 IEA (2013) Transition to Sustainable Buildings, Strategies andOpportunities to 2050
CO₂ impact methodology

Emissions equivalent and negligible

44Relevant emission sources have been identified using Life Cycle Assessment results available in
Product Environmental Profiles. The PEPs are publicly available on Schneider Electric’s “Check a
Product” website or via the PEP EcoPassport association website.

Calculation method for use
Method 1, based on the total volume sold of software per year. Total saved emissions are
cumulative over the estimated average lifetime of the products.
Brownfield and Greenfield shares are calculated based on prospective (future) market data. The
methodology looks at the global share of buildings expected to be retrofitted, destroyed and newly
built in the coming years, to estimate the share of Schneider Electric’s sales for Brownfield andGreenfield markets.
Calculation formula
PMS
Saved CO2

Overall
Brownfield (%)

Savings per energy
source (MWh)Overall
Brownfield (%)

Greenfield (%)

Share of additions that
replace demolitions (%)

Electricity Saved(MWh/yr)

Average installed electricity
power capacity (MW)Electricity of fuel EF(kgCO2e/kWh)Average Lifetime(years)Brownfield (%)

Weighted averageloading factor (%)

Use Case(hours/yr)

Energy savings
per year (%)

Sales perfacility type (n)Electrical consumption per year (MWh)Fossil Fuel
Saved (MWh/yr)

Sales in existing
facilities Brownfield (n)Fuel savings pertype of building(MWh/yr)

Energy savings
per year (%)

Share of sales
servicesbuildings (%)

Fuel savings inexisting services
building (MWh/yr)

Share of sales
for industrial
facilities (%)

Fuel savings inexisting industrial
facilities (MWh/yr)

Fossil consumption pertype of building (MWh/yr)

Calculation method for production emissions
See ‘Calculating CO2 emissions savings, STEP 5’

CO₂ impact methodology

45

Sales in new
facilities that
replacedemolitions Brownfield

Share of sales
for sercies
buildings (%)

Fuel savings in
new services
building (MWh/yr)

Share ofsales forindustrial
facilities (%)

Fuel savings in
new industrial
facilities (MWh/yr)Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Updatefrequency

Value

Volume of PMS sales

Schneider Sales data

Country

AnnualConfidential

Schneider expert estimate

World

Every 3 years

Confidential

Schneider expert estimates

World

Every 3 years

2 MW

Average energy savings enabled by
PMS – Brownfield
Average energy savings enabled by
PMS in new facilities – Greenfield
Average installed electricity power
capacity of facilities equipped witha PMS
Weighted average loading factor of
facilities (including use case: hoursof operations per year)
Percentage of sales for services
buildings (i.e. commercial andhealthcare buildings)

Confidential

Schneider expert estimates – sales data

World

AnnualPercentage of sales for industrial
facilities (i.e. Data center, Utility,
Food and beverage, Automotive,
Mining, minerals and metal, Oil andGas, Transportation, Water andwastewater, and Other Industry)

Confidential

Confidential

Average lifetime of the offer

Schneider expert estimate

World

Every 3 years

7.5 years

Energy sources for commercial
building

IEA (2015) Energy Technology
Perspectives; IEA (2013) Transition to
Sustainable Buildings, Strategies andOpportunities to 2050;

World

Every 3 years

Electricity: 51%
Natural Gas: 24%
Oil & Coal: 16%
Commercial Heat: 5%
Biomass: 3%
Other renewables: 1%

Energy sources for industrial
facilities

Schneider expert estimates, basedon Schneider own internal energy
consumption profile

World

Every 3 years

Electricity: 71%
Natural Gas: 27%
Oil & Coal: 1%
Commercial Heat: 2%% Brownfield sales with facilities’
retrofit

Retrofit sales: Schneider expert
estimates

World

Every 3 years

Confidential% Brownfield sales for new facilities
that replace demolitions

IEA (2013) Transition to Sustainable
Buildings, Strategies and Opportunities
to 2050OECD,
Non OECD

Every 3 years

OECD: 40%
Non OECD: 30%

Emission Factors
Emission factor

SourceScope

Updatefrequency

ValuesElectricity – directemissions

IEA, electricity emission factors,
2017 edition (2014 data)

Country

Every 3 years–

Electricity –upstream and T&D
lossesDEFRA 2017

Country whenavailable, or
global average

Every 3 years–

Electricity –Infrastructure andsupply chain

IEA and IPCC, 2014

Country whenavailable, or
global average

Every 3 years–

Electricity –forward-looking

Forward-looking discounting: ETP
2017, RTS scenario

RegionEvery 3 years

–

Fuels

Bilan GES, ADEME, Europe data;
Carbone 4 expertiseWorld

Every 3 years

Natural Gas – 239 gCO2e / kWh
Oil & Coal – 323 gCO2e / kWhCommercial heat- 239 gCO2e / kWh

CO₂ impact methodology

46

8. Energy Performance Contracting
Definition of the offer
Energy performance contracting (EPC) is a mechanism the purpose of which is to unlock thepotential of energy efficiency. Energy performance contracts are used as an alternative financing
mechanism to accelerate investment in cost effective energy conservation measures in existingbuildings, districts or industrial facilities. EPCs allow public and private actors to accomplish energy
savings projects without up-front capital costs and following specific accounting and validation
rules. EPC involves an Energy Service Company (ESCO) which provides financing and guaranteed
energy savings. The remuneration of the ESCO depends on the achievement of the guaranteedsavings. The ESCO stays involved in the measurement and verification process for the energy
savings during the repayment period.

Boundaries
As EPC is a service, both emissions from the system to which the service relates and emissions
from service provisioning must be accounted for.
Here the system to which the service relates to is a building energy system.
Ecosystem-level boundary: considering saved emissions of the building with the performance
contract compared to a situation without energy efficiency measures.

Definition of reference situation
Brownfield reference situation: Given the nature of energy performance contracting, all contracts
are considered to be Brownfield, where the reference situation refers to the absence of the EPC.
The methodology considers the average emission factor of the country where the contract issigned, with forward-looking discounting over the duration of the contract.
Greenfield reference situation: Greenfield reference situation does not apply to this offer.

Emission sources
Schneider vs. BF
retrofit

Schneider vs. GF

Comments

Emissions not equivalentand not negligible
Emissions not equivalent
but negligible compared towhole life cycle

Production#NA

No impact of EPC on production

Transport#NA

No impact of EPC on production

Installation#NA

No impact of EPC on production

Emissions equivalent but
not negligible

Use

#NA

Energy Efficiency performance comparison of thebuilding

Emissions equivalent andnegligible

End of Life

#NA

Emissions are small compared to a whole life cycle

An EPC is typically composed of several energy efficiency measures (such as insulation, double
glazing, energy management systems, etc.). All Life Cycle Analyses (LCA) of such examples lookalike: significant CO2 impacts are found during the manufacturing and the use-phase. The emission
sources illustrated below are based on this hypothesis.
Besides emission changes of the building energy system, emissions from service provisioning by
Schneider Electric must be added to this analysis.

CO₂ impact methodology

47

Calculation method for use-phase emissions
Method 1, based on the total volume of kWh savings contracted per year. Total saved emissions are
cumulative over the lifetime of the EPC contract.
Calculation formula
EPC
Saved CO2

Contracted savings(MWh/year)

Contract length(years)Country electricity or specificfuel EF (kgCO2e/kWh)Calculation method for provisioning emissions
See ‘Calculating CO2 emissions savings, STEP 5’
Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Sales data:– Contracted savings (MWh/year);– Contract length (yr);– Project location

SchneiderSales
database

Specific toeach contract

AnnualConfidential,
specific to eachcontract

Emission Factors
Emission factor

SourceScope

Update frequency

ValuesElectricity – directemissions

IEA, electricity
emission factors,
2017 edition (2014
data)

Country

Every 3 years–

Electricity –upstream and T&D
lossesDEFRA 2017

Country when Every 3 years
available, or
global average–Electricity –Infrastructure andsupply chain

IEA and IPCC, 2014

Country when Every 3 years
available, or
global average–Electricity –forward-looking

Forward-looking
discounting: ETP
2017, RTS scenario

RegionEvery 3 years–

Emission Factorsof fuels

Bilan GES,
Ademe, Europe
data; Carbone 4
expertiseWorld

Every 3 years

Natural Gas – 239 gCO2e/ kWh
Oil & Coal – 323 gCO2e/ kWh Commercial heat239 gCO2e / kWh

CO₂ impact methodology

48

9. Power SCADA Operations
Definition of the offer
Power SCADA Operation is a software that digitizes and simplifies complex electrical distribution
systems. It is engineered to help facilities like hospitals, industrials, airports and electro-intensive
operations maximize uptime, manage and control medium and low voltage networks with a flexible,
secure, scalable, and redundant platform.

Boundaries
System-level boundary, considering saved emissions of the building in which the servers are installed.

Definition of reference situation
Brownfield reference situation:• PSO installed on existing buildings, not previously equipped with such a system.
Greenfield reference situation:• Greenfield reference situation refers to the installation of a PSO in a new site. Greenfieldreference situation is defined as the situation where another PSO system is installed, providing
similar energy efficiency benefits of 0 (Greenfield scenario 3).

Emission Sources
Comments

Emissions not equivalentand not negligible

Production

Schneider induces additional emissions
when the alternative does not require a newequipment

Emissions not equivalent
but negligible compared towhole life cycle

Transport

Schneider induces additional emissions
when the alternative does not require a newequipment, but they are negligible

Schneider vs. BF

Schneider vs. GF

Installation

Schneider induces additional emissions
when the alternative does not require a newtransformer, but they are negligible

Use

Energy Efficiency performance comparison
for all situations. GF market reference isconsidered as efficient as Schneider offer

End of Life

Emissions are small compared to a whole
life cycle

Calculation method for use-phase emissions
Method 1, based on the total volume sold of servers per year. Total saved emissions are cumulative
over the average lifetime of the solution.
Calculation formula
PSO
Saved CO2

Brownfieldsales (%)

Savings by
PSO (MWh)

Consumption per
facility type (MWh)Electricity or fuel EF(kgCO2e/KWh)

Calculation method for production emissions
See ‘Calculating CO2 emissions savings, STEP 5’

CO₂ impact methodology

49

Average lifetime(years)Emissions equivalent but
not negligible
Emissions equivalent andnegligible

Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Updatefrequency

Value

PSO sales

Schneider Sales data

Country

AnnualConfidential

Energy sources forcommercial building

IEA (2015) Energy Technology
Perspectives; IEA (2013) Transition
to Sustainable Buildings, Strategies
and Opportunities to 2050

World

Every 3 years

Electricity: -51% Natural
Gas: -24% Oil & Coal: -16%
Commercial Heat: -5% Biomass,
waste, other renewables: -4%

Energy sources for lightindustry

Schneider expert, based on
Schneider Electric energy profile

World

Every 3 years

Electricity: -71% Natural Gas:
-27% Oil & Coal: -1% Commercial
Heat: -2%

Energy sources for heavy
industry

IEA, ETP 2015

World

Every 3 years

Electricity: -21% Natural
Gas: -21% Oil & Coal: -49%
Commercial Heat: -3% Biomass,
waste, other renewables: -6%

Energy consumption ofbuildings (kWh/m2)

International Institute for Applied
System Analysis, Global Energy
Assessment (GEA), Chapter
10 Energy End-Use: Buildings;
Carbone 4 expertise

Country

Every 3 years–

Average energy savings
enabled by PSO – Brownfield

Average lifetime of the offer

Schneider expert estimate

World

Every 3 years

7.5 years% Brownfield sales withbuildings’ retrofit

Schneider expert estimate

World

Every 3 years

Confidential

Emission factor

SourceScope

Updatefrequency

ValuesElectricity – direct emissions

IEA, electricity emission factors,
2017 edition (2014 data)

Country

Every 3 years–

Electricity – upstream andT&D losses

DEFRA 2017

Country when Every 3 years
available, or
global average–Electricity – Infrastructureand supply chain

IEA and IPCC, 2014

Country when Every 3 years
available, or
global average–Electricity – forward-looking

Forward-looking discounting: ETP
2017, RTS scenario

RegionEvery 3 years

–

Fuels

Bilan GES, Ademe, Europe data;
Carbone 4 expertiseWorld

Every 3 years

Natural Gas: 239 gCO2e / kWh
Oil & Coal: 323 gCO2e / kWhCommercial heat: 239 gCO2 / kWhEmission Factors

CO₂ impact methodology

5010. Distribution and Energy Management Systems
Definition of the offer
ADMS (Advanced Distribution Management System) regroups several solutions used to optimize
the management of energy grids (transmission, sub-transmission and distribution), inducing a
reduction in energy losses and facilitating the integration of intermittent energy sources. Suchsolutions include in particular:• Supervisory Control and Data Acquisition (SCADA)• Outage Management System (OMS)• Distribution Management System (DMS)• Energy Management System (EMS)• Distributed Energy Resource Management System (DERMS)
The current methodology covers DMS and EMS modules, with specific conditions: for DMS at least
one of the following functions are to be installed by the customer: Network Reconfiguration andVolt-Var Optimization; for EMS the Optimal Power Flow function has to be installed. Such modules
help to reduce energy loss in the distribution and (sub)transmission grids.
Other solutions part of the Advanced Distribution Management Systems are expected to deliver
savings, but are not included in the methodology to date. For instance, the increased integration ofrenewable sources, allowed by DERMS modules, or the maintenance optimization allowed by OMS.

Boundaries
Ecosystem boundary, considering reduced electricity production on the grid thanks to the use of
the ADMS solution. Energy savings are considered over the estimated lifetime of the ADMS solution.

Definition of reference situation
Brownfield reference situation:• The reference situation is the average performance of energy grids, expressed in transmission
and distribution losses (% of output), in similar countries (high, medium or low-income countries).
Greenfield reference situation:• Greenfield avoidances are calculated as energy efficiency delivered on grid evolution (additional
capacity on existing grid).

Emission Sources
Schneider vs. BF

Schneider vs. GF

Comments

Production

Emissions associated to the manufacture ofSchneider's hardware for the solution

Transport

Transporting the solution emits negligible
amounts of GHG

Installation

Installing the solution emits negligible
amounts of GHG

Use

Energy Efficiency performance comparisonof the grid with and without the solution

End of Life

Emissions are small compared to a whole
life cycle

Calculation method
Method 1, project by project approach, based on the electricity distributed (and cover by ADMS) in
one year by the client (TWh).

CO₂ impact methodology

51

Emissions not equivalentand not negligible
Emissions not equivalent
but negligible compared towhole life cycle
Emissions equivalent but
not negligible
Emissions equivalent andnegligible

Calculation formula
ADMS Saved
or Avoided CO2

DMS Savedor Avoided CO2

EMS Savedor Avoided CO2

DMS Savedor Avoided CO2

Total electricity distributed
covered by DMS(KWh/customer/year)

Brownfield (%)
orGreenfield (%)

Average energy loss indiscribution (% ofenergy distributed)

Energy loss reduction(% of energy loss)

Forward looking
emisssion factors(kgCO2e/kWh)Average lifespanof the product(years)EMS Savedor Avoided CO2

Total electicity transmitted
covered by EMS(KWh/customer/year)

Brownfield (%)
orGreenfield (%)

Average energy loss in(sub)transmission (% ofenergy distributed)

Energy loss reduction(% of energy loss)

Forward looking
emisssion factors(kgCO2e/kWh)Average lifespanof the product(years)Calculation method for production emissions
See ‘Calculating CO2 emissions savings, STEP 5’
Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Sales data:
Total electricity
distributed
covered by DMS

Schneider Electric sales team and public sources

One line perclient per
country

AnnualConfidential

Average energy
losses by country

World BankPer country.
For the USA,detailed by
State

Every 3 years

Average energy
losses of (sub)transmission grid

Based on the following literature:[1] Assessment of Transmission and Distribution Losses
in New York, EPRI, Palo Alto, CA: 2012, PID071178(NYSERDA 15464)[2] Transmission Losses, NGESO, 2019[3] Jordan Wirfs-Brock: Lost In Transmission: How Much
Electricity Disappears Between A Power Plant And Your
Plug?, Inside Energy, 2015[4] Ethiopia – Grid Management Support Program (GMSP)
for System Operational Gap Analysis (SOGA), Nexant,[5] Raúl Jiménez, Tomás Serebrisky, Jorge Mercado:
Power Lost: Sizing Electricity Losses in Transmission andDistribution Systems in Latin America and the Caribbean,Inter-American Development Bank, New York, Washington
D.C., 2014
[6] C. C. B. Oliveira, N. Kagan, A. Méffe, S. Jonathan,S. Caparroz, J. L. Cavaretti: A New Method for theComputation of Technical Losses in Electrical PowerDistribution Systems, Electricity Distribution

Global averageon transmission
and subtransmission,
applied tonational T&D
lossesEvery 3 years

2.2%transmission
losses, ofwhich 0.5% subtransmission

Energy loss
reductions
achieved by EMS

Expert estimate

World

Every 3 years

Confidential

Energy loss
reductions
achieved by DMS

Expert estimate

World

Every 3 years

Confidential

Lifetime

Expert estimate

World

Every 3 years

10 years

CO₂ impact methodology

52

Emission Factors
Emission factor

SourceScope

Update frequency

ValuesElectricity – directemissions

IEA, electricity emission factors, 2019
edition (2017 data)

Country

Every 3 years–

Electricity –upstream and T&D
losses

IEA, electricity T&D (transmission
and distribution) emission factors,
2019 edition (2017 data) + IEA 2019(2017 data) electricity production per
source and per country, combinedwith IPCC emissions factors for
upstream combustible extraction andlosses emissions

Country when Every 3 years
available, or
global average–Electricity –Infrastructure andsupply chain

IEA 2019 (2017 data) electricity
production per source and per
country, combined with IPCC
emissions factors for infrastructureand supply chain emissions

Country when Every 3 years
available, or
global average–Electricity –forward-looking

Forward-looking discounting: ETP
2017, RTS scenario

Region–CO₂ impact methodology

53

Every 3 years11. Cooling machines
Definition of the offer
Cooling is an offer from Schneider Electric regrouping the sales of cooling machines, such as
chillers and air conditioners. Many industrial and in particular mission critical applications need acooling system, such as data centres, which must cool down the air in the IT room in order for theservers to work properly.
Schneider Electric cooling technologies can deliver efficiency by design and in the operation
phase since Schneider Electric cooling technologies can deliver efficiency through their design
specifically tailored to IT applications, but also during their use phase, matching completely with
ASHRAE17 operation guidelines.
A chiller is a machine that removes heat from a liquid and control its temperature using one ormore refrigeration circuits. The heat can be dissipated using a hydraulic circuit (water-cooled
chiller) or rejecting it directly in the external air (air-cooled chiller).
A room cooling air conditioner is a machine that removes heat and controls the humidity of air inan enclosed space to achieve a specific interior environmental temperature and humidity rate. The
unit needs an external system which rejects the heat in the air.
An in-row cooling is a type of air conditioning system commonly used in data centers in which
the cooling unit is placed between the server cabinets in a row for offering cool air to the server
equipment more effectively.

Boundaries
Product boundary, considering electricity savings due to the installation of an efficient Schneider
Electric cooling machine compared to the average market for cooling machines. Energy savingsare considered over the entire lifetime of the product.

Definition of reference situation
Brownfield reference situation:• A Brownfield reference situation refers to the situation where Schneider Electric coolingtechnologies are replacing a previous generation machine in a previous generation Data Center.
The previous generation Data Center implies that temperatures (of both air and water) are lower;
therefore the machines are less efficient, with respect to a new generation DC.
Greenfield reference situation:• Brownfield, increased capacity (= Greenfield vs old generation)
In case of retrofit (Brownfield), it is estimated that the data center increases its capacity by 25%.
This increased capacity is therefore accounted as Greenfield, with a reference situation defined
as in the Brownfield situation (old generation data centers).
• Greenfield (more efficient)
A Greenfield reference situation refers to the situation where Schneider Electric coolingtechnologies are installed in a new, last generation data centers. The reference situation is definedby average competitors’ machines, which are considered to be less efficient than Schneider's.
• Greenfield (vs old gen)
A Greenfield reference situation refers to the situation where Schneider Electric cooling technologies
are installed in a new Data Center. Nevertheless, a significant share of data centers in the world are
not yet built according to latest generation standards, because energy is cheap and the ROI for
higher efficiency is too long. The reference situation is therefore defined as the previous generation
data center.
17 American Society of Heating, Refrigerating and Air-Conditioning Engineers
CO₂ impact methodology

54

Emission Sources
Schneidervs. BF

Schneider vs. GF
increased capacity

Schneider vs. GF
old generation

Schneider vs. GF
new generation

Comments

Production

Schneider induces additional emissions when
the alternative does not require new equipment

Transport

Schneider induces additional emissions
when the alternative does not require new
equipment, but they are negligible

Installation

Schneider induces additional emissions
when the alternative does not require new
equipment, but they are negligible

Use

Energy Efficiency performance comparison
in all references. Schneider equipment is
considered more efficient than current market
equipment

End of Life

Emissions are very limited, compared to awhole life cycle

Emissions not equivalent and not negligible
Emissions not equivalent but negligible compared to whole life cycle
Emissions equivalent but not negligible
Emissions equivalent and negligible

Calculation method for use phase emissions
Method 1, based on the total volume of chillers sold during the year, in number of units sold bycountry and reference.
In the first batch of calculations, only air conditioning units Uniflair LE CW, Uniflair LE DX and Large(>400kW) chiller sales were taken into consideration.
Calculation formula (simplified)Cooling
Saved CO2

Quantity of sales(kW cooling capacity/country)

Brownfield installations(% per family of product)

Use Case(h)

EER*Schneider
retrofit (kWhcooling/kWh used)

EER previous
generation (kWhcooling/kWh used)

Forward looking
emission actor(kgCO2e/KWh)

Cooling
Avoided CO2

Number of sales(kW cooling capacity/country)

Greenfield installations**(% per family of product)

Use Case(h)

EER Schneider(kWh cooling/kWh
used)

EER competitors***(kWh cooling/kWh
used)

Forward looking
emission actor(kgCO2e/KWh)* EER: energy efficiency ratio** The % of Greenfield installations is differentiated in the calculation depending on the type of sales (IT or
non-IT) and the type of infrastructure where they are installed (new or old generation). Therefore, the formula
presented is simplified.
*** The load factor and EER competitors depend on the type of sales (IT vs non-IT). Therefore, the formula
presented is simplified. In the model, IT sales are differentiated from non-IT sales.

Calculation method for production-related emissions
See ‘Calculating CO2 emission savings, STEP 5’

CO₂ impact methodology

55

Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Sales data

SchneiderElectric sales
database

Nb of units sold per product reference
number and per country

AnnualConfidential

Cooling capacity (kW)

SchneiderElectric
technical
database

Product reference number enables
to know the cooling capacity of eachcooling device, in kWatt

Every 3 years

Confidential

Energy efficiency
ratio (= kWh of coolingprovided / kWh ofenergy consumed by
the machine toprovide cold)

Expertestimate

For each type of cooling system(Chilled water air conditioner, Direct
expansion air conditioners andchillers), for Schneider Electric and forequivalent machines for competitors

Every 3 years

Confidential

Load factor (= theusage of the products
in terms of % of timeover its lifetime)

Expertestimate

Load factor varying over the lifetime,increasing in charge over the firstyears and reaching its stable averageload factor after one year and a half.
Load factors for IT and non-IT use
were distinguished, as well as IT
Greenfield and IT Brownfield

Every 3 years- See table below

Lifetime

Expertestimate

World average

Every 3 years

10 years% Brownfield sales

Expertestimate

Brownfield (and Greenfield) arecalculated based on technology
and geographical approach. % of
BF sales per technology minus theextension of IT capacity on data
center (25%)

Every 3 years– CW air conditioners: 15%– DX air conditioners: 26%– > 400kW chiller: 11%– Inrow CW: 15%– Inrow DX: 26%– Medium and small chillers: 15%% Greenfield sales (vslatest gen)Expertestimate

Greenfield is calculated as thedifference between total sales and,either Brownfield or Greenfield withprevious generation datacenter (28%)

Every 3 years– CW air conditioners: 58%– DX air conditioners: 47%– > 400kW chiller: 61%– Inrow CW: 58%– Inrow DX: 47%– Medium and small chillers: 58%% Greenfield sales (vsold gen)Expertestimate

1-BF – GF (latest generation)

Every 3 years– CW air conditioners: 27%– DX air conditioners: 27%– > 400kW chiller: 28%– Inrow CW: 27%– Inrow DX: 27%– Medium and small chillers: 27%

DataCenter IT
increased capacity
after a retrofit

Expertestimate

World average

Every 3 years

25%% of non-IT sales

Expertestimate

Average per region (Europe, Asia,
MEA, South Africa, North America)
Only chillers models are sold for nonIT use. Only a Greenfield scenario is
considered for non-IT use cases

Every 3 years– Europe: 20%– Asia: 10%– MEA: 5%– South America: 15%– North America: 0%

CO₂ impact methodology

56

Load factors
The load factors were given by an expert from Schneider Electric.
Equipment

Load Factor –first 6 months

Load Factor –following 6 months

Load Factor –after one year

Load Factor – after
one year and a half

Greenfield IT

20%

50%

80%

90%

Retrofit

90%

90%

90%

90%

Non-IT

50%

50%

50%

50%

Emission Factors
Emission factor Source

Scope

Update frequency

ValuesElectricity –direct emissions

IEA, electricity emission factors, 2019
edition (2017 data)

Country

Every 3 years–

Electricity –upstream andT&D losses

IEA, electricity T&D (transport anddistribution) emission factors, 2019 edition(2017 data) + IEA 2019 (2017 data)
electricity production per source and per
country, combined with IPCC emissions
factors for upstream combustible
extraction and losses emissions

Country whenavailable,or global
average

Every 3 years–

Electricity –Infrastructureand supply chain

IEA 2019 (2017 data) electricity
production per source and per country,
combined with IPCC emissions factors forinfrastructure and supply chain emissions

Country whenavailable,or global
average

Every 3 years–

Electricity –forward-looking

Forward-looking discounting: ETP 2017,
RTS scenario

RegionEvery 3 years–

CO₂ impact methodology

5712. Microgrids
Definition of the offer
Microgrids are single entity power systems designed to provide reliable and independent power
supply to sites of various sizes. They can either be connected to the national grid to support
existing power supply, or operate independently, thus replacing the grid completely. They are smart
local interconnected energy systems that integrate decentralized energy sources, storage, andcontrol systems to ensure:• optimized energy supply from different sources (solar PV18, wind, natural gas, etc.);• and reduced the price of energy in the concerned area by integrating local energy production
and storage equipment, limiting the risks of grid failure.

Boundaries
Ecosystem boundary, considering the increased connectivity and managing capabilities enabledby the addition of the microgrid to the existing grid, providing a cleaner source of energy than the
country mix (connected mode) or autonomous generator (off-grid mode).

Definition of reference situations
Brownfield reference situation:• The microgrid is installed to supply an existing site, replacing (partially or totally) the national gridor autonomous diesel generator. It is assumed that the consumption of the site remains similar
after the installation of the microgrid.
Greenfield reference situation: Two different possibilities:• Additional capacity on existing site: the microgrid is installed on an existing site, replacing(partially or totally) the national grid or autonomous diesel generator; this can be the occasion forthe site to expand its operations and therefore its energy consumption. The described situation
corresponds to Greenfield reference situation (avoided emissions).
• New project: The microgrid is installed to supply a new site, electricity production is used in(partial or total) replacement of electricity consumption from the grid.

Emission Sources
Schneidervs. BF

Schneidervs. GF

Comments

Production

Emissions associated to the manufacture of Schneider'shardware for the microgrid

Transport

Transporting the solution emits negligible amounts of GHG

Installation

Installing the solution emits negligible amounts of GHG

Use

Carbon emissions comparison of between the grid andthe microgrid

End of Life

Emissions are very limited compared to a whole life cycle

Calculation method for use-phase emissions
Method 2, based on the revenues generated by Schneider Electric’s Microgrid offer per year per region.

18 Photovoltaic
CO₂ impact methodology

58

Emissions not equivalentand not negligible
Emissions not equivalent
but negligible compared towhole life cycle
Emissions equivalent but
not negligible
Emissions equivalent andnegligible

Calculation formula
Microgrid Saved
and Avoided CO2

Greenfield (%)
or
Brownfield (%)

Sales(€/country)

Ratio W/€
installed

Used Case(h)Forward looking
emission factor(kgCO2e/KWh)

Installed capacity by tech*(% per region)

Emission factor
by technology(kgCO2e/KWh)* The load factor and microgrid capacity installed depend on the electricity production source (both region andenergy technology)** Electricity emission factor depends on the country of the microgrid and evolve in time according to IEA ETP
RTS scenario

Calculation method for production emissions
See ‘Calculating CO2 emissions savings, STEP 5’

Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Sales data

Schneider Electricsales database

Sales (in €) per region

AnnualConfidential

Ratio € of CA per W
installed

Schneider Electric
experts

World average

Every 3 years

Confidential

Capacity installed ofthe different electricity
production sources

Public studies(Woodmac)

By region. Public values are only
available for the North American
market, therefore, only North American
sales are accounted for in the model*

AnnualFor North America:– Solar: 41%– Wind: 1%– Natural Gas: 5%– CHP: 30%– Diesel generator: 5%– Fuel Cell: 10%– Storage: 8%

Load factor (= the usageof the production sourcesin terms of % of time overa year)

AIE, ETP 2017 and
IEA (for diesel and
CHP)

By region. Load factor of eachelectricity production source(considered identical in a microgrid
than in a national grid)Every 3 years– See table below

Lifetime

Expert estimate

World average

Every 3 years

10 years% Greenfield sales

Expert estimate

World average. Share taking into
Every 3 years
account both new sites and averageincreased consumption of existing sites

58%% Brownfield sales

Expert estimate

1 – Greenfield sales

42%

Every 3 years* Storage was not considered as implying any avoided or saved emissions since the electricity from the gridis stored to be consumed later. Even though it is possible to store grid electricity when emissions from the grid
are lower and then consumed it when emissions from the grid are higher, this was not taken into account.

Load factors 									
Solar

Wind

Natural Gas

CHP

DieselFuel Cell
8%

North America

14%

32%

28%

58%

8%

Europe

12%

22%

24%

44%

8%

Africa

30%

10%

0%

44%

South East Asia

14%

11%

49%

44%

Biomass

Storage

48%

0%

39%

0%

8%

10%

0%

8%

40%

0%

China

10%

18%

18%

44%

8%

38%

0%

India

30%

10%

26%

44%

8%

54%

0%

11%

45%

44%

8%

Mexico

9%

29%

66%

44%

8%

33%

0%

Brazil

0%

29%

63%

44%

8%

47%

0%

ROW

10%

18%

18%

44%

8%

38%

0%

Russia0%0%

Fuel Cell load factor couldn't be found: Fuel Cell is considered as a backup technology, therefore
the load factor was considered as equal to the diesel load factor.
CO₂ impact methodology

59

Emission Factors
Emission factor

SourceScope

Update frequency

ValuesElectricity (national
grid) – directemissions

IEA, electricity emission factors,
2019 edition (2017 data)

Country

Every 3 years–

Electricity –upstream and T&D
losses

IEA, electricity T&D (transport anddistribution) emission factors, 2019
edition (2017 data) + IEA 2019(2017 data) electricity production
per source and per country,
combined with IPCC emissions
factors for upstream combustible
extraction and losses emissions

Country
when
available,or global
average

Every 3 years–

Electricity –Infrastructure andsupply chain

IEA 2019 (2017 data) electricity
production per source and per
country, combined with IPCC
emissions factors for infrastructureand supply chain emissions

Country
when
available,or global
average

Every 3 years–

Electricity –forward-looking

Forward-looking discounting: ETP
2017, RTS scenario

RegionEvery 3 years–

Combustionand upstream
emissions
per electricity
production source

ADEME or Carbone 4 expertise(for CHP* and Fuel cell**) or
OpenEI LCA for biomassWorldaverage

Every 3 years– Generator: 1266.8 gCO2e/kWh– Solar: 55 gCO2e/kWh– Wind: 14.1 gCO2e/kWh– Geothermal: 45 gCO2e/kWh– Natural gas: 418 gCO2e/kWh– CHP: 313 gCO2e/kWh– Diesel: 730 gCO2e/kWh– Fuel Cell: 645 gCO2e/kWh– Biomass: 140 gCO2e/kWh*CHP emission factor calculation based on 807 gCO2/kWh for CHP (based on Ecoinvent and Carbone 4
calculations) with an allocation made based on a use of gas to produce 35% of electricity, 55% heat, 10% losses**Fuel cell emission factors are based on steam reforming hydrogen (world average), including the electrolyser
and the fuel cell manufacturing.

CO₂ impact methodology

6013. Power Quality equipment
Definition of the offer
Power Quality is an offer from Schneider Electric aiming at improving the quality of the power signal
received by machines. It helps customers to run their equipment optimally and protect them fromdamages due to poor power quality.
Power Quality offers from Schneider Electric help customers to immediately improve the power
availability through Power Factor Correction (PFC) solutions and improve long-term network andasset performance through Harmonic Mitigation and Voltage correction solutions, through its Safe,reliable and high-performance PFC and Harmonics Solutions.

Reactive Energy Management and Power Factor Correction
Reactive power is the portion of electricity that helps establish and sustain the electric and magnetic
fields required by alternating current equipment. The amount of reactive power present in an AC
circuit will depend upon the phase shift or phase angle between the voltage and the current. In otherwords, Reactive power is the unused power generated by reactive components in a system.
Reactive power is used by most types of electrical equipment which use a magnetic field, such as
motors and other inductive loads. Reactive power is also required to supply the reactive losses onoverhead power transmission lines. Often the Reactive power is represented by Power Factor, theratio of the Active Power (kW) to the apparent Power (kVA) thus management of Reactive Power isoften known as Power Factor Correction.
In electrical networks, reactive energy results in increased line currents for a given active energy
transmitted to loads. The main consequences are:• Need for oversizing of transmission and distribution networks by utilities;• Increased voltage drops and sags along the distribution lines;• Additional power drawn due to increased overall kVA demand;• Increased energy consumption within the installations.
Reactive energy management or Power Factor Correction aims to optimize your electricalinstallation by reducing energy consumption, and to improve power availability. Reactive energy
management ensures better utilization of electrical machines, optimized electrical conductor sizes
and reduced penalties from the utilities, and improve the availability of energy at utilities.
Reactive power is measured in kilovolt ampere reactive (kVAr) or MVAr The greater the reactive
power for the same active power, the greater the amount of energy required. The optimization ofkVAr, reduce the energy supplied for the same amount of power demanded, therefore it generates
energy savings.
Schneider Electric Power Quality offers regroup 3 categories of products:• PFC LV Components: PF correction capacitors, detuned reactors, PF controllers• PFC LV Solutions: Power Factor Correction Capacitor Equipment• PQ Active Correction: Active Harmonic Filters and Dynamic Voltage Restorer
The savings generated by Active Correction solutions, except Power Factor Correction are often
intangible, hence it’s not considered in this first step of savings calculation. Active Solutions help toimprove network management and asset performance.

CO₂ impact methodology

61

Boundaries
System boundary, considering electricity savings allowed by the installation of power quality
device. Energy savings are considered over the entire lifetime of the product.

Definition of reference situations
Brownfield reference situation:
Power quality components are installed in existing infrastructures; the reference situation isrepresented either by the absence of power quality solutions or the existence of an old power
quality solution.
Greenfield reference situation:• Expansion in the retrofit phase are accounted as Greenfield reduction of CO2 emissions.
• Components installed in new facilities in countries with no regulation concerning power quality(voluntary initiative by customer).
• Components installed in new facilities in countries with regulation concerning power quality(voluntary initiative by customer). In this case, it is assumed that the market performance is thesame as Schneider’s, and avoided emissions are 0.

Emission Sources
Schneidervs. BF no
PQ

Schneidervs. BF old
PQ

Schneidervs. GF
increasedcapa

Schneidervs. GF
regulation

Schneidervs. GFnoregulation

Comments

Production

Schneider induces additional emissions when thealternative does not require a new equipment

Transport

Schneider induces additional emissions when the alternative
does not require a new equipment, but they are negligible

Installation

Schneider induces additional emissions when the alternative
does not require a new equipment, but they are negligible

Use

Energy Efficiency performance comparison in allreferences. Schneider equipment is not considered more
efficient than current market equipment

End of Life

Emissions are small compared to a whole life cycle

Emissions not equivalent and not negligible
Emissions not equivalent but negligible compared to whole life cycle
Emissions equivalent but not negligible
Emissions equivalent and negligible

Calculation method for use phase emissions
Method 2, by calculating the total reactive energy compensation products and solutions installed,
based on the total yearly revenues of power quality components and solution sales per country.
Power Quality
Saved and Avoided
CO2

Sales
(€/country)

Greenfield (%)
or
Brownfield (%)

Ratio kVar/€

Ratio kW/kVar
installed*

Calculation formula* The ration of kWh saved per kVar installed depends on the region.

Calculation method for production emissions
See ‘Calculating CO2 emissions savings, STEP 5’

CO₂ impact methodology

62

Use Case (h)Forward looking
emission factor(kgCO2e/KWh)

Induced emissions
scope 1+2+3(kgCO2e)Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Updatefrequency

Value

Sales data

Schneider Electric sales
database

Revenues per
country/region

AnnualConfidential

Total number ofkVAr installed

Schneider Electric sales
database

World total value
Combined with thetotal amount of sales,
it allows to determine aratio of kVAr installedper € of revenue

AnnualConfidential

kWh saved per
kVAr installed

Expert estimate

Regional values(based on casestudies)

Every 3 years

Confidential

Lifetime

Expert estimate

World average

Every 3 years

15 years

Emission Factors
Emission factor

SourceScope

Updatefrequency

ValuesElectricity – directemissions

IEA, electricity emission factors,
2019 edition (2017 data)

Country

Every 3 years–

Electricity –upstream andT&D losses

IEA, electricity T&D (transportand distribution) emission
factors, 2019 edition (2017data) + IEA 2019 (2017 data)
electricity production per sourceand per country, combinedwith IPCC emissions factors
for upstream combustible
extraction and emissions
resulting from losses

Country whenavailable, or global
average

Every 3 years–

Electricity –Infrastructure andsupply chain

IEA 2019 (2017 data) electricity
production per source andper country, combined with
IPCC emissions factors forinfrastructure and supply chain
emissions

Country whenavailable, or global
average

Every 3 years–

Electricity –forward-looking

Forward-looking discounting:
ETP 2017, RTS scenario

RegionEvery 3 years–

CO₂ impact methodology

6314. Data Center Design & Science
Definition of the offer
When it comes to Data Centers (DCs), Schneider not only offers the electrical equipment necessary
to the operations, but also some engineering services around the design of the facility.
The energy efficiency gains from Schneider Electric’s value proposal around Data Centers thus
come from:• The inner energy efficiency of the equipment sold. That part is already captured by previous
models for each specific piece of equipment. These models factor in the induced emissions ofSchneider’s offers.
• An efficient design of the Data Center layout itself. By understanding the sources of energy loss
in a DC, it is possible to mitigate them through proper geometry of the Center. This part of theenergy savings is the subject of the model described below.

Boundaries
System boundary, considering reduced electricity consumption of the Data Center as a whole thanks
to optimal design. Energy savings are considered over the estimated lifetime of the Data Center.

Definition of reference situations
The reference situation depends on the nature of the project being sold, i.e. whether it is a
Brownfield or a Greenfield project. To calculate the macro BF/GF ratio, Schneider Electric uses in
its model a method based on life expectancy and market CAGR. This top-down method gives ratioof GF projects due to net market growth by construction. It is thus unnecessary to make any
assumptions about capacity expansion thanks to retrofitting for instance. However, it is necessary
to account for Greenfield projects here to replace old installation. This ratio of additional GF projectis created thanks to expert estimates.
Two (BF) reference situations are possible:• The reference situation for Brownfield is that of an older generation Data Center being retrofitted.
Both equipment and design are less efficient than what would be built today, leading to an
overall higher energy consumption. Saved energy is calculated from a total energy efficiency
gain ratio, and an attribution of these savings between equipment and design.
• A Brownfield situation in which a new Data Center is indeed built, but only to replace an older
generation DC that is decommissioned at the same time. In the situation, the reference is thesame as is the previous Brownfield scenario.
A unique (GF) reference situation is chosen:• A Greenfield situation in which the new Data Center is built only to increase the net capacity ofData Centers worldwide. In this case, the reference situation is the energy savings obtained fromdesign by Schneider’s competitors.

CO₂ impact methodology

64Emission Sources
Schneidervs. BF
retrofit

Schneidervs. BF
replacement

Schneidervs. GF

Production

Emissions not equivalentand not negligible

Comments

Schneider induces additional emissions
when the alternative does not require new
equipment

Transport

Schneider induces additional emissions
when the alternative does not require new
equipment, but they are negligible

Installation

Schneider induces additional emissions
when the alternative does not require new
equipment, but they are negligible

Use

Energy Efficiency performance comparison
in all references. Schneider equipment is
considered more efficient than current
market equipment

End of Life

Emissions are small compared to a whole
lifecycle

Emissions not equivalent
but negligible compared towhole life cycle
Emissions equivalent but
not negligible
Emissions equivalent andnegligible

Calculation method for use phase emissions
Method 2, sales approach, based on an average price per W of Data Center capacity. A Data
Center capacity corresponds to the net power capacity of the DC’s servers. For example, a Data
Center of a 10MW capacity is a Data Center which servers would consume 10MW of electricity ifthey were used at 100% of their potential.
DCD Saved(kgCO2e)Total sales of
DC offers (€)

Average DC
capacity to priceratio (W/€)

Brownfieldratio (%)

Actual yearly energy
consumed compared to
DC capacity in reference
situation* (kWh/W)

Actual yearly energy
consumed comparedto DC capacity in
Schneider offer (kWh/W)

Share ofsaving due todesign (%)

Electricity emission
factor (kgCO2e/kWh,varying in time)

Data Center
lifetime(years)DCD Avoided(kgCO2e)Total sales of
DC offers (€)

Average DC
capacity to priceratio (W/€)

Greenfieldratio (%)

Actual yearly energy
consumed compared to
DC capacity in reference
situation* (kWh/W)

Actual yearly energy
consumed comparedto DC capacity in
Schneider offer (kWh/W)

Share ofsaving due todesign (%)

Electricity emission
factor (kgCO2e/kWh,varying in time)

Data Center
lifetime(years)Calculation formula

Calculation method for production emissions
See ‘Calculating CO2 emissions savings, STEP 5’

CO₂ impact methodology

65Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Sales data: Total revenues
from Data Center segment

Schneider Electricsales team

One piece of data per
country per Schneider
client class

AnnualConfidential

DC Capacity to price ratio

Schneider Electricsales team

One piece of data per
DC size

Every 3 years

Confidential

Brownfield/Greenfieldratio

Expert Estimate

One piece of data per
DC typeEvery 3 years

GF: 72%
BF: 28%Yearly actual energy
consumption comparedto DC capacity in BF
reference scenario

Expert estimatebased on [1],[2]One piece of data per
DC size

Every 3 years

Confidential

Yearly actual energy
consumption comparedto DC Capacity in GF
reference scenario

Expert estimatebased on [1], [2]One piece of data per
DC size

Every 3 years

Confidential

Share of energy savings
from Schneider offer
imputable to Design

Expert estimatebased on [3],[4]Distinction BF/GF

Every 3 years

GF: 50%
BF: 10%Lifetime

Expert estimate

World

Every 3 years

15 years[1] https://aws.amazon.com/fr/blogs/aws/cloud-computing-server-utilization-the-environment/[2] https://www.nrdc.org/sites/default/files/data-center-efficiency-assessment-IP.pdf[3] http://www.climateaction.org/images/uploads/documents/NRAN-6LXSHX_R1_EN_-_schneider_electric.pdf[4] https://www.csloxinfo.com/csl-files/pdf/Best-practice-and-Infrastructure-Guideline-FOR-On-Premise-DataCenter.pdf

Emission Factors
Emission factor

SourceScope

Update frequency

ValuesElectricity – directemissions

IEA, electricity emission factors,
2019 edition (2017 data)

Country

Every 3 years–

Electricity –upstream and T&D
losses

IEA, electricity T&D (transmission
and distribution) emission factors,
2019 edition (2017 data) + IEA 2019(2017 data) electricity production
per source and per country,
combined with IPCC emissions
factors for upstream combustible
extraction and losses emissions

Country whenavailable, or
global average

Every 3 years–

Electricity –Infrastructure andsupply chain

IEA 2019 (2017 data) electricity
production per source and per
country, combined with IPCC
emissions factors for infrastructureand supply chain emissions

Country whenavailable, or
global average

Every 3 years–

Electricity –forward-looking

Forward-looking discounting: ETP
2017, RTS scenario

RegionEvery 3 years–

CO₂ impact methodology

6615. SF6 Recovery services
Definition of the offer
SF6 is one of the most potent greenhouse gases in the world and is used in low voltage to highvoltage switchgears as an insulator. To prevent this gas from being released into the atmosphereat the end of the switchgear’s lifecycle, SF6 can be extracted from the piece of equipment to berecycled or disposed of adequately.
Schneider Electric offers to its customers SF6 recovery services, guaranteeing switchgears have alimited impact on the environment when disposed of.

Boundaries
As SF6 Recovery is a service, both emissions from the product to which the service relates andemissions from service provisioning must be accounted for.
Here, the product to which the service relates, is a switchgear.
The CO2 emissions boundary is the product boundary, as the offer enables a more circular andenvironmentally friendly management of the switchgear itself. The offer also saves emissions thatwould have been emitted for the production of new volumes of SF6 now replaced with recycled SF6.

Definition of reference situations
Brownfield scenario:
The reference situation is the average handling of SF6 products in the industry worldwide,
expressed in % of SF6 leaked into the atmosphere from equipment, and after that, in CO2eq
emissions. This average handling is based on external research papers as well as benchmarks
conducted by Schneider’s operations. It is part of a broader set of assumptions used across thecompany when it comes to SF6 leaks throughout the lifecycle of a piece of equipment.
End-of-Life
80%

Manufactureof SF6IPCC (2021):
0.2% leakLandfilling
100% leak
Manufacture of
SF6 Products
Schneider footprint
0.15% leakUse Phase
Fraunhofer
Institute:
0.1% p.a.

Disposal(Burning)
1% leak
RecoverySchneiderWhitepaper
0.5% leak
Recycling
0% leak

9.4%

10.6%

Greenfield scenario:
There is no Greenfield scenario to consider since the service only applies to existing equipment.

CO₂ impact methodology

67

Emission Sources
Schneider vs. BF

Emissions not equivalentand not negligible

Schneider vs. GF

Comments#N/A

Savings with respect to the reduced need for
new SF6 production for new switchgears

Transport#N/A

Negligible

Installation#N/A

Negligible

Emissions equivalent but
not negligible#N/A

No significant savings from the maintenanceor modernization of the equipment

Emissions equivalent andnegligible#N/A

Savings with respect to a better handling of
SF6 and reduced atmospheric leakages

Production

Use
End of Life

Emissions not equivalent
but negligible compared towhole life cycle

Besides emission changes of SF6 handling and production, emissions from service provisioning by
Schneider Electric must be added to this analysis.

Calculation method for Switchgear end of life (EoL) and production emissions
Method 1, based on the total volume of SF6 recovered by Schneider each year, country by country.
Calculation formula
SF6 Recovery
Saved CO2

CO2 Saved on
EoL handling

CO2 Saved by not
producing new SF6

CO2 Saved on
EoL handling

Total volume
of SF6 recoveredby Schneider

SF6 leaked in average
EoL handling (%)

CO2 Saved by not
producing new SF6

Total volume
of SF6 recoveredby Schneider

SF6 recycled with
Schneider EoL
handling (%)

SF6 leaked with
Schneider EoL
handling (%)

Global Warming
Power of SF6SF6 recycled in average
EoL handling (%)

Emission factor ofSF6 production

Calculation method for emissions relating to service provisioningSee ‘Calculating CO2 emission savings, STEP 5’
Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Sales data: Total SF6 volume recovered by
Schneider service

Schneider Electricsales team

One line per country

AnnualConfidential

Average SF6 leaks from recovery operation

Schneider experts

World

Every 3 years

0.5%

Average SF6 EoL handling leaks in the industry

Schneider experts andindustry benchmark

World

Every 3 years

See table
above

Emission factors and GWP
Emission factor

SourceUpdate frequency

Value

Production of SF6

IPCC, Emission Factors World
Data Base (EFDB), 2021

3 years50.4kgCO2eq/kgSF6

Global Warming Power of SF6

IPCC AR6World

At each Assessment Report (AR)25,200kgCO2eq/kgSF6

Service provisioning emissions as a
% of gross CO2 emissions savings

Production emissions
methodology

Schneider3 years7%

CO₂ impact methodology

Scope

68

16. AirSeT products
Definition of the offer
Today, distribution networks and installations commonly rely on SF6 gas. It has outstanding
dielectric properties, which allows for safe and compact equipment. This is critical in manybuildings and applications where space is scarce. The downside is that it is a potent greenhousegas with Global Warming Potential 23,500 higher than that of CO2 (by unit of mass) and produces
toxic by-products in the process of breaking. As such, it is subject to strict regulations and must
be recycled properly to avoid negative impact on the environment. Regulators are increasingly
considering the adoption of new measures to limit the use of SF6.
The AirSeT range brings sustainable innovation to support the transition to greener energy systems
and installations. It combines pure air for insulation and vacuum technology for breaking in an
ingenious arrangement called Shunt Vacuum Interruption (SVI)™. AirSeT products are thus 100%
SF6 free.

Boundaries
Product-level boundary: The boundary is set to the product itself, looking mainly at GHG released
directly or indirectly over the product’s lifetime in comparison to a reference scenario. Given thatswitchgears are passive devices and that SF6 is so much more potent than CO2, it is assumed that
GHG emissions are dominated by SF6 leakages into the atmosphere.

Definition of reference situations
Brownfield reference situation:
The reference situation is based on the behavior and parameters of existing switchgears that are
being replaced with AirSeT Solutions.
Greenfield reference situation:
The Greenfield situation is based on the average behavior and parameters of switchgears soldnowadays as additional capacity.

Emission sources across the lifecycle
Schneider vs.
BF
Production

Schneider vs.
GF

Comments
For Brownfield, the Schneider offer induces emissions
compared to doing nothing, but they are negligible compared
to SF6 leaks saved during use. For Greenfield, producing SF6full switchgears emits much more than AirSeT ones

Emissions not equivalent
but negligible compared towhole life cycle
Emissions equivalent but
not negligible
Emissions equivalent andnegligible

Transport

Negligible

Installation

Negligible

Use

Significant savings compared to equipment leaking SF6.

End of LifeFor Brownfield, the existing Switchgear will still emit SF6. For
Greenfield, AirSeT avoids the handling of SF6 in the future

Calculation method
Method 1, based on the total volume of AirSeT equipment soldCO₂ impact methodology

Emissions not equivalentand not negligible69Calculation formula
CO2 Savedby AirSeT

Total number of
AirSeT equipment

Brownfield (%)

SF6 Content ofhistorical Switchgears

SF6 leaked during
use phase (%)

CO2 Avoided
by AirSeT

Total number of
AirSeT equipment

Greenfield (%)

SF6 Content ofhistorical Switchgears

SF6 leaked in
EOL handling

Global Warming
Power of SF6SF6 leaked in
production (%)

SF6 leaked in
use-phase (%)

Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Average lifetime of
AirSeT equipment

Schneider expert

Per type of equipment(SM, RM, GM)

Every 3 years

30 years

Average lifetime of SF6
equipment

Schneider expert

Per type of equipment(SM, RM, GM)

Every 3 years

20 years

Average mass of SF6
in equipment

Schneider expert

Per type of equipment(SM, RM, GM) per
generation

Every 3 years

Confidential

Emission factors
Emission factors for SF6 products are standardized across Schneider’s entities to provide as muchconsistency as possible. They are based on various sources, detailed in the table below.
Emission factor

SourceScope

Update frequency

Value

Manufacture of SF6 gas

IPCC 2021

Worldwide

Every 3 years

Equivalent to 0.2%
leakageUse Phase SF6 emissions

Fraunhofer Institute

Global average

Every 3 years

0.1% per year

Global Warming Powerof SF6IPCC AR6World

At eachAssessment
Report (AR)25,200 kgCO2eq/
kgSF6

Average SF6 EoL
handling leaks in theindustry

Schneider experts
and industry
benchmarkWorld

Every 3 years

See graph below

SF6 leakages across an equipment’s lifecycle with an average End-of-Life handlingEnd-of-Life
80%

Manufactureof SF6IPCC (2021):
0.2% leakLandfilling
100% leak
Manufacture of
SF6 Products
Schneider footprint
0.15% leakUse Phase
Fraunhofer
Institute:
0.1% p.a.

Disposal(Burning)
1% leak
RecoverySchneiderWhitepaper
0.5% leak
Recycling
0% leak

CO₂ impact methodology

70

9.4%

10.6%

Global Warming
Power of SF6

17. Field Services
Definition of the offer
The Field Services organization focuses on supporting equipment installed on customers’ premises
by providing services related to:• Maintenance and recurring services (corrective and preventive)• Supply of spare parts• Modernization of the installed base (assets, digital monitoring, remote analytics)• Site audits and consulting services• Installation and commissioning• Circularity activities (take-back, recycling, reuse)
The CO2 impacts for all those activities result from:• Energy efficiency gains• Extension of the life of assets delaying replacement
The quantified CO2 savings by this methodology are related to:• Maintenance + recurring services + spare parts, generating assets life extension• Modernization minimizing full replacement, generating an extension of the life of assets.
Schneider Electric’s retrofit solutions consist in replacing LV and MV switchgear components
to renew, refurbish, upgrade or add new functionalities, like connectivity / monitoring. Thisis typically performed on outdated components, such as circuit breakers, contactors andprotection relays, and as such, enable the extension of the life of the switchgear. Since a retrofit
solution replaces only a portion of the existing electrical equipment, fewer waste materials need
to be processed compared to a complete replacement.
• Lead battery recovery for recycling
It is to be noted that Field Services leverages the full portfolio of Schneider Electric’ solutions, as
one of the channels to sell and install these at the customer sites.
The hereby described methodology quantifies the “incremental” savings compared to previous
offers, ensuring consistency with the existing methodologies and avoiding double counting withsolutions already covered in this same quantification methodology. This offer’s description is thus
subdivided to reflect the specificities of the three services described.

CO₂ impact methodology

7117.1 Maintenance, recurring services, spare parts, and electrical
distribution modernization
Boundaries
As maintenance and modernization are services, both emissions from the system to which theservice relates and emissions from service provisioning must be accounted for.
Here the system to which the service relates is the modernized equipment.
We focus on product-level boundary, considering saved emissions resulting from modernizationor maintenance activities that increase the longevity of the equipment.

Definition of reference situations
Brownfield reference situation:• The reference situation corresponds to considering Schneider’s assets installed on customer
sites to function up to their nominal life.
Greenfield reference situation:• There is no applicable Greenfield reference situation as such services only relate to Brownfield.

Emission Sources
Schneidervs. GF

Comments

Emissions not equivalentand not negligible

Production#N/A

Savings with respect to the reduced need of new equipment

Transport#N/A

Negligible

Emissions not equivalent
but negligible compared towhole life cycle

Installation#N/A

Negligible#N/A

No significant savings from the maintenance ormodernization of the equipment#N/A

Negligible and comparable End of Life emissions

Schneidervs. BFUse
End of Life

Emissions equivalent but
not negligible

Emissions from service provisioning must be added to this analysis. Here, these emissions comefrom the production of spare parts, transport of operators, etc.

Calculation method
For maintenance, recurring services, spare parts (method 1), based on the installed base andtracked assets (for spare parts and maintenance).
For Electrical Distribution Modernization (method 2), based on the total sales volume persolution per year. Total saved emissions for a given year are the complete saved emissions
calculated, as the benefits are a one-off.

Calculation formula for production phase emissions for maintenance, recurring
services, spare parts
CO2 saved is calculated based on the extension of the lifespan of assets generated by:• Access to spare parts• Maintenance of assets on the identified installed base
• Digital-enabled condition-based maintenance enabled for assets under such plan (ESP)This calculation is differentiated by:• product ranges (Power/Industrial Automation/Secure Power), and only focuses onserviceable assets• type of service (only spare parts for untracked installed base, condition-based maintenancefor ESP managed assets, classical maintenance for the rest) allowing to quantify Schneider’scontribution and overall CO2 impacts in a relevant way
CO₂ impact methodology

72

Emissions equivalent andnegligible

Maintenance &SP Saved CO2

Number of
installed assets

Production phaseemissions of assets

Asset life increase thanks
to maintenance (years)
Nominal life
(years)Contribution of
Schneider Field Services
to Maintenance (%)

Prolonged life

Calculation formula for production phase emissions for Electrical
Distribution Modernization
Saved emissions
modernization

Modernization
revenues (€/yr)
Average unit price ofmodernization

Average CO2 saved bymodernization effort

As in these MV and LV applications, there is limited technology shift. Any energy efficiency broughtby new assets vs old is expected to be negligible, hence is not included in the calculation.
Calculation for the CO2 savings are done through the footprint calculator which has already beencertified by EY in parallel, and the referential is available upon request.

Calculation method for emissions of Schneider’s service provisioningSee ‘Calculating CO2 emissions savings, STEP 5’
Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Number of installed assets

Schneider Installed
Base Data BasePer type ofequipment

AnnualConfidential

Lifetime of asset with andwithout maintenance

Schneider Expert
and Data BasePer type ofequipment

Every 3 years

Confidential

Contribution of Schneider
to life prolongation

Schneider Expert

Products areclassified dependingon their criticality

Every 3 years

Confidential

Modernization revenues

Schneider Salesdata

Per type of productEvery year

Confidential

Emission Factors
Emission factor

SourceScope

Update frequency

Values

Production phaseemissions from assets

Schneider Environment team,consistent with ‘Calculating CO2
emissions savings, STEP 5’

Per type ofequipment

Every 3 years–

Service provisioning
emissions as a % of grossCO2 emission savings

Provision emissions methodology

Schneider3 years7%

CO₂ impact methodology

7317.2 Battery recycling
Boundaries
As battery recycling is a service, both emissions from the system to which the service relates andemissions from service provisioning must be accounted for.
Here the system to which the service relates is the lead battery.
We focus on product-level boundary, considering saved emissions resulting from using recycled
lead for future batteries instead of traditional sources.

Definition of reference situations
Brownfield reference situation:• In the absence of batteries recovery and recycling by Schneider, the batteries would go tolandfill and the equivalent quantity of lead would come from traditional sources.
Greenfield reference situation:• Not applicable as such services only relate to Brownfield.
Emissions from service provisioning must be added to this analysis. Here, these emissions comefrom the production of spare parts, commuting of operators, etc.
CO2 Saved byBattery recovery

Total mass oflead recovered

Lead mass thatis recyclable (%)

This lead resulting fromprimart smelting (%)

Emission factor of primarymining and smelting

Emission factorof recycling

Emission sources
Schneidervs. BF

Schneidervs. GF

Comments

Production#N/A

Savings with respect to the reduced need for new lead

Transport#N/A

Negligible

Installation#N/A

Negligible

Use

#N/A

No significant savings

End of Life

#N/A

CO2 emissions from landfilling are not considered

Emissions not equivalent
but negligible compared towhole life cycle
Emissions equivalent but
not negligible

Emissions from service provisioning must be added to this analysis. Here, these emissions comefrom the commuting of operators, etc.

Calculation method for emissions from lead recycling
Method 2, based on the total kilograms of batteries recycled per year. Total saved emissions for agiven year fully accounted the same year as the saving is a one-off.
Calculation formula
By professionally collecting and recycling lead batteries, Schneider Electric ensures that thecollected lead is re-used into the sourcing and manufacturing processes for new batteries/new
lead-dependent applications.
The CO2 savings is the comparison between the typical CO2 embedded into traditional leadsourcing (which is already a mix of primary and recycled) and a fully recycled lead.

Calculation method for emissions resulting from Schneider’s service provisioningSee ‘Calculating CO2 emissions savings, STEP 5’

CO₂ impact methodology

Emissions not equivalentand not negligible

74

Emissions equivalent andnegligible

Calculation terms: source, frequency of update and value
Calculation term

SourceGranulometry

Update frequency

Value

Battery volumes
recovered

Schneider Sales data

World

AnnualConfidential

Share of recyclable leadout of all collected lead

Schneider Expert

World

Every 3 years

70%

Share of the total
world lead productionthat results from leadsecondary smelting

R. Jolly, C. Rhin, The
recycling of lead-acidbatteries: production oflead and polypropylene

World

Every 3 years

47%

Emission factor

SourceScope

Update frequency

ValuesEmission factor of primarylead production

Ecoinvent: primarylead production fromconcentrate

World

Every 3 years

2,243 kgCO2/
tonne

Emission factor of recycled
lead production

Ecoinvent: treatment ofscrap lead acid battery,remeltingWorld

Every 3 years

503 kgCO2/
tonne

Service provisioning
emissions as a % of grossCO2 emissions savings

Production emissions
methodology

Schneider3 years

7%

Emission factors

CO₂ impact methodology

75

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