Skip to content

Plug-In Solar in Alabama

No plug-in solar law exists in Alabama, and no bill turned up, so Alabama Power's usual customer generation rules still apply, with approval first, plus a monthly solar fee.

A home with a plug-in solar panel on the porch railing, the kind of kit Alabama's rules apply to

You need your electric utility's approval before connecting in Alabama, and an inverter with anti-islanding listed to UL 1741, or listed to UL 3700.

Alabama's Rule Right Now

Alabama Power requires customers to submit an interconnection application through its PowerClerk portal. It asks that the application be approved before you buy or install solar panels. Customer generators that run in parallel with the grid fall under Rate Rider RGB, and any extra interconnection costs go to the customer.

Alabama doesn't offer net metering. Alabama Power's cost to generate it (avoided cost) is the only credit you get for power you send to the grid, far below retail rates. Under 100 kW, systems can sell extra power under Rate PAE.

How Much a Kit Saves in Alabama

Alabama homes pay 16.5 cents for each kWh in 2026 so far, and PVWatts puts 1,387 kWh each year on every 1 kW of panels in Birmingham. The numbers for an 800 W kit depend on where the panels go:

Where the panels gokWh a yearSaved a year
Tilted south on a stand1,110$183
Upright on a railing699$115
Facing east or west888$147

Each Month in Birmingham

An 800 W kit, tilted south, makes this many kWh.

Kits and Their Prices in Alabama

KitkWh a yearSaved a yearPays back inPrice
US Solar Supplier 1180 W EZ1 Kit1,637$2703.3 years$899
Bright Saver 360 W Balcony Kit499$825.0 years$414
EcoFlow STREAM 800 W Kit1,110$1836.0 years$1,099

Tilted south, all used at home. Compare all the kits

Things Worth Knowing in Alabama

  • If you generate your own power, Alabama Power charges a Capacity Reservation Charge: $5.41 per kW of capacity every month. That's among the country's highest solar fees, and a federal judge allowed it in 2026.
  • The average price Alabama homes paid in 2024 was 15.18 cents/kWh. Roughly two thirds of Alabama is served by Alabama Power.

Renting, or is it on a balcony?

The mount is your landlord's or HOA's call, and the hookup is your electric utility's. See balcony solar. Also see solar for apartments.

Key Utilities

  • Alabama Power Company
  • Tennessee Valley Authority
  • City of Huntsville
  • Joe Wheeler Electric Membership Corporation

Next Steps for You in Alabama

  1. Choose a kit size. In Birmingham, about 555 kWh a year comes from a 400 W kit, and about 1,665 kWh from a 1,200 W kit. Run yours.
  2. Ask the lawmakers in your state about a plug-in bill, similar to bills other states have passed.

Sources

Look over every state at a glance or check one of these neighbors: Georgia, Tennessee, Mississippi.