Schneider
Electric Net-ZeroCommitment

InternalSchneider Electric Net-Zero Commitment
Schneider Electric is as an Impact company, committed to bridge progress and sustainability for all.
Not only are we a sustainability enabler, supporting partners and customers with our digital solutions and services,
we are also a sustainability practitioner, leading in ESG and committed to become Net-Zero across our end-to-end value chain.
Here is our roadmap to do so, with concrete Net-Zero targets validated by the Science Based Targets initiative.
We are already tackling the reduction of emissions across all scopes (1, 2 and 3) and we will keep bringing our ecosystemalong, in line with our ambition to contribute to limiting global temperature rise to 1.5°C.

Net-Zero CO2 emissions
across our entire value chain

25% absolute reduction across our entire value chainand “Net-Zero ready” in our operations(90% reduction of CO2 emissions and removals for residual emissions)

2030

2050

2025

2040

Carbon neutral in our operations

Carbon neutral across our entire value chain(including CO2 offsets)(including CO2 offsets)© 2022 Schneider Electric. All Rights Reserved. | Page 2InternalNet-Zero roadmap: across all scopes

2025

Suppliers

Operations

Customers

Customers

Scope 3 upstream

Scopes 1 and 2

Scope 3 downstream

Saved & Avoided

Supplier decarbonization
Green materials & packaging

Carbon neutral operations(including CO2 offsets)

2030*“Net-Zero ready” operations(90% reduction target and CO2
removals for residual emissions)2040

End-to-end carbon neutral value chain (including CO2 offsets)

2050*

Net-Zero CO2 value chain(90% reduction target and CO2 removals for residual emissions)* 2030 and 2050 targets are aligned with© 2022 Schneider Electric. All Rights Reserved. | Page 3

EcoDesignTM new offers

Corporate Net-Zero Standard-25% absolute reduction
across value chain

Saved and-800 million tCO2
avoided emissions
2018-2025
to our customers

Net-Zero roadmap: key initiatives
Suppliers

Operations

Customers

Customers

Scope 3 upstream

Scopes 1 and 2

Scope 3 downstream

Saved & Avoided

100% substitution
with SF6-Free medium
voltage technologies

Deliver 800 million tonnesof saved and avoided CO2emissions to ourcustomers

By 2025

Reduce CO2 emissions fromthe operations of our top 1,000suppliers by 50%
Increase green material
content in our products to 50%
100% of our primary andsecondary packaging is freefrom single-use plastic anduses recycled cardboard
15% CO2 efficiency intransportation
Avoid 420,000 metric tons ofprimary resource consumption
through “take-back” at end-ofuse since 2017

© 2022 Schneider Electric. All Rights Reserved. | Page 4

150 Zero-CO2 sites
90% electricity sourced fromrenewables
15% energy efficiency
in our sites
One-third of corporate
vehicle fleet comprised ofelectric vehicles (100% by2030)

200 “Waste-to-Resource”
sites

80% of productrevenues covered byGreen Premium™

Methodological note
Definitions•“Carbon neutral”: a state in which the GHG emissions released into the atmosphere have been reduced or avoided and the remaining ones are compensated withcarbon credits. To achieve carbon neutrality, carbon credits from projects that reduce, avoid or temporarily capture GHGs are accepted.
Source: UNFCCC1•“Net-Zero”:

as per the SBTi’s “Corporate Net-Zero Standard”, it means reducing emissions at a pace that is in line with the latest climate science and balancing
any remaining residual emissions through carbon removal credits (vs reducing carbon credits). Source: SBTi2•“Net-Zero ready”: our Scope 1 and 2 emissions will have decreased by -90% in 2030, compared to 2017. In addition, residual emissions will be balanced throughcarbon removal credits. Therefore Scope 1 and 2 emissions will be “ready” for meeting the long-term Net-Zero target, when Scope 3 emissions
achieve the same level of reduction.

Therefore, a critical distinction lies in two aspects between the “carbon neutral” and “Net-Zero” concepts. Indeed both “Net-Zero” and “Net-Zero ready” targets ofSchneider Electric are a combination of a drastic reduction target and the use of carbon credits on the one hand, and on the other hand, the carbon credits can only besourced from removal credits (and not from reduction credits).
•Offsets:

offsets or carbon credits represent GHG emissions that have been reduced, avoided or captured through projects that are verified according tocredible standards. Source: UNFCCC1•

Removals:measures that companies take to remove carbon from the atmosphere and permanently store it within or beyond the value chain. Source: SBTi2•

Residual emissions: emissions sources that remain unabated in a specific year of a mitigation scenario. Source: SBTi2Baseline•

The baseline year for the 2030 target on Scopes 1 and 2, which is to reduce our emissions by 90%, is 2017. All other targets have a 2021 baseline year.

Sources: 1 UNFCCC, “Climate Neutral Now: Guidelines for Participation”, Mar. 2021; 2 “SBTi Corporate Net-Zero Standard”, Oct. 2021
© 2022 Schneider Electric. All Rights Reserved. | Page 5InternalInternal