Corsi di Studio del Dipartimento di Economia e Statistica "Cognetti de Martiis"

Economics of innovation in the energy sector

Economics of innovation in the energy sector

Anno accademico 2024/2025

Sommario insegnamento

• Avvisi
• Obiettivi formativi
• Risultati dell'apprendimento attesi
• Programma
• Modalità di insegnamento
• Modalità di verifica dell'apprendimento
• Strumenti didattici
• Scheda del corso

Avvisi

Obiettivi formativi

The objective of the course is to introduce students to issues that relate to the economics of innovation and the energy sector. Through course lectures, class projects and assignments, the students will learn about the main structure of energy markets. Then, they will be introduced to the main energy markets in which innovation is crucial. The students will learn about innovation and renewables, fossil fuels and the transport sectors.

Finally, some classes will be dedicated to studying and running one of the most common energy simulation models, called the DICE model, with endogenous technological change. 

Risultati dell'apprendimento attesi

The students will know how to read and interpret journal papers about innovation and the energy sector. At the end of the classes, the students will be able to know the basics of simulation models and how to read and interpret the results of the DICE model.

The theoretical knowledge given by the course on the models of innovation and the energy sector, combined with the practical skills acquired on the DICE model will enable the students to apply the theory to real examples and understand how policy suggestions should be presented. Moreover, case studies and applied work will benefit students who want to pursue a career in the energy industry.

Programma

Week 1

Intro: energy markets and innovation

• Data on the energy markets, demand and supply
• Innovation and the energy markets: some data (report IEA )

Externalities, public goods and innovation in the energy markets

How to resolve externalities, possible measures and policies

Week 2-Week 3: Energy Markets

• Brief overview of the energy markets: gas, oil, nuclear (B+CF several chapters)

• Electricity markets and renewables:
  1. Support schemes quantity vs prices (Mananteau, 2013)
  2. Profitability of renewables and nuclear
• How do electricity markets work: DA, IM, balancing (CF, several chapters)
• RES: solar, wind onshore and wind offshore
• Networks and interconnection (CF, chapter 14,16)

Week 4: Policies to promote innovation in the energy markets

1. Introduction:
1. Environmental policy and innovation: a decade of research (Popp, 2019)
2. Directed technical change and the environment, Aghion et.al., 2012
2. Clean energy and innovation: policies
   1. Induced innovation and energy prices, Popp 2002
   2. Innovation and Enterpreneurship in the Energy Sector, (Popp 2020)
   3. Carbon pricing, energy markets and innovation: (Johnstone 2010)
   4. Subsidies and pricing, (Fisher et. Al 2008, 2017)
   5. Government support, (Acemoglu et.al 2016)

Week 5-Week 6: Case studies on policies and innovation in the energy markets

Case studies:

1. Innovation and fossil fuels: the shale gas revolution (Aghion et.al. 2023)
2. Innovation and RES
1. Sistematic review of environment policy and RES innovation (Rastegar et.al., 2024)
2. How solar power becomes cheap (Nemet 2019)
3. Innovation and transport, alternative fuels and new developments (Aghion et.al. 2016)

Week 6-Week 7: The DICE model and endogenous technological change

1. Intro to simulation methods: Energy system models (TEMOA, PyPsa, DICE)
2. The DICE model, introduction and equations
3. The DICE model: Excel version and exercises
4. Endogenous technological change in DICE (Popp, 2004)

Modalità di insegnamento

Class materials (slides, papers etc.) will be available in Moodle.

Classes will be held monday-tuesday-wednesday 10-12

Modalità di verifica dell'apprendimento

Ci sarà un esame scritto alla fine del corso

There will be a written exam at the end of the class

• Materiale didattico
• Bacheca appelli
• Orario lezioni
• Vai a Moodle
• Registrati a questo insegnamento
• Studenti registrati
• Invia email agli studenti registrati
• Esporta tabella