English   Danish

2021/2022  BA-BHAAV6040U  Sustainability and Business: Energy Markets, Competition, and Regulation

English Title
Sustainability and Business: Energy Markets, Competition, and Regulation

Course information

Language English
Course ECTS 7.5 ECTS
Type Elective
Level Bachelor
Duration One Semester
Start time of the course Autumn
Timetable Course schedule will be posted at calendar.cbs.dk
Max. participants 60
Study board
Study Board for BSc in Economics and Business Administration
Course coordinator
  • Alexandra Lüth - Department of Economics (ECON)
  • Tooraj Jamasb - Department of Economics (ECON)
Main academic disciplines
  • Economics
Teaching methods
  • Blended learning
Last updated on 22-02-2021

Relevant links

Learning objectives
Energy sector is arguably the largest industry in the world. At the same time, it is a major contributor to environmental pollution, greenhouse gas emissions, and depletion of natural resources which closely links the energy sector to climate change. The climate crisis is one of the major challenges to overcome in this time and the decarbonisation of the energy sector is a crucial element in mitigating climate change and a key item of the recently signed European Green Deal.

The aim of this course is two-folded. First, learn about the explanatory capacity of theory and models of market regulation and competition policy. Second, apply economic analysis to an increasingly sustainable and international energy context. Given the demand for professionals specialised in economics and law in the energy business (consultants, practitioners, regulators, members of national and international competition authorities, etc.), one of the key objectives of this module is to provide the students training in economic aspects on which economic regulation and competition policy are based. The aim is to enable the students to:
  • Understand the current and future trends for a sustainable energy sector based on renewable energy sources
  • Demonstrate a comprehensive knowledge of energy economics, markets, and networks
  • Describe the main assumptions of economic models of competition and monopoly
  • Demonstrate a comprehensive knowledge of the fundamentals of regulatory economics
  • Explain the economic substance of specific concepts that are applicable to regulation in energy economics
  • Select, formulate, and discuss examples that reflect such assignments faced by different participants (regulators, practitioners, etc.) in the energy business
Course prerequisites
Mandatory prerequisites: Working knowledge of Microeconomics.
Interest in the application of Microeconomics to Energy Economics, Regulatory Economics and Industrial Economics.
Sustainability and Business: Energy Markets, Competition, and Regulation:
Exam ECTS 7,5
Examination form Written sit-in exam on CBS' computers
Individual or group exam Individual exam
Assignment type Written assignment
Duration 3 hours
Grading scale 7-point grading scale
Examiner(s) One internal examiner
Exam period Winter
Aids Closed book: no aids
However, at all written sit-in exams the student has access to the basic IT application package (Microsoft Office (minus Excel), digital pen and paper, 7-zip file manager, Adobe Acrobat, Texlive, VLC player, Windows Media Player), and the student is allowed to bring simple writing and drawing utensils (non-digital). PLEASE NOTE: Students are not allowed to communicate with others during the exam.
Make-up exam/re-exam
Same examination form as the ordinary exam
If the number of registered candidates for the make-up examination/re-take examination warrants that it may most appropriately be held as an oral examination, the programme office will inform the students that the make-up examination/re-take examination will be held as an oral examination instead.
Course content, structure and pedagogical approach

Since the liberalisation of the energy sector (particularly electricity), its constituent parts have received distinct treatments, leading some segments to be opened to competition while others have remained as regulated natural monopolies. This course introduces students to analyse the different parts of the energy sector from an economic perspective. In particular, it makes the students familiar with the energy sector, relevant models, economic characteristics of energy, and applications of economic analysis to market competition and regulation of the energy markets.


The course combines theoretical approaches to markets, competition, and regulation with the application to the energy sector.


The course develops along the following topics and structure:


  • Major energy sources and their markets: fossil fuels (oil, gas, coal), nuclear, renewables; electricity, transport
  • Microeconomics of energy use, energy demand, and energy supply
  • Economic analysis of domestic and international energy market structures: competitive, monopoly, oligopoly, cartel
  • Introduction to economic regulation: theory and principles
  • Economic regulation of energy markets and utilities and regulatory management
  • Economics of investment in renewable energy sources
  • Economics and political economy of climate change, national policy, and international cooperation

This module is endorsed by the Copenhagen School of Energy Infrastructure (CSEI) at CBS and it is embedded in its overall strategy of research and education. CSEI is directly supported by the European Commission (DG Energy).

Description of the teaching methods
Lectures where students are expected to participate actively, and case-based seminars/lectures.
Feedback during the teaching period
Through oral discussions in class, cases and quizzes
Student workload
Lectures 36 hours
Preparation for lectures 142 hours
Preparations for the exam 25 hours
Exam 3 hours
Expected literature


Mulder, M. (2021). Regulation of Energy Markets (Vol. 80). Springer International Publishing.


Selected chapters from:


Bhattacharyya, S.C. (2019). Energy Economics: Concepts, issues, markets and governance, 2nd ed., Springer.


Cretì, A., and Fontini, F. (2019). Economics of Electricity. Markets, competition and rules. Cambridge University Press.


Decker, C. (2018). Modern Economic Regulation. Cambridge University Press.


Additional material

Collection of articles and policy reports 

Last updated on 22-02-2021