Schneider Electric is a leading global provider of low- and medium-voltage electrical products and systems as well as automation control equipment. It specialises in digital automation and energy management, serving customers in the home, building and infrastructure industries. Its products and services promotes sustainability and energy efficiency through driving digital transformation in manufacturing processes and energy technologies.
WHEB Investor Objective: Delivery, acceleration and enhancement of the company’s positive impact
Engagement objective
Net Zero Engagement Initiative (NZEI), initiative, seeking Net Zero Transition Plans
Background
The NZEI brings together 114 investors engaging 138 high‑emitting companies on Paris‑aligned transition planning. Schneider Electric has made strong progress in recent years, securing SBTi‑validated near‑term and net zero targets, delivering meaningful emissions reductions, and submitting its climate strategy to a shareholder vote. Given its central role in global electrification and decarbonisation, we along with other investors continue to engage to ensure the company maintains an ambitious, transparent, science‑based approach.
Actions
Through a joint NZEI investor letter, the group:
- Encouraged Schneider to embed its near‑term SBTi target into its 2026–2030 sustainability strategy.
- Requested stronger global public‑policy advocacy for grid decarbonisation.
- Sought greater transparency on direct and indirect policy engagement.
- Offered investor support to amplify credible policy positions.
- Proposed continued dialogue in early 2026 ahead of Capital Markets Day.
Outcome: Milestone 3 - Company develops or commits to develop an appropriate policy or strategy to manage the issue
Whilst we are yet to receive a formal response from Schneider Electric, we believe the company continues to make good progress in advancing both its transition strategy and its absolute emissions reductions. On this basis, the engagement remains at a Milestone 3.
We continue to monitor progress, particularly on the integration of near‑term SBTi targets and the transparency of policy engagement. The collaborative letter reinforces investor expectations around the integration of science‑based climate targets, the importance of credible and transparent advocacy, and the role Schneider Electric can play in supporting global grid decarbonisation. Further discussions are planned for early 2026 through the NZEI engagement group.