MANAGING THE ENERGY TRANSITION

The course will explore economic theory and empirical perspectives related to the energy sector. It will focus on global, national and local aspects for oil, natural gas, coal, electricity, nuclear power, renewable energy, energy storage and hydrogen sector, examining and comparing fundamentals of various energy sources with focus on the economics and energy market dynamics in light of energy transition and climate change environment. It will analyze how energy markets characteristics affect economic efficiency goals, will discuss approaches to evaluating the welfare effects and policies that are used to address market failures, including taxation, price regulation and deregulation, energy efficiency and control of emissions locally and on global level. The course aims at introducing students to current understanding and analysis of basic economic and business concepts that underlie energy all throughout its value chain, from production to end-uses, its geopolitical aspects and energy macrotrends. Students should be enabled to understand how local, regional and global institutions affect energy markets. Become familiar with contemporary public policy issues related to energy sector. Comprehend fundamental concepts of the economics of natural resources. Apply the concepts learnt to the analysis of specific energy industries and policy questions. Students should be able to undertake their own analysis of energy issues.

It is assumed that all students have knowledge of basic macro and micro-economic principles.

• Knowledge and understanding: Understanding of basic economic and business concepts of energy sector value chain, its geopolitical aspects and energy macrotrends in light of energy transition and climate change environment. • Applying knowledge and understanding: Students attending this course are expected to apply the concepts learnt to analysis of specific energy industries and energy policy questions with focus on economic and business aspects. Students should be able to undertake their own analysis on energy issues understanding critical aspects and different/opposing positions and interests in light of energy and climate policies. • Making judgements: Students attending this course are expected to i) demonstrate critical thinking skills, identify key concepts in readings and describe the steps of an argument; ii) critically evaluate common readings in discussions with lecturers and fellow students. • Communication skills: Students will be evaluated based on their stance, energy, confidence and appropriate use of scientific language. • Learning skills: Students will be evaluated based on their ability to understand and apply all acquired knowledge to class and team discussions.

Overview of the energy sector, Fundamental concepts on energy, Energy and economic development, Long term trend in the energy demand and mix, The impact of the gas crisis in the EU energy sector, Market Design, The economics and uncertainty of nuclear power, Energy & sustainability & climate change, Carbon Markets, Tackling climate change technologies, Gas sector, Geopolitics of energy, Liberalization & regulation of the energy sectors, Risk management & energy trading, European policies, Hydrogen sector, Power market regulation, Electricity industry

There is no assigned textbook for the course. Lectures will be supported by presentations to be handed out before each class. Further reading material will be indicated during the course.

The course will consist of traditional lectures, cases analyses and meetings with the participation of energy industries experts on some of the topics included in the course program.

For attending students (will be considered those that will confirm the participation on the survey on Luiss learn page): the evaluation is based on the combination of 4 different assessments: 1. Classroom participation (10%): active participation during the lessons, Q&A 2. Exercises, case studies and papers analysis (30%): resolution of tests and comment to the articles provided during the course 3. Project Work (30%): research-project based on a subject agreed with the teacher during the first 3 weeks of the course, prepared in a group of 2/3 person (approximately 10-15 pages of word document or ppt presentation). The evaluation criteria are: a. Exposition of the Executive Summary (15%) b. Deepness of the analysis of the specific topics (35%) c. Quality of the presentation (10%) d. Critical thinking / personal view (25%) e. References & sources (15%) The PW should be completed and sent to the Professor 1 week before the final exam. The Executive summary is based on a ppt presentation synthesizing the main highlights of the project work. Students present the executive summary (5-10 minutes) in the last weeks of the course during lesson time (volunteers are more than welcome). 4. Final exam (30%): comment on an article and answer to related questions The assessment related to the participation and the exercises/case studies/paper analysis carried out during the lessons will be valid only for the winter exam session. For not attending students: the evaluation is based on the combination of 2 different assessments: 1. Project Work (30%): research-project based on a subject agreed with the teacher, prepared in a group of 2/3 person or individually (approximately 10-15 pages of word document or ppt presentation). The evaluation criteria are: a. Exposition of the Executive Summary (15%) b. Deepness of the analysis of the specific topics (35%) c. Quality of the presentation (10%) d. Critical thinking / personal view (25%) e. References & sources (15%) The PW should be completed and sent to the Professor, 1 week before the final exam. The Executive summary is based on a ppt presentation synthesizing the main highlights of the project work. Students present the executive summary (5-10 minutes) in the same day of the exam (on a specific time slot agreed with the Professor). 2. Final written exam (70%): Comment on an article and answer to related questions + resolution of tests

Involvement during the lectures, exam result, interest on topics addressed during the course.