SCHREDER - Sustainability Report 2023

The Schréder lighting and beyond lighting solutions bring meaningful moments to people by enhancing safety, well-being and sustainability in public spaces.

Together For Our Future 2023 SUSTAINABILITY REPORT

Table of contents

Foreword from our Chairman Foreword from our CEO

02 04 06 07 08 09

Together For Our People

Company Information

1. Diversity, Equity & Inclusion 2. Sustainable Procurement and Human Rights 3. Employee Experience

1. Corporate Governance 54 2. Risk Management & Internal Audit 58 3. Business Ethics 59 4. Tax 62 About our Sustainability Report 65 Scope and Boundaries 66 Stakeholders’ Engagement 68 External Memberships and 69 Recognitions GRI Content Index 71

Who We Are

36 38

Our Market Segments

Our Proximity Our Values

Together For Our Community

Our Sustainability Strategy

1. The Right Light: Where, When and Why 2. Lighting with Positive Social Impact 3. Schréder Together Fund

Materiality Assessment Together For Our Future

11 13

44 45

Together For Our Planet

4. Sustainability

Ambassadors’ Community

1. Our Footprint

17 18 24 29

1.1 Climate Action 1.2 Sustainable Solutions

Sustainability in our Everyday Business

2. Circular Design

1. Occupational Health and Safety 2. Customer Protection

51 53

Foreword from our Chairman We remain confident that we can make a difference.

Sadly, another year has passed and the conflict in Ukraine continues, and on behalf of the Board I would like to express our deepest sympathy to our employees and their families who are enduring the harsh realities of war. We commend the extraordinary efforts of our Ukrainian team who, despite the circumstances, continue to provide first class service to our customers and have even achieved record production levels. The impact of this conflict continues to be far-reaching and will affect our lives for years to come. Growing concerns about human rights, gender inequality, global warming and biodiversity loss reinforce the need for organisations to commit to and drive initiatives aligned with the United Nations Sustainable Development Goals (SDGs) to create a greener and better future. As a business operating worldwide, we have a corporate responsibility to integrate SDG-aligned strategies that reduce greenhouse gas emissions, promote diversity and inclusion, support conservation efforts and ensure fair labour practices. We need to implement actions that not only benefit society, but also build our resilience in this fast-paced world, and I believe our Together For Our Future sustainability strategy has been instrumental in driving this agenda. This has been a year of progress for our sustainability actions. With the Science Based Targets initiative (SBTi), we committed to setting near-term company-wide emissions reduction targets, and in early 2024 we received official approval from the SBTi. In addition, despite EcoVadis raising the bar for environmental performance, we were awarded the EcoVadis Gold Medal for the second year in a row.

Our approach to sustainability is constantly evolving. We continue to recalibrate our performance metrics to ensure that we are making an effective contribution to the preservation and care of our planet. We remain confident that we can make a difference; our commitment is reflected in both our operational practices, and the way in which our products support our customers’ sustainability strategies. We thank all our stakeholders for their continued support. Together we can make a difference!

In 2023, Schréder continued to succeed and grow in a rapidly changing environment, showing agility in challenging times. Sustainability remains one of Schréder’s core values and we have demonstrated our ongoing commitment to making a positive and lasting impact. I am proud to present our actions in the 2023 edition of our Annual Sustainability Report, which is based on the standards of the Global Reporting Initiative (GRI). Sustainability is part of our daily life and working culture. As a family-owned business, we strive to pass on this vision of sustainability to future generations. We believe in building a circular economy, reducing our own carbon footprint and helping our customers to reduce theirs.

Renaud Gryspeerdt Chairman of the Board

Foreword from our CEO Through innovation, Schréder can differentiate itself with sustainable products and solutions. The Schréder Group had a remarkable year in 2023; revenue grew by 11% from the previous year, outperforming the market, while our market share increased. We were pleased to see that in a year of such growth, we reduced our total carbon footprint by 2.5% 1 . A significant proportion of this growth was driven by new products that emit less carbon during the manufacturing process. These products are also more efficient during the use phase, which also contributes to the reduction of both our own, and our customers’ carbon footprint. During 2023, we continued our journey to optimise lighting designs with a wider range of photometries that require less light output and therefore less energy. They also reduce light spill and light pollution, supporting biodiversity. We launched new solar lighting solutions and a range of retrofit kits. These retrofit kits allow existing luminaires to be upgraded and reused, supporting circularity. Lastly, our smart and connected lighting business grew very strongly. This allows our customers to dynamically dim their luminaires based on real-time requirements, further reducing energy consumption.

Our SBTi commitment has been submitted and accepted. This means that we will align with the objectives of the Paris Agreement on climate change and commit to reducing our Scope 1 and 2 emissions by 52.5% and our Scope 3 emissions by 27.5% by 2030 from a 2019 base year. We have a solid plan to get there and we are passionate about delivering on this commitment. We also progressed well on our other sustainability objectives: a plan was developed to inventory the requirements needed to comply with Dark Sky regulations; our Schréder Together Fund supported six associations in 2023 and more than 20 candidates responded to our new call for projects; our Diversity, Equity and Inclusion (DEI) survey showed that we were doing well overall, and our DEI Manifesto was published. However, we did not make progress on our ambition to hire more women; we will pursue this goal with renewed focus in 2024; strong progress was made in assessing sustainability risks in our supply chain, coupled with audits where relevant; we developed and published our Human Rights Policy; the Schréder Ethical Advisory Panel was established to advise our Executive Team and Board on ethical dilemmas. The team consists of a diverse group of employees from different functions supported by external expertise on the subject. These efforts have improved our EcoVadis sustainability score, leading to the renewal of our EcoVadis Gold status in 2023.

(1) Reduction of emissions from category 3.11 Use of sold products, representing 98% of total reported emissions, as per GHG Protocol classification, from 2022 to 2023. Reported figures can be found on page 67.

Looking ahead … We have both the will and ability to grow our business in a way that is both profitable and sustainable. For a growing proportion of our customer base, sustainability is an important selection criterion. We can play a key role in supporting our customers on their sustainability journey, as our products are responsible for a large share of their electricity consumption. Through innovation, Schréder can differentiate itself from the competition with sustainable products and solutions. We help our customers to achieve their sustainability targets, while at the same time improving our own performance in this area. We therefore see sustainability as playing an increasingly important role in our business strategy and as a source of differentiation in the future. Growing our business, while acting in a sustainable way, is very rewarding. It is an important source of motivation for our teams and a key factor in attracting and retaining talent. Continuing to train and develop our teams and the Board on sustainability-related issues is also an important element of this journey. We also welcome the new CSRD regulation as we believe it will bring more transparency and greater accountability. In this context, we see this third GRI report as key preparation for this next step in sustainability reporting. We hope you enjoy reading about our progress, and how we are addressing sustainability challenges. We would like to thank you for your interest in this important matter.

Werner De Wolf CEO

Who We Are Schréder Group is the leading independent outdoor lighting manufacturer in the world with more than 2 million light points sold per year. The company is present in more than 70 countries on five continents. The holding company of Schréder Group is Schréder SA, a privately-owned company, with registered offices at Rue de Lusambo 67, in Brussels, Belgium. The company’s ambition is to bring meaningful moments to people in public spaces by enhancing safety, well-being and sustainability. As such, Schréder’s Experts in Lightability™ work with customers to co-create smart lighting solutions for spaces that benefit people, the community and the planet.

Our History

Schréder was founded in 1907 in Liège, Belgium, as a family-owned company. At the turn of the 20 th century, electricity was the new promising technology. During the company’s first few decades, it explored the possibilities of this technology, innovating and manufacturing a variety of electrical equipment until it started to design and manufacture outdoor lighting products. From the very beginning, driven by a sense of purpose and adventure, Schréder expanded internationally through joint ventures across Europe and beyond. Over time, Schréder established a direct sales model worldwide, working with local experts and partners, and in close collaboration with cities. This proximity inspires innovation and enables Schréder to adapt its product portfolio to meet local needs better than others. To adapt to an increasingly globalised world, Schréder Group reorganised its supply chain and industrial footprint to maintain production centres close to its customers.

The Group’s manufacturing plants supply the regional and continental markets where they are located to better serve their customers and contribute positively to the local social fabric and environmental preservation. In addition to our extensive portfolio of luminaires, we develop cutting-edge connected lighting systems. These new systems enable the optimal use of light to further reduce energy consumption and carbon footprint, and also provide a platform to add innovative new features such as traffic and pollution sensors to improve the quality of life for citizens.

Who we are

Our Market Segments Established locally to understand the market needs, we ideate with our customers to deliver smart and sustainable lighting solutions 2 for:

Number of luminaires sold

Cities + Communities Road Industry

Tunnel Sports

2018

2019

2020

2021

2022

2023

(2) For more information, please visit our web site: https://www.schreder.com/en/products

Cities + Communities

Road

Industry

Tunnel

Sports

Our Proximity We produce regionally for local needs, avoiding unnecessary transport and impact on the environment.

Schréder Commercial presence

Schréder Production centres Australia, China, France, Hungary, Portugal, South Africa, Spain, Ukraine Schréder R&D centres Australia, Belgium, Hungary, France, Portugal, Spain, South Africa, Ukraine, UK on the environment.

Who we are

Our Values

Innovation... Is at the heart of our mindset. Standing still is sliding backwards. We come up with new ideas and original, creative thinking for our products, services, business models and operations. We love to explore off the beaten tracks. Respect... We are mindful of our role and impact on our colleagues, customers, partners, citizens, communities and the planet. Schréder employees demonstrate respect in their interactions by valuing difference, being inclusive, and embracing diversity. Respect is the umbrella under which we lead the way to sustainable business. Integrity... We always do things the right way, in full respect of the law and our code of conduct. It starts with every one of us; we are open, honest and accountable.

Caring for customers... We listen to our customers, anticipate their needs and put their challenges first. We are all accountable and aligned to deliver an extraordinary customer experience. We build long term relationships with our customers and never let them down. Working together... We are all aligned to achieve the same purpose: we deliver on our promises together! We support each other to overcome challenges, we listen and understand the others’ perspective to come up with the best overall solution. Ultimately, when we work as a team, we win, learn and grow together. Entrepreneurship... We are passionate about developing new business opportunities. We think and act like owners. We are persistent, embrace challenges, accept and manage the risk. We celebrate success and learn from failure.

Schréder provides all employees with an environment and resources to support their professional development. Our goal is to empower all employees to maximise their potential and develop their skill set. Schréder employees work in a family- owned company governed by a long- term vision, with an international character, and a strong culture built on our six values. These values are regularly communicated to our employees through our intranet, management webinars, and onboarding sessions for new hires. They underpin everything we do.

Our Sustainability Strategy

Materiality Assessment Our priorities have remained stable over the past three years. According to the United Nations Sustainable Development Goals Report 2022, the goals to be achieved by 2030 are in jeopardy, due to the COVID-19 pandemic and the war in Ukraine, which have exacerbated food, energy, humanitarian and refugee crises. Climate change is aggravating the situation and acting as a crisis multiplier. It is more important than ever to act and take effective measures to recover from this crisis and achieve global sustainability. Our sustainability programme fully supports this, so the most important thing is to continue the work we have started. Accordingly, our material issues have not changed significantly, but the focus has shifted to those with the potential for greater positive impact. Some of the topic names have also been reworded to ensure a clear understanding of our priorities. In 2022, we held two sustainability workshops with representatives from our key stakeholder groups to strengthen our sustainability strategy. Board: Chairman of the Board and 3 other Board members Shareholders: represented by 3 of the Board members Management team: CEO and 7 members of the Schréder Executive Team

Employees: Chief People Officer and employees from various functions (Innovation, R&D, Legal, Sustainability) Customers: represented by CEO, Chief Product Marketing Officer, Chief Commercial Officers, Chief Regional Officers and Marketing Communication Manager Suppliers : represented by Chief Operations Officer

Our sustainability strategy is derived directly from our stakeholders’ most pressing concerns and is strongly aligned with the United Nations Sustainable Development Goals. That is its strength and what drives our commitment every day.

Sustainability workshop representatives

14%

17%

10%

28%

Xavier Uhlen Group Sustainability Director

Board Shareholders Management team

Employees Customers Suppliers

The main objective of the workshops was to ensure that our sustainability strategy is aligned with the most important issues for our stakeholders, namely to: reflect on the most pressing sustainability challenges; develop ambitions, targets and actions to improve our impact; invite external experts to ensure objectivity and independent professional advice; update our materiality assessment based on input from our various stakeholders; ensure the alignment of our updated material issues with the relevant SDGs, as we did in the first materiality assessment in 2019. Changes in material topics The most recent addition to the materiality ranking is ‘meeting regulations’. The landscape is evolving, and we are pleased to see that the European regulatory framework is encouraging companies to take action on sustainability in the near future. We also pay close attention to changes in the regulatory framework that affect our day-to-day business. We are committed to being prepared and ready for change.

Most relevant SDGs

Most relevant material topics

SDG 17 SDG 16 SDG 15 SDG 14 SDG 13 SDG 12 SDG 11 SDG 10 SDG 09 SDG 08 SDG 07 SDG 06 SDG 05 SDG 04 SDG 03 SDG 02 SDG 01

Product efficiency Climate change Sustainable procurement Quality of life Innovation Meeting regulations Fair business and growth Resource scarcity Energy consumption Light pollution Biodiversity - protecting flora and fauna Education, talent management Human rights

Well-being of our employees Diversity, equity, discrimination

0 0510 15202530

0 0510 152025303540

Sustainable Development Goals

Our Sustainability Strategy

Together For Our Future Our 2022 materiality assessment confirmed the relevance of our sustainability programme, “Together For Our Future,” which was launched in 2020. “Together For Our Future” features three core axes: For Our Planet, For Our People, and For Our Community. The ambitions and targets within each of these three axes have been adjusted, primarily to emphasise the importance of our ambition to help our customers reduce their carbon footprint and build a circular economy, to align our carbon footprint reduction targets with the goals of the Paris Agreement on climate change, and to embrace diversity and inclusion in all their forms.

FOR OUR PEOPLE Being an employer that offers equal opportunities to the diversity of groups living in society. Focus areas: Gender equity Diversity & Inclusion Zero breach of human rights in our value chain

FOR OUR PLANET Being responsible for our planet by reducing our own and our customers’ environmental impact. Focus areas: Take action on climate change by reducing our own and our customers’ carbon footprint Build a circular economy

FOR OUR COMMUNITY Helping customers to protect eco-systems and foster a better quality of life. Focus areas: The right light, where, when and how it is needed Lighting with a positive social impact Support less privileged areas

Our Sustainability Strategy

United Nations Sustainable Development Goals Aligning our sustainability strategy with the UN Sustainable Development Goals (SDGs) is a priority. To confirm our commitment, we have ensured broader coverage of the relevant SDGs in our sustainability programme and ensured that each of our objectives is linked to relevant SDG targets. They are mentioned in this report along with the details of our sustainability strategy.

Together For Our Planet

Planet

Our ambition

CO 2 emissions

Take action against climate change by reducing our own and our customers’ carbon footprint

Our validated science-based targets underline the primary role of our products and services in our global carbon reduction ambition. It reinforces our commitment to keep offering the utmost sustainable solutions to our customers, while continually reducing the environmental impact of our operations.

2023 Results

2030 Ambitions

Scope 1 & 2

29% reduction compared to 2019 base year

Reduce absolute scope 1 and 2 GHG emissions by 52.5% by 2030 from a 2019 base year.

Scope 3 (use of products sold)

Peter Bos Chief Operations and Technical Officer

18% reduction compared to 2019 base year

Reduce absolute scope 3 GHG emissions by 27.5% by 2030 compared to 2019 base year

Circularity

Build a circular economy

2023 Results

2030 Ambitions

Luc Joosens Chief Product Marketing Officer

100% of new product developments achieved four stars for the Circle Light Label

90% of sales comprise Circular Lighting Solutions

45% of our products sold (in revenue) were Circular Lighting solutions (scored four stars for our Circle Light Label assessment)

1. Our Footprint As a manufacturing company, we have an impact on the planet’s resources all along our value chain. We use energy and raw materials to develop and assemble our products, and we also use logistics services in our supply chain. Furthermore, our products also consume electricity during their lifetime. Despite the technological advances of LED technology, this still represents 98% of our total carbon footprint according to the Greenhouse Gas (GHG) Protocol. At Schréder, we are committed to playing a key role in protecting the environment by reducing the impact of our manufacturing activities, products and services. We do this by reducing our consumption of materials and energy, and by helping our customers reduce their footprint through the use of the latest technologies in our luminaires.

The SBTi validation reflects our commitment to raise the bar in the fight against climate change by setting ambitious and comprehensive reduction targets that are in line with climate science. It gives us further confidence that our actions, and the sustainable lighting solutions we offer to our customers, will help achieve the objectives of the Paris Agreement and contribute to a more sustainable future.

To reinforce our commitment to reducing our environmental impact, and to align with climate science and the objectives of the Paris Agreement on climate change, in 2023 we committed to setting near-term company-wide emissions reduction targets with the Science Based Targets initiative (SBTi) 3 . In January 2024, we were pleased to publicly announce that our carbon emissions reduction targets had been approved by the SBTi.

Xavier Uhlen Group Sustainability Director

(3) The Science Based Targets initiative (SBTi) is a corporate climate action organisation that enables companies and financial institutions worldwide to play their part in combating the climate crisis.

Planet

1.1 Climate Action We started monitoring our global carbon footprint in 2018. From the outset, the process and reporting strategy were defined in accordance with the GHG Protocol. In line with our SBTi target setting ambitions, we implemented several improvement actions in 2023, which had a positive impact on the quality of the data and the extension of the process boundaries. These improvements also impacted the historical data, resulting in changes to the GHG inventory so that we now have a complete overview of this fundamental measurement.

SBTi Targets Scope 1 & 2 Emissions

Scope 1 Emissions Scope 1 emissions are direct GHG emissions from sources controlled or owned by an organisation, such as emissions associated with fuel combustion in boilers, furnaces and vehicles. Our total Scope 1 emissions in 2023 were 3,949 tonnes, 7% lower than in 2022 (4,267 tonnes) and 22% lower than our base year 2019 (5,067 tonnes). This places us slightly ahead of our year-on-year SBTi trajectory.

In 2023, we set near-term SBTi target to reduce our Scope 1 & 2 emissions by 52.5% by 2030 compared to the 2019 baseline. Based on 2023 measurements, we are on track to meet this target, having already achieved a 29% reduction since 2019, slightly ahead of our SBTi trajectory.

13.2 Integrate climate change measures into national policies, strategies and planning.

8K 7 624 Scope 1 + 2 emissions (tCO 2 e) Scope 1 & 2 emissions (tCO 2 e)

Scope 1 emissions (tCO 2 e) Scope 1 emissions (tCO 2 e)

5 067

4 267

5 451

5 552

3 949

SBTI Target 2030

2019

2022

2023

2019

2023

2022

Stationary Sources

Mobile Sources: Company Cars In 2023, our company cars emitted 1,532 tonnes of CO 2 e, representing 39% of our total Scope 1 emissions. This is a 13% reduction compared to 2022 (1,753 tonnes) and a 34% reduction compared to our 2019 baseline (2,322 tonnes). The reductions are driven by the increasing proportion of electric vehicles in our global fleet. In 2023, 14% of our company cars were fully electric and we are committed to increasing this proportion in the coming years.

Proportion of Electric Cars Proportion of Electric Cars

In our factories and offices we use natural gas mainly for painting (90%) and heating (10%). Natural gas consumption accounts for 52% (2,066 tonnes) of our total Scope 1 emissions. In 2023, we used a total of 11,980 MWh of natural gas, which is 10% less than in 2022 (13,345 MWh) and 21% less than in our baseline year 2019 (15,250 MWh). These reductions are mainly due to improvements in the powder painting process at our production sites (Spain, Hungary and Portugal). To further reduce our natural gas consumption, we installed a new painting line at our Ukrainian plant this year. We expect the new system to halve the annual consumption of natural gas at our plant in Ukraine.

14%

86%

Petrol Engine

Full Electric

19 19

Planet

Solar Panel Project in Spain In line with SDG 7, our goal is to maximise the proportion of renewable energy in our global energy consumption. To achieve this, we are constantly looking for ways to reduce our manufacturing facilities’ reliance on fossil-based sources. Although we have been purchasing certified green electricity for our plant in Spain since 2020, we decided to invest in our own solar energy production and installed an 830 kWp solar panel system on the roof in 2023. Our goal was to generate at least 40% of the plant’s annual electricity needs from our own sources, as well as feeding at least 11% of the electricity back into the grid, thus contributing to the greening of Spain’s electricity supply.

Scope 2 Emissions Scope 2 emissions are indirect GHG emissions associated with the purchase of electricity, steam, heat, or cooling. Our Scope 2 emissions inventory is limited to electricity, as we only purchase electricity from listed sources. In 2023, our total Scope 2 emissions were 1,502 tonnes, an increase of 17% compared to 2022 (1,285 tonnes), but still 41% lower than our 2019 baseline (2,557 tonnes). This reduction is due to our ongoing efforts to purchase electricity from renewable sources wherever possible. Today, our production sites in Spain, Hungary and Australia use 100% green electricity, which represents 60% of our total electricity consumption. Although we continue to increase the proportion of ‘green’ electricity we use, our total electricity consumption increased by 15% in 2023, ultimately leading to an increase in Scope 2 GHG emissions that year. In 2023, we used 7,628 MWh of electricity compared to 6,648 MWh in 2022. The increase of almost 1,000 MWh is mainly due to higher production volumes at our production sites in Ukraine and Portugal.

Proportion of Green Electricity % Proportion of Green Electricity %

40%

60%

Green Electricity Fossil Based Electricity

Scope 2 emissions (tCO 2 e) Scope 2 Emissions (tCO 2 e)

2 557

1 502

1 285

SBTI Target 2030

7.2 By 2030, increase substantially the share of renewable energy in the global energy mix. 7.3 By 2030, double the global rate of improvement in energy efficiency.

2023

2019

2022

Planet

Scope 3 Emissions Scope 3 emissions are all indirect emissions - not included in scope 2 - that occur in the company’s value chain, including both upstream and downstream emissions. In 2023, we set a near-term SBTi target to reduce our Scope 3 emissions by 27.5% by 2030 compared to our 2019 baseline. As 98% of our total Scope 3 emissions come from the use phase of our products after they have been sold, we have limited our Scope 3 near-term SBTi target for category 11 (use of sold products) in accordance with the SBTi target setting rules. 4 Based on the principles of the GHG Protocol, emissions from products sold in a financial year must be calculated over their entire lifetime, which we have set at 100,000 hours (nominal lifetime of our outdoor products). Using this calculation method, the emissions from our products sold in 2023 were 5.19 million tonnes of CO 2 e, a 2.5% reduction compared to 2022 (5.32 million tonnes) and an 18% reduction compared to our base year 2019 (6.33 million tonnes). This result means we are on track with our 2030 SBTi trajectory and committed to continually developing solutions that help our customers reduce energy consumption and carbon emissions.

Scope 3 emissions - 3.11 Use of Sold Products (tCO 2 e) Scope 3 Emissions 3.11 Use of Sold Products (tCO 2 e)

6,33M

5,32M

5,19M

SBTI Target 2030

2019

2022

2023

(4) SBTi requires that at least 67% of the total reported and excluded mandatory scope 3 emissions are covered under target(s). https:// sciencebasedtargets.org/faqs#which-emissions-are-mandatory-for- companies-to-include-in-their-sbti-validation

Planet

Beyond SBTi Targets Other Scope 3 Emissions

Logistics Another category that generates GHG emissions is our logistics activities, inbound transport and product distribution. Transport accounted for 14% of our other Scope 3 emissions in 2023. Inbound logistics Using less material has also had a positive impact on our logistics emissions. In addition to reduced material volumes, our manufacturing sites prioritise local resources wherever possible, which has helped us to further reduce our GHG emissions. All these efforts resulted in our logistics emissions being limited to 6,431 tonnes of CO 2 e in 2023, a 19% reduction compared to 2022. Outbound logistics Lighter products and optimised packaging have had a significant impact on emissions linked to transport. Our eco-design efforts, combined with several packaging improvements, resulted in a 16% reduction in CO 2 e emissions in this category in 2023 (5,816 tonnes) compared to 2022. Business travel Nearly 2% of our other Scope 3 emissions were caused by business travel in 2023 (1,988 tonnes of CO 2 e), an increase of 5% compared to 2022 (1,892 tonnes of CO 2 e).

2023 Material consumption (kilotonnes) 2023 production materials consumption (kilotonnes)

While our Scope 3 SBTi target is limited to category 11, Use of Products Sold, we continue to monitor other key emission sources associated with our value chain and define strategies to reduce them.

Other Scope 3 emissions sources Other Scope 3 emissions sources

14%

2022 2023

Emissions of materials consumed 2023 (kilotonnes of CO2e) Emissions of production materials consumed 2023 (kilotonnes of CO 2 e)

83%

Production materials Waste Logistics Business travel

Production materials Although seemingly insignificant compared to the emissions from the use phase of the products we sell, the materials we use in production are the second largest source of Scope 3 emissions. In 2023, the materials used in production resulted in 75,281 tonnes of emissions, representing 83% of the other Scope 3 emissions. Thanks to our ongoing eco- design efforts to optimise the material content of our products, we used 14% less material, resulting in a 13% reduction in CO 2 e emissions in 2023 compared to 2022.

2022 2023

12.2 - By 2030, achieve the sustainable management and efficient use of natural resources.

Planet

Waste Although waste management represents a relatively minor proportion of our GHG emissions - about 1% of other Scope 3 emissions - proper waste management must be at the heart of all industrial organisations’ processes as part of UN SDG target 12.5. At Schréder, we have long been committed to the principles of the circular economy, and accordingly aim to minimise our production waste, before recycling unavoidable waste. Thanks to our continuous efforts, 92% of our non-hazardous waste was collected for recycling in 2023, 5% more than in 2022 (87%).

Reinforcing our Commitment to Beat Plastic Pollution Reducing plastic waste has always been a top priority of our Together For Our Future programme. From the outset we have committed to banning single-use plastic drinks bottles, plastic cups and plastic cutlery in all our offices and factories worldwide. In 2023, on World Environment Day, we reiterated this commitment to raise awareness of plastic pollution. Our actions to reduce plastic waste also include: • Introducing bioplastics • Increasing the use of reusable packaging within our supply chain • Eliminating plastic from our packaging wherever possible

Recycling

Non-Hazardous Waste

In Europe, lighting products are considered Waste Electrical and Electronic Equipment 5 (Directive 2012/19/EU), one of the fastest growing waste streams in the world. With this in mind, we encourage the recycling of our products to prevent them from ending up in landfills. Each Schréder company has a regional partner to manage the collection, storage, transport and end-of-life treatment of lighting products, in accordance with the law and local regulations. These partnerships ensure that the luminaire components are recovered to close the material loop. A great example is the process in our UK business. We have a partnership with Recolight, the leading WEEE compliance scheme for the country’s lighting industry, to ensure the proper handling of luminaires that have been removed from service. Recolight is committed to the principles of the circular economy and goes beyond simply recycling. Recolight provides support and services to help its members in the lighting industry make the transition to a circular economy. Re-Use Service, workshops, webinars, Circular Lighting Report and Circular Lighting Live are just a few examples of the processes they offer to their customers.

In 2023, Recolight managed the disposal of 11 tonnes of luminaire waste (WEEE) collected from Schréder’s installation sites. This waste did not end up in landfills but became a part of environmental preservation programmes.

92%

Recycling

Landfill

700 600 500 400 300 200 100 0 Non-hazardous waste 2023 (tonnes) Non-Hazardous Waste 2023 (tonnes)

12.2 - By 2030, achieve the sustainable management and efficient use of natural resources.

(5) Waste from Electrical and Electronic Equipment (WEEE): https://environment.ec.europa.eu/topics/waste-and-recycling/ waste-electrical-and-electronic-equipment-weee_en

Planet

1.2 Sustainable Solutions Sustainability has always been one of Schréder’s core values. We have built our reputation while minimising our ecological footprint and that of our customers. Our products are designed with circularity in mind, minimising waste and resource consumption. By incorporating energy-efficient lighting technologies, we not only extend the life of our products but also provide our customers with advanced lighting systems and smart controls. We help them to significantly reduce their energy consumption, resulting in lower operating costs and reduced environmental impact. Optimised Energy Consumption The greatest environmental impact of a luminaire is the amount of energy consumed over its lifetime. Replacing old installations with new technologies that are more energy efficient therefore has a significant positive impact on the environment. At Schréder, we are constantly developing new technologies to reduce energy consumption to a minimum (LED technology, optimised optics, control solutions, solar solutions...). Over time, the energy consumption of our products has been significantly reduced. LEDs consume up to 70% less energy compared to conventional light sources. Today, almost 100% of our luminaire sales are LED luminaires. The total GHG emissions resulting from the use of the products we sell depend on several factors. Firstly, they depend on the energy consumption of the product over its entire lifetime, as well as the

location of the installation, as the carbon emission factor of electricity varies from country to country. The factor over which we have the most influence is the energy consumption of our products. Our engineers and electronics suppliers are constantly working to improve product efficiency and develop adaptive and connected lighting solutions that maximise energy savings. Schréder EXEDRA For More Sustainable and Connected Spaces Schréder Hyperion, the Schréder Group’s Smart City Centre of Excellence, is dedicated to facilitating the transition to a smarter and more sustainable urban infrastructure in light of changing global markets. Schréder EXEDRA, our state-of-the-art lighting and control management platform, enables customers to explore Smart City domains beyond lighting. Schréder EXEDRA provides data security with encryption, hashing, tokenisation and key management practices that protect data across the whole system and related services. The entire platform is ISO 27001 certified. It demonstrates that Schréder EXEDRA meets the requirements for establishing, implementing, maintaining and continuously improving security management. Schréder EXEDRA enables users to programme optimal dimming profiles based on infinite variables (calendar days, special events, seasons, etc.) while ensuring the safety, comfort and well-being of people. Schréder EXEDRA can integrate smart lighting applications that adjust the colour of the light or create dynamic lighting scenarios using PIR sensors or radars. Fully interoperable, Schréder

EXEDRA can manage controllers and sensors from other manufacturers, and control their luminaires. Smart features not only reduce energy consumption but also extend the luminaire lifespan, further contributing to sustainability efforts. In 2023, we launched a complete campaign dedicated to Schréder EXEDRA, called “Let’s Get Connected”. With Schréder EXEDRA, cities can deliver social, environmental, and economic benefits to their communities.

Planet

Clear Energy Savings as London’s Haringey Goes Smart Situated just north of Central London, the Borough of Haringey provides services, including street lighting, to 270,000 residents. Over the last decade, Haringey has switched to LED lighting and has benefited from energy and financial savings. In 2021, the Council set out a roadmap to reach net zero carbon by 2027, the Haringey Climate Change Action Plan. As part of this, they decided to implement a smart lighting platform to control their street lights and chose Schréder EXEDRA. With nearly 20,000 luminaires and street signs from different manufacturers, they needed a system that was truly interoperable. The challenge was to create paths for communication, data sharing and enriched visibility from multiple connected endpoints that could support Haringey’s immediate and longer-term smart city objectives. Using TALQ’s open protocol, we established true interoperability between Schréder and third-party controllers and assets across the borough. The initial benefit of the new technology is that the lighting is now responsive and adaptive, providing the right light in the right place at the right time for the user and the task being carried out. For instance, if local football legends Tottenham Hotspur are playing at home, the lighting can be increased to full output to help visitors and residents get home safely. Schréder EXEDRA has also provided comprehensive and valuable insights and supported integration with third-party maintenance and energy reporting software. This has been key to Haringey’s impressive 69% reduction in carbon emissions, playing a huge part in getting London to net zero. Residents are happy, and streets are well-lit. The roll-out of a Central Management System (CMS) for the Haringey Council’s street lighting has won both a GOLD and GREEN Build Back Better Award in the 2023 Lighting category. The Build Back Better Awards celebrates and rewards innovation, creativity, sustainability and social purpose in the built environment.

Planet

Adaptive Street Lighting Enhances Safety and Energy Use in Sion

At Schréder, we are committed to developing and promoting open and interoperable solutions. We believe that in order to develop truly smart cities, we need to enable vendor-agnostic solutions that connect city devices to networks, thus contributing to the growth of an open technology ecosystem. Many of the solutions on the market today have closed architectures that lock cities into single vendor platforms. The interoperability and interconnection of different devices in a city depends on the establishment of open protocols. This is essential to ensure the development of truly smart urban environments. Our Owlet IV range of smart controls for public lighting supports adaptive lighting technology, optimising energy consumption by adjusting brightness according to real-time conditions such as traffic and weather conditions. Its smart and fully configurable dimming profiles intelligently regulate light output, reducing energy consumption during off-peak hours while ensuring safety and visibility. In addition, OWLET IV controllers use advanced cybersecurity mechanisms to ensure secure deployments in urban environments.

Sion, the historic capital of the Swiss canton of Valais, is a strategic gateway to some of the world’s most famous ski resorts such as Crans Montana, Saas-Fee and Zermatt. Road safety is a priority for the local authorities and drivers must have perfect visibility after dark, especially during the popular ski season. Yet, the town found the lighting was too bright at other times. In 2023, the local authorities, together with the local street lighting operator, decided to implement a groundbreaking smart lighting solution to optimise energy use while ensuring the safety of residents and tourists. The new adaptive system automatically adjusts the lighting levels according to traffic conditions.

9.5 Enhance scientific research, upgrade the technological capabilities of industrial sectors in all countries, in particular developing countries, including, by 2030, encouraging innovation and substantially increasing the number of research and development workers per 1 million people and public

13.3 Improve education, awareness-raising and human and

This is achieved by integrating Schréder’s advanced LightSync algorithm with the EXEDRA lighting control system, eliminating the need for conventional sensors. Initial tests on a short stretch of road showed promising results, leading to a wider deployment on main roads. The Schréder EXEDRA platform provides continuous monitoring to ensure the effectiveness of the adaptive street lighting in real time. The lighting operator can consult the intuitive platform at any time to calibrate the light output level to meet the town’s current needs. This innovative project underlines Sion’s commitment to sustainability, efficiency and safety. It demonstrates how cutting-edge technology can be seamlessly integrated into existing street lighting infrastructure to achieve remarkable energy savings, preserve the environment and improve public safety. It sets a benchmark for other towns and cities.

institutional capacity on climate change mitigation, adaptation, impact reduction and early warning.

and private research and development spending.

Planet

Solar Solutions To address the global energy and environmental crisis, we have developed a range of solar lighting solutions. These solutions make customers less vulnerable to energy price fluctuations and grid disruptions, while reducing energy demand. With low installation and operating costs and a significantly reduced carbon footprint, these solar lighting solutions provide communities with a practical and environmentally-friendly alternative to conventional on-grid lighting. Additional features such as motion sensors enable an even more responsible and sustainable use of energy.

Highmast Solar Lighting Pilot Project for Nelson Mandela Bay Municipality As part of the Nelson Mandela Bay Municipality’s initiative to keep cables out of the reach of thieves through its High-Mast Solar Lighting Pilot Programme, our SOLARFLOOD was chosen for a pilot project on Stanford Road in Gqeberha, Eastern Cape. The 20m high solar masts were chosen to combat rampant cable theft and infrastructure vandalism and to provide lighting during power outages, enhancing the safety and well-being of the community. This is the first solar high-mast installation in the Eastern Cape, and a successful pilot project for the Nelson Mandela Bay Municipality. The SOLARFLOOD provides a reliable lighting solution with a high Ingress Protection level (IP 66) that can withstand high ambient temperatures. It is a sustainable off-grid performer with a superior lumen/ watt ratio. Schréder’s high-performing optics allow mounting at heights of up to 20m, providing high- quality light where it is needed. With this project, BEKA Schréder won the Best Supporting Affiliate Member Award at the Association of Municipal Electricity Utilities (AMEU) 2023 President’s Awards.

Off-grid solar lighting protects nature in Castro Marim

Castro Marim is a small town in the south of Portugal, close to the Spanish border. One of its most important natural treasures is the Castro Marim-Vila Real de Santo António Marsh Nature Reserve, Portugal’s first classified nature reserve, a valuable ecosystem with many species of flora and fauna, considered an international reference for its biodiversity. As part of its decarbonisation and sustainable mobility plan, Castro Marim decided to build a bike and pedestrian path to link Castro Marim to Vila Real de Santo António, three kilometres away, so that residents and tourists can enjoy the landscape. As there is no lighting on the national road that runs along the cycle path, the council decided to install lighting so that it could be used safely after sunset. A total of 113 solar- powered, off-grid luminaires have been installed, avoiding the time-consuming and costly construction of an electrical grid infrastructure, estimated at more than €100,000.

Planet

Alternative Materials We use plastics in luminaires for a variety of purposes: to achieve specific optical properties in lenses and protectors, and for durability and impact resistance in covers and bodies. In some cases, bio-plastics can offer a more sustainable alternative. They require extensive laboratory testing to ensure they can maintain the critical properties over the lifetime of the luminaire. These bio-based alternatives have the potential to reduce GHG emissions by up to 60%. In line with our 2023 plan, we have approved the use of certain bio-based products, and will continue to evaluate other bio-based resins in 2024.

Product Packaging

documents. In recent years, we have seen an increasing demand for EPD documents from our customers, and the quality, validity and compliance of these documents have also become more important than ever. To support purchasing decisions, our customers now expect to be able to assess and compare the environmental impact of a product. To better meet these changing expectations, in 2023 we started to improve our LCA process, including full ISO compliance, third-party verification and registration. From the second half of 2024, we plan to be able to provide our customers with EPD documents produced according to the new process. However, the purpose of the LCA process is not only to produce EPD documents. It can also facilitate the development of products with minimal environmental impact, through the use of appropriate software and knowledge of the material impacts of products. This is why we have set ourselves the target of implementing LCA in the product development process by 2024, and helping our engineers to consider environmental impacts in their design process.

As part of our sustainability work, we are improving the way we package our outdoor luminaires. We are prioritising packaging that uses recycled or environmentally friendly materials wherever possible, while using streamlined designs to reduce our environmental footprint. Our objective is to minimise waste while maintaining the integrity and protection of our products. These innovative packaging solutions are part of our wider commitment to sustainability throughout the entire lifecycle of our products, from manufacture to disposal. The redesigned packaging of our ALURA luminaire has significantly reduced our logistic GHG emissions. Firstly, we switched to a smaller box that uses less material, by changing the placement of the product inside the boxes. Secondly, we eliminated all internal corrugated inserts, reducing the total amount of material used. Finally, by switching to a smaller pallet size (from 800x1500 to 800x1200), we not only reduced the carbon footprint of the lorries, but also increased the transport capacity by 25%. By changing the pallet size for our ALBANY luminaire from 800x1200 to 1200x1200, we have significantly improved pallet utilisation and coverage from 72% to 96%. This has resulted in a significant reduction in the environmental impact of logistics. Our OWLET range was previously packaged in plastic. However, due to the negative environmental impact of plastic, including land and sea pollution and harm to wildlife, we sought a more environmentally friendly alternative and switched from plastic to paper packaging.

LifeCycle Assessment & Environmental Product Declaration

The Life Cycle Assessment (LCA) is the process of evaluating the environmental impact of a product over its lifetime, while the Environmental Product Declaration (EPD) is the document that communicates the details of the LCA results. At Schréder, we established our LCA process in 2019, and since then we have been able to provide our customers with cradle-to-grave LCA results and EPD

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