Alabama · Investor Owned · serves 594 ZIP codes
Alabama Power Co rate plans
2 residential plans are currently open to new customers that we can price side by side. Some charge different prices depending on the hour — which is where most of the savings hide.
Looking for when the expensive hours are? Alabama Power’s peak hours, plan by plan →
What does Alabama Power cost at a normal month’s usage?
A household using 1,000 kWh a month pays about $1,926 a year on the cheapest of the 3 plans we can price here — Family Dwelling Service — and $1,958 on the priciest. Same house, same wires.
| A month of | Cheapest, a year | On which plan | Priciest |
|---|---|---|---|
| 500 kWh | $1,040 | Large Farm Service | $1,138 |
| 1,000 kWh | $1,926 | Family Dwelling Service | $1,958 |
| 2,000 kWh | $3,597 | Rate RTA Energy | $3,794 |
The cheapest plan here changes with how much you use. That happens where tiers reward a small household and a big fixed charge rewards a large one — so the right answer depends on your own bill, not on an average. Estimates from the filed tariff, priced hour by hour on a household with central air — not a quote.
How much does the plan you pick actually matter here?
Run the same three-bedroom house with central air through every plan Alabama Power Co files, and the bill lands anywhere between $1,564 and $1,609 a year. That $45 spread is not a difference in electricity — it is the same kilowatt-hours, from the same wires, priced under different rules. Nobody sends you a letter when you are on the wrong side of it.
1 of these 2 plans price by the hour. Those are the ones where moving laundry, dishes, or car charging into the cheap window changes the bill; on the rest, the clock is irrelevant and only the total matters. Which camp you belong in is the first question worth settling, because it decides whether shifting your day is worth anything at all.
Watch the fixed charges too. Across these plans they run from $192 to $318 a year before a single kilowatt-hour is counted. For a small household that difference alone can outweigh the per-kWh price, which is why comparing cents per kilowatt-hour on its own quietly misleads.
How Alabama Power compares across Alabama
Run the same three-bedroom house with central air through its default plan at each of the 2 Alabama utilities we cover, and Alabama Power is the dearest of the lot at about $1,564 a year; the state median is $1,401. The cheapest, City of Huntsville, charges $1,239 for identical use — a gap set by the address, not by anything either household did.
The other two households tell the same story in different sizes: a small apartment pays about $898 here against a state median of $818, and the same house with an electric car charging overnight about $2,074 against $1,856. Effective rate, fixed charge included, is 16.5¢ per kilowatt-hour for the family home.
Inside Alabama Power itself, the gap between its cheapest and dearest plan for that house is $45 a year — less than the $326 between Alabama's cheapest and dearest utilities. Here the address decides most of the bill; the plan decides the rest.
Every Alabama utility we cover, priced for the same three households →
Which plan would cost you least?
No bill upload, no sign-up. Tell us roughly what a month costs you and what runs on electricity — we price every plan against the same household and show you the gap.
That adds up to 10,289 kWh a year. Compare it to the total on your bill and adjust until it’s close.
Same usage, different plan
$568a year
That is the gap between the cheapest plan you could be on — Family Dwelling Service (Demand Option) — and the priciest. Not by using less power. By being billed differently for the same power.
| Plan | Per year | Vs best |
|---|---|---|
| Family Dwelling Service (Demand Option)The hour never matters here — only the season. Rates peak June–September. | $1,115 | — |
| Rate RTA DemandPeak hits 1pm–7pm on weekdays, all year. | $1,509 | +$394 |
| Rate RTA EnergyPeak hits 1pm–7pm on weekdays, all year. | $1,636 | +$521 |
| Family Dwelling ServiceThe hour never matters here — only the season. Rates peak June–September. | $1,673 | +$558 |
| Large Farm ServiceThe hour never matters here — only the season. Rates peak June–September. | $1,684 | +$568 |
An estimate, not a quote. Supply charges move month to month, and your real usage pattern is not exactly this one. What it does show reliably is the gap between plans — both are priced off the same assumptions.
Before you switch anything
- What is a time-of-use electricity rate?
The same kilowatt-hour, priced differently depending on when you use it.
- Should you switch to a time-of-use electricity plan?
A wide peak-to-off-peak gap is a lever, not a saving. Levers need something to move.
- How to compare electricity plans without getting it wrong
Six things that break a comparison, and the order to check them in.
Every plan, in detail
Hour-by-hour schedules, tier thresholds, and the tariff each one comes from.
- Family Dwelling Serviceflat
The hour never matters here — only the season. Rates peak June–September.
13.3–14.8¢ - Family Dwelling Service (Demand Option)demand charge
The hour never matters here — only the season. Rates peak June–September.
8.9–9.1¢ - Large Farm Serviceflat
The hour never matters here — only the season. Rates peak June–September.
14.8–15.9¢ - Rate RTA Demanddemand charge
Peak hits 1pm–7pm on weekdays, all year.
11.6–26.7¢ - Rate RTA Energytime-of-use
Peak hits 1pm–7pm on weekdays, all year.
11.2–31.4¢