Schneider Electric: WEF Lacked Scope on Sustainability

As global leaders depart from this year’s World Economic Forum in Davos, Stuart Lemmon of Schneider Electric suggests that a valuable opportunity exists to further advance the agenda.

The CEO of EcoAct and Global Head of Practices at Schneider Electric’s Sustainability Business explains: “While discussions around geopolitics, AI and world trade take centre stage, it is crucial that equal attention is given to climate adaptation, biodiversity financing and resilience building. These issues are key to addressing the world’s most urgent challenges.”

“These matters are not merely complementary—they are essential to securing global stability and fostering long-term prosperity.”

Read Stuart’s full letter to the WEF below.

A system under pressure

Dear Chair of the World Economic Forum,

The climate crisis, no longer a distant scenario, is a present reality, eroding the fabric of global economies.

According to the CDP Corporate Health Check, only 10% of companies effectively integrate climate considerations into their strategies.

This gap threatens economic stability and growth, with climate inaction projected to slash global GDP by 18% by 2050.

Beyond mitigation, the world must urgently invest in adaptation strategies to buffer against irreversible impacts.

Similarly, biodiversity loss is not just an environmental issue but an economic one. The WEF’s own Future of Nature and Business report estimated that transitioning to a nature-positive economy could unlock US$10.1tn annually.

Yet, biodiversity financing remains severely underfunded, with significant gaps in public and private investment.

What business leaders can leverage

Resilience and adaptation are not barriers to growth; they are growth enablers. Businesses and governments that integrate these principles into their strategies stand to reap enormous rewards.

Financial institutions are already making progress through initiatives like the Finance for Biodiversity Pledge, which commits signatories to advancing sustainable practices.

However, broader action and leadership are needed to scale these efforts globally.

For businesses, the journey begins with assessing current operations to provide a clear picture of risks and opportunities.

From there, companies must commit to science-based targets and develop robust strategies to increase resilience. Transitioning these strategies into action requires systematic governance, stakeholder engagement and capability building.

Finally, businesses must implement comprehensive emissions-reduction initiatives across their operations and supply chains.

This can be achieved through improved efficiency and operational enhancements, paired with investments in nature- and technology-based solutions that promote ecosystem regeneration. Together, these efforts pave the way for sustained long-term success.

A clear business case

The momentum is already building. Financial markets are increasingly rewarding companies with resilient, climate-conscious strategies.

Investors now factor sustainability into allocation decisions, recognising that companies with robust climate strategies are better positioned for long-term success.

This shift in capital flows is catalysing business transformation across industries, creating competitive advantages for early movers and challenging those that lag behind.

The implications for business leaders are clear and compelling. The question is no longer whether to act, but how quickly they can transform their operations to capture available opportunities.

Those waiting for perfect certainty risk falling behind competitors who are already building the capabilities and market positions that will define success in the coming decades.

The cost of inaction, in terms of missed opportunities and increased risks, continues to grow.

Broadening the dialogue post-Davos

Davos missed a crucial opportunity to address the interconnected challenges of climate adaptation, biodiversity financing and climate resilience – issues uniquely suited to its role as a bridge between public and private sectors.

Beyond mitigating emissions, actionable frameworks for strengthening global resilience to extreme weather events, rising sea levels and water scarcity are urgently needed.

Investment in nature-based solutions remains woefully inadequate and policymakers alongside private-sector leaders must prioritise unlocking capital for protecting and restoring ecosystems.

Resilience extends beyond infrastructure to financial systems, supply chains and human capital – embedding it into strategies is essential for businesses and governments alike.

The economic implications of adaptation, biodiversity financing and resilience building cannot be overstated. These are not issues to be relegated to the sidelines while other topics dominate the agenda.

As we look toward COP30, the global community must demand better. The integration of adaptation, biodiversity and resilience into global economic discussions is not optional – it is essential.

This is a collective opportunity where every organisation can make an impact, working together to safeguard both economic and business stability.

We urge you to make these issues a priority in all future discussions. Ensure that platforms like Davos champion actionable frameworks, dedicated investments and collaborative strategies that drive climate adaptation and biodiversity financing forward. Elevating these topics to the same level as trade, technology, and geopolitics is vital for safeguarding both economic prosperity and long-term business resilience.

Together, we can shape a future where business leadership and innovation converge to create lasting value.

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