internationalPeter HERWECKCEOSchneider Electric’s individual commitments
to act4nature international
Company Overview
Schneider Electric is a global manufacturing company that specialises in energy management and automation. We havea presence in more than 100 countries, serving multiple market sectors.
Sustainability is at the core of the Schneider Electric’s strategy, with biodiversity representing a fundamental aspect of ourcommitment to sustainability. We recognize the importance of Nature and Biodiversity for humanity to thrive; we are alldependent on natural resources and ecosystem services. Our Purpose is to empower all to make the most of our energy
and resources bridging progress and sustainability for all.
Materiality analysis
Biodiversity has been identified as a material issue for Schneider Electric. Every year Schneider Electric conducts amateriality assessment assessing issues of importance for internal and external stakeholders. In 2022, Biodiversity wasincluded within the materiality matrix that we report to investors and other stakeholders (SE URD Page 80). In addition,using the Taskforce for Nature-related Financial Disclosures framework, Schneider Electric assessed impacts anddependencies across land, ocean, freshwater & atmosphere, and conducted an end-to-end biodiversity footprint assessment using the Global Biodiversity Score (GBS) tool developed by Caisse des Dépôts et Consignations Biodiversité.
In collaboration with CDC Biodiversité, we continue to assess and track our biodiversity footprint. Our initial assessment
was conducted in 2019, followed by a subsequent evaluation in 2023. The findings indicate that our dynamic impacts areprimarily concentrated in the downstream scope 3, attributed to CO2 emissions during the usage phase of our products.
Within our upstream and direct operations, we observe significant impacts in terms of climate change and land use pressures. This is largely attributable to our dependency on extracted raw materials, particularly wood and metals. Informationon the materiality and the footprint analysis enable SE to embed biodiversity into our corporate strategy and programmes.
Link to our previous act4nature commitments
Our previous commitments remain largely unchanged, and we are actively progressing towards achieving them. Inaddition, we have introduced a new commitment for 2030: to source for 100% deforestation free wood. We believe that thiscommitment holds significant potential to reduce our land use impacts associated with wood. We have also accelerated
on our corporate training on biodiversity, to bring onboard all employees in this journey. Our Biodiversity Pledge can befound here.

CommonCommitment(2)Individual commitments

SE Biodiversity
Pledge(1) Goals& objectives

Comments / References

Scope

Unit ofBaseline Timeline
measure1. Quantify and publish every 3 to 4 years the assessment of impacts on biodiversity (MSA.km2)
The first Biodiversity Footprint Assessment was completed inSE end to MSA Km2
2021 and communicated externally in a whitepaper available on end value
the corporate website. Results and progress are also shared in chain
the company annual report. The second Biodiversity Footprint
Assessment was completed in December 2023 and will be
communicated in 2024. The group is committed to conducting
these impact assessments on a regular and consistent basis,
for instance, every 3 or 4 years. Through this evaluation, we
can pinpoint segments of the value chain that have significant
impacts on various aspects of biodiversity, enabling us to developtargeted strategies to address them.
BFA shared externally in thought leadership
SE URD Page 188

21020212023 andevery
subsequent
3-4 years

20192030

20192030

2. Align biodiversity objectives and Biodiversity impact reduction with science
2.1 Reduce
We are committed to reduce our biodiversity impacts as
SE end to MSA Km2
biodiversity
identified through our impact assessment. The assessment
end value
impact as iden- maintains a high level of scientific rigor, and its methodology
chain
tified inis continuously refined. Results show that dynamic impacts
our impactare primarily associated with GHG emissions & Land use. Theassessment
outcomes of the studies are used to inform Schneider Electric’s
strategy and included into climate risk analysis.
135
10Schneider Electric is in discussion with SBTN; we were notpart of the pilot companies, as our industry was not deemed apriority.
SE URD page 156
2.2 Achieve Zero We are committed to achieve no net biodiversity loss in ourDirectMSA Km2
Net Biodiversity direct operations by 2030. This target is aligned with the global operationslossbiodiversity framework as announced in COP15. The Biodiversity
Footprint Assessment uses the Global Biodiversity Score Tool,advised by the CDC Biodiversité.
SE URD page 188
3. Develop solutions and technologies that contribute to the preservation of biodiversity

4

3.1 Reducing
Over two-thirds of our impact on biodiversity is attributed toScope 3
customer CO2 greenhouse gas (GHG) emissions and their contribution todownsemissions byclimate change. Consequently, our primary focus in stakeholder team
800 M tCO2 from engagement is on initially tackling GHG emissions within our2018 to 2025
supply chain.
(SSI 2)
SE URD page 182
CO2 Impact Methodology for Saved & Avoided emissions

Milliontonnes

2018

2025

3.2 Contributing This is part of a wider commitment to 100 million people by 2030 Electricity
to the access to cumulatively since the start of the programme in 2009.
forelectricity for 50 SE URD page 244
Livelihood
million people
programand thus reducemetheir pressure on
local biodiversity(SSI 9)people2020

2025

Steel,aluminumand thermoplastics%

01 /01/2021

31 /12/2025

Primary
andsecondarypackaging%

01 /01/2021

31 /12/2025

In 2023 upstream Scope 3 emissions accounted for 12% of the 1,000
company carbon footprint. Under the Zero Carbon Project, we suppliers
actively collaborate with our supply chain partners, working
towards net-zero emissions. Our objective is to reduce thecarbon footprint of our leading 1000 suppliers by half by the year
2025. Approximately 60% of our upstream scope 3 are involved
in Zero Carbon Project.
SE URD Page 175
Inc. details on theZero Carbon Project%01 /01/2021

31 /12/2025

4. Engage and transform the value chain
4.1 Increase
Schneider Electric use the term ‘Green Material’ to refer tothe sustainable relevant criteria per commodity to identify ‘greener’ than usualmaterial content alternatives, focussing on high stakes environmental impactsof products to including climate change, resource depletion and harm to50% (SSI 4)
people & ecosystems. This multi-impact approach is alignedwith the Schneider Electric Sustainability Strategy andprinciples of Eco-design.
In 2021, the scope of green materials focused on 3 types ofcommodities covering around a third of purchased materials involume:• Thermoplastics (including both direct and indirect procurement). Thermoplastics are qualified as “green” when thesupplier provides evidence of a minimum recycled content,biobased content (the minimum threshold depends on whether
the compound is halogenated or not) or is using a green flame
retardant.
• Steel (direct purchases). Steel is qualified as “green” when thesupplier provides evidence that the mill of origin is an Electric
Arc Furnace (EAF) or has a Green certificate such as the ones
delivered by Responsible Steel.
• Aluminum (direct purchases). Aluminum is qualified as“green” when the supplier provides evidence that the productcarbon footprint is below 8 tonnes of CO2 per tonne of aluminum,
is using a minimum of 90% of recycled content in its product orthat the mill of origin has a Green certificate such as the ones
delivered by the Aluminium Stewardship Initiative.
SE URD Page 198
4.2 Achieve
SE URD Page 200
100% ofpackaging freefrom single-use
plastics andusing recycled
cardboard4

4.3 Reduce by
50% the CO2
emissions ofthe operationsof 1,000 top
suppliers(SSI 3)

4.4 Avoid theProduct Environmental Profiles & Environmental Impact
consumption of database used to determine the avoidance.
420,000 tonnes SE URD Page 207of resources
with «end-of-life
recovery»(SSE 10)All SE
ProductsTonnes

01 /01/
201731 /12/2025

NEW 4.5
Source 100%
deforestationfree wood by2030

All paperand wood
basedconsumption%

01 /01/2021

31 /12/2030%

01 /01/2021

31 /12/
2025

5
78
9

5.1 100% of
Site level biodiversity conservation and restoration programmes 100% ofsites will deploy are locally specific. An internal design tool requires that site
in-scope
biodiversity
plans to address local ecological risk, engage interestedsites
conservation
stakeholders and promotes the use of participatory sciences.
(400 sites)
and restoration Activities include landscaping for pollinators, creation of ponds,
programs bymangrove restoration & river clean ups and wider stakeholder
2025 (SSE 8)
engagement. Sites are encouraged to work with local NGOs tosupport with design and monitoring of action plan.
SE URD Page 206%

01 /01/2021

31 /12/2025

578

5.2 100% ofWater stress is defined using WRI Aqueduct tool. Water conser- Sites insites located in vation plans include a series of essentials relevant to all sites
waterareas subject
including training and reporting and technology specific beststressed
to water stress practices e.g. Paint lines, HVAC etc. In addition to SSE#11, weareas
will have a water also measure & report on water efficiency.
(77 sites)
conservation
SE URD Page 204
action plan by2025 (SSE 11)
5.3 200 Sites
will obtainour «Waste toresource» label(SSE 9)This commitment exceeds government regulation as it applies
to global scope.
SE URD Page 189

5. Act locally, engaging employees and partners to preserve and restore biodiversity

441
2Information on Schneider Electric ‘Waste to Resource’ label
can be found in the annual report. Criteria includes: 100%
hazardous waste recovery using best available technology, 99%
recovery for all non-hazardous waste, waste to energy <10% ofwaste management.
SE URD Page 203

200 sites
within theGED 001
ScopeSites

01 /01/2021

31 /12/2025

NEW 5.4
Elimination of single use plastics for non-operational activities
Eliminationrefers to 14 priority single use plastics used in our sites. Theseof Single Use
include water bottles, disposable coffee cups, food containers
Plastics foretc. Whilst the volume of plastic may be small compared to thenon-operational Operational Single Use Plastics (mainly packaging), it represents
activities
a very important route to engagement of employees and com(Sub-metric of munication on sustainability programme.
SSE 8)SE URD Page 200

100% ofin-scopesites(400 sites)%

01 /01/2021

31 /12/2025

Schneider Electric (2021) Schneider Electric Biodiversity Pledge, available athttps://www.se.com/eg/en/download/document/Biodiversity_Pledge_EN/
act4nature Common Commitments (2022), available athttps://www.act4nature.com/wp-content/uploads/2022/12/A4-act4nature-international-VA-04-22.pdf