Integrating variable and non-dispatchable renewable power generation into existing power systems will have consequences for their operation and future expansion. These impacts will depend on two factors: (1) the variability of the total renewable power generation on different time scales and (2)...

This paper estimates the impact of solar and wind power intermittency on wholesale prices, arbitrage opportunities and the profitability of storage. First, I use the short term randomness of wind and solar generation to estimate the hourly reductions in wholesale electricity market prices...