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:
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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.
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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.
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Lowering 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.
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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.
