66021 - Renewable Energy and Energy Management

Learning outcomes

At the end of the course, the student will have a basic knowledge on the production of energy from renewable sources (general overview on renewable energy, renewable energy sources and relevant indicators, environmental impact of energy systems) and the basic tools needed to understand the policies and energy plans at local and national level.

Course contents

. The course content focuses on understanding:
- how renewable energies fit into the broader context of energy consumption
- what renewable energy sources (RES) are, their advantages and limitations
It also covers how RES are organised and create value, and how other goods, services and projects can be placed within the framework of the energy transition.

The course enables students to develop their analytical and management skills.
- analysing and modelling the generation capacity of different energy sources
- calculating the profitability of investments in renewable energy sources.
- knowing how to navigate energy markets;
- knowing how to reconstruct the logic behind decisions that lead to the establishment of energy production and consumption models;

Ultimately, this knowledge and these skills should enable us to understand whether it is possible to build a society based entirely on renewable energy sources.
For Module 2, the course content addresses a series of specific objectives within the framework of these general objectives. A sample of these objectives is provided below: 
(A) In relation to investments in renewable energy:
- payback time
- ROI (return on investment) or ROC (return on capital)
- capitalisation factor
- interest payments on loans in the case of compound interest
- discount operations (discount rate and discount factor)
- levelised cost for a given technology (LCOX)
- cost of money
- net present value
- internal rate of return
B) Capacity factor, probable available capacity (CDP), and the role of storage units in strategies for the diffusion of renewable energy. The importance of the grid and investments in the electricity grid in the ecological transition.
C) Key players in the organisation of an electricity grid, with reference to the specific case of the Italian electricity grid, and the roles they play: regulators, operators, TSOs, DSOs, retailers and consumers.
D) Organisation of energy markets and different types of products: 1) Ready-to-use electricity in the short term (hour by hour); 2) Ready-to-use electricity with continuity of exchanges in the immediate term; 3) Ready-to-use flexibility services in the short to instant term; and 4) Electricity with future consumption on a forward basis.

Prerequisites Module 2: You will need a basic knowledge of economics, including an understanding of concepts such as cost, revenue, profit, income and expenditure. For an overview of these concepts, see: https://www.bancaditalia.it/pubblicazioni/quaderni-didattici/tuttixuno/TuttiXuno-Docenti-primaria.pdf
It is also recommended that you have a basic understanding of the following topics: savings and investments, and government bonds. These topics are covered in a simple and comprehensive manner on the Bank of Italy's specific section (Italian-language). Alternatively, you can consult the ECB's explainers in English. 

Students with learning disorders and\or temporary or permanent disabilities: please, contact the office responsible (https://site.unibo.it/studenti-con-disabilita-e-dsa/en/for-students) as soon as possible so that they can propose acceptable adjustments. The request for adaptation must be submitted in advance (15 days before the exam date) to the lecturer, who will assess the appropriateness of the adjustments, taking into account the teaching objectives.

Readings/Bibliography

The course consists of contributions from various disciplines and topics not included in specific monographs. It is therefore necessary to use the teaching materials provided by the lecturer. In addition to the materials provided by the lecturer, the following digital resources are recommended to help you follow the course content:
For MODULE 1 and MODULE 2
gse.it
https://www.gse.it/dati-e-scenari
https://www.gse.it/dati-e-scenari/rapporti

For MODULE 2 Peter Zweifel, Aaron Praktiknjo, Georg Erdmann Energy Economics Theory and Applications
https://link.springer.com/book/10.1007/978-3-662-53022-1
https://gme.mercatoelettrico.org/

Teaching methods

Lectures and practical exercises. The following methods will be used: case study analysis, guided discussions and individual work. The lectures aim to transfer knowledge and focus attention on key points. Guided exercises are designed to consolidate and apply the principles and tools studied on the course. Attendance, especially during laboratory sessions and practical exercises, is important for a full understanding of the subject matter.

For Module 2:
Constructivist approach. Students will actively build their understanding of renewable energy and energy transition through experience and interaction. Students are asked to express their motivations and expectations.
Active learning involves students in discussions and interactions during lessons. This is intended to stimulate participation and critical reflection.
Thematic learning and personal reflection: Students listen to pieces of music whose lyrics contain references to topics covered in class, and reflect on them personally.

Assessment methods

The assessment methods aim to evaluate the degree to which the two main objectives have been achieved:
(a) Demonstrating knowledge and analytical skills regarding the potential and limitations of renewable energy sources.
(b) Demonstrating knowledge of finance, the organisation of the electricity system, networks, the market, and the ability to calculate returns and navigate electricity markets.

The achievement of the objectives is assessed through a single oral examination.

The grade will be based on the weighted average of the two modules, according to their CFU weighting.
Questions will be open-ended and students will be asked to provide concise, relevant answers or demonstrate their calculation, assessment and orientation skills, in line with the course's objectives and content.

Office hours

See the website of Diego Marazza

See the website of Andrea Contin