Alabama
Electricity costs 16.10¢/kWh residential, ranking #31 cheapest in the US. 9.0% renewable energy.
16.10¢
Residential Rate
#31
Price Rank (Cheapest)
9.0%
Renewable Energy
#40
Renewable Rank
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Electricity Rates
| Residential | 16.10¢/kWh |
| Commercial | 14.52¢/kWh |
| Industrial | 7.73¢/kWh |
| National Average | 17.92¢/kWh |
Electricity Generation Mix
Natural Gas
45.2%
Nuclear
31.1%
Coal
14.6%
Hydro
5.8%
Other
2.3%
Solar
0.9%
Frequently Asked Questions
The residential electricity rate in Alabama is 16.10¢ per kilowatt-hour, ranking #31 cheapest out of 51 states. The national average is 17.92¢/kWh, making Alabama 10% below average.
9.0% of Alabama's electricity comes from renewable sources, ranking #40 among all states. The largest generation source is Natural Gas at 45.2%.
Alabama's residential rate of 16.10¢/kWh is 10% below the national average of 17.92¢/kWh. Commercial rates are 14.52¢/kWh and industrial rates are 7.73¢/kWh.
Related State Energy Profiles
15.47¢/kWh residential · 29.4% renewable
15.82¢/kWh residential · 32.6% renewable
15.85¢/kWh residential · 41.3% renewable
16.23¢/kWh residential · 14.4% renewable
16.96¢/kWh residential · 5.3% renewable
22.92¢/kWh residential · 99.8% renewable
Electricity rates from EIA retail sales data. Prices in cents per kilowatt-hour. Generation mix from EIA electric power operational data. Rankings based on residential rates.
Residential electricity in Alabama runs 16.10¢/kWh, 10% below the 17.92¢/kWh national average and the 31st cheapest of 51 states and territories.
Across rate classes, commercial customers pay 14.52¢/kWh and industrial customers 7.73¢/kWh — a 6.79¢/kWh gap that reflects the volume discounts large industrial loads receive. Renewables supply 9.0% of generation in Alabama, where natural gas dominates the mix at 45.2%, followed by nuclear at 31.1%.
In 2024, Alabama generated about 142,921 GWh of electricity in total.
Source: U.S. Energy Information Administration, 2026.