Energy and Environmental Policy Research 4030-EEPR
Energy is what makes an economy run. There is a strong correlation between economic development and energy consumption. The industrial revolution, which improved living standards of millions of people around the world, would not have been possible without energy obtained first from coal and then from other fossil fuels. However, during the past 30 years, the energy industry underwent significant changes. Oil price shocks, environmental regulations and deregulation of the marketplace all had lasting impacts on the industry during this period. As a result, today's energy industry is much more efficient and dynamic than the one before the early 1970s. The transformation, however, is not complete as changes in technology, economic development, ever-stringent environmental protectionism and the growing global competitiveness continue to induce a trend toward innovative market-based solutions.
In this course, the students will learn these issues within the 3-E framework (Energy-Economy-Environment) using the tools of economic analysis. In particular, students will:
• Develop an understanding of the state of the energy world.
• Study the principles of exhaustible resource economics.
• Explore the reasons for major oil price shocks as well as their similarities and differences.
• Evaluate the effects of these price shocks on the energy industry as well as on the overall economy.
• Understand the role environmental regulations play in changing the energy industry.
• Study the economics of externalities.
• Discuss the pros and cons of the Strategic Petroleum Reserve.
• Study policies of conservation, increased efficiency and alternative energy sources.
• Learn about the regulation and deregulation (or restructuring) of the energy industries.
• Understand the principles of the spot and futures markets and price risk management.
• Study current market structure (increased competition, cross-sector mergers, etc.).
• Practice with spreadsheet models of energy project finance.
• Develop and analyze scenarios for the future within the 3-E framework.
Course coordinators
Type of course
Mode
Prerequisites (description)
Learning outcomes
1. Knowledge. Upon completion the student:
• understands the concept of energy-economy-environment in relation to sustainable development and (K_W01)
• Know energy market structures and resource economics (K_W02)
• Understand environmental regulation impacts (K_W05)
• knows how to apply an interdisciplinary approach to sustainable development, using information from a variety of disciplines, and is able to evaluate the contribution of these disciplines to solving problems/challenges related to sustainable development (K_W07)
2. Skills. Upon completion, the student has an ability to:
• initiate, actively participate in and lead teams preparing documents and strategies for the implementation of the principles of energy markets and policies in various types of institutions, as well as within grassroots movements and other social initiatives (K_U01)
• work across disciplines and across sectors - draw knowledge from different disciplines and sectors to synthesize new ideas and concepts (K_U02)
• pose critical questions and find appropriate solutions (K_U04)
• participate in international and local initiatives and academic and practical debates on sustainability issues (K_U06)
• identifies the weaknesses and strengths of the standard measures taken to solve the problems of energy and environment (K_U07)
3. Social competences. Upon completion the student is ready to:
• effectively communicates verbally and in writing with the public and professionals in various fields (K_K02)
• verify and respect the opinion of other team members (K_K04)
• care about the reliability and credibility of his/her research work (K_K06)
• coordinate the work of the team (K_K08).
Assessment criteria
The final grade consists of class active participation (20%), a written mid- term exam (40%), and a final assignment in the form of an essay or research mini-project (40%).