This course provides an in-depth overview of the governance structures in the international and regional markets of coal, oil, and natural gas. After discussing the carbon constraint of fossil resources and the future perspectives of fossil consumption, the course will offer detailed insights into the value-chains and challenges of each of the three sectors. For coal, domestic brown coal (lignite) markets will be distinguished from international steam coal markets, and the technological challenges of low-carbon coal technologies will be discussed. In oil markets, the supply structure around OPEC is critical, as well as distinguishing the different crude oil varieties. Natural gas markets are mostly regional markets with specific challenges; of them we will highlight the current European supply security topic. Different analytical concepts will be introduced to support a well-founded analysis of the sectors, such as game theory and institutional economics (contract theory).
The class will be a mixture of lectures and discussions of topical events. Required reading has to be prepared for each class and recommended reading will additionally be provided. In addition to the final written exam, students will be required to prepare a group term paper; work progress and intermediate results of the term paper have to be presented in the mid-term exam session.