Economics of energy systems

Course guarantor:

Lecturer:

Tutor:

Supervisor:

Department of Economics, Management and Humanities

Synopsis:

The aim of the course is to acquaint students with the emerging issues and problems associated with decentralization and liberalization of energy markets. These are two main groups of issues: how to address economic issues within interconnected markets and how to address economic issues within a decentralized market. In the course, students will learn how to connect technical calculations with the determination of economic variables - especially prices. Key issues are supply zones, transit payments, loss-sharing, re-dispatch. It is also about dividing costs between customers, setting tariffs for electricity, dividing effects from decentralized production and more. Within the subject, the students will replicate the calculations and procedures that are currently delivered within the interconnected electricity system. The aim is to analyze and identify the strengths and weaknesses of these processes.

Requirements:

Syllabus of lectures:

1. Technology and operation of electric power systems

2. Power system economics

3. Electricity regulation: principles and institutions

4. Monopoly regulation

5. Economy of electricity distribution

6. Economy of electricity transmission

7. Electricity generation and wholesale markets

8. Electricity tariffs

9. Electricity retailing

10. Regional markets

11. Electricity and gas

12. Challenges in power sector regulation

13. Economics of advanced power system

14. Reserve

Syllabus of tutorials:

Study Objective:

Study materials:

Obligatory:

1. Ignacio J. Pérez-Arriaga, Regulation of the Power Sector, Springer, London, Springer-Verlag London 2013

Recommended:

2. Daniel Kirschen, Goran Strbac, Fundamentals of Power System Economics, John Wiley & Sons, 2005

3. Darryl R. Biggar, Mohammad Reza Hesamzadeh, The Economics of Electricity Markets, Wiley-IEEE Press; 1 edition (September 22, 2014)

Note:

Further information:

No time-table has been prepared for this course

The course is a part of the following study plans:

• Doctoral studies, daily studies (compulsory elective course)
• Doctoral studies, combined studies (compulsory elective course)