Syllabus
Course outline:
1. Introduction to the economics of the power sector (supply and demand for power, structure of the industry – generation, transmission and distribution, retail supply);2. Possible models for organising the power sector, technical characteristics that affect that choice and sector liberalisation;3. Need for economic regulation and current approaches to regulation and related concepts (cost plus or rate of return, price cap vs revenue cap, RIIO, RAB, etc.);4. Wholesale electricity trade, including energy only markets and capacity markets, and competition issues;5. Investment decision making in generation and transmission;6. CO2 emissions, overview of decarbonisation policy instruments, EU ETS;7. Renewables and energy efficiency measures; and8. Retail supply, retail competition and retail pricing (including concepts of long run and short run marginal costs, average costs and market failures related to information).
Annotation
The course will be taught as compact course in AY 23/24 over 3 days between Wednesday 5th of June and Friday 7th of June, 2024.
Registration into this compact course is open until the first day of the course.
This course covers a variety of theoretical and empirical topics related to the economics of the power sector. This includes concepts such as supply and demand for power, the structure of the industry (generation, transmission and distribution, retail supply), economic regulation of the power sector, wholesale power markets and their design (including competition issues), energy efficiency and retail supply, among other topics.
The core objective of this course is to gain a good understanding of the power sector with a focus not only on theoretical concepts but also on a more practical application of economic concepts related to power markets.
Day 1: Wednesday 5 June, 2024: (3 sessions in total): two morning sessions (9-10:30 a 11:00 - 12:30), one afternoon session (14:00 - 15:30);
Day 2: Thursday 6 June, 2024: (3 sessions in total): two morning sessions (9-10:30 a 11:00 - 12:30), one afternoon session (14:00 - 15:30);
Day 3: Friday 7 June, 2024: (2 sessions in total): two morning sessions (9-10:30 a 11:00 - 12:30).
Room: 314