AlabamaElectricity Rates & Utility Costs
The average residential electricity rate in Alabama is 14.87¢/kWh, which is around the national average. That's 13.6% lower than the national average.
Residential
14.87¢
per kWh
Commercial
12.83¢
per kWh
Industrial
7.58¢
per kWh
Avg Monthly Bill
$163
residential
Alabama vs National Average
| Metric | Alabama | National Avg | Difference |
|---|---|---|---|
| Residential Rate | 14.87¢/kWh | 17.22¢/kWh | -2.35¢ |
| Monthly Bill | $163 | $134 | +$29.00 |
| Renewable Energy | 12.0% | ~22% | Below avg |
| Primary Source | Natural Gas | ||
Why Electricity Is Affordable in Alabama
Alabama's electricity rates are close to the national average. The state relies primarily on Natural Gas for power generation, with renewable sources making up 12.0% of the mix. Competitive market options and moderate generation costs help keep rates stable.
Utility Companies in Alabama
| Utility | Avg Rate | Customers | Type |
|---|---|---|---|
| Alabama Power | 14.87¢/kWh | 1,500,000 | electric |
| Tennessee Valley Authority | 12.50¢/kWh | 600,000 | electric |
| Huntsville Utilities | 13.20¢/kWh | 200,000 | both |
Appliance Running Costs in Alabama
Based on Alabama's residential rate of 14.87¢/kWh.
| Appliance | Watts | Hours/Day | Monthly Cost | Annual Cost |
|---|---|---|---|---|
| Air Purifier | 50 | 24 | $5.35 | $64.24 |
| Blender | 400 | 0.1 | $0.18 | $2.14 |
| CFL Bulb (13W) | 13 | 8 | $0.46 | $5.57 |
| Cable / Satellite Box | 35 | 24 | $3.75 | $44.97 |
| Ceiling Fan | 75 | 12 | $4.01 | $48.18 |
| Central Air Conditioner | 3,500 | 8 | $124.91 | $1,498.90 |
| Chest Freezer | 80 | 24 | $8.57 | $102.78 |
| Clothes Dryer (Electric) | 3,000 | 1 | $13.38 | $160.60 |
| Coffee Maker | 900 | 0.25 | $1.00 | $12.04 |
| Crypto Mining Rig | 1,500 | 24 | $160.60 | $1,927.15 |
| Dehumidifier | 300 | 12 | $16.06 | $192.72 |
| Desktop Computer | 200 | 8 | $7.14 | $85.65 |
| Dishwasher | 1,800 | 1 | $8.03 | $96.36 |
| Electric Baseboard Heater | 1,000 | 10 | $44.61 | $535.32 |
| Electric Fireplace | 1,400 | 4 | $24.98 | $299.78 |
Compare With Other States
More Data for Alabama
Frequently Asked Questions
What is the average electricity rate in Alabama?
The average residential electricity rate in Alabama is 14.87¢ per kWh, which is 13.6% below the national average of 17.22¢/kWh.
How much is the average monthly electric bill in Alabama?
The average monthly residential electric bill in Alabama is $163, compared to the national average of $134.
Why is electricity cheap in Alabama?
Alabama's electricity rates are close to the national average. The state relies primarily on Natural Gas for power generation, with renewable sources making up 12.0% of the mix. Competitive market options and moderate generation costs help keep rates stable.
What is the main energy source in Alabama?
The primary energy source in Alabama is Natural Gas, with 12.0% of electricity coming from renewable sources.
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Data verified March 2026 · Source: U.S. Energy Information Administration (EIA)