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Solutions for the Energy Challenge Jean-Pascal Tricoire Visit of Mr Hu Jintao President of the People’s Republic of China Carros (France) November 6, 2010

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Solutions for theEnergy ChallengeJean-Pascal Tricoire

Visit of Mr Hu JintaoPresident of the People’s Republic of China

Carros (France)November 6, 2010

Schneider Electric 2- HJT – Jean-Pascal Tricoire – 6th November 2010

One business global, innovative and responsible

Listed on the Paris Stock Market – CAC40

billion euros sales in 2009

people in 100+ countries

in Fortune 500 ranking

Sales by geography – Q3 2010

North America

24%Asia

Pacific25%RoW

12%

WesternEurope

33%

EasternEurope

6%

of salesin new economies

Specialist inEnergy Management

Global

of sales devoted to R&D

Innovative

Responsible • Environment• Ethics• Business• Access to energy

Schneider Electric 3- HJT – Jean-Pascal Tricoire – 6th November 2010

Energy production& transmission

Energy Usage

●Wind energy

●Solar energy

●Hydro

●Biofuels

●Hydrocarbons

●Nuclear

●Appliances

●Climate control

●Transport

●Lighting

●Machines

●IT servers

EnergyManagement

The Global Specialistin Energy Management

…with 30-70% savings everywhere

Making energy…●Safe●Reliable●Efficient●Productive●Green

Schneider Electric 4- HJT – Jean-Pascal Tricoire – 6th November 2010

The energy dilemma is here to stay

vsEnergy demandBy 2050Electricity by 2030

CO2 emissions to avoid dramatic climate changes by 2050

The facts The need

Source: IEA 2007

Source: IPCC 2007, figure (vs. 1990 level)

Frequent power outages

Rising energy prices Climate change

Conflicts for resource access

& control

Schneider Electric 5- HJT – Jean-Pascal Tricoire – 6th November 2010

…and saving energy is the greenest form of generating energy

Coal100 units 35 units 33 units

1 kwh saved at point of use

3 units of primary energy not consumed

Schneider Electric 6- HJT – Jean-Pascal Tricoire – 6th November 2010

1979-1990HV technology transfer to Ping Ding Shan Tianjin Merlin Gerin Co.,Ltd.

1991-2000Schneider Electric Co., Ltd.First wave of large-scale investments

2001-2010Establish R&D CentreMassive technology Transfer

Infancy Growth Development

● 22,000 Employees ● 77 Company sites● 1 Online Energy University

● 3 R&D Centers & 1 test lab●1000+ R&D engineers● 26 Factories

Schneider Electric in China

● 10 BRMB local purchase● From 1000+ local suppliers

2011-Contribute to China Energy efficiencyEngineering innovation

A global role for China

Schneider Electric 7- HJT – Jean-Pascal Tricoire – 6th November 2010

Key examplesof Audits, Energy efficiency, Energy management

Our Solution● Energy Management System by

EcoStruxure● Energy Management Consulting● 80,000 points data acquisition

● 1,800 Power Meters

● Manage 10 plants from material to packaging with one EMS system

● 100+ EMS users

Customer Benefits● 100 RMB energy bill saving per year in steel

production● Equivalent saving of 857K ton coal / year

● Improve visibility, traceability and accuracy of energy consumption

● Speed up energy decision from weeks to hours

唐山钢铁

Our Solution● Real-time Energy Management

System● Energy Management consulting● Pump & Fan system optimization

● Conveyor system optimization

● 5 years saving guaranty & operation support

Customer BenefitsNo upfront investment, EPC model

32.5M RMB energy bill saving in 5 years

Equivalent saving of 6300 ton coal / year, 16K ton co2/year

Improved energy management capability

Schneider Electric 8- HJT – Jean-Pascal Tricoire – 6th November 2010

An active contributionto support the quality of GDP growth

Universities● Partnership programs with

China University of Mining, China University of Petroleum and Northeastern University for Metals

Government● Key development projects in

coal, cement and water underway with NDRC & SASAC

R&D● Integration of Automation &

Energy management

“Gold Sun Aid Project”● Help 5.3m Chinese people

get access to electricity

Home Auditor● Offer work opportunities for

migrant / impoverished students

Country Electrician● Accompany “Home

Appliances Going to the Countryside” policy, by promoting energy safety & efficiency technology

Government● Co-sponsored energy

efficiency program with NDRC and SASAC.

● In the first recommended ESCO list by MIIT

Institutions● PKU & Schneider Electric set

up China University Centre of Energy Management

● “Retail Building Retrofit Study”with Lawrence Berkeley National Laboratory (USA), NDRC Energy Research Institute and TsinghuaBuilding Energy Research Center

Access to Energy & Sustainable Responsibility

Energy Management & Energy Efficiency

Modern Industrialisation & Automation

Schneider Electric 9- HJT – Jean-Pascal Tricoire – 6th November 2010

Schneider Electric in Nicemodern manufacturing & technology innovation excellence

● The team: 800 employees from R&D to manufacturing

●Worldwide centre for automation● 1m PLC modules and 1m electronic

cards manufactured per annum●Strong interaction with China

● Innovation with Shanghai R&D team● 400m RMB purchases from Chinese

suppliers● 400mRMB sales to Chinese

customers

●An example of Quality and Energy Efficiency● ISO4001, 100% ROHS compliant● Best in class lean manufacturing● Program to save 10% electricity per

year. Target 50Kwh/m²●Eco-design

● Solar panels & thermal insulation● Building automation, automatic HVAC

control, lighting control by zone● Energy visibility at all points of use

Schneider Electric 10- HJT – Jean-Pascal Tricoire – 6th November 2010

Modern automation enableseasy upgrades, improved productivity and efficiency

Process automation• Collaborative Control System• Dedicated Object Libraries• Local network management• Redundant architectures• Advanced process control

Machine automation• Machine safety• Tested & validated architectures• Application libraries

Production management• Monitoring and data log• Batch process management• Traceability

PAC,PLC & Controllers

HMI advanced panels

Supervisory,engineering & programmingsoftware

AC drives

AC servo drives & motors

Power supplies

Optimumtemperature control

Motorstarters

Push buttons & signaling

Sensors& RFID

Schneider Electric 11- HJT – Jean-Pascal Tricoire – 6th November 2010

Active energy efficiency: The fastest way to save energy and curb CO2 emissions

1) Measure everything●Energy audits & metering

2) Use energy efficient products● Inverters, iMCC, lighting control, low consumption

devices, power factor correction

3) Use modern automation technology●Solutions in process & building management,

power management, information integration

4) Monitor, connect & integrate to the smart grid●Metering, monitoring and consulting services, EE

analysis software and demand response

Schneider Electric 12- HJT – Jean-Pascal Tricoire – 6th November 2010

Automation is everywhereimproving performance, productivity and efficiency

Airport baggage handling

Water treatment process

Solar panel tracking

Industrial plant management

Oil & Gas pipeline mgtBuilding management

Mining & mineral processing

Substation automation

Schneider Electric 13- Company Overview

Make the most of your energy™