Semester

7

Course Code

MA5700

Course Name

Environmental Economics

Credit Value

3

Pre-requisites

None

Core/Optional

Optional

Hourly Breakdown

Theory

Small Group Activities/Assignments

Independent Learning

12

42

96

Course Aim(s): To provide an overview of integrating environmental management and economic theory within a sustainable development framework.

Intended Learning Outcomes:
On completion of the course, students should be able to:

➢      appreciate the environmental considerations in economic decision-making.

➢      analyse the total economic value of engineering projects and products.

➢      analyse investment and financing decisions of engineering projects and products.

➢      appreciate the climate change mitigation efforts through engineering projects and products.

➢      create a total economic value model for an engineering project.

Course Content: (Only main topics & subtopics)

➢      Integration of Environmental Management and Economic theory: National income and environmental accounting; Utility and consumer demand; Production, supply, and costs; Externalities and market failure; Policies. Applications in manufacturing, production, transportation, and energy.

➢      Environmental valuation: Total economic value: Direct-use, indirect-use, and non-use values; Valuation methods: market-based, contingent valuation, travel cost, hedonic pricing, restoration and replacement cost, benefits transfer, off-trade. Applications in projects, products, ecosystem services, and conservation.

➢      Investment Decisions: Identifying alternatives; environmental costs and benefits; Lifecycle assessment and costing; tax and tariff; accounting for long-term ecological damage. Applications in infrastructure projects, green technology decision making.

➢      Climate change mitigation: Carbon abatement cost curves, emission taxes, cap and trade schemes, subsidies, carbon offsets and neutrality, feed-in tariff, carbon market and auditing. Applications in engineering projects and product development.

➢      Group Project: Investigate the total economic value of an engineering product or project.

Teaching/Learning Methods:

➢      Lectures

➢      Student Based Activities

Assessment Strategy:

Continuous Assessment
50%

Final Assessment
50%

Small Group Activities 30%

Quizzes 20%

Theory(%)

50%

Practical(%)

-

Other (%)

-

Recommended Reading:

➢      Daniel, P., Keen, M., McPherson, C. (2010). The Taxation of Petroleum and Minerals: Principles, Problems and Practice. Series: Routledge explorations in environmental economics. Routledge. ISBN: 0415569214,9780415569217,9780203851081,0203851080,0415781388,9780415781381

➢      Mäler, K.G., Vincent, J.R. (2003). Handbook of Environmental Economics 1. North-Holland. ISBN: 978-0-444-50063-2

➢      Smith, J.B., Mendelsohn, R. O. (2007). New Horizons in Environmental Economics. Edward Elgar Publishing. ISBN: 9781845427474,1845427475