How Schneider Electric embraces circular economy to achieve net-zero 2070
Schneider Electric is a global leader in energy and automation solutions that has been recognized as the most sustainable company in the world by Corporate Knights. Schneider Electric has a bold vision of achieving net-zero 2070, which means that it will balance its carbon emissions with its carbon removals by the end of this century. To achieve this vision, Schneider Electric has adopted a circular economy approach that aims to minimize its environmental impact and maximize its social value across its entire value chain.
The circular economy is a concept that challenges the traditional linear model of “take-make-waste” and proposes a more sustainable alternative of “reduce-reuse-regenerate”. Circular economy focuses on designing out waste, keeping products and materials in use, and restoring natural capital. By applying circular economy principles, Schneider Electric is able to reduce its resource consumption, extend the lifespan of its products, and create positive outcomes for its customers, partners, and communities.
Schneider Electric’s circular economy strategy covers four main areas: design, manufacturing, distribution, and end-of-life. In each area, Schneider Electric implements various initiatives and practices that help it reduce waste, reuse resources, and regenerate natural systems. Here are some examples of how Schneider Electric does this:
♻️ Design: Schneider Electric designs its products with circularity in mind, using recycled or renewable materials, optimizing energy efficiency, and ensuring durability and modularity. For example, its Green Premium products are eco-designed to have a lower environmental footprint and a higher circularity potential.
♻️ Manufacturing: Schneider Electric optimizes its manufacturing processes to reduce energy consumption, water usage, and greenhouse gas emissions. It also applies lean management principles to eliminate waste and improve quality. For example, it has implemented more than 300 energy efficiency projects in its plants since 2015.
♻️ Distribution: Schneider Electric improves its distribution logistics to reduce packaging waste, optimize transport routes, and increase vehicle utilization. It also collaborates with its suppliers and customers to adopt more sustainable practices. For example, it has reduced its packaging volume by 40% since 2012.
♻️ End-of-life: Schneider Electric offers repair and recycling services to its customers to extend the life of its products and recover valuable materials. It also supports the development of circular economy ecosystems and standards. For example, it has recycled more than 100,000 tons of products since 2012.
By following a circular economy approach, Schneider Electric is able to create value for itself and its stakeholders while reducing its environmental impact and contributing to the United Nations Sustainable Development Goals. Schneider Electric is a pioneer and an innovator in circular economy, and an inspiration for other companies to follow.