The global shift from fossil fuels to clean energy is not just a technological challenge—it is one of the most significant economic transformations of our time. It involves re-evaluating entire industries, reshaping markets, and redirecting trillions of dollars in investment. From the volatile pricing of carbon to the complex subsidies that drive renewable energy deployment, understanding the economic levers of this transition is crucial for policymakers, businesses, and investors alike. This training course provides a comprehensive and practical framework for navigating the financial and market dynamics that are shaping the future of our energy systems.

This program delves into the core economic theories and applied policy tools that are central to a successful and equitable energy transition. Participants will gain a deep understanding of how to analyze the costs and benefits of different energy sources, design effective market mechanisms, and assess the financial viability of clean energy projects. The course will cover topics from carbon markets and energy finance to the social and labor impacts of decarbonization, ensuring that attendees are equipped to make informed decisions that promote both economic growth and a sustainable, low-carbon future.

Duration: 10 days

Target Audience:

• Energy Economists
• Policymakers and Regulators
• Financial Analysts and Investors
• Energy Sector Strategists
• Public Utility Managers
• Climate Change Professionals
• Researchers and Academics
• Consultants in Energy & Sustainability
• Senior Executives in the Energy Sector
• Staff from International Development Organizations

Objectives:

• Understand the core economic drivers and barriers of energy transitions.
• Master the principles of energy market design and regulation.
• Learn to conduct economic analysis of different energy technologies.
• Develop proficiency in financial modeling for renewable energy projects.
• Grasp the complexities of carbon pricing mechanisms and carbon markets.
• Explore advanced strategies for financing clean energy infrastructure.
• Learn about the economic impacts of energy policies and subsidies.
• Identify key ethical and equity considerations in energy transitions.
• Formulate strategies for a just and inclusive transition.
• Apply economic concepts to real-world case studies.

Course Modules:

Module 1: Foundations of Energy Economics

• The economics of resource extraction
• Understanding energy demand and supply
• Market structures in the energy sector
• The concept of energy elasticity
• Externalities and market failures in energy

Module 2: The Macroeconomics of Energy Transition

• The role of energy in economic growth
• Analyzing the impact of energy shocks on the economy
• Global and national energy transition scenarios
• Measuring the economic benefits of decarbonization
• The link between energy transition and industrial policy

Module 3: Energy Policy and Regulation

• Principles of energy policy design
• The role of government in energy markets
• Regulatory frameworks for power grids
• Policy tools to incentivize clean energy
• Market-based versus command-and-control regulation

Module 4: Carbon Pricing and Carbon Markets

• The economic rationale for carbon pricing
• Carbon taxes vs. Emissions Trading Systems (ETS)
• Designing and implementing an effective carbon market
• The role of offsets and carbon credits
• International cooperation and carbon border adjustments

Module 5: Economics of Renewable Energy

• Levelized Cost of Energy (LCOE) analysis
• Economics of wind, solar, and geothermal power
• Managing the intermittency of renewables
• The economics of distributed generation
• The impact of subsidies and tax incentives

Module 6: Energy Efficiency and Demand-Side Management

• The "negawatt" as an energy resource
• Economic models of consumer behavior
• Designing policies to promote energy efficiency
• The economics of smart grids and smart meters
• Cost-benefit analysis of energy efficiency projects

Module 7: Energy Finance and Investment

• Project finance models for renewable energy
• The role of green bonds and sustainable finance
• Managing investment risk in clean energy projects
• Public and private capital mobilization
• The cost of capital and its impact on projects

Module 8: The Economics of Energy Storage

• The economic value of energy storage
• Cost analysis of different storage technologies
• Business models for grid-scale storage
• The role of storage in grid stability and resilience
• Policy and regulatory support for energy storage

Module 9: The Role of Technology and Innovation

• The economics of R&D in energy
• The learning curve effect in new technologies
• The role of AI and digitalization
• Analyzing the economic impact of smart grids
• Innovation policy for a low-carbon future

Module 10: Just and Equitable Transitions

• The economic implications for fossil fuel-dependent regions
• Designing policies for a "just transition"
• The impact on employment and labor markets
• Addressing energy poverty and access
• Stakeholder engagement and community benefits

Module 11: Transport and Industry Decarbonization

• The economics of electric vehicles and charging infrastructure
• Policy for low-carbon transportation
• The economic challenges of industrial decarbonization
• Carbon capture and storage economics
• The role of hydrogen and other new fuels

Module 12: Applied Financial Modeling

• Hands-on lab session with a financial modeling software
• Building a simple pro-forma model for a solar farm
• Running sensitivity analyses and risk assessments
• Valuation techniques (NPV, IRR) for energy projects
• Case studies in successful and unsuccessful project financing

Module 13: International Energy Policy and Governance

• Global climate agreements (e.g., Paris Agreement)
• The role of international financial institutions
• Cross-border electricity trade and its economics
• Energy security in a transitioning world
• Geopolitics of renewable energy resources

Module 14: Risk Management in Energy Transition

• Identifying financial, market, and regulatory risks
• Strategies for risk mitigation and hedging
• The role of insurance and financial instruments
• Analyzing political and social risks
• Building resilience into a portfolio of assets

Module 15: The Future of Energy Markets

• The rise of prosumers and decentralized markets
• The economic implications of blockchain and tokenization
• The future of fossil fuel demand and prices
• Emerging business models in the energy sector
• Long-term strategic planning for a net-zero world

Training Approach

This course will be delivered by our skilled trainers who have vast knowledge and experience as expert professionals in the fields. The course is taught in English and through a mix of theory, practical activities, group discussion and case studies. Course manuals and additional training materials will be provided to the participants upon completion of the training.

Tailor-Made Course

This course can also be tailor-made to meet organization requirement. For further inquiries, please contact us on: Email: info@skillsforafrica.org, training@skillsforafrica.org  Tel: +254 702 249 449

Training Venue

The training will be held at our Skills for Africa Training Institute Training Centre. We also offer training for a group at requested location all over the world. The course fee covers the course tuition, training materials, two break refreshments, and buffet lunch.

Visa application, travel expenses, airport transfers, dinners, accommodation, insurance, and other personal expenses are catered by the participant

Certification

Participants will be issued with Skills for Africa Training Institute certificate upon completion of this course.

Airport Pickup and Accommodation

Airport pickup and accommodation is arranged upon request. For booking contact our Training Coordinator through Email: info@skillsforafrica.org, training@skillsforafrica.org  Tel: +254 702 249 449

Terms of Payment: Unless otherwise agreed between the two parties’ payment of the course fee should be done 10 working days before commencement of the training.