Alabama Electricity Rates and Average Bill

Data through August 2026 (the latest month EIA has published) · Updated October 31, 2026

As of August 2026, the average residential electricity rate in Alabama is 16.33¢/kWh (the 26th-highest in the U.S.) and the average monthly bill is $253.96, per EIA data. That rate is 1.8¢ below the U.S. average of 18.16¢/kWh.

Average rate
16.33¢/kWh
+0.4% year over year
Average bill
$253.96
+15.1% year over year
Average usage
1555 kWh/mo
vs 1152 U.S. average
Rate rank
#26
of 51 (1 = lowest rate)

Rate trend, last three years

View this chart as a table (last 12 months)
MonthRate (¢/kWh)Avg bill ($/mo)Avg usage (kWh/mo)
September 202516.40196.341197
October 202516.70156.65938
November 202516.06143.00890
December 202515.99184.441153
January 202616.06216.791350
February 202616.18188.321164
March 202617.15150.74879
April 202617.41146.61842
May 202616.77160.33956
June 202616.40201.981231
July 202616.40248.691517
August 202616.33253.961555

Alabama vs the U.S. average

AlabamaU.S. average
Rate (August 2026)16.33¢/kWh18.16¢/kWh
Average monthly bill$253.96$209.23
Average monthly usage1555 kWh1152 kWh
Rate change, 1 year+0.4%+3.4%
Rate change, 5 years+22.0%+30.5%

Alabama's average residential rate of 16.33¢/kWh for August 2026 ranks 26th of 51 (1 = lowest). Over the past year the rate moved +0.4% (Alabama) versus +3.4% nationally; over five years, +22.0% versus +30.5% nationally. Average usage of 1555 kWh/month compares with 1152 kWh nationally, which is why the bill and rate ranks can differ. For how Alabama's recent increase ranks against every other state (12-month, 3-year and 5-year changes), see electricity rate increases by state.

Largest utilities in Alabama

Average effective rates and bills for Alabama's largest utilities, from EIA Form 861-M (August 2026). Or find yours by ZIP code.

UtilityRate (¢/kWh)Avg bill ($/mo)Avg usage (kWh/mo)Residential customers
Alabama Power Co 17.80273.631,5371,354,827
City of Huntsville 12.72182.511,435208,842

Average bill = rate × average usage. Utilities with similar rates can show very different average bills because their customers' average usage differs (housing mix, heating fuel, climate).

Estimate a bill at Alabama rates

1,000 kWh × 16.33¢ ≈ $163.30

Worked example: 1,000 kWh at Alabama's average rate of 16.33¢/kWh is about $163.30. The state's actual average usage is 1555 kWh/month, which is what produces the $253.96 average bill. These are average effective rates including all charges; your utility's tariff will differ.

Wondering what's behind rising rates nationally? See Why is my electric bill so high?, our data-led explainer on demand growth, data centers, and grid costs. Also: Alabama gas prices and why they are what they are, and the cheapest way to heat a home by fuel and state.

Source: EIA retail sales data (residential sector, monthly), published with roughly a two-month lag. Rate = revenue ÷ sales; bill = revenue ÷ customers. We do not project unpublished months. See methodology.