mozilla's school of webcraft is also a good way to teach online for free
http://p2pu.org/en/schools/school-of-webcraft/
For what it's worth, here's my course on web development: http://internetdev.usu.edu/notes We just cover the basics of HTML and CSS, and then jump into using a content management system (drupal). I hosted students' drupal sites myself, but there is also this free drupal hosting site: http://drupalgardens.com/ For the basic HTML/CSS part, I tried out http://kodingen.com/ to let students do everything in the browser since the computers are locked down here. It has some issues, but worked okay.