www.se.com Schneider Electric 88 2021 Sustainable Development Report 2021 Sustainable Development Report 4 Being efficient with Resources In this section 4 .1 Preserving the planet and its biodiversity 90 4.2 Eco-efficient manufacturing 94 4.3 Green offers 100 “ Sustainability is the first pillar of our supply chain transformation, building carbon-neutral and circular supply chains whilst preserving local biodiversity. Together with our supply chain partners we continue to improve energy efficiency and sustainability throughout the entire product creation, delivery, and support life cycle.” Mourad Tamoud, Chief Supply Chain Officer Context and goals 2021 came with yet additional evidence of the speed of climate change, resource scarcity, and biodiversity losses. In 2021, “Earth Overshoot Day” fell on July 29, meaning that humanity consumes its natural capital budget of the year. The decline recorded last year has been caught up due to an economic rebound with respect to 2020. Humanity’s common goal is clear: push back the date of overshoot to December 31 and beyond to live within the limits of our one planet. Only by working hand-in-hand will businesses, finance, and governments be able to drive global systemic and transformative change, thus unlocking new opportunities and allowing everyone to live sustainably on a healthy planet. Schneider Electric’s long-term commitment is to be efficient with resources, by protecting and restoring biodiversity and innovating towards circular business models. On biodiversity, Schneider Electric is committed to fast-track the adoption of ambitious biodiversity strategies, leveraging best practices from climate Science-Based Targets: measuring impacts and aligning targets with science. With Schneider Sustainabilty Impact and its concrete programs, the Group innovates towards a more circular economy, in industrial processes, product design, and business model innovation.