Quantitative Methods in Energy Market Modelling
It is the purpose of the course to understand and quantitatively analyze the economic interaction of the players and institutions in liberalized energy markets. Liberalized electricity markets can be segmented in a regulated part (the networks) and the non-regulated parts (generation and retail) where private companies interact in a market environment. The interaction of the different agents is analyzed with computational equilibrium frameworks based the concepts applied in industrial organization. Next to the fundamental understanding of the relevant market interaction, the models allow for a quantitative analysis of proposals for the design of energy markets. The participants thus develop the tools for an autonomous assessment of currently discussed policies in liberalized electricity markets (e.g. changed support schemes for renewables, changed network tariff systems, impact of capacity markets).
The course aims at students in the field of economics /business as well as students in the fields of engineering and mathematics. An integral part of the course id formed by homework assignments conducted in groups. The ability to cooperate also beyond the classical limits of each discipline is an important qualification for the students’ careers, which should be stimulated in the context of this course.
- develop a clear picture of the relevant market participants in liberalized electricity markets and understand their incentives and objectives
- learn fundamental concepts and models which allow to analyze the interaction at those markets
- get to know important publically available data sources which allow for a quantitative analysis of the market situations considered
- know the current challenges when designing those markets and can quantitatively analyze the solutions proposed in the current policy debate.
The students should be familiar with the mathematical methods acquired during their Bachelor degree.
Institutional knowledge of electricity markets is not required.
Syllabus for Summer Term 2019:
This is a block course and takes place on Monday, 15:00 – 18:15 in room LG 3.152/3.
Lecture (2 SWS): 7 Blocks, Exercise (1 SWS): 4 Blocks
29.04. (L), 06.05. (L), 13.05. (E), 20.05. (L), 27.05. (L: 15:00 – 16:30 & E: 16:45 – 18:15), 03.06. (E), 17.06. (L), 24.06. (L), 01.07. (E), 08.07. (L)
The contact person for this course is Christian Sölch.
The password for the StudOn Course is „equilibrium“. Please register there and bring the material for chapters 1-3 to the first lecture, so you can make additional notes during the lecture.
The written exam takes place on Monday, 22 July 2019, 15:00 – 16:30 in room LG 0.224.
There is no registration required for participating in this course. A participation is possible at any time.
Please note: The examination office has application deadlines for the exam registrations!