French energy giant invests S$16m to develop up to four Singapore firms tackling climate change

SINGAPORE — French energy giant Schneider Electric will invest at least S$16 million over the next four years to develop up to four Singapore-based companies that tackle climate change through technological innovation, it said on Wednesday (Oct 30).

The programme is part of a memorandum of understanding that was signed between Schneider Electric and the Singapore Economic Development Board (EDB), it added.

The firms selected would need to demonstrate strong global potential and the ability to scale and harness technologies such as the Internet of things (IoT), the upcoming ultra-fast 5G network, artificial intelligence (AI) and robotics to build innovative solutions, Schneider Electric said.

With the investment, the French company will also bring its expertise in energy management, industrial automation and digital transformation to help the companies go global.

In its press release on Wednesday, Schneider Electric added that it will provide the firms market access and an understanding of the global supply chain to “take these companies to the next level”.

Through the venture-building programme, Schneider Electric and EDB are seeking to create new business ventures and encourage the use of innovative solutions to tackle some of the world’s biggest problems, such as how to fight climate change and move towards the use of renewable energy, it said.

“New technology such as IoT, 5G, AI and robotics mean new opportunities to address growing markets such as distributed energy resources, energy as a service, electromobility, energy storage, and efficient heating, ventilation and cooling,” the company said.

“This investment in Singapore is part of Schneider Electric’s global innovation programme which includes incubations, investments and partnerships, and it aligns with the company’s goal to combine external innovation with internal resources and people to rapidly transform how the world uses and generates energy,” it added.

Previously, Schneider Electric partnered EDB under the EDB SkillsFuture Leadership Development Initiative to launch the Energy Generation Programme – X, a management trainee programme for graduates from the Nanyang Technological University and National University of Singapore.

Mr Emmanuel Lagarrigue, Schneider Electric’s chief innovation officer, said: “We are excited about this partnership to build new companies in Singapore.

“Singapore is a hub for innovation and we look forward to working with talented entrepreneurs to build new technology and business models.”

In response to TODAY's queries, a spokesperson for Schneider Electric said that it has not determined which local companies to work with and is currently "scouting for great companies and entrepreneurs to incubate".