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Unit outline_

AREC3003: Econ of Minerals and Energy Industries

Semester 1, 2023 [Normal day] - Remote

The unit builds on previously acquired economics training and develops advanced understanding of the economics of minerals exploration, extraction and marketing and the economics of energy generation, distribution and use. The implications of mineral extraction and energy generation activities for natural resources and the environment are explored. The unit will foster in-depth knowledge of the markets for minerals and energy, their industry structure and business environment, including the role of markets for derivatives on minerals and energy commodities.

Unit details and rules

Academic unit Economics
Credit points 6
Prerequisites
? 
AREC2003 or RSEC2031 or ECOS2001 or ECOS2901
Corequisites
? 
None
Prohibitions
? 
None
Assumed knowledge
? 

None

Available to study abroad and exchange students

Yes

Teaching staff

Coordinator Tiho Ancev, tiho.ancev@sydney.edu.au
Type Description Weight Due Length
Monitored exam
? 
Final exam
Online exam
50% Formal exam period 2 hours
Outcomes assessed: LO1 LO2 LO3 LO4 LO5
Monitored test
? 
Mid-semester test
Online test
35% Week 07
Due date: 06 Apr 2023 at 14:00
1 hour
Outcomes assessed: LO1 LO2 LO3 LO4 LO5
Assignment Tutorial report
Written report on all the tutorial work throughout the semester
15% Week 13
Due date: 26 May 2023 at 23:59
1500 words
Outcomes assessed: LO1 LO2 LO3 LO4 LO5

Assessment summary

Detailed information for each assessment can be found on Canvas.

Assessment criteria

The University awards common result grades, set out in the Coursework Policy (Schedule 1).

As a general guide, a High Distinction indicates work of an exceptional standard, a Distinction a very high standard, a Credit a good standard, and a Pass an acceptable standard.

Result name

Mark range

Description

High distinction

85 - 100

Attains the learning outcomes with outstanding proficiency

Distinction

75 - 84

Attains the learning outcomes with superior proficiency

Credit

65 - 74

Attains the learning outcomes with good proficiency

Pass

50 - 64

Attains the learning outcomes 

Fail

0 - 49

When you don’t meet the learning outcomes of the unit to a satisfactory standard.

For more information see guide to grades.

Late submission

In accordance with University policy, these penalties apply when written work is submitted after 11:59pm on the due date:

  • Deduction of 5% of the maximum mark for each calendar day after the due date.
  • After ten calendar days late, a mark of zero will be awarded.

Academic integrity

The Current Student website provides information on academic integrity and the resources available to all students. The University expects students and staff to act ethically and honestly and will treat all allegations of academic integrity breaches seriously.

We use similarity detection software to detect potential instances of plagiarism or other forms of academic integrity breach. If such matches indicate evidence of plagiarism or other forms of academic integrity breaches, your teacher is required to report your work for further investigation.

Use of generative artificial intelligence (AI) and automated writing tools

You may only use generative AI and automated writing tools in assessment tasks if you are permitted to by your unit coordinator. If you do use these tools, you must acknowledge this in your work, either in a footnote or an acknowledgement section. The assessment instructions or unit outline will give guidance of the types of tools that are permitted and how the tools should be used.

Your final submitted work must be your own, original work. You must acknowledge any use of generative AI tools that have been used in the assessment, and any material that forms part of your submission must be appropriately referenced. For guidance on how to acknowledge the use of AI, please refer to the AI in Education Canvas site.

The unapproved use of these tools or unacknowledged use will be considered a breach of the Academic Integrity Policy and penalties may apply.

Studiosity is permitted unless otherwise indicated by the unit coordinator. The use of this service must be acknowledged in your submission as detailed on the Learning Hub’s Canvas page.

Outside assessment tasks, generative AI tools may be used to support your learning. The AI in Education Canvas site contains a number of productive ways that students are using AI to improve their learning.

Simple extensions

If you encounter a problem submitting your work on time, you may be able to apply for an extension of five calendar days through a simple extension.  The application process will be different depending on the type of assessment and extensions cannot be granted for some assessment types like exams.

Special consideration

If exceptional circumstances mean you can’t complete an assessment, you need consideration for a longer period of time, or if you have essential commitments which impact your performance in an assessment, you may be eligible for special consideration or special arrangements.

Special consideration applications will not be affected by a simple extension application.

Using AI responsibly

Co-created with students, AI in Education includes lots of helpful examples of how students use generative AI tools to support their learning. It explains how generative AI works, the different tools available and how to use them responsibly and productively.

WK Topic Learning activity Learning outcomes
Week 01 Housekeeping and Introduction Lecture and tutorial (3 hr)  
Week 02 Economics of minerals: Facts and Figures Lecture and tutorial (3 hr)  
Week 03 Economic structure and current business conditions in the minerals and energy industries Lecture and tutorial (3 hr)  
Week 04 Taxonomy of non-renewable resources and interaction with current technology and prices Lecture and tutorial (3 hr)  
Week 05 Dynamic optimality in extracting non-renewable resources Lecture and tutorial (3 hr)  
Week 06 Market structure and optimal mineral extraction Lecture and tutorial (3 hr)  
Week 07 In-class mid-semester test Lecture (1 hr)  
Introduction to Energy Economics Lecture and tutorial (2 hr)  
Week 08 Economics of Oil and Natural Gas Lecture and tutorial (3 hr)  
Week 09 Economics of Coal and Electricity Lecture and tutorial (3 hr)  
Week 10 Guest lecture on Economics of electricity Lecture and tutorial (3 hr)  
Week 11 Economics of Renewable Energy Lecture and tutorial (3 hr)  
Week 12 Spot and Derivatives Markets for Energy and Minerals Lecture and tutorial (3 hr)  
Week 13 Review and Preparations for Assessment Lecture and tutorial (3 hr)  

Attendance and class requirements

  • Attendance: According to Faculty Board Resolutions, students in the Faculty of Arts and Social Sciences are expected to attend 90% of their classes. If you attend less than 50% of classes, regardless of the reasons, you may be referred to the Examiner’s Board. The Examiner’s Board will decide whether you should pass or fail the unit of study if your attendance falls below this threshold.
  • Lecture recording: Most lectures (in recording-equipped venues) will be recorded and may be made available to students on the LMS. However, you should not rely on lecture recording to substitute your classroom learning experience.
  • Preparation: Students should commit to spend approximately three hours’ preparation time (reading, studying, homework, essays, etc.) for every hour of scheduled instruction.

Study commitment

Typically, there is a minimum expectation of 1.5-2 hours of student effort per week per credit point for units of study offered over a full semester. For a 6 credit point unit, this equates to roughly 120-150 hours of student effort in total.

Required readings

Textbooks: There is no single textbook that will be strictly followed in the lectures. The following books are aligned with most topics (but not all) presented in this unit:

Energy systems and sustainability: Power for a sustainable future / ed. by Bob Everett [et al.]. Oxford: Oxford University Press in association with The Open University, 2012. 2nd Edition

Tom Tietenberg. Environmental and Natural Resource Economics, 9th Edition, Pearson Addison-Wesley, 2012

Joanne Evans, Lester C. Hunt (Eds). International Handbook On The Economics Of Energy. Edward Elgar, 2009

Ferdinand E. Banks, Energy Economics: A Modern Introduction, Kluwer Academic Publishers, 2000

John M. Hartwick and Nancy D. Olewiler, The Economics of Natural Resource Use, 2nd Ed., Addison-Wesley, 1998.

These textbooks are placed on reserve in the University Library.

Learning outcomes are what students know, understand and are able to do on completion of a unit of study. They are aligned with the University's graduate qualities and are assessed as part of the curriculum.

At the completion of this unit, you should be able to:

  • LO1. Apply and refine main economic theoretical concepts in formulation of problems related to non-renewable resource use
  • LO2. Conceptualise the relationship between economics and the environment with regards to the use of minerals, and generation and consumption of energy
  • LO3. Demonstrate ability to conduct a meaningful empirical economic analysis of minerals and energy related topics
  • LO4. Demonstrate knowledge of the business environment, industry structures and commodity and financial markets related to the minerals and energy industries
  • LO5. Demonstrate ablity to provide sound economic policy advice on minerals and energy issues

Graduate qualities

The graduate qualities are the qualities and skills that all University of Sydney graduates must demonstrate on successful completion of an award course. As a future Sydney graduate, the set of qualities have been designed to equip you for the contemporary world.

GQ1 Depth of disciplinary expertise

Deep disciplinary expertise is the ability to integrate and rigorously apply knowledge, understanding and skills of a recognised discipline defined by scholarly activity, as well as familiarity with evolving practice of the discipline.

GQ2 Critical thinking and problem solving

Critical thinking and problem solving are the questioning of ideas, evidence and assumptions in order to propose and evaluate hypotheses or alternative arguments before formulating a conclusion or a solution to an identified problem.

GQ3 Oral and written communication

Effective communication, in both oral and written form, is the clear exchange of meaning in a manner that is appropriate to audience and context.

GQ4 Information and digital literacy

Information and digital literacy is the ability to locate, interpret, evaluate, manage, adapt, integrate, create and convey information using appropriate resources, tools and strategies.

GQ5 Inventiveness

Generating novel ideas and solutions.

GQ6 Cultural competence

Cultural Competence is the ability to actively, ethically, respectfully, and successfully engage across and between cultures. In the Australian context, this includes and celebrates Aboriginal and Torres Strait Islander cultures, knowledge systems, and a mature understanding of contemporary issues.

GQ7 Interdisciplinary effectiveness

Interdisciplinary effectiveness is the integration and synthesis of multiple viewpoints and practices, working effectively across disciplinary boundaries.

GQ8 Integrated professional, ethical, and personal identity

An integrated professional, ethical and personal identity is understanding the interaction between one’s personal and professional selves in an ethical context.

GQ9 Influence

Engaging others in a process, idea or vision.

Outcome map

Learning outcomes Graduate qualities
GQ1 GQ2 GQ3 GQ4 GQ5 GQ6 GQ7 GQ8 GQ9

This section outlines changes made to this unit following staff and student reviews.

Minor changes to content and sequence of topics have been made since this unit was last offered.

Disclaimer

The University reserves the right to amend units of study or no longer offer certain units, including where there are low enrolment numbers.

To help you understand common terms that we use at the University, we offer an online glossary.