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Energy Economics and Policy
Last Updated: 2026-02-05 15:19:46
Abstract
The course offers basic knowledge of energy economics, energy markets, energy resources and statistics, concepts of energy efficiency and substitution potentials, technological adaptation to climate change, obstacles and market imperfections, and the methods to identify impacts of related energy and technology policies. The energy policy section covers general and specific policy instruments.
Objective
The objective of the course is to develop a solid understanding of energy economics, energy statistics, energy modelling methods, and related policy areas and to develop a "dogging" competence to energy and climate policy issues. The course is an obligatory course of the Master of Energy Science and Technology starting in 2008.
Content
1. Reserves and resources of non-renewable resources, depletion mid-point of world oil production and its implication on world energy prices; 2. Energy statistics at the national and international level, energy balances, cumulative energy demand; 3. Efficiency potentials in theory and applied to energy services, useful energy, final and primary energy conversion at the business, sector, macroeconomic and welfare economic level; 4. Energy intensity concepts of sectors and economies, international division of labour, structural change of economies, the 2000 Watt per capita industrial society; 5. Energy demand projections: boundary conditions and scenario design, quantitative models, reasons for pitfalls of energy demand projections; 6. Examples of sectoral energy demand projections, additional investments and reduced demand and emissions, iteration of consistent scenarios by model systems (bottom up-/top down); 7. Obstacles and market imperfections in energy markets and markets of efficiency products: costing, transaction cost, lack of information and market survey, lack of capital and financial flexibility, socio-economic factors in companies and administrations, prestige and preferences, international trade; 8. Co-benefits and ancillary benefits in theory and examples for buildings and industrial investments; 9. External cost of energy use and conversion; different methods of identification, quantification and monetarisation; 10. Energy policy objectives, general instruments (taxes, emission certificates, subsidies); 11. Energy policy instruments (sector specific: energy labeling, professional training, technical standards, learning local networks, R&D. technology specific subsidies, feed-in tariffs, and others; 12. national and international energy law, Swiss system of ordinances, standards and energy related norms, Kyoto Protocol and its implementation.
Resources
Lecture Notes
The script of the course is in English with an annex offering German-English technical terms and a glossary. Complex relationships are described by black board design or beamer presentations. The script also incorporates former exercises with exemplary solution attached and hints for further literature.Will be sold in the first lecture on March 22 for CHF 10.-.
Literature
Banks F.E. 2000. Energy Economics: A Modern Introduction. Kluwer Academic Publishers, Dordrecht. Blok K. 2006. Introduction to Energy Analysis, Techne Press, Amsterdam. Cleveland, C.J., and Morris, Ch. 2006. Dictionary of Energy, Elsevier, Amsterdam, Boston. Sorrell S., O’Malley E., Schleich, J. and Scott, S. 2004. The Economics of Energy Efficiency – Barriers to Cost-Effective Investment, Edward Elgar Publishing Limited, Cheltenham, UK External Cost: EXTERN-E: http://externe.jrc.es/index.html Hensing I, Pfaffenberger, W., Ströbele, W. 1998: Energiewirtschaft – Einführung in die Theorie und Politik. Oldenbourg, München UNDP/World Energy Council/UNDESA 2001: World Energy Assessment. New York.
General Information
- Language
- German
- Levels
- DS , BSC , MSC
- Frequency
- Yearly recurring
Examination
- Type
- end-of-semester examination
Course Components
| Type | Title | Time & Place | Hours |
|---|---|---|---|
| lecture with exercise |
Energy Economics and Policy
Lehrsprache: Deutsch und Englisch
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2 h weekly |
Offered In
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Compulsory Electives GESS (Categorically all students at ETH Zurich are required to obtain 8 credit points (ECTS) within the frame of this elective course program throughout their studies; 6 credit points during the bachelor and 2 for the master. Some of the lectures are part of other departments’ curricula. Further information can be found in the course catalog or at the particular student offices.)
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Application Area (only necessary for MSc in Applied Mathematics)
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