ME2037

ENERGYBUSINESS

FabianLevihn
fabian.levihn@indek.kth.se

FabianLevihn

st
1

lecturecontent

Introduction
Courseplanandgoals
CourseLiterature
Examination

THEREALCHALLENGE
ECONOMICPERSPECTIVE

GrowingWorldPopulation
1%peryear 8.2billon2030
Increasinglivingstandards
AdjustedGDPincrease3.1%peryear(20072030)
Energydemand
1%increaseinGDP> 0.7%increaseinenergydemand
Energy
Mostofthisbasedonfossil(GHG)emittingsources

FabianLevihn,levihn@kth.se

Somecostsandincomes

TheSwedishLine

Exhaustedhydropowerpotential

KTH(beneathQbuildings),Reaktor 1,19541970
Districtheating

Reaktor 3,swedens firstcomercial reactor,R3,

Farsta,19631974

1.00USD

1970soilcrises
HistoricOil
Price

0.50USD

0.00USD
1950

1960

1970

1980

1990

2000

2010

1980s

Reduceoildependency
Reduceacidification
Heatpumps
Expansionofnuclearpower

1990s

Lowoilprice
Hardtimeforheatpumpstocompete

2000s

Highpowerprices
Highoilprices
HeatPumpsgrows
Windpowergrows

Swedentakestheleadfor
foreigninvestmentsinthe
deregulatedenergymarket

Developmentoftheclimate change issue

1.6%

Average
Energy
Petrolium
Vehicle
Insurance
Bank/Finance

1.4%

1.2%

1.0%

0.8%

0.6%

0.4%

0.2%

0.0%
2000

FabianLevihn,levihn@kth.se

2001

2002

2003

2004

2005

2006

2007

Levihn,F.,Nuur,C.,BlomgrenH.,2011.Corporateresponsetoclimate
changemitigation:WhatcanwelearnfromannualreportsofEuropean
industries?.InternationalJournalofIndustrialEngineeringand
Management,vol.2,pp.7786

2008

2009

http://www.energimyndigheten.se/Global/Engelska/Facts%20and%20figures/Energy_in_swede
n_2012.pdf

http://www.energimyndigheten.se/Global/Engelska/Facts%20and%20figures/Energy_in_swede
n_2012.pdf

http://www.energimyndigheten.se/Global/Engelska/Facts%20and%20figures/Energy_in_swede
n_2012.pdf

http://www.energimyndigheten.se/Global/Engelska/Facts%20and%20figures/Energy_in_swede
n_2012.pdf

http://www.energimyndigheten.se/Global/Engelska/Facts%20and%20figures/Energy_in_swede
n_2012.pdf

http://www.energimyndigheten.se/Global/Engelska/Facts%20and%20figures/Energy_in_swede
n_2012.pdf

ThecaseofdistrictheatinginStockholm

Efficiencymeasures
Replacethermostats
5%heatingdemand
lowcost

Installheatrecoveryventilation
33%heatingdemand
mediumcost

Renovatebuildingclimateshell
EUIlimitedto60kWh/m2
highcost

ApplicationofmeasuresdependsoncurrentEUI

Resultingsetofbuildingsforretrofitting
plan
BoxplotofEUIforbuildingsinretrofittingplan
2000

Interestrate4%
Period20y
PositiveNPV

1800

Initial annual EUI [kWh/m ]

1600

354GWh
664buildings

4.56%energy
saved
37GTCEsaved

1400
1200
1000
800
600
400
200
0
Residential

Public

Commercial

Other

Health and care

Today
Swedishenergyuseprimarydividedbetweentransport,
housingandindustry
Nuclearpowerstationsarebecomingold
Coalprofitablebutcontroversial
Housesarebecomingenergyefficient districtheating
economical?
Fortum sellsitselectricitygridinFinland.

Tomorow
Districtheating?
Renewables?
Energyservices?

Nuclearpower?
EnergyStorage?
Smartgrid?

Goals

Analyse thetechnicalstructureof
differentenergysystemsand
institutionalpreconditions.
Evaluatedifferentformsof
entrepreneurshipandcompanies
basedondifferentcoreandsupport
processesintheenergysystems,
bothinextent(local,regional,
national,international)andintime
(epochs).
Analyse thebusinessesthatcanbe
developedindifferentpartsofthe
energyvaluechainwithdifferent
energytechnologies,energytypes,
energyservices,customercategories,
geographicmarkets,financial
instruments,etc.

Beabletoanalyse thefunctionof
energymarkets
Beabletoanalyse strategiesbothon
companyandpolicylevelregarding
thetransformationofenergysystems
andenergymarkets
Bable toassesstheeffectofclimate
changesonthetransformationofthe
energysystems
Beabletodevelopabusinessplan
foranexistingornewlystarted
energybusinesseswherethe
technicalaswellasthe
environmentalandeconomical
preconditionsappear.

CoursePlan
Mon,23/3,0810,M38.CourseIntroduction,FL
Wen,25/3,1315,L44.Theenergysystemsand
energybusiness,FL
Fri,27/3,1012,M38.Thebusinessmodel
dilema andthetransportindustry,Stefan
Tongur,INDEK.

CoursePlan
Mon,30/3,1517,M38.Introductiontoscenario
exercise,FL
Wen,1/4,1012,M38.Investmentsand
financing,SaaraHollmen,Sweco

CoursePlan
Easter,noscheduledlectures

CoursePlan
Mon,13/4,1012,M38.,Consultancyand
servicesintheenergysector,SaaraHollmen,
Sweco
Wen,15/4,1315,Smallscaleactors,Thomas
Sandberg
Thu,16/4,1012,M38.EnergyPolicy,Professor
ErikDotzauer,Fortum

CoursePlan
Mon,20/4,810,M38.QuestionTime,group
work,FL.
Thu,23/4,1012,M38.Logistics,CEOErik
ZetterlundOXHamn
Sun26/4handingrouppapertolevihn@kth.se

CoursePlan
Mon,4/5,1015,L31/M38.Scenarioseminars.
FL
Wen,6/5,1012,M38.Economics,Associate
ProfessorCaliNuur
Fri,8/5,810,M38.LargeTechnologicalSystems,
AssociateProfessorPrBlomkvist

CoursePlan
Mon,11/5,1012,M38.Technologicalmodels,
FL
Thu,14/5,1012,M38.Technoeconomic
analysis,FL

CoursePlan
Tue,19/5,1012,M38.HydroPower,Thomas
Sandberg
Thu,21/5,1012,M38.Summaryandclosure,FL

CoursePlan
Thu,4/6,913,B21&B22.Written examination

Literature
15journalpapers
Notatextbook
Becritical
Readselectively

Additional papers (5+)for

group projects
Nonacademic
information
MustbeatKTHwifi or
use VPNserviceto access
articles

Examination
1. Activeattendanceat
theseminarsanda
goodqualitygroup
paper(P/F)
2. Writtenexam
accordingto
schedule(FA)