Classroom Dates
09 - 13 Oct 2023 Barcelona $5,950
04 - 08 Dec 2023 Paris $5,950

This Energy Market Tariff Design and Regulations training course will provide the fundamental knowledge associated with the principles of designing, operating, and monitoring energy and electricity markets. Moreover, methods for establishing tariffs following cost allocations procedures and introducing appropriate regulations to achieve certain objectives will be presented. The training course will highlight the reasoning behind the market regulations and will discuss different models which can be used to design energy and electricity markets with their advantages and disadvantages.

The market objectives of all energy market players have been becoming ever more complex as sustainability and the social and environmental impacts of the industry have become now strategic business matters.  The expected governance level of openness and transparency as well as behaviors such as ethical investments and community engagement and support add more complexity as it becomes a moral responsibility for the corporate world to achieve better community acceptance by investing and supporting the local communities without doing any harm to the environment.  

Typically, independent from the government bodies are formed and are given the authority to design, oversee, implement, monitor, surveil the market, and issue licenses to market participants. Those independent bodies perform functions of transparency and openness in the operation of the markets upholding the rules, procedures and the law including giving penalties and revoking licenses when necessary. The regulation rules and pressures of energy, gas, and electricity markets along with examples from various jurisdictions will be analyzed. The power of regulation in setting signals to the industry to achieve specific targets set by the government through energy policies will be presented.

This Energy Training Centre training course will highlight:

  • The basic concepts of the mature energy sector at-large, energy markets and the structure of the industry covering conventional energy related commodities such as gas, oil, electricity, and the emerging markets such as hydrogen.
  • The rationale about the rules and regulations of the electricity markets, and the electricity sector deregulation, market liberalization, market design and operation.
  • The legal framework of energy, gas, and electricity markets along with the structure of the industry with emphasis on the regulatory bodies and their responsibilities.
  • Methods of tariff design and the impact on customer expectations and revenue collection.
  • Different types of regulation and their impact on pricing and consumer expectations.

By the end of this Energy Market Tariff Design and Regulations training course, participants will be able to:

  • Understand the way energy markets operate with a focus on the electricity markets both wholesale and retail ones.
  • Discuss critically the advantages and disadvantages of different market designs.
  • Analyze the different market designs and operations for gas, electricity and energy at-large.
  • Explain the functions of various bodies and their authority to perform market regulations, market surveillance and investigations and the reason behind such function.
  • Understand the way tariffs are designed and the impact on the organisations bottom line.
  • Design pricing mechanisms and evaluate their impact on revenue and market competitiveness.

Participants to this Energy Market Tariff Design and Regulations training course will receive a thorough training on the subjects covered by the training course outline with the presenter utilizing a variety of proven adult learning, teaching, and facilitation techniques. Training course methodology of delivery includes the use of digital media, sourcing actual materials regarding specifications and performance of methods and specific industry players of the market. Actual market information and the latest market intelligence to achieve the understanding of the various concepts is the proven way for achieving excellence in learning and relevance and these are the guiding principles followed by the presented to deliver the course material.

A leading world class organization has access to talent that is continually seeking and gaining knowledge and such talent is ready to update their skills as expected. The energy sector is poised to continue to grow in the decades ahead. Such leading world class organization will enhance the skills and knowledge of its employees who spend their time performing tasks that are more relevant to the company’s goals after completing this course.

The organization will benefit from this training course through:

  • Having talented employees who have been exposed to the latest in energy and electricity market structures, tariff design and regulations.
  • Understanding the complexity of the behavior of the market actors, from the customer, stakeholder and player points of view, government response to sustainability.
  • Improving and justifying effectiveness of tariffs through appropriate design, implementation, and evaluation points of view.
  • Getting employees with the most advanced skills and tools which naturally propels the organization continually ahead maintaining its leading status.

Upon completion of this Energy Market Tariff Design and Regulations training course, the participants will be able to:

  • Access knowledge of the latest in market design, operation and tariff design and regulations.
  • Evaluate different design methods and operation of actors in the energy and electricity markets and comment on their effectiveness against certain usually complex criteria.
  • Gain confidence in selecting the most appropriate strategies for the market to increase the return on investment for a given market participation.
  • Develop a specific tariff for a product related to energy and electricity and evaluate its impact on the organization’s revenue.
  • Discuss the reasoning for regulation and the effectiveness of a given tariff design to the operation of the organization, impact on customer expectations and revenue.

This Energy Market Tariff Design and Regulations training course is designed for energy professionals, engineers or those with a background in economics and finance working in the fields of energy end electricity. Many energy and sustainability professionals can benefit from quickly adding knowledge related to the energy markets, tariff design and regulations to their portfolio of topics they master. Such advanced knowledge will enhance creative thinking and will improve problem solving skills. It will also expand the thinking space of the individuals and will expose them to a more holistic framework of operating in an ever more complex industry.

This training course is suitable for a wide range of professionals but will greatly benefit:

  • Engineering and technical professionals working in the power and energy sector.
  • Utility engineers and relevant utility department directors who are in charge with market related functions.
  • Market analysts and business development professionals with the task to identify market opportunities in the wide energy sector and electricity trading.
  • Finance professionals needed to understand how sustainability, the environment and the social impact of industry players impact the financial accounting and how reporting many indices associated with the sustainability performance of the organisation changes the way industry analysts and investors alike see the industry and make investment decisions.

Day One: Electricity Market Structures 

  • Introduction to electricity markets
  • Types of electricity markets
  • Electricity market structures
  • Time horizons of electricity markets
  • Wholesale and retail markets
  • Market design and forecasting

Day Two: Energy Landscape and Regulation 

  • Objectives and means of regulation.
  • Types of regulation, command and control, incentive based, market based, self-regulation.
  • Legislation, rules, and procedures
  • Gas, electricity, and energy markets
  • Wholesale and retail markets
  • Revenue and pricing principles, and regulation
  • Corporate licensing
  • Access rights to gas and electricity networks 

Day Three: Regulatory Authorities and Functions 

  • Regulatory framework and reforms
  • Energy regulator
  • Energy market commission
  • Energy market operator
  • Competition council, and tribunal
  • System of courts
  • Energy ombudsmen, and consumers
  • Energy regulation and sustainability

Day Four: Pricing

  • Elements of rates setting
  • Revenue requirements
  • Costs allocation
  • Overarching issues and frameworks for cost allocation
  • Frameworks for cost allocation
  • Technology and impact on cost allocation
  • Selecting appropriate costing methods
  • Billing and metering
  • Relationship between cost and rates

Day Five: Tariff Design 

  • Indicators of cost effectiveness of DSOs
  • Principles of tariff regulation
  • Revenue setting mechanism tariffs
  • Tariffs
  • Network development
  • Role of DSOs
  • Metering