Alabama Electricity Rates and Average Bill
Data through June 2026 (the latest month EIA has published) · Updated September 03, 2026
As of June 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 $201.98, per EIA data. That rate is 1.9¢ below the U.S. average of 18.34¢/kWh.
Rate trend, last three years
View this chart as a table (last 12 months)
| Month | Rate (¢/kWh) | Avg bill ($/mo) | Avg usage (kWh/mo) |
|---|---|---|---|
| July 2025 | 15.93 | 245.43 | 1541 |
| 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 |
Alabama vs the U.S. average
| Alabama | U.S. average | |
|---|---|---|
| Rate (June 2026) | 16.40¢/kWh | 18.34¢/kWh |
| Average monthly bill | $201.98 | $170.65 |
| Average monthly usage | 1231 kWh | 930 kWh |
| Rate change, 1 year | +2.1% | +5.0% |
| Rate change, 5 years | +22.4% | +32.6% |
Alabama's average residential rate of 16.4¢/kWh for June 2026 ranks 28th of 51 (1 = lowest). Over the past year the rate moved +2.1% (Alabama) versus +5.0% nationally; over five years, +22.4% versus +32.6% nationally. Average usage of 1231 kWh/month compares with 930 kWh nationally, which is why the bill and rate ranks can differ. For how Alabama's recent increase ranks against every other state (12-month, 3-year and 5-year changes), see electricity rate increases by state.
Largest utilities in Alabama
Average effective rates and bills for Alabama's largest utilities, from EIA Form 861-M (June 2026). Or find yours by ZIP code.
| Utility | Rate (¢/kWh) | Avg bill ($/mo) | Avg usage (kWh/mo) | Residential customers |
|---|---|---|---|---|
| Alabama Power Co | 17.63 | 221.78 | 1,258 | 1,352,427 |
| City of Huntsville | 13.39 | 130.61 | 976 | 207,882 |
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 1231 kWh/month, which is what produces the $201.98 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.