Subject description - AE0M16EKE

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AE0M16EKE Economy of Power Industry
Roles:P, V Extent of teaching:2+2s
Department:13116 Language of teaching:EN
Guarantors:  Completion:KZ
Lecturers:  Credits:4
Tutors:  Semester:Z


Fundamentals of financing of power companies. Cost structure of power generation and distribution. Prices and tariff systems for power, heat and gas production and distribution. Examples of economic evaluation and investment appraisal of the typical project in power sector. Renewable energy sources, externalities. Energy policy and energy law in CR. Liberalization and power market development.

Course outlines:

1. Types of business enterprise at power sector.
2. Revenues, costs, profit.
3. Accounting statements - balance sheet, profit and loss account, cash flow.
4. Methods and sources of finance in power sector.
5. Criterion of evaluation of investment at the power systems.
6. Prices and cost at the power systems, tariff systems.
7. Cost of productions of electrical energy, marginal costs.
8. Cost of transmission and distribution of electrical energy.
9. Economic evaluation of energy saving and renewable energy sources.
10. Models of power systems, regulation of power sector.
11. Energy policy in Czech republic, and the economical consequences.
12. Optimization of development of recent power systems.
13. Problems of electricity market.
14. Reserves

Exercises outline:

1. Business enterprises at power sector at the Czech Republic.
2. Cost structure at power systems, accounting at power systems - examples.
3. Balance sheet and profit and loss account, cash flow statement.
4. Financing sources for power sector and their evaluation.
5. Evaluation techniques of investments.
6. Evaluation of investment at the power systems - examples.
7. Marginal cost of different power stations.
8. Costs of distribution of electrical energy.
9. Economical evaluation of energy saving equipments, energy auditing.
10. Renewable energy sources - economic evaluation.
11. Test
12. Economical evaluation of cogeneration.
13. Financial analysis of power companies.
14. Assessment


1. Ferdinand E.Banks.:Energy Economics: A Modern Introduction, Kluwer Academic, Publishers, 2007
2. Sioshansi, F.P.: Competitive Electricity Markets: Design, Implementation, Performance. Elsevier Ltd., 2008.


Subject is included into these academic programs:

Program Branch Role Recommended semester
MEEEM1 Technological Systems P 1
MEEEM3 Electrical Power Engineering P 1
MEEEM2 Electrical Machines, Apparatus and Drives P 1
MEKME1 Wireless Communication V 1
MEKME5 Systems of Communication V 1
MEKME4 Networks of Electronic Communication V 1
MEKME3 Electronics V 1
MEKME2 Multimedia Technology V 1
MEKYR4 Aerospace Systems V 1
MEKYR1 Robotics V 1
MEKYR3 Systems and Control V 1
MEKYR2 Sensors and Instrumentation V 1

Page updated 11.8.2020 17:51:51, semester: Z,L/2020-1, L/2019-20, Send comments about the content to the Administrators of the Academic Programs Proposal and Realization: I. Halaška (K336), J. Novák (K336)