Energy Markets I

This module gives a broad overview of energy markets and energy industries across all commodities. It covers the whole energy value chain from primary energy supply to energy consumption and presents the most relevant economic concepts. Focus issues are forecasting energy demand, primary energy exploration and production, supply and demand curves / merit orders in different commodities, specific feature of energy markets, price formation and organised energy trading. The module will be continued in summer with energy markets 2, focusing on renewables and grid regulation.

After successful participation in the module, students possess a broad basic knowledge regarding the economic specifications of energy markets. Furthermore, students are able to solve energy related problems self-reliantly using both, mathematical techniques as well as attained economic intuition. Participants are moreover able to transfer economic principles on the special demands of energy markets. After studying the provided literature, students are able to analyze and assess questions arising in terms of energy policy and recent developments in the fields of energy markets. Participation in the module leads to a better understanding of energy markets and enables students to develop and evaluate business processes and models in the field of energy economics. Taking part in the module enables students to competently advocate their views in discussions addressing energy economics and markets.

The module entails a written exam at the end of the term (60 minutes). In order to optimally assess the students' achievements, the exam will consist of both, a multiple choice part (20%) and open questions (80%). In the multiple choice part students mainly show that they have professional knowledge regarding the characteristics of energy markets and that are able to classify it. With answering the open questions, students demonstrate their ability to solve problems as well as their ability of abstraction. Mathematical problems will be complemented by questions mainly aiming at economic intuition and thought patterns. Apart from a nun-programmable calculator no further tools or documents are permitted (closed book).

Basic knowledge in economics (competition theory), basics in corporate strategy (Porter etc.), ideally industrial economics (market power, oligopoly, barriers to market entry, transparency etc.) and trade (call, put, forward, future etc.) Modules: - Investment and Financial Management - Mikroökonomik (Economics I) - Industrieökonomik (Industrial Economics) - Introduction to Strategy and Organization

The module consists of a lecture and an associated exercise course. The lecture provides basic knowledge about economical characteristics of energy markets via presentations. Students are encouraged to study the literature and discuss the provided topics. During the exercise courses, selected examples of problems arising in energy markets are discussed.