Alabama electricity rates (August 2026)

Average residential and commercial electricity prices in Alabama from EIA's monthly utility survey, with the trend, the largest utilities and what power costs a typical homeowner.

Residential rate

16.33¢

▲ 0.4% vs a year agoper kWh, August 2026; ranks 26 of 51 (1 = highest)

Commercial rate

14.98¢

per kWh, August 2026

Average home bill

$187

per month over the last 12 months, about 1,139 kWh

U.S. residential average

18.16¢

Alabama is 10% below the U.S. average.

Find your utility's rate by ZIP

Alabama vs U.S. residential rate

Cents per kWh by month, last 36 months.

Last 12 months in Alabama

Month	Residential	Commercial	U.S. residential	Avg kWh	Avg bill
August 2026	16.33¢	14.98¢	18.16¢	1,555	$254
July 2026	16.40¢	14.83¢	18.31¢	1,517	$249
June 2026	16.40¢	14.67¢	18.34¢	1,231	$202
May 2026	16.77¢	14.51¢	18.44¢	956	$160
April 2026	17.41¢	14.44¢	18.86¢	842	$147
March 2026	17.15¢	15.07¢	18.60¢	879	$151
February 2026	16.18¢	15.00¢	17.65¢	1,164	$188
January 2026	16.06¢	15.10¢	17.45¢	1,350	$217
December 2025	15.99¢	15.00¢	17.11¢	1,153	$184
November 2025	16.06¢	14.43¢	17.77¢	890	$143
October 2025	16.70¢	14.73¢	17.95¢	938	$157
September 2025	16.40¢	14.47¢	18.05¢	1,197	$196

Largest utilities in Alabama

Residential rates for the biggest utilities in Alabama that report monthly to EIA, ordered by number of homes served, for August 2026.

Utility	Type	Rate	Avg kWh	Avg bill	Homes
Alabama Power Co	Investor Owned	17.80¢	1,537	$274	1,354,827
City of Huntsville - (AL)	Municipal	12.72¢	1,435	$183	208,842
City of Florence - (AL)	Municipal	12.55¢	1,615	$203	41,899
Joe Wheeler Elec Member Corp	Cooperative	15.08¢	1,612	$243	37,533
Decatur Utilities	Municipal	13.03¢	1,479	$193	22,741
Singing River Elec Cooperative	Cooperative	13.24¢	1,635	$216	337

What electricity adds to owning a home in Alabama

A typical Alabama home is valued at $238,614 (Zillow). With 10% down at this week's 7.24% 30-year rate, principal and interest come to about $1,464 a month. The average electric bill of $187 adds about 13% on top of that, or $2,248 a year. See Alabama property tax and closing costs or run the monthly payment.

Bills follow the seasons: in Alabama the highest-use month of the last year averaged 1,555 kWh per home and the lowest 842 kWh. Budget for the expensive months, not the average.

Common questions

What is the average electricity rate in Alabama?

Homes in Alabama paid an average of 16.33 cents per kWh in August 2026, 10% below the U.S. average of 18.16 cents (EIA Form 861M).

How much is the average electric bill in Alabama?

Over the last 12 months the average Alabama home used about 1,139 kWh a month and paid about $187 a month.

Have Alabama electricity rates gone up?

The residential rate is 0.4% higher than in August 2025, when it was 16.26 cents per kWh.

What do businesses pay for electricity in Alabama?

Commercial customers in Alabama paid 14.98 cents per kWh in August 2026.

Electricity rates in all statesRanked table and ZIP lookup Alabama buying costsProperty tax, transfer tax and closing costs Alabama buyer programsDown payment help where you live

Sources: U.S. Energy Information Administration (EIA), Form EIA-861M monthly sales and revenue (state and utility data, latest month August 2026; EIA marks recent months preliminary and may revise them); ZIP-to-utility map: OpenEI, U.S. Electric Utility Companies and Rates: Look-up by Zip Code (2024), CC BY 4.0. Rates are average revenue per kWh (total bill divided by kWh sold), so they include fixed and delivery charges. EIA posts each month about eight weeks after it ends; this page checks for new data every morning.