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2023/2024  KAN-CCMVI2122U  Energy Economics and Policy

English Title
Energy Economics and Policy

Course information

Language English
Course ECTS 7.5 ECTS
Type Elective
Level Full Degree Master
Duration Summer
Start time of the course Summer
Timetable Course schedule will be posted at calendar.cbs.dk
Min. participants 30
Max. participants 60
Study board
Study Board for cand.merc. and GMA (CM)
Course coordinator
  • Christine Brandstätt - Department of Economics (ECON)
For academic questions related to the course, please contact course responsible Christine Brandstätt (cbr.eco@cbs.dk).
Main academic disciplines
  • Economics
Teaching methods
  • Face-to-face teaching
Last updated on 22-11-2023

Relevant links

Learning objectives
To achieve the grade 12, students should meet the following learning objectives with no or only minor mistakes or errors:
  • Demonstrate a good knowledge of fundamental energy economic principles
  • Recognise the driving forces and the economic, regulatory, technological, environmental, social, and policy aspects of a business model within the energy sector
  • Understand the link between a business model and the current and future challenges of the energy sector
  • Discuss the link between a business model and the regulatory framework (e.g., policies, regulation, and market design)
Course prerequisites
Completed Bachelor degree or equivalent. Some prior knowledge of Microeconomics. Interest in Energy Economics and the application of economic principles.
Energy Economics and Policy:
Exam ECTS 7,5
Examination form Written sit-in exam on CBS' computers
Individual or group exam Individual exam
Assignment type Written assignment
Duration 4 hours
Grading scale 7-point grading scale
Examiner(s) One internal examiner
Exam period Summer
Aids Limited aids, see the list below:
The student will have access to
  • basic IT application package
Make-up exam/re-exam
Same examination form as the ordinary exam
The number of registered candidates for the make-up examination/re-take examination may warrant that it most appropriately be held as an oral examination. The programme office will inform the students if the make-up examination/re-take examination instead is held as an oral examination including a second examiner or external examiner.
The 1st retake is the same as the ordinary exam (i.e. the 4 hour written exam), new exam question.
Course content, structure and pedagogical approach

Course content:


Energy is one of the world’s largest industries and has an essential role in economic activity and in our daily lives. At the same time, it is a major contributor to the depletion of natural resources, climate change, and environmental pollution.


In this context, the decarbonisation of the energy sector is a key element in mitigating climate change and maintaining security of supply. The Green Transition implies massive transformations in the energy industry and in energy-intensive sectors from technical, economic, social, and political viewpoints.


This course introduces the students to the analysis of the energy sector and its ongoing transformation from an economic perspective. In particular, it will familiarize the students with the economic characteristics of energy, sector organization, the transition towards sustainable and renewable energy, relevant business models, and the economic reasoning behind their regulatory framework. The lectures are based on 3 timely case studies: offshore wind, demand-side flexibility and hydrogen/ Power to X. These cases cover economic, technological, and policy aspects of selected business models within the energy sector.


This module is offered by the Copenhagen School of Energy Infrastructure (CSEI), a research centre at CBS, and it is embedded in its overall strategy of research and education.


Course structure:

The course will cover the following themes:


  • Microeconomics of energy use, energy demand, and energy supply.
  • Technology and innovation, support mechanisms: renewable energy sources, their integration into the energy system, and support policies.
  • Introduction to energy economics: sector organisation and governance, vertical relations, market power, market failures, economies of scale, externalities, natural monopoly.
  • Introduction to regulatory economics: regulation of the energy sector, monopoly regulation & market design.
  • Future challenges in energy economics and policy.
Description of the teaching methods
The course offers a diverse set of learning opportunities, such as lectures, readings, supplementary online material, quizzes and discussions. It is based on 3 case studies that illustrate the economic concepts and theories taught in the course.
Feedback during the teaching period
Oral feedback will be provided continuously to the students through in-class examples, and case discussions.
Student workload
Preliminary assignment 20 hours
Classroom attendance 30 hours
Preparation 126 hours
Exam preparation 30 hours
Further Information

3-week course that cannot be combined with any other course.


Preliminary Assignment: The course coordinator uploads Preliminary Assignment on Canvas at the end of May. It is expected that students participate as it will be included in the final exam, but the assignment is without independent assessment and grading.




Expected literature

Main Literature – Selected Chapters from


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


Creti, A. and Fontini, F. (2019), Economics of electricity: Markets, competition and rules, 1st ed., Cambridge University Press: London.


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



Additional material

Collection of articles and policy reports 

Last updated on 22-11-2023