SPRING 2013 SYLLABUS ECO 405/590: SUSTAINABLE ENERGY ECONOMICS AND POLICY Instructor: Sharon (Wagner) Klein School of Economics 305C Winslow Hall (207) 581-3174 Office Hours: Tues/Wed 2-3pm or by appointment Prerequisites ECO 120 and ECO 121, or ECO 410, or equivalent; or permission Required Texts Everett, B., Boyle, G., Peake, S., Ramage, J., 2012, Energy Systems and Sustainability, Second Edition, Oxford University Press, ISBN: 978-0-19-959374-3. Boyle, G., 2012, Renewable Energy: Power for a Sustainable Future, Third Edition, Oxford University Press, ISBN: 978-0-19-954533-9. To purchase combo pack at reduced price, ISBN: 9780199307449 You are also required to register for TopHat Monocle (see instructions on Blackboard: “Student Quick Start Guide”) Course Description This course presents the economic, environmental, and social implications of energy supply, distribution, and use in the context of transitioning toward a sustainable energy future. A variety of energy types are examined including fossil fuels, nuclear power, and a range of renewable energy technologies including solar, wind, biomass, hydro, and geothermal power. The effects of energy use on greenhouse gas (GHG) emissions and climate change, on air and water quality, and on human health are considered along with policies to mitigate these effects such as carbon prices, emissions targets, efficiency requirements and investments, and renewable portfolio standards. The effects of import dependence and development of indigenous renewable energy resources on energy security and regional economic growth and development are assessed. Alternative future energy paths are developed that are consistent with environmental stewardship, energy security, and sustainable economic growth and development. Course Learning Objective: Pending UPCC approval, it is expected that this course will meet the University of Maine’s general education requirement for the areas of Population and the Environment, and Quantitative Literacyi. The main objective of this course is to expand your understanding of and reasoning skills related to energy choices, issues, and policies in the context of the varied social, economic and environmental implications of energy production, distribution and use. Course Learning Outcomes 1 Upon successful completion of this course, students will be able to: 1. Distinguish between concepts of power and energy and convert between power and energy units across a wide range of energy resources, technologies and uses. 2. Analyze data from the U.S. Energy Information Administration, International Energy Agency, and other resources in order to describe the total amount of energy used in the U.S. and world economies over time, the trends in energy intensity, the trends in energy prices, and the trends in traditional and alternative energy (TAE) shares 3. Identify the key TAE resources and technologies and describe their development costs, production structure, market characteristics, and special issues 4. Compare the social costs and benefits of TAE production, distribution and use with respect to climate change, other environmental impacts, and human health and wellbeing, and explain the basic methods used to arrive at these social cost estimates 5. Explain what “energy security” means, how it relates (or not) to import dependence, how it can be measured, and how TAE resources and technologies rank in terms of energy security impacts 6. Explain what a sustainable energy-environment-economy path is, what makes it sustainable, why there must be transition to it, and what the key features of the transition are expected to look like (including timing) 7. Compare centralized and distributed energy approaches and explain how each might be included in a sustainable energy path 8. Use multi-criteria decision analysis to compare energy options and develop sustainable energy portfolios 9. Describe the key policies that will facilitate the transition and explain the economics of how the policies will introduce incentives that will support the transition 10. Describe and explain the effects of TAE resources and technologies on economic growth and economic development including transition effects and those associated with moving the economy along the sustainable path 11. Identify the key economic development consequences of the development of local indigenous alternative energy resources 12. Summarize current visions for transitioning to sustainable paths in the U.S., Europe, the world, and locally 13. Synthesize a vision for transitioning to a sustainable energy future Grading Grades will be based on performance on the following assessments: In-class assignments (lowest 2 grades dropped) Online quizzes (lowest 2 grades dropped) Exams (best 2 out of 3) Final project 25% 25% 30% 20% 100% All students are expected to attend class each day and be prepared with a calculator, paper and something to write with. Each day in class, there will be at least one in-class assignment, consisting of individual or group quantitative analysis, discussions, debates, individual writing assignments, and games. Quantitative analysis will be graded based on 2 whether the individual or group has obtained the correct answer and used the appropriate procedure to arrive at the correct answer. Discussions, debates, and individual writing assignments will be graded using the rubrics presented below. Games will be graded in a similar fashion to a quiz – the grade will depend on getting the correct answer, providing the correct explanation, etc. At least one in-class assignment each day (except for possibly guest lecture days) will require the use of a classroom response program called TopHat Monocle (see instructions on Blackboard for how to register – the URL for this course in THM is https://www.tophatmonocle.com/e/582886). The two lowest grades from the set of graded inclass assignments will be dropped. In-class assignments will constitute 25% of the final grade. Students are required to complete an online quiz for each set of assigned readings. The quiz will be listed in the Assignments folder on Blackboard and will be due 1 hour prior to the start of each class. Each quiz will cover the readings listed on the Course Outline for the respective class date. Late quizzes will not be accepted. The lowest 2 quiz grades for the semester will be dropped. Online quizzes will constitute 25% of the final grade. There will be four in-class multiple-choice exams during the semester. The lowest exam grade will be dropped, and each of the three highest exam grades will count as 10% toward the final grade. You will be expected to have a calculator (NOT a cell phone, computer, iPad, etc) for exams. If you do not have a calculator for exams, you will have to do your calculations by hand and will receive the same amount of time as everyone else. Each student will be required to complete a final project, which will consist of the following: 1) a project proposal, 2) a final presentation during the scheduled final exam period, and 3) a 2-page justification report (graduate students enrolled in ECO 590 should check the additional grading requirements below). More information on the final project will be forthcoming. The final project will be 20% of the final grade. In-class assignments and exams, online quizzes, and the final project will cover reading materials, class lectures and discussions/activities. Late assignments will not be accepted given the policy of dropping the 2 lowest in-class assignments, 2 lowest online quizzes, and the lowest exam grade. Please refer to the Course Outline for expected due dates of most assignments – these due dates are subject to change if necessary. Any changes to the course outline during the semester will be announced in class and posted in the Announcements section of Blackboard. Final grades will be based on the weighted percentage of points earned. Final grades will be assigned as follows: A (93 to 100 percent); A- (90-92.9); B+ (87-89.9); B (82-86.9); B- (80-81.9); C+ (77-79.9); C (72-76.9); C- (70-71.9); D+ (67-69.9); D (62-66.9); D- (60-69.9); F (59.9 or less). Classroom policies, late assignments, incompletes 3 Please display your name card on your desk during each class so your classmates and I can learn your name. Please bring a calculator, paper, and something to write with to every class. You will be expected to have a calculator (NOT a cell phone, computer, iPad, etc) for exams. If you do not have a calculator for exams, you will have to do your calculations by hand and will receive the same amount of time as everyone else. Please turn all cell phones to silent and only use electronic devices for taking class notes and/or responding to questions via Top Hat Monocle. Headphones are not allowed in class. Late assignments will not be accepted given the policy on dropping the lowest exam grade, the 2 lowest in-class assignments, and the 2 lowest online quizzes. A grade of “Incomplete” will not be given except in welldocumented and extraordinary circumstances. Extra Help The School of Economics has a Student Laboratory & Advising Center in Stevens Hall Room 305. You can come to get extra help at this lab including: exam preparation, prepare/discuss discussion points. This lab is also a great place to meet for group study sessions/ presentation preparation. Office hours are also a great time to get extra help. Course Communication through Blackboard We will be using the on-line course website program called Blackboard. This website will contain all course materials – including readings, discussions, announcements and grades. www.courses.maine.edu. Please use blackboard for all email communications with the instructors. It is very important that you make sure you can access our course on Blackboard! Email Policy I welcome contact via email with course-related questions and do not want to discourage anyone from doing so; however, I hope that you will first attempt to use your resources (e.g., your syllabus, handouts, your peers, office hours, etc.) to address your questions before sending an email. I expect emails from students (and vice versa) to be composed professionally with complete sentences and proper English writing style with no spelling mistakes or cryptic abbreviations (i.e, an email is not a text message), a CLEAR subject line and a clear, concise question. Please use blackboard for all email correspondence so I know which course you are in since I teach more than course. If you forget to use blackboard, please include in the subject line: the course number or name, the days of week the course meets, and the time during the day the course meets as I each teach more than one course. For example: ECO 405 Tu-Th 930. I reserve the right not to respond to emails that don’t meet these qualifications! During the weekdays, please expect at least a 36-hour turnaround time for answering emails and on weekends, the time will be 60 hours. I have a busy work schedule, and I try to have a personal life as well. ** PLEASE only use the Blackboard mail system when emailing! Students with disabilities 4 If you have a disability for which you may be requesting an accommodation, please contact Ann Smith, Coordinator of Services for Students with Disabilities (121 East Annex Building, 581- 2319), as early as possible in the term. Academic honesty (plagiarism, etc.) Academic honesty is very important. It is dishonest to cheat on exams, to copy term papers, to submit papers written by another person, to fake experimental results, or to copy or reword parts of books or articles into your own papers without appropriately citing the source. Students committing or aiding in any of these violations may be given failing grades for an assignment or for an entire course, at the discretion of the instructor. In addition to any academic action taken by an instructor, these violations are also subject to action under the University of Maine Student Conduct Code. The maximum possible sanction under the student conduct code is dismissal from the University. ECO 590 Students ECO 590 students will be receiving credit for a graduate level course. Therefore, more will be expected of them in terms of workload and quality of work. The following changes to the information listed above apply to all ECO 590 students: 1) ECO 590 students must complete all of the “optional” readings listed on the Course Outline in addition to all of the “required” readings. 2) Exams for ECO 590 students may be different from exams for ECO 405 students in any or all of the following ways: a. Additional questions based on readings that are optional for ECO 405 students. b. More difficult questions. c. Different types of questions (i.e., other than multiple choice) 3) ECO 590 students will complete a longer and more in-depth final project. 4) The grading distribution for ECO 590 students will be as follows: In-class assignments (lowest 1 grade dropped) 20% Online quizzes (lowest 1 grade dropped) 20% Exams (best 2 out of 3) 30% Final project 30% 100% 5 Evaluation Rubrics (how you will be graded) Written Response Rubric Teacher Name: Dr. Wagner Student Name: ____________________ ____________________ (Last name) (First name) 2 points CATEGORY Relevance Accuracy Use of course materials Importance Completeness Readability 1 points 0 points The response partially answers the question posed. The answer is partially The answer is correct. correct. Some of the argument(s) The argument(s) is/are supported with reference is/are supported with to class readings and/or reference to class readings and/or lectures. lectures. The response discusses The response discusses some important aspects the most important of the topic. aspects of the topic. The ideas conveyed in the Some of the ideas conveyed in the response response are complete and satisfy the word or are complete and/or the response is either too page requirements. short or too long. The response does not answer the question posed. The answer is not correct at all. There is no mention of class readings and/or lecture materials. I can read most of the I am able to read the response and understand response and understand most of the writing the writing. (anything I cannot understand will not receive points in other categories). The response is completely illegible or doesn't make any sense at all (anything I cannot understand will not receive points in other categories). The response answers the question posed. Date Created: December 10, 2012 Total Points Earned (in each cell, enter a value from 0-4): 2 2 2 The response does not discuss any important aspects of the topic. No complete ideas are conveyed and/or the response is extremely too short or too long. TOTAL POINTS EARNED: GRADE: Max poissible points 2 2 2 0 12 0% 100% 6 Debate Evaluation Teacher Name: Dr. Wagner Student Name: ____________________ ____________________ (First name) (Last name) CATEGORY Information Use of Facts/Statistics Organization Rebuttal Understanding of Topic Respect for Other Team Presentation Style 4 points 3 points All information presented Most information in the debate was clear, presented in the debate accurate and thorough. was clear, accurate and thorough. Every major point was well supported with several relevant facts, statistics and/or examples. Every major point was adequately supported with relevant facts, statistics and/or examples. All arguments were clearly tied to an idea (premise) and organized in a tight, logical fashion. Most arguments were clearly tied to an idea (premise) and organized in a tight, logical fashion. All counter-arguments were accurate, relevant and strong. Most counter-arguments were accurate, relevant, and strong. The team clearly understood the topic indepth and presented their information forcefully and convincingly. All statements, body language, and responses were respectful and were in appropriate language. The team clearly understood the topic indepth and presented their information with ease. Statements and responses were respectful and used appropriate language, but occasionally body language was not respectful. Team consistently used Team usually used gestures, eye contact, gestures, eye contact, tone of voice and a level tone of voice and a level of enthusiasm in a way of enthusiasm in a way that kept the attention of that kept the attention of the audience. the audience. 2 points Most information presented in the debate was clear and accurate, but was not usually thorough. Every major point was supported with facts, statistics and/or examples, but the relevance of some was questionable. All arguments were clearly tied to an idea (premise) but the organization was sometimes not clear or logical. Most counter-arguments were accurate and relevant, but several were weak. 1 points 0 points Information had several inaccuracies OR was usually not clear. No information was presented or information was completely inaccurate Every point was not supported. No points were made or every point was obviously false Arguments were not clearly tied to an idea (premise). Total Points Earned (in each cell, enter a value from 0-4): Max poissible points 4 4 No organization was present at all 4 Counter-arguments were There was an not accurate and/or opportunity and need relevant for counter-arguments but none were made. The team seemed to understand the main points of the topic and presented those with ease. The team did not show an The team showed adequate understanding complete of the topic. misunderstanding of topic Most statements and responses were respectful and in appropriate language, but there were some sarcastic remarks. Statements, responses and/or body language were consistently not respectful. The team showed no respect at all. Team sometimes used gestures, eye contact, tone of voice and a level of enthusiasm in a way that kept the attention of the audience. One or more members of the team had a presentation style that did not keep the attention of the audience. The presentation style of every member of the team was boring, rude, and/or completely inappropriate 4 4 4 TOTAL POINTS EARNED: GRADE: 4 0 28 0% 100% 7 Discussion Evaluation Teacher Name: Wagner Student Name: ____________________ ____________________ (First name) (Last name) CATEGORY Knowledge Speaking Listening 4 points 3 points 2 points 1 points Demonstrates strong knowledge of course material, including lectures, readings and knowledge gained through previous class activities. Synthesizes new information appropriately and asks appropriate questions to clarify knowledge gaps. Demonstrates satisfactory knowledge of course material, including lectures, readings and/or knowledge gained through previous class activities. Synthesizes new information somewhat appropriately and/or asks appropriate questions to clarify knowledge gaps. Demonstrates minimal Has clearly not done the knowledge of course readings and/or not paid material, including attention in lectures, readings and/or lectures/previous class knowledge gained activities. Makes a strong through previous class effort to synthesize new activities. Has some information with limited trouble synthesizing new knowledge and/or asks information appropriately appropriate questions to and/or asking clarify knowledge gaps. appropriate questions to clarify knowledge gaps. Actively contributes throughout the entire discussion, including: Contributes to the discussion at appropriate times without interrupting others. Builds off others' ideas and/or challenges others' assumptions and perspectives in a respectful manner. Contributes ideas that directly relate to the topic. Raises thoughtful questions where appropriate. Actively listens to other group members throughout entire discussion. Maintains eye contact with speaker and demonstrates interest in what speaker is saying through non-verbal cues (nodding, etc) or verbal responses. Actively contributes to most of the discussion, including most of the actions described in first column. Contributes to some of the discussion, including some of the actions described in first column. 0 points Total Points Earned (in each cell, enter a value from 04): Has clearly not done the readings and/or not paid attention in lectures/previous class activities. Makes weak/no effort to synthesize new information and/or asks inappropriate/no questions to clarify knowledge gaps. Max poissible points 4 Minimally contributes to Makes no contribution to the discussion, including the discussion and/or at least one of the actions contributions are offdescribed in first column. topic, disruptive and/or disrespectful. 4 Actively listens to other group members throughout most of the discussion. Maintains eye contact with speaker and demonstrates interest in what speaker is saying through non-verbal cues (nodding, etc) or verbal responses. Actively listens to other group members throughout some of the discussion. Maintains eye contact with speaker and/or demonstrates interest in what speaker is saying through nonverbal cues (nodding, etc) or verbal responses. Occasionally Makes absolutely no demonstrates some form effort to listen to other of minimal listening effort group members. during part of the discussion. TOTAL POINTS EARNED: GRADE*: 4 0 12 0% 100% * Grade is calculated as 2x the number of points for Knowledge plus 1x the number of points for Speaking and Listening; for a total possible number of points = 16 8 TENTATIVE COURSE OUTLINE* Date 15-Jan 17-Jan 22-Jan 24-Jan 29-Jan 31-Jan Topic Assigned Readings Assignments What is Sustainable Energy? ESS: Ch. 1 pre-assessment quiz; in-class activity How should we evaluate the sustainability of energy alternatives? PART I ESS: Ch. 13 (p.505-509; p.529-563); DOE Report to Congress: Energy Demands on Water Resources (p.13-23); UNEP Global Environment Outlook GEO4 – Chapter 5 Biodiversity (p.24-56); Optional: IPCC AR4 Summary for Policymakers – see URL on blackboard in-class activity DOE Report to Congress: Energy Demands on Water Resources (p.25-27); Reading Quiz 1 (online); in-class activity How should we evaluate the sustainability of energy alternatives? PART II How should we evaluate the sustainability of energy alternatives? PART III in-class activity What is energy and How do we use it? PART I RE: Ch.1 (p.1-10); Appendix A; ESS: Ch. 2 & 3 (p. 77-110) Reading Quiz 2 (online); in-class activity Electricity and heat ESS: Ch. 9 (Box 9.1, Box 9.2; 359-377); RE: Ch. 10 (Box 10.2 p.485-486; 487498); History of the US Electric Power Industry 1882-1991; Reading Quiz 3 (online); in-class activity 5-Feb Central (CG) vs. Distributed (DG) Generation of Electricity & Heat 7-Feb Introduction to CG energy economics ESS: Ch. 12 & Ch. 13 (p.510-529); RE: Appendix B 12-Feb Coal CG energy ESS: Ch. 5; Ch. 6 (p.183-191; 200-210); Ch. 14 (p.576-583) 14-Feb Natural Gas & Oil CG energy ESS: Ch. 7 (p.213-249; p.259-272); Ch. 9 (p.354-359); TBD 19-Feb Wind energy (CG) & LCOE [guest lecture: Prof. Gary Hunt] RE: Ch. 7 (p.297-338; 342-355) 21-Feb The social cost of energy [guest lecture: Prof. Gary Hunt] NAS study - Hidden costs of energy 26-Feb Shale gas legal issues [guest lecture: Prof. Jeff Thaler] TBD 28-Feb Renewable energy law & policy [guest lecture: Prof. Jeff Thaler] RE: Ch. 10 (p. 504-506);TBD Exam 1 (in-class) Reading Quiz 4 (online); in-class activity Reading Quiz 5 (online); in-class activity Reading Quiz 6 (online); in-class activity Reading Quiz 7 (online); in-class activity Reading Quiz 8 (online); in-class activity Reading Quiz 9 (online); in-class activity Reading Quiz 10 (online); in-class activity; Final Project Proposal due in-class BREAK 9 19-Mar Nuclear CG energy ESS: Ch. 10 & 11 21-Mar Biomass CG energy RE: Ch. 4 (p.117-143; 146-153; 155-159; 163-177) 26-Mar Geothermal CG energy RE: Ch. 9 (p.409-434; 438-457) 28-Mar Hydroelectricity (CG) RE: Ch. 5; TBD 2-Apr Tidal and Wave CG Energy RE: Ch. 6; Ch. 8 (all except p.401) 4-Apr Solar CG energy RE: Ch. 2 (p.21-22; 24-35; 57-66; 68-69); Ch. 3 (p.75-96; 101-104); articles TBD (PV LCOE and my CSP LCOE articles) 9-Apr Solar DG energy RE: Ch. 2 (p.22-24; 35-57; 66-68; 70-71); Ch. 3 (p.96-100; 104-112); TBD 11-Apr Other Renewable DG options (biomass, wind, micro-hydro, geothermal) 16-Apr How do we compare different electricity/heating options? 18-Apr 23-Apr Transportation use and policy [guest lecture: Prof. Jonathan Rubin] Alternative transportation options RE: Ch. 4 (p.144); Ch. 7 (p.339-342); Ch. 8 (p.401); Ch. 9 (p.434-438); ESS: Ch. 14 (p.598-599; p.601-602) RE: Ch. 10 (p.467-482) & TBD (possibly: Fthenakis land & water studies, Sustainability assessment study, MCDA studies) ESS: Ch. 8; Ch. 14 (p.587-597; p.599601); RE: Ch. 4 (p.145-146; 153-155; 159163); Ch. 10 (p.498-503); and TBD TBD 25-Apr An International Perspective [guest lecture: Prof. Gary Hunt] TBD 30-Apr What will the energy future look like? RE: Ch. 10 (p.506-521); Ch. 14 (p.583587) 2-May What can you do? AND DEBATE: What should the role of fossil fuels be in a sustainable energy future? Ch. 10 RE (p. 506-521) & TBD 2-May FINAL EXAM 8:00-10:00 AM Reading Quiz 11 (online); in-class activity Reading Quiz 12 (online); in-class activity Exam 2 (in-class) Reading Quiz 13 (online); in-class activity Reading Quiz 14 (online); in-class activity Reading Quiz 15 (online); in-class activity Reading Quiz 16 (online); in-class activity Reading Quiz 17 (online); in-class activity Reading Quiz 18 (online); in-class activity Reading Quiz 19 (online); in-class activity Exam 3 (in-class) Reading Quiz 20 (online); in-class activity Reading Quiz 21 (online); in-class activity Reading Quiz 22 (online); in-class activity FINAL PRESENTATION: In assigned classroom (Final Paper due at start of exam period) ESS = Energy Systems and Sustainability RE = Renewable Energy: Power for a Sustainable Future TBD = to be determined (check for updated on blackboard) *This course outline is subject to change as the course progresses – updated versions can be found on blackboard throughout the semester 10 i (1) The stated objectives and outcomes address the learning outcome goals for the University of Maine’s general education requirement for the area of Population and the Environment, which state (in brief): Courses included in the Population and Environment sub-category help students to understand how humankind interacts with our finite physical and biological environment by addressing: (a) The role of both local and global environmental change on the quality of human life; (b) The pervasive role of human population growth on environmental quality and the quality of life, both in industrial and developing countries; (c) The influence of cultural, religious, economic, educational and political factors on population growth and environmental quality; and (d) Possible solutions to the population/environmental problems, which may include the role of technological advancements, a reexamination of educational and political institutions, enlightened reassessment of traditional religious and economic conceptions, and rethinking contemporary Western conception of “the good life” (2) The stated objectives and outcomes address the learning outcome goals for the University of Maine’s general education requirement for the area of Quantitative Literacy, which state (in brief): Quantitative literacy is the ability to formulate, evaluate, and communicate conclusions and inferences from quantitative information. Upon completion of general education study in quantitative literacy, students will understand the role that mathematics and quantitative thinking plays in solving and communicating information about real world problems and relationships. Students will be able to: 1. Translate problems from everyday spoken and written language to appropriate quantitative questions. 2. Interpret quantitative information from formulas, graphs, tables, schematics, simulations, and visualizations, and draw inferences from that information. 3. Solve problems using arithmetical, algebraic, geometrical, statistical, or computational methods. 4. Analyze answers to quantitative problems in order to determine reasonableness. Suggest alternative approaches if necessary. 5. Represent quantitative information symbolically, visually, and numerically. 6. Present quantitative results in context using everyday spoken and written language as well as using formulas, graphs, tables, schematics, simulations, and visualizations. 11