Profitability and Sustainability in the Energy Industry

Pathways to sustainable growth in energy

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Course Dates

STARTS ON

January 23, 2024

Course Duration

DURATION

6 weeks, online
4–6 hours per week

Course Fee

PROGRAM FEE

US$2,000 US$1,920 and get US$200 off with a referral

Course Information Flexible payment available
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BALANCE SUSTAINABILITY WITH GROWTH

Sustainable growth in energy requires long-term strategies that continue to add economic value while also ensuring that our future is viable. As there are multiple pathways to sustainable growth, it is important that you identify and analyze value creation opportunities that are a good fit for your organization.

The Profitability and Sustainability in the Energy Industry program from Texas Executive Education at the McCombs School of Business is designed by expert faculty with extensive experience in the energy sector. Through a combination of live learning sessions, case studies, engagement with peers, and a final capstone project, the six-week curriculum empowers energy professionals to cultivate strategies that focus on sustainable value creation with an eye toward regulatory, financial, and environmental factors.

WHAT YOU WILL LEARN

The Profitability and Sustainability in the Energy Industry program will provide you with the tools and frameworks to:

Deepen your knowledge of the trends and topics that are defining the future of the energy sector, including energy system economics; policy, consumption, and pricing trends; energy conversion efficiency; Sustainable Development Goals (SDGs); and guiding principles of sustainability.

Identify and analyze sustainable value creation opportunities within the energy industry, taking into account risk management and the role of environmental, social, and corporate governance (ESG) in valuation.

Drive strategy that integrates sustainability considerations throughout the entire energy business cycle, including environmental, financial, and technology implications.

Develop your role in an energy ecosystem that is both profitable and sustainable, benefiting stakeholders that include public and private sectors, investors, and the society at large.

Gürcan Gülen

"The energy sector is among the most dynamic and complex landscapes on earth. We must understand the balance between government incentives and market price signals and use them as tools of risk mitigation."

— Gürcan Gülen, PhD, Adjunct Faculty, Texas Executive Education, UT Austin

PARTICIPANT PROFILE

The Profitability and Sustainability in the Energy Industry program is ideal for professionals in the energy industry, including:

  • Energy executives who envision a different future, where both sustainability and growth co-author the strategic plan of an organization or system
  • Grid operators who strive toward maximum energy system efficiencies during daily operations and optimal financing methods for ESG-related investments
  • Energy managers who are in positions to influence policy and the regulatory environment, supporting or granting the social license to operate

CURRICULUM

This six-week program enables participants to identify, analyze, and implement sustainable value creation strategies in the unpredictable energy sector. The curriculum, organized into weekly modules, offers flexibility in accessing study materials. Weekly activities encompass faculty sessions, assignments, and case studies, giving participants a grounding in corporate valuation, risk assessment and management, ESG disclosures, and financing.

Module 1:

Energy System Economics

Delve into the economics of energy systems, from the physical realities of the grid to how it is managed and operated. You will discuss the factors that affect the efficiency of energy systems as well as those that determine the stability and control of a power grid. This module will also help you assess the impact of potential policies, such as a carbon tax, on the cost of electricity generation.

Module 2:

Energy Return on Energy Invested (ERoEI)

Explore the principles of ERoEI—the ratio used to describe and measure the energy produced versus the energy used to create it. You will also provide recommendations to improve a region’s ERoEI based on your analysis.

Module 3:

Corporate Sustainability

Examine organizations that incorporate ESG into their long-term strategy, highlighting the relationship between people, the planet, and profits. You will also develop recommendations for energy sector organizations to meet investor demands for sustainability disclosures as well as how to set and achieve net zero goals.

Module 4:

Art and Science of Valuing Energy Organizations

After defining value and value creation across energy value chains, you will investigate the pros and cons of numerous valuation metrics as they apply to energy organizations. You will also determine the factors that can sustain, enhance, or undermine an organization's current valuation over time.

Module 5:

Managing Risks and Capitalizing on Opportunities

Discuss the various risks and mitigation options for different energy segments across diverse geographies to contextualize an organization's valuation. You will also assess the risks to energy projects and organizations posed by legal, policy, regulatory, and social forces.

Module 6:

Financing Energy Projects

You will assess energy investment needs around the world and then delve into project finance, evaluating its fit for different energy projects. Additionally, the module will help you identify the key elements to ensure a balance between financial returns and ESG requirements.

Module 1:

Energy System Economics

Delve into the economics of energy systems, from the physical realities of the grid to how it is managed and operated. You will discuss the factors that affect the efficiency of energy systems as well as those that determine the stability and control of a power grid. This module will also help you assess the impact of potential policies, such as a carbon tax, on the cost of electricity generation.

Module 4:

Art and Science of Valuing Energy Organizations

After defining value and value creation across energy value chains, you will investigate the pros and cons of numerous valuation metrics as they apply to energy organizations. You will also determine the factors that can sustain, enhance, or undermine an organization's current valuation over time.

Module 2:

Energy Return on Energy Invested (ERoEI)

Explore the principles of ERoEI—the ratio used to describe and measure the energy produced versus the energy used to create it. You will also provide recommendations to improve a region’s ERoEI based on your analysis.

Module 5:

Managing Risks and Capitalizing on Opportunities

Discuss the various risks and mitigation options for different energy segments across diverse geographies to contextualize an organization's valuation. You will also assess the risks to energy projects and organizations posed by legal, policy, regulatory, and social forces.

Module 3:

Corporate Sustainability

Examine organizations that incorporate ESG into their long-term strategy, highlighting the relationship between people, the planet, and profits. You will also develop recommendations for energy sector organizations to meet investor demands for sustainability disclosures as well as how to set and achieve net zero goals.

Module 6:

Financing Energy Projects

You will assess energy investment needs around the world and then delve into project finance, evaluating its fit for different energy projects. Additionally, the module will help you identify the key elements to ensure a balance between financial returns and ESG requirements.

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CAPSTONE PROJECT

Apply the knowledge you have gained throughout the program to a real-world scenario, demonstrating the ability to identify and analyze sustainable value creation opportunities within the energy industry. The focus of this project is evaluating the geopolitical factors associated with different locations and determining which one is more attractive for investment. You will identify the technical, commercial, and non-technical risks associated with each technology and geography to make informed decisions in a rapidly evolving business environment.

REAL-WORLD EXAMPLES

British Petroleum (BP)
Investigate the value of BP relative to its upstream-market peers to make comparisons using valuation metrics.

First Solar (FSLR)
Examine the financial performance of organizations such as FSLR that are heavily invested in clean technology, primarily wind and solar.

NESTE
Compare the financial performance of a mix of downstream organizations, one of which is NESTE, an oil refining and marketing organization located in Espoo, Finland.

Occidental Petroleum Corporation (OXY)
Conduct a comparables analysis to assess the valuation of OXY, an organization engaged in hydrocarbon exploration in the United States and the Middle East and in petrochemical manufacturing in the United States, Canada, and Chile.

PT Paiton Energy
A coal-fired power plant in Indonesia, PT Paiton Energy, is an example of successful restructuring and renegotiation of power purchase agreements (PPAs) and financing. This case study explores how various parties—including the plant's sponsors, government entities, and international financial institutions—collaborated to reach a more sustainable and mutually beneficial agreement.

Dabhol Power Station
The Dabhol gas-fired power plant in India’s Maharashtra state is an often-cited example of a project that failed as a result of interrelated social, political, and market risks. Analyze the key risks that impacted this project and offer ideas on risk mitigation steps that could have helped.

KEY PROGRAM FEATURES

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Expert Faculty

Gain in-depth insights from world-renowned faculty and expert practitioners with practical industry experience.

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Live Sessions

Join a live session with the faculty director as well as live weekly office hours with program leaders to deepen your understanding and answer your questions.

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Application Exercises

Apply the learnings on topics ranging from the impact of incentives to ESG disclosure and related best practices.

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Peer Learning

Interact with like-minded energy executives from across the world and share insights with each other.

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Real-World Examples

Drawing on the broad expertise of faculty, proprietary frameworks and use cases from across the entire energy ecosystem serve to make the learnings holistic.

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Capstone Project

Apply your insights to a project where you will identify and analyze sustainable value creation opportunities within the energy industry.

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Certificate of Completion

Demonstrate your commitment to forward-thinking leadership with a Certificate of Completion from The University of Texas at Austin, McCombs School of Business.

MEET THE FACULTY

Profile picture of professor Fred Beach

Fred Beach

Assistant Director, Energy & Technology Policy at the Energy Institute

Dr. Fred Beach is responsible for conducting research and supervising studies related to the development of energy, environmental, and technology policy. He also teaches Energy Technology Policy and International Energy Policy at the Cockrell School of Engineering, the LBJ School of Public Affairs, and the McCombs School of Business. Since retiring from the US Navy in 2003, he has served as a consultant on defense-related topics for the US Chief of Naval Operations Strategic Studies Group, MITRE, the Naval Research Advisory Committee, and the Defense Science Board.

Faculty Member Gürcan Gülen, Ph.D.

Gürcan Gülen, PhD

Adjunct Faculty, Texas Executive Education, UT Austin

Gürcan Gülen, PhD, is an energy economist and an industry thought leader with 25 years of international experience. His work focuses on policy and market research on oil, natural gas, and electric power value chains as well as associated strategic technical assistance and customized capacity building in numerous countries. He currently participates in research at the Bureau of Economic Geology (UT Austin), where he has worked since 2005, teaches in TEE programs, and consults. He has been involved in developing and instructing professional and university courses on energy value chain economics and business since the early 2000s.

Profile picture of professor Jeffrey Hales

Jeffrey Hales

The Bake Chair in Global Sustainability Leadership; The Charles T. Zlatkovich Centennial Professor of Accounting; and the Executive Director of the Global Sustainability Leadership Institute

Jeffrey Hales' research focuses on setting standards in accounting and regulation, individual decision making, and behavioral finance, using techniques from applied game theory, experimental economics, and psychology. His research has appeared in The Accounting Review, the Journal of Accounting Research, the Journal of Accounting and Economics, and the Journal of Financial Economics, among others.

CERTIFICATE

Certificate

CERTIFICATE

Upon successful completion of the program, participants will be awarded a certificate from The University of Texas at Austin, McCombs School of Business.

After successful completion of this program, your digital certificate will be emailed to you in the name you used when registering for the program. All certificate images are for illustrative purposes only and may be subject to change at the discretion of The University of Texas at Austin.

Note: This program does not grant academic credit or a degree from the McCombs School of Business.

Didn’t find what you were looking for? Write to us at learner.success@emeritus.org or Schedule a call with one of our Academic Advisors or call us at +1 361 344 4980 (US) / +44 13 8443 7887 (UK)

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