Alabama Electricity Rates and Average Bill
Data through July 2026 (the latest month EIA has published) · Updated October 13, 2026
As of July 2026, the average residential electricity rate in Alabama is 16.40¢/kWh (the 24th-highest in the U.S.) and the average monthly bill is $248.69, per EIA data. That rate is 1.9¢ below the U.S. average of 18.31¢/kWh.
Rate trend, last three years
View this chart as a table (last 12 months)
| Month | Rate (¢/kWh) | Avg bill ($/mo) | Avg usage (kWh/mo) |
|---|---|---|---|
| August 2025 | 16.24 | 222.62 | 1371 |
| September 2025 | 16.43 | 197.35 | 1202 |
| October 2025 | 16.72 | 157.48 | 942 |
| November 2025 | 16.08 | 143.71 | 894 |
| December 2025 | 16.01 | 185.27 | 1157 |
| January 2026 | 16.06 | 216.82 | 1350 |
| February 2026 | 16.18 | 188.32 | 1164 |
| March 2026 | 17.15 | 150.47 | 877 |
| 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 |
Alabama vs the U.S. average
| Alabama | U.S. average | |
|---|---|---|
| Rate (July 2026) | 16.40¢/kWh | 18.31¢/kWh |
| Average monthly bill | $248.69 | $212.44 |
| Average monthly usage | 1517 kWh | 1160 kWh |
| Rate change, 1 year | +3.0% | +4.9% |
| Rate change, 5 years | +24.0% | +32.4% |
Alabama's average residential rate of 16.4¢/kWh for July 2026 ranks 28th of 51 (1 = lowest). Over the past year the rate moved +3.0% (Alabama) versus +4.9% nationally; over five years, +24.0% versus +32.4% nationally. Average usage of 1517 kWh/month compares with 1160 kWh nationally, which is why the bill and rate ranks can differ. For how Alabama's recent increase ranks against every other state (12-month, 3-year and 5-year changes), see electricity rate increases by state.
Largest utilities in Alabama
Average effective rates and bills for Alabama's largest utilities, from EIA Form 861-M (July 2026). Or find yours by ZIP code.
| Utility | Rate (¢/kWh) | Avg bill ($/mo) | Avg usage (kWh/mo) | Residential customers |
|---|---|---|---|---|
| Alabama Power Co | 17.86 | 270.11 | 1,513 | 1,353,650 |
| City of Huntsville | 12.98 | 174.75 | 1,346 | 208,475 |
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 16.40¢/kWh is about $164.00. The state's actual average usage is 1517 kWh/month, which is what produces the $248.69 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.