  The variability and intermittency of renewable energy sources pose several
challenges for power systems operations, including energy curtailment and price
volatility. In power systems with considerable renewable sources,
co-variability in renewable energy supply and electricity load can intensify
these outcomes. In this study, we examine the impacts of renewable
co-variability across multiple spatial and temporal scales on the New York
State power system, which is undergoing a major transition toward increased
renewable generation. We characterize the spatiotemporal co-variability of
renewable energy-generating resources and electricity load and investigate the
impact of climatic variability on electricity price volatility. We use an
accurate, reduced-form representation of the New York power system, which
integrates additional wind and solar power resources to meet the state's energy
targets through 2030. Our results demonstrate that renewable energy resources
can vary up to 17% from the annual average, though combining different
resources reduces the overall variation to about 8%. On an hourly basis,
renewable volatility is substantially greater and may vary up to 100% above and
below average. This results in a 9% variation in annual average electricity
prices and up to a 56% variation in the frequency of price spikes. While yearly
average price volatility is influenced mainly by hydropower availability, daily
and hourly price volatility is influenced by solar and wind availability.
