Schneider goes along with Vietnam's green commitment

As an expert in energy management and automation, Mr. Dong Mai Lam, Cluster President of Schneider Electric Vietnam & Cambodia, believes that digitizing the energy system or electricity 4.0 plays the most important role in building a green growth economy, ensuring a sustainable future for Vietnam.

Given the issues of sustainable growth, what does the green economy mean for Vietnam at this time?

Vietnam receives $35-40 billion in FDI yearly, more than any other country in the world. This figure accounts for about 8-10% of the national GDP and 80% of which is put into production and created goods for export. That is not to include the daily electricity demand of nearly 100 million people and this demand will continue to increase in the future.

The above figures show the strong growth rate of Vietnam's economy but also pose many problems in terms of energy, and environmental protection. This is also a common trend taking place around the world. Consumers are demanding more about green products and investors are also demanding to take into account environmental and sustainability factors in production.

At COP26, the Government of Vietnam made a commitment to reduce emissions to zero by 2050, showing the importance of the transition to a green economy. Vietnam not only makes a clear commitment but also has to take specific steps to implement that commitment. We will go along with Vietnamese businesses to realize solutions for energy optimization, contributing to helping Vietnam fulfill its commitments.

It is known that Schneider Electric was recognized by Corporate Knights as the most sustainable development corporation in 2021. Recently, Schneider Vietnam was also voted Top 50 Sustainable Development Enterprises 2022. So in your opinion, which factors are the most important for a business to develop sustainably?

First, an enterprise that wants sustainable development needs to start by building a strategy or a plan with a specific roadmap. Enterprises must be able to integrate sustainability into all of the company's value chains, from building corporate values, business plans, and production processes to building a corporate culture and building a human resources team. In particular, the desire for sustainable development must be led and inspired by the leader. In our group, delivering a sustainable development roadmap is a  long-term goal that we do.

For example, in product research and development, we commit that all our products must meet the criteria of green, clean and recyclable; All the devices we make must be connected - able to serve the digitization of future energy systems.

In terms of governance, we build a culture of empowerment, and flexibility so that employees can work from home 40% of their time, so everyone can balance work life and reduce emissions carbon from transportation as well as office energy.

In addition, Schneider Electric also identifies net zero emissions as a guideline for the continuous improvement of the entire value chain of the Group, as well as with all partners in the net zero emission roadmap before 2050. By 2025 we aim to build a carbon-neutral operating system and reduce 800 million tons of CO2 for our customers.

In terms of technology, I think that for sustainable development, we must move towards digitizing all business activities. Digitizing energy management is the key to optimizing resource use and reducing carbon.

What do you think about the relationship between digital transformation in energy management and sustainable development, promoting a green economy?

According to the International Energy Agency (IEA), Vietnam is the second largest electricity consumer in Southeast Asia and one of the countries with the fastest growth in energy demand in the world. So, this country is forced to find ways to develop the electricity sector to support economic development.

The government will not be able to tackle this challenge alone. Such demand requires the participation of businesses, foreign investors, etc. to ensure that Vietnam has enough and the right kind of energy this country needs to continue sustainable development.

In terms of strategy, it can be said that digital transformation in energy management is the most important factor for sustainable development. As energy is the big reason for climate change. Currently, the energy sector accounts for 80% of global carbon emissions.

Therefore, it is necessary to have an energy management system to optimize resource use. In my opinion, digitizing energy management is the key to seeing the invisible and visualizing energy use, providing solutions to optimize natural-resource use. That is the key factor to build a sustainable economy.

In your opinion, in an enterprise, what factors do you need to build an effective energy management process and how are you prepared?

In the process of implementing our green commitments, there is a gap between what we want to accomplish and what we can achieve. Before being able to plan more specifically in the greening strategy, businesses need to optimize simple solutions that have been proven to be effective, such as reducing water use, saving energy, reducing plastic use, etc.In terms of energy management, businesses need to develop an effective energy use plan, then continuously check and audit energy use processes to ensure that they are increasingly optimized.

In addition, businesses also need to improve their awareness and knowledge of criteria and standards in energy management. For example, it is necessary to learn about the ISO 50001 standard, have a plan to train personnel as well as digitize the power system, and upgrade the infrastructure for monitoring measurement and management software, and energy management services.

Can you tell us how in the process of digital transformation of energy management, large corporations like Schneider Electric will go along with Vietnamese businesses?

Obviously, Vietnamese enterprises and the Vietnamese economy can add value and profits to their products if they achieve the set environmental goals. At the same time, effective energy management problems also help businesses increase their competitiveness. The process of energy transition poses many challenges but also presents many opportunities that we can open up together for Vietnam.

Therefore, we always aim to improve efficiency and sustainable development in many areas of the economy, with the desire to go along with the Government in promoting smart digital transformation towards the goal of sustainable development in the period 2021-2030.

Specifically, Schneider Electric will consult with the Government to plan and implement macro policies such as drafting mechanisms and policies on energy management and applying digital transformation for sustainable development.

In addition, with the experience, knowledge, and competence in building an internationally recognized energy management roadmap, Schneider Electric offers sustainable development consulting services. This service is completely independent of all other business activities of our business. Schneider Electric's consulting service will help businesses develop energy use plans, implement energy management systems, audit the entire system, and provide a very clear carbon reduction roadmap for each business.

Looking forward to a green future for Vietnam, the country is realizing the sustainability goal.

In addition, we also offer digitization solutions for smart homes, smart buildings, smart data centers, smart infrastructure, and smart grids. Thereby helping customers optimize resource use.

With support from global Schneider Electric, our long-term goal is to become a strategic digital partner of Vietnamese businesses, meeting the growing need for progress in the energy transformation, saving, and renewable energy.

We look forward to a green future in Vietnam and are excited to join hands to help realize the sustainability goal that all Vietnamese people hope to achieve soon.

(Translated by Dai Le)