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AL1357 Environmental Economics 7.5 credits

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Headings with content from the Course syllabus AL1357 (Spring 2023–) are denoted with an asterisk ( )

Content and learning outcomes

Course contents

The aim of the course is to give you a basic theoretical and methodological toolbox to evaluate common environmental and natural resource-economical issues, and to give you basic knowledge of sustainability strategies and measures in companies.

The course focuses on two main fields of study: sustainability strategies and measures in companies, and environmental economics. The red thread is economic thinking from different perspectives. The course covers sustainable development goals from a company perspective and a life-cycle perspective. Sustainability reporting and sustainable business strategies are presented and discussed.

Furthermore, the course contains studies of the economic theory and the theoretical and practical tools that are used to explain and solve environmental problems in society in environmental economics, which is a branch of the broader subject economics.

The course goes through market failures, environment political policy instruments, valuation of ecosystem services, and socioeconomic impact assessments that can be used as a basis to achieve a more sustainable and efficient use of natural resources.

Intended learning outcomes

On completion of the course, the course participant should be able to:

  1. explain the economic theory that is used to study problems around natural resources exploitation and be able to apply this theory.
  2. explain the need of policy instrument in environmental policy explain how the use of policy instrument can contribute to a more sustainable development, and analyse current environmental problems and possible solutions by applying the theory of policy instruments.
  3. explain and apply socioeconomic analysis methods to provide basis for decisions concerning environmental problems.
  4. give an account of how companies can work with sustainable development, which possibilities and challenges this creates, and be able to analyse companies' sustainability strategies.
  5. give an account of how the sustainability measures of a company can be compiled, reported and interpreted.
  6. individually and in groups be able to account for and present results of the course content in written and oral form and in opposition.

Course disposition

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Literature and preparations

Specific prerequisites

2.5 years of academic studies in the fields of energy and environment.

Recommended prerequisites

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Examination and completion

If the course is discontinued, students may request to be examined during the following two academic years.

Grading scale

A, B, C, D, E, FX, F


  • INL1 - Written and oral report of case study, 1.5 credits, grading scale: P, F
  • SEM1 - Seminars, 3.5 credits, grading scale: A, B, C, D, E, FX, F
  • TEN1 - Written exam, 2.5 credits, grading scale: A, B, C, D, E, FX, F

Based on recommendation from KTH’s coordinator for disabilities, the examiner will decide how to adapt an examination for students with documented disability.

The examiner may apply another examination format when re-examining individual students.

Opportunity to complete the requirements via supplementary examination

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Opportunity to raise an approved grade via renewed examination

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Ethical approach

  • All members of a group are responsible for the group's work.
  • In any assessment, every student shall honestly disclose any help received and sources used.
  • In an oral assessment, every student shall be able to present and answer questions about the entire assignment and solution.

Further information

Course web

Further information about the course can be found on the Course web at the link below. Information on the Course web will later be moved to this site.

Course web AL1357

Offered by

Main field of study


Education cycle

First cycle

Add-on studies

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