www.se.com Schneider Electric Universal Registration Document 2021 60 Chapter 2 – Sustainable development World’s Most Sustainable Corporation in 2021 For well over a decade, sustainability has been at the heart of what Schneider does. Still, 2021 was a standout year, in several respects. In January, our continuous efforts to address climate change and social inequality received the highest profile of external recognitions when the Canadian media and research company Corporate Knights ranked us the World’s Most Sustainable Corporation. This, along with numerous other ESG recognitions in 2021, is testimony to the valuable, long-term positive impact we have. Throughout the year, the need to address climate change and social inequality hit headlines seemingly every day. In November, governments and businesses made important commitments at the COP26 climate change conference, though talk must now translate into rapid, bold and comprehensive action if we’re to prevent a potentially catastrophic rise in global temperatures. We share the responsibility to act with governments and other institutions, and we believe that private-sector corporates like Schneider play a crucial role in leading the transition to a cleaner, more inclusive world. Paving the way as an Impact Company As an Impact company, we’re determined to keep intensifying our meaningful and lasting impact across all dimensions of ESG (environmental, social, corporate governance and ethics), from employees to supply chain partners, customers, as well as local communities and institutions at local and global levels. By weaving sustainability and societal impact into all facets of our business, we create long-term value for all stakeholders and deliver profitable growth. During the course of the year, we moved forward with our 2021- 2025 Schneider Sustainability Impact (SSI) targets. These are aligned to both our six long-term commitments related to climate, resources, equal opportunities, trust, all generations, and local communities, and to the United Nations’ Sustainable Development Goals. This latest program reinforces our ESG commitments through 11 global targets, plus a new local target to empower our country organizations to address their specific challenges and opportunities. The progress we make on these SSI targets is a true indicator of our company’s transformation, both globally and on the ground. Our achievements to fight climate change and social inequality In the first quarter of 2021, we kicked off a new initiative to help 1,000 of our top suppliers reduce their carbon emissions by 50% by 2025. With our supply chain community, we’re working to evaluate, strategize and implement decarbonization actions suited to each supplier’s specific maturity and scope. Furthermore, we’ve raised our ambitions when it comes to the environmental and social responsibility of our supply chain: we are well on our way to using more sustainable resources and materials in our products and packaging, and we audit our suppliers to ensure they comply with the highest ethical work standards and best practices. As ever, we’re committed to helping resolve social problems, and to promoting equal opportunities for all our employees. We live in a world for instance where 800 million people don’t have access to energy, which is why we develop and deliver adapted solutions that supply clean, safe and reliable energy, hereby unlocking education and economic opportunity, and a better quality of life. We also continue to prioritize learning, development and upskilling not only for Schneider’s multi-generational workforce, but also through the work of the Schneider Electric Foundation in supporting local NGOs that run vocational training programs for young people. In 2021, we reached an impressive milestone in this field, with 300,000 people trained in energy management since we launched the program in 2009. And no less importantly, we seek to build trust with our stakeholders, living up to the highest standards of corporate governance, through initiatives that monitor and educate teams on ethics, cybersecurity, safety, and quality. Our 2021 Trust Charter, the evolution of our Principles of Responsibility, sets out the expectations of how we work at Schneider, and equips our teams to confront any unethical behavior they might encounter. These are just some highlights of 2021. Looking ahead, as a leading Impact Company in 2022, we’re committed to doing even more, even faster. Read more about our performance on page 63  An introduction by Chief Strategy & Sustainability Officer, Olivier Blum