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Sustainable development
we walk the talk!
Agenda

         Business and responsibility
         to answer the energy dilemna


         Our sustainable development
         approach


Schneider Electric - Sustainable Development – 07/20/09   2
We are energy optimists…




Schneider Electric - Sustainable Development – 07/20/09   3
Taking into account the energy dilemma…
                               The facts                               The need




               Energy demand by 2050
                                                          vs
                                                               CO2 emissions
               Electrical energy demand by                     to avoid dramatic
               2030
                                                               climate changes
               Source: IEA 2008                                Source: IPCC 2007, figure (vs. 1990 level)




                                       Energy management is the key
                                          to address the dilemma

Schneider Electric - Sustainable Development – 07/20/09                                                     4
… we have an answer to two main
energy issues


         .
        > In the South,                                   > In the North,
        help the poorest                                  waste less energy
        nations to access                                 and practise
        energy                                            environmental-
        and assist them in                                friendly production
        their development                                 and consumption




Schneider Electric - Sustainable Development – 07/20/09                         5
Access to energy
Our BipBop programme

Schneider Electric - Sustainable Development – 07/20/09   6
Today, 1.6 billion people do not have
access to energy




 > More than 500  million people have no access to electricity in India and
 Sub-Saharan Africa, and more than 100 million in Bangladesh, Indonesia…
Schneider Electric - Sustainable Development – april 09                       7
Our programme BipBop
Business                                                                               Investment
Build adequate                                                                         Build an investment
offers/solutions to be                                                                 fund to support the
a champion in the                                                                      creation of companies
electrical distribution                                                                dedicated to electrical
field for the bottom of                                                                business for the
the pyramid                                                                            bottom of the pyramid


                                                            B         I
                                                                Bop



                                                                P
Bottom Of the Pyramid (Bop)                                               People
Expression commonly used to                                               Train young people from the
name those with the lowest income                                         bottom of the pyramid in electrical
in each country                                                           skills and sponsor them
  Schneider Electric - Sustainable Development – 07/20/09                                                 8
2009 key figures

Business
Every day, 1,300 households throughout the
world have access to electricity thanks to
prepayment Conlog meters


Investment
                                                           B         I
100 new companies in the electricity fields are
                                                               Bop
sponsored by Schneider Electric

                                                               P
People
More than 2,300 young people were trained for
jobs in the electricity field in 22 countries




 Schneider Electric - Sustainable Development – 07/20/09                 9
2009 illustrations                                           France
                                                                Partner with Adie, a French NGO,
     Canada and the US                                          to support long term unemployed
     Schneider Electric volunteers                              people to help them create their
     participate in Habitat For                                 own business in the electricity field.
     Humanity projects building
     affordable housings for low-                                                         China
     income families                                                                      develop a complete
                                                                                          program to participate to
                                                                                          the Sichuan province
                                                                                          reconstruction




Chile
Partner with two local
universities to train
disadvantage young
people to the booming
business of automation                                        Nigeria                   Madagascar
maintenance                                                   Support the training      Bring electricity to a remote
                                                              of 70 young future        village of 120 inhabitants
                                                                                        using renewable energies
                                                              electricians
    Schneider Electric - Sustainable Development – 07/20/09                                                     10
Energy efficiency
Schneider Electric - Sustainable Development – 07/20/09   11
CO2 emission challenge in the North

   World consumption up
   45% since 1980, 70%
   higher by 2030


                                                           Resource competition &
                                                           political instability keep
                                                           prices high



                    ●Coal use continues to grow in emerging markets




These trends are here to last unless                                                    we act !
 Schneider Electric - Sustainable Development – 07/20/09                                     12
Committed to the energy dilemma…
we are "Energy Optimists"



  2
                                                          We provide solutions
                                                          for energy efficiency
 x
 The increase in energy
                                                          energy audits
                                                          energy efficiency
 consumption by 2050                                      enabling products
                                                          energy management solutions




 ÷2
                                                          … for residential,
                                                          commercial and industrial
                                                          buildings
 The CO2 emissions reduction
 to avoid dramatic climate
 changes by 2050
                                                          … for industrial processes




Schneider Electric - Sustainable Development – 07/20/09                                 13
Partner of the first
« zero emission »
scientific station
In partnership with the International Polar
Foundation, Schneider Electric is providing
electrical distribution, building management
and remote control solutions for the Princess
Elisabeth Antarctica research station.




Schneider Electric - Sustainable Development – 07/20/09   14
Agenda

        Business and responsibility
        to answer the energy dilemna


         Our sustainable development
         approach


Schneider Electric - Sustainable Development – 07/20/09   15
Sustainable development organization

Sustainable development                                   Sustainable development        Sustainable development
strategic committee                                       department                     Communities
   ● Define strategy                                       ● Increase the social         Health and Safety
   ● Involve communities                                     responsibility involvment   Environment products
   ● Share information                                       of Schneider Electric
                                                                                         Environment/sites
                                                           ● Design innovative
                                                                                         BipBop
                                                             responsible initiatives
                                                                                           ● Deploy action plans
                                                           ● Lead programmes
                                                                                           ● Reach targets
                                                                BipBop
                                                                                           ● Share best practises
                                                                Carbon footprint




                                   To prepare the Company to tackle
                                   New Planet & Society challenges

Schneider Electric - Sustainable Development – 07/20/09                                                       16
Our approach
                                                          Profit
                                                          Business opportunities
                                                          ●Energy efficiency
                                                          ●Access to energy
                                                          ●Circular economy
                                                          Corporate governance
                                                          ●Business ethics
                                                          ●Suppliers mobilization


                                Planet                                        People
                                ●Low carbon footprint                         ●Social innovation
                                ●Energy Action                                ●Diversity & Human rights
                                ●Eco-design and eco–                          ●Health, safety and well being
                                production                                    ●Equiity
                                ●Eco-labem                                    ●Employees SD training
                                ●Waste reduction                              ●Training of young people in
                                                                              new economies
                                                                              ●Support entrepeneurs by micro-
                                                                              credits




Schneider Electric - Sustainable Development – 07/20/09                                                         17
Planet and Society barometer
www.barometer.schneider-electric.com

Planet
•30,000 T annual reduction of our our CO2 emissions
•2/3 of our products’revenues gained with Green Premium products
•2/3 of our employees work in ISO 14001 certified sites

Profit
•7 pts. above Schneider Electric’s annual growth gained by its Energy Efficiency business
•10 countries implement a recovery process of SF6 gas
•1,000,000 households from the Bop have access to energy with Schneider Electric solutions
•60% of our total purchases from suppliers who support Global Compact
•4 SRI indexes select Schneider Electric

People
•10% annual decrease in the frequency rate of accidents
•14 pts. increase in the Company’s employees recommendation score
•2,000 employees trained on energy management solutions
•10,000 young people from the Bop* trained in electricity
•500 new entrepreneurs from the Bop start their own business in the electricity market
(*Bop : Bottom of the pyramid)

Schneider Electric - Sustainable Development – 07/20/09                                      18
Recognised by main Socially
Responsible Investment (SRI) indexes
● Dow Jones Sustainability indexes
      ● Sustainability World Index
      ● Stoxx Index


● ASPI Eurozone: Since 2001
      ● Advanced Sustainable Performance Indices
      ● Listing the top 120 best European companies in
        terms of corporate social responibility


● Ethibel
      ● Comprehensive perspective on the financial
        performance of the world's leading companies in
        terms of sustainability


Schneider Electric - Sustainable Development – 07/20/09   19
More

              www.schneider-electric.com
              www.foundation.schneider-electric.com
              www.barometer.schneider-electric.com




Schneider Electric - Sustainable Development – 07/20/09   20

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Schneider Electric Sustainable Development

  • 2. Agenda Business and responsibility to answer the energy dilemna Our sustainable development approach Schneider Electric - Sustainable Development – 07/20/09 2
  • 3. We are energy optimists… Schneider Electric - Sustainable Development – 07/20/09 3
  • 4. Taking into account the energy dilemma… The facts The need Energy demand by 2050 vs CO2 emissions Electrical energy demand by to avoid dramatic 2030 climate changes Source: IEA 2008 Source: IPCC 2007, figure (vs. 1990 level) Energy management is the key to address the dilemma Schneider Electric - Sustainable Development – 07/20/09 4
  • 5. … we have an answer to two main energy issues . > In the South, > In the North, help the poorest waste less energy nations to access and practise energy environmental- and assist them in friendly production their development and consumption Schneider Electric - Sustainable Development – 07/20/09 5
  • 6. Access to energy Our BipBop programme Schneider Electric - Sustainable Development – 07/20/09 6
  • 7. Today, 1.6 billion people do not have access to energy > More than 500 million people have no access to electricity in India and Sub-Saharan Africa, and more than 100 million in Bangladesh, Indonesia… Schneider Electric - Sustainable Development – april 09 7
  • 8. Our programme BipBop Business Investment Build adequate Build an investment offers/solutions to be fund to support the a champion in the creation of companies electrical distribution dedicated to electrical field for the bottom of business for the the pyramid bottom of the pyramid B I Bop P Bottom Of the Pyramid (Bop) People Expression commonly used to Train young people from the name those with the lowest income bottom of the pyramid in electrical in each country skills and sponsor them Schneider Electric - Sustainable Development – 07/20/09 8
  • 9. 2009 key figures Business Every day, 1,300 households throughout the world have access to electricity thanks to prepayment Conlog meters Investment B I 100 new companies in the electricity fields are Bop sponsored by Schneider Electric P People More than 2,300 young people were trained for jobs in the electricity field in 22 countries Schneider Electric - Sustainable Development – 07/20/09 9
  • 10. 2009 illustrations France Partner with Adie, a French NGO, Canada and the US to support long term unemployed Schneider Electric volunteers people to help them create their participate in Habitat For own business in the electricity field. Humanity projects building affordable housings for low- China income families develop a complete program to participate to the Sichuan province reconstruction Chile Partner with two local universities to train disadvantage young people to the booming business of automation Nigeria Madagascar maintenance Support the training Bring electricity to a remote of 70 young future village of 120 inhabitants using renewable energies electricians Schneider Electric - Sustainable Development – 07/20/09 10
  • 11. Energy efficiency Schneider Electric - Sustainable Development – 07/20/09 11
  • 12. CO2 emission challenge in the North World consumption up 45% since 1980, 70% higher by 2030 Resource competition & political instability keep prices high ●Coal use continues to grow in emerging markets These trends are here to last unless we act ! Schneider Electric - Sustainable Development – 07/20/09 12
  • 13. Committed to the energy dilemma… we are "Energy Optimists" 2 We provide solutions for energy efficiency x The increase in energy energy audits energy efficiency consumption by 2050 enabling products energy management solutions ÷2 … for residential, commercial and industrial buildings The CO2 emissions reduction to avoid dramatic climate changes by 2050 … for industrial processes Schneider Electric - Sustainable Development – 07/20/09 13
  • 14. Partner of the first « zero emission » scientific station In partnership with the International Polar Foundation, Schneider Electric is providing electrical distribution, building management and remote control solutions for the Princess Elisabeth Antarctica research station. Schneider Electric - Sustainable Development – 07/20/09 14
  • 15. Agenda Business and responsibility to answer the energy dilemna Our sustainable development approach Schneider Electric - Sustainable Development – 07/20/09 15
  • 16. Sustainable development organization Sustainable development Sustainable development Sustainable development strategic committee department Communities ● Define strategy ● Increase the social Health and Safety ● Involve communities responsibility involvment Environment products ● Share information of Schneider Electric Environment/sites ● Design innovative BipBop responsible initiatives ● Deploy action plans ● Lead programmes ● Reach targets BipBop ● Share best practises Carbon footprint To prepare the Company to tackle New Planet & Society challenges Schneider Electric - Sustainable Development – 07/20/09 16
  • 17. Our approach Profit Business opportunities ●Energy efficiency ●Access to energy ●Circular economy Corporate governance ●Business ethics ●Suppliers mobilization Planet People ●Low carbon footprint ●Social innovation ●Energy Action ●Diversity & Human rights ●Eco-design and eco– ●Health, safety and well being production ●Equiity ●Eco-labem ●Employees SD training ●Waste reduction ●Training of young people in new economies ●Support entrepeneurs by micro- credits Schneider Electric - Sustainable Development – 07/20/09 17
  • 18. Planet and Society barometer www.barometer.schneider-electric.com Planet •30,000 T annual reduction of our our CO2 emissions •2/3 of our products’revenues gained with Green Premium products •2/3 of our employees work in ISO 14001 certified sites Profit •7 pts. above Schneider Electric’s annual growth gained by its Energy Efficiency business •10 countries implement a recovery process of SF6 gas •1,000,000 households from the Bop have access to energy with Schneider Electric solutions •60% of our total purchases from suppliers who support Global Compact •4 SRI indexes select Schneider Electric People •10% annual decrease in the frequency rate of accidents •14 pts. increase in the Company’s employees recommendation score •2,000 employees trained on energy management solutions •10,000 young people from the Bop* trained in electricity •500 new entrepreneurs from the Bop start their own business in the electricity market (*Bop : Bottom of the pyramid) Schneider Electric - Sustainable Development – 07/20/09 18
  • 19. Recognised by main Socially Responsible Investment (SRI) indexes ● Dow Jones Sustainability indexes ● Sustainability World Index ● Stoxx Index ● ASPI Eurozone: Since 2001 ● Advanced Sustainable Performance Indices ● Listing the top 120 best European companies in terms of corporate social responibility ● Ethibel ● Comprehensive perspective on the financial performance of the world's leading companies in terms of sustainability Schneider Electric - Sustainable Development – 07/20/09 19
  • 20. More www.schneider-electric.com www.foundation.schneider-electric.com www.barometer.schneider-electric.com Schneider Electric - Sustainable Development – 07/20/09 20