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 $253.96, per EIA data. That rate is 1.8¢ below the U.S. average of 18.16¢/kWh.
Rate trend, last three years
View this chart as a table (last 12 months)
| Month | Rate (¢/kWh) | Avg bill ($/mo) | Avg usage (kWh/mo) |
|---|---|---|---|
| September 2025 | 16.40 | 196.34 | 1197 |
| October 2025 | 16.70 | 156.65 | 938 |
| November 2025 | 16.06 | 143.00 | 890 |
| December 2025 | 15.99 | 184.44 | 1153 |
| January 2026 | 16.06 | 216.79 | 1350 |
| February 2026 | 16.18 | 188.32 | 1164 |
| March 2026 | 17.15 | 150.74 | 879 |
| April 2026 | 17.41 | 146.61 | 842 |
| May 2026 | 16.77 | 160.33 | 956 |
| June 2026 | 16.40 | 201.98 | 1231 |
| July 2026 | 16.40 | 248.69 | 1517 |
| August 2026 | 16.33 | 253.96 | 1555 |
Alabama vs the U.S. average
| Alabama | U.S. average | |
|---|---|---|
| Rate (August 2026) | 16.33¢/kWh | 18.16¢/kWh |
| Average monthly bill | $253.96 | $209.23 |
| Average monthly usage | 1555 kWh | 1152 kWh |
| Rate change, 1 year | +0.4% | +3.4% |
| Rate change, 5 years | +22.0% | +30.5% |
Alabama's average residential rate of 16.33¢/kWh for August 2026 ranks 26th of 51 (1 = lowest). Over the past year the rate moved +0.4% (Alabama) versus +3.4% nationally; over five years, +22.0% versus +30.5% nationally. Average usage of 1555 kWh/month compares with 1152 kWh nationally, which is why the bill and rate ranks can differ. For how Alabama's recent increase ranks against every other state (12-month, 3-year and 5-year changes), see electricity rate increases by state.
Largest utilities in Alabama
Average effective rates and bills for Alabama's largest utilities, from EIA Form 861-M (August 2026). Or find yours by ZIP code.
| Utility | Rate (¢/kWh) | Avg bill ($/mo) | Avg usage (kWh/mo) | Residential customers |
|---|---|---|---|---|
| Alabama Power Co | 17.80 | 273.63 | 1,537 | 1,354,827 |
| City of Huntsville | 12.72 | 182.51 | 1,435 | 208,842 |
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
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.