Translations

SCHNEIDER ELECTRIC's management of employee savings plans to combat fuel poverty in Europe

6. Clients and consumers

Sector Energy / Water

Year 2020

Country France

Transmitter

Context

Schneider Electric SE, a global specialist in energy management and automation, considers access to energy and electricity as a basic human right.

As part of its sustainable development policy, and more specifically its Access to Energy program, Schneider Electric has been committed to impact investing since 2009, through the creation of three dedicated investment companies. The impact investment strategy is based on two pillars: the fight against fuel poverty (in France and Europe, via the Electric Energy Access fund, created in 2009), and access to clean energy (in Africa via the Energy Access Ventures fund created in 2015, and in Asia via the Schneider Electric Energy Access Asia fund launched in 2020).

SEEA has set itself the goal of combating fuel poverty, which affects 11.7% of households in metropolitan France, or nearly 7 million people according to the ONPE in 2018. SEEA now also wants to invest in Europe, where the number of people living in fuel poverty is estimated at more than 54 million Europeans (11% of the EU population) according to a European Commission study, with a long-term objective of 70% investment in France and 30% in the rest of Europe.

Objectives

Fighting fuel poverty in France and Europe by supporting small and medium-sized companies that offer innovative energy access solutions and help provide sustainable access to energy for those who lack it (for example, energy rehabilitation companies or companies creating social housing with high energy performance and low ecological footprint)
Manage the solidarity-based portion of the Group's employee savings: 5 to 10% of the amounts of the solidarity-based SICAV are invested in SEEA

APPROACH

SEEA invests in social companies that contribute to reducing fuel poverty, with measurable social and environmental impacts where possible. The companies must also ensure financial viability and clear governance, and share common values with the fund, thus creating a strong partnership.

SEEA mainly invests in early stage companies, always in equity, as a minority shareholder (with a maximum participation of 35%), preferably with co-investors, and by requesting a seat on the board (at least as an observer).

The SEEA fund is ESUS (Entreprise Solidaire d'Utilité Commune) certified, with more than 35% of investments in solidarity companies in France.

SEEA provides companies with financial, strategic and legal support, as well as networking with the Schneider ecosystem if necessary.

CONTRIBUTION TO COMPANY PERFORMANCE

At the end of August 2019, 5,806 Group employees in France expressed their interest in the Access to Energy program by investing 29.4 million euros
Out of a total of 54.5 million euros invested, the portion invested via employee savings plans represents 54%
3,200,000 invested by Schneider Sicav Solidaire (manager of the solidarity employee savings plan for Schneider Electric employees in France). 6,400,000 under management, 50% of the amount managed at that date had been invested
In 2019, revenues from the Energy Access Program were multiplied by 1.56%

Benefits

20,000 m2 of housing renovated and/or built, 10 million people benefiting
More than 2.5 million tons of CO2 avoided, 160,000 tons of waste recycled
1,700 jobs created, 700 jobs in reintegration into the workforce