Rueil-Malmaison (France), 20 Dec 2019 – ARE Member Schneider Electric, together with Norfund, EDFI ElectriFI and Amundi, announced today that the new impact fund named “Schneider Electric Energy Access Asia” has been launched. The fund is targeting the 350 million people in South and South East Asia with limited access to energy. It will be based in Singapore close to communities who are in need of access to safe and sustainable electricity.
The aim of the fund is to connect rural households, small businesses and collective services such as schools or health stations to electricity.
This will be achieved by investing across the full energy value chain from equipment manufacturers to distributors and energy solution providers.
The beneficiaries of these investments will be chosen based on three main criteria:
”We are very happy to welcome the Schneider Electric Energy Access Asia fund. The team will be located in Singapore in order to be closer to the needs and the communities and will benefit from all the resources of Schneider Electric in the zone” said Tommy Leong, President East Asia and Japan Schneider Electric.
“With this new fund, a total of 20.9M€ will be dedicated to start-ups that work towards increasing quality of life and boosting economic development in Asia, thanks to access to clean and sustainable energy” highlights Christophe Poline, Director of Impact Investing, Schneider Electric.
“Access to reliable electricity is a prerequisite for economic growth, job creation and development. Investments in clean energy is therefore of core priority for Norfund. We look forward to working together with Schneider Electric, an investor with solid technical experience working at the forefront of the digitalization and decentralization of the energy sector” explains Mark Davis, EVP Clean Energy, Norfund.
Schneider Electric has two existing impact investing vehicles – Schneider Electric Energy Access SAS and Energy Access Ventures Fund - to support inclusive startups, whose activity contributes to SDG7 (clean and affordable energy) through equity investments. The expected outcome of these vehicles is to increase the number of households and small and medium enterprises benefiting from electricity access in remote areas (Africa, India and South East Asia), and to decrease the number of households facing energy poverty in Europe.
“ElectriFI is to commit EUR 6.3m equity to encourage innovative energy technologies to improve quality of life in Asia-Pacific and ensure no one is left behind in some of the most fragile states. Technology will play a prominent role in closing the electricity access gap and transitioning towards a more sustainable energy mix“ explains Dominiek Deconinck, ElectriFI Fund Manager.
“Providing financial support to SMEs bringing affordable and efficient solutions to underserved population is the aim of Amundi’s Social Impact fund. Schneider has long term experience and strong involvement to provide technical expertise to social enterprises which help deprived people getting access to clean and affordable energy. Contributing to “Schneider Energy Access Asia” impact fund is an additional footstep for our fund to people fulfil their essential needs (access to food, water and now electricity)” adds Laurence Laplane, Head of Impact Investing; Amundi.
“We believe that to drive long-lasting positive change, impact investing is crucial and will accelerate our ambition to quadruple the number of people gaining access to energy. We are talking about roughly 24 million people that gained access to energy since 2009 and 80 million will gain by 2030 thanks to our offers and investments. It is time now for acceleration to ensure no communities are left behind. We must allocate capital and skills to build the world we want to see for ourselves and our future generations and this new fund brings the proof of our ambitious and challenging targets,” says Gilles Vermot Desroches, Chief Sustainability Officer Schneider Electric.
For more information on Schneider Electric’s sustainability journey and impact investing, visit http://sdreport.se.com