Blandina C. R. Oliveira Polytechnic of Leiria, School of Technology and Management CEFAGE-UE blandina.oliveira@ipleiria.pt orcid.org/0000-0002-4414-3631 Adelino Fortunato University of Coimbra, CeBER, Faculty of Economics adelino@fe.uc.pt orcid.org/0000-0002-4790-6470 DOI: https://doi.org/10.14195/2183-203X_53_5 The Effect of Intermittent Renewable Energy Generation on Electricity Prices: A Literature Survey Efeito do Incremento da Produção de Energias Renováveis Intermitentes nos Preços da Eletricidade: Revisão da Literatura Blandina C. R. Oliveira Adelino Fortunato Received for publication: June 15, 2020 Revision accepted for publication: April 9, 2021 ABSTRACT Despite increasing deployment of intermittent renewable energies at lower generation costs, wholesale electricity price has been falling while retail electricity prices go up. This has triggered the debate on the cost-effectiveness of this source of energy. Therefore, the aim of this paper is to present a literature survey on the effect of intermittent renewable energy generation on electricity prices. Researches have used different methodological approaches, different periods and countries to examine the impacts of intermittent renewable energy on electricity prices. Most of the studies found evidence of the merit-order effect, which means that an increase in intermittent source generation would reduce the spot electricity market price. Finally, the few studies that address the retail market found that retail electricity could either increase or decrease. Keywords: Electricity market; intermittent renewable energy; electricity prices. JEL Classification: O38; Q41; L11. Acknowledgement: The authors would like to thank to an anonymous referee for their comments and suggestions, although the usual disclaimer applies.