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Unit (2020)

Information on this page, including unit offerings, is from the 2020 academic year.

Energy Economics (PEN593)

Organisational Unit Engineering and Energy
Credit Points 3
Availability MURDOCH: S2-internal, S2-external
Teaching Timetables Murdoch S2
Description This unit presents economic theory relevant to the energy sector, including investment decision making, energy market operation, price determination, and risk management. As a critical issue this century, externalities in the energy sector and their internalisation are covered in detail. Attention is given to open access to energy infrastructure, energy sector taxation, and the role of public utilities and government industry regulators. The unit emphasises that the role of the market should always be considered within the broader ecological and social context.
Unit Learning Outcomes On successful completion of this unit students should be able to:
1. Describe elements of economic theory that are relevant to the energy supply sector;
2. Explain key government economic practices including taxation, regulation, and privatisation;
3. Use your knowledge of economic theory to explain the nature of the energy supply sector;
4. Employ common investment decision-making technologies (e.g., discounted cash flow analysis and levelised cost) to assess the economic feasibility of a particular energy project; and
5. Understand relevant economic instruments that are used in Australia and worldwide to promote renewable energy development.
Timetabled Learning Activities Lectures/tutorials: 1 x 3 hours per week, (notionally 2 hours of lecture and 1 hour tutorial for the 12 teaching weeks.)
Unit Learning Experiences Lectures are used to introduce the main content of the unit and are available online through an LMS site. The lecture material is then reinforced by the consideration of tutorial questions in a subsequent workshop/discussion session. Knowledge is further developed through writing an essay and conducting a research project, which provide practical applications of the skills learnt through the lecture material.

The LMS site will be used to provide details of the activities and also to allow discussion of issues that arise during the unit via Forums on this LMS site. Self-directed reading of the learning materials provided on the LMS site is also important. Students should spend approximately 10 hours per week on this unit.

Assessment The assessment for this unit comprises of the following elements:
* An Essay (25%). Students are required to write a 2500 words essay that critically analyse relevant energy economic concepts.
* A Research Project (25%). Students are required to conduct a research project and write a 2500 words project report. Students can either analyse a specific issue of contemporary interest in the energy sector or quantitatively conduct an investment decision-making analysis for a particular energy related project.
* Final Examination (50%). A final, closed book exam tests the understanding, knowledge and analytical skills developed in the unit.

Feedback on assessment components is provided by the unit coordinator and teaching assistants. Additional feedback is provided to students via email and on LMS by the unit coordinator.
Prerequisites Enrolment in an honours or graduate level course. Recommended PEC592/PEN592 Energy in Society (may be concurrent).
Exclusions Students who have successfully completed PEC593 Energy Economics or OEENV593 Energy Economics may not enrol in this unit for credit.
Previously 2014: PEC593
Appears in these Courses/Majors:
see individual structures for context
Graduate Certificate in Energy and Carbon Studies (GradCertEnCbSt)
Graduate Diploma in Energy and Carbon Studies (GradDipEnCbSt)
Graduate Diploma in Energy and the Environment (GradDipEnEnv)
Master of Renewable and Sustainable Energy (MRenSusEn)
Internet Access RequirementsMurdoch units normally include an online component comprising materials, discussions, lecture recordings and assessment activities. All students, regardless of their location or mode of study, need to have access to and be able to use computing devices with browsing capability and a connection to the Internet via Broadband (Cable, ADSL or Mobile) or Wireless. The Internet connection should be readily available and allow large amounts of data to be streamed or downloaded (approximately 100MB per lecture recording). Students also need to be able to enter into online discussions and submit assignments online.


Unit Coordinator
Dr Xiangpeng Gao
Lecturer in Energy Economics and Greenhouse Accounting

Murdoch Campus
t: 9360 6957
e: X.Gao@murdoch.edu.au
o: 220.2.003J - Engineering and Energy, Murdoch Campus
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