Schneider Electric and Glencore Collaborate to Drive Copper Circularity

Summary

LONDON, UK - Sept., 24, 2024 - Schneider Electric, the world’s most sustainable company and leader in the digital transformation of energy management and industrial automation has partnered with Glencore, one of the world’s largest globally diversified natural resource companies, to transform its copper supply chain and enhance decarbonization efforts. 
 
S&P Global estimates that demand for copper will double by 2035, driven by electrification and the clean energy transition. Balancing this demand with the transition to more sustainable practices is one of the mining industry's biggest challenges, with the sector responsible for as much as 7% of global CO2 emissions and scope 3 emissions accounting for 75% to 95% of its overall carbon emissions.
 
Schneider Electric is currently shifting its supply chain by directly acquiring raw materials from Glencore and distributing it through its network of sub-suppliers to its European factories, prioritizing the use of responsibly sourced materials with high recyclable content.
 
The industrial technology company assists Glencore in advancing its global operations by deploying a mix of automation, digitalization and electrification technologies, as well as providing consultancy support around sustainable procurement. Specifically:

• Sustainable procurement of capital equipment: Schneider Electric helped Glencore Copper in developing high-efficiency, low-carbon procurement specifications for capital equipment supporting ‘best practices’ aligned to Schneider Electric’s Zero Carbon Project.
• Enhanced energy consumption reporting: Schneider Electric is working with Glencore to develop business cases for fuel switching and energy efficiency measures. In addition, Schneider Electric is designing and deploying Power and Energy Management Systems with measurement and analytics features, helping Glencore to monitor and report on energy consumption more accurately.
• Reducing CO2 output of copper supplies: To support Glencore in improving efficiency and lowering carbon intensity of its raw material supply Schneider Electric is providing industrial digital transformation services and process electrification consulting services, leveraging solutions including AVEVA PI System and Operations Control which captures and analyses process and energy data and ETAP electrical simulation (ETAP) which simulates and optimizes power distribution handle varying power inputs without disrupting the overall distribution network in mining operations, crucial in contexts with increasing power needs, renewable energy complexities and cost fluctuations.
• Implementing automation and standardization: Leveraging Schneider Electric’s Automation installed base and Flex Agreement, Schneider Electric’s Industrial Digital Transformation Consulting team is assisting Glencore Copper in developing their IT/OT Corporate Standards. This is in addition to developing applications for Digital Twins (Mechanical, Process and electrical), central control and Predictive Analytics. With the proliferation of advanced control and analytics, Schneider Electric has deployed these types of technologies within Glencore Data Centers, energy management and process automation systems.

 “The relationship between Schneider Electric and Glencore is built on the joint aim of decarbonizing copper production and building resilience in its supply,” said Rob Moffitt, president of Mining, Minerals & Metals at Schneider Electric. “In the past, lowering emissions has been a challenge due to the complexity of supply chains, however, by leveraging digitization we are able to close the material loop and boost our circularity. This, together with integration of power and process all along the asset life cycle, is a critical component in our race towards net zero. This collaboration with Glencore reaffirms our commitment to helping companies reduce their scope 1,2 and 3 emissions following the launch of our supply chain decarbonization program, Materialize, earlier this year.” 
 
Schneider Electric is an existing partner in the recycling of Lithium-Ion Batteries working with Glencore and their portfolio company Li-Cycle, a major North American and European battery recycler. Additionally, Schneider Electric is also working towards a copper and electronic waste take-back program. Under this initiative, once the material is utilized, the remnants will be returned to Glencore for recycling. 
 
“We are delighted to work with Schneider Electric in a comprehensive 360-degree collaboration. We are looking to utilize their tools and solutions to digitize and decarbonize our raw material supply chains and operations,” said Jyothish George, Head of Copper & Cobalt Marketing, Glencore. “At the same time, Schneider Electric is exploring increased use of recycled content in their products, as well as exploring closed loop solutions that enhance the circularity of their products and supply chains. This collaboration will enable both companies to establish circular supply chains, lowering their respective carbon footprints.

About Schneider Electric 

Schneider’s purpose is to create Impact by empowering all to make the most of our energy and resources, bridging progress and sustainability. At Schneider, we call this Life Is On. Our mission is to be the trusted partner in Sustainability and Efficiency.
 
We are a global industrial technology leader bringing world-leading expertise in electrification, automation and digitization to smart industries, resilient infrastructure, future-proof data centers, intelligent buildings and intuitive homes. Anchored by our deep domain expertise, we provide integrated end-to-end lifecycle AI enabled Industrial IoT solutions with connected products, automation, software and services, delivering digital twins to enable profitable growth for our customers. 

About Glencore

Glencore is one of the world’s largest global diversified natural resource companies and a major producer and marketer of more than 60 commodities that advance everyday life. Through a network of assets, customers and suppliers that spans the globe, we produce, process, recycle, source, market and distribute the commodities that support decarbonization while meeting the energy needs of today. 
 
With over 150,000 employees and contractors and a strong footprint in more than 35 countries in both established and emerging regions for natural resources, our marketing and industrial activities are supported by a global network of more than 50 offices. 
 
Glencore's customers are industrial consumers, such as those in the automotive, steel, power generation, battery manufacturing and oil sectors. We also provide financing, logistics and other services to producers and consumers of commodities.