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Last modified: 22 May 2019 17:07

Course Overview

This course introduces key techniques from economics and finance to allowing understanding of the basics of business decision making within the energy industries and the economic implications of key energy policies. We consider basic financial concepts such as: present value, the opportunity cost of capital and their role in business decision making in energy industries. We also consider key economic elements of markets and how the economic environment structures the way in which businesses make decisions and energy market outcomes.

Course Details

Study Type Postgraduate Level 5
Session First Sub Session Credit Points 15 credits (7.5 ECTS credits)
Campus Old Aberdeen Sustained Study No
  • Dr Sola Kasim

What courses & programmes must have been taken before this course?

  • Any Postgraduate Programme (Studied)
  • One of Master Of Science In Strategic Studies & Energy Security (Sept Start) (Studied) or MSc Energy Politics and Law (Studied) or MSc Oil and Gas Enterprise Management (Studied) or MSc Reservoir Engineering (Studied)

What other courses must be taken with this course?


Are there a limited number of places available?


Course Description

Introduction to energy markets

Oil: History of the world oil market, Natural resource depletion, Hubert Curve and Peak Oil. OPEC.  Electricity:  Industry Structure, Ownership, Regulation and Reform in the UK. 

Understanding Markets   Introduction to the Economics of Consumer and Producer Behaviour Oil Supply and Demand Curves Price Determination: Recent oil market behaviour.

Wholesale Electricity Markets:   Peaking Load Prices and Market Efficiency.  “Missing Money” Problem.    Understanding UK Electricity Market Reform.   

Investment Appraisal Techniques and Project Evaluation.  The Economics of Renewable Energy Projects: Project Economics in Petroleum Economics and the role of the Government :   

Energy and the Environment:  Market Failure and Global warming.  

In light of Covid-19 this information is indicative and may be subject to change.

Contact Teaching Time

Information on contact teaching time is available from the course guide.

Teaching Breakdown

  • 2 Lectures during University weeks 13 - 17
  • 1 Tutorial during University weeks 14 - 17

More Information about Week Numbers

In light of Covid-19 and the move to blended learning delivery the assessment information advertised for second half-session courses may be subject to change. All updates for second-half session courses will be actioned in advance of the second half-session teaching starting. Please check back regularly for updates.

Summative Assessments

First attempt: 

In class test (20%)

2-hour examination (80%)

Resit: 100% two hour written examination.

Formative Assessment

There are no assessments for this course.



Course Learning Outcomes


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