International Energy Markets

Aim

After the course the student should be able to:

• Demonstrate an understanding of what constitutes an (energy) market and distinguish what functions it fulfils.
• Describe and compare different energy carrier supply chains and assess how global events influence these supply chains and the international energy market.
• Explain and analyse the function of the electricity market and the relationship between energy supply, conversion, distribution, and use, and their effects on electricity markets.
• Apply and analyse common financial instruments and analyse risk reduction strategies used in energy trading.

Content

This course provides an in-depth understanding of how international energy markets function, focusing on the supply chains of different energy carriers and their global interconnections. Students will explore how energy markets emerge, evolve, and are influenced by global events impacting international energy markets, such as technological advancements, financial trading, and regulatory changes. The course covers major energy commodities, including oil, coal, and natural gas, alongside the electricity market, which plays a crucial role in the transition to sustainable energy. Through the study of financial instruments within energy markets, such as commonly used derivatives, students will gain insights into energy trading and risk management. The course examines the entire energy supply chain, from extraction and transportation to market distribution and end-use, highlighting the effects of economic, geopolitical, and policy shifts. Additionally, the course connects global energy markets to regional energy systems, including district heating, and explores different pricing models.