Alabama Power offers a one-time $500 rebate for residential customers who install a Level 2 (240V) EV charger at a single-family home. Applications must be submitted within 90 days of charger purchase. Alabama Power also offers the Night Charging Discount with lower rates from 9 PM to 5 AM. The federal 30% tax credit adds up to $1,000 more through June 30, 2026.
Alabama Power serves approximately 1.5 million customers across the state and is a subsidiary of Southern Company, one of the largest electric utilities in the United States. In 2023 Alabama Power announced two incentives specifically designed to support EV adoption among its residential customers. The first is the Home Charger Rebate of $500 for installing a qualifying Level 2 charger. The second is the Night Charging Discount, a time-of-use rate that provides lower per-kWh prices during overnight hours from 9 PM to 5 AM when the electrical grid has surplus capacity.
Alabama already has some of the lowest residential electricity rates in the nation averaging approximately $0.12 per kWh, making home EV charging particularly cost-effective even before applying the Night Charging Discount. At $0.12 per kWh charging 30 miles of daily driving costs approximately $0.44 per day or about $13 per month. With the night discount that cost drops further, making Alabama one of the most economical states in the Southeast for EV ownership.
Stack Alabama Power rebate plus federal credit for maximum savings on a typical $1,400 installation
Alabama Power has specific qualification requirements for the $500 Home Charger Rebate. Missing any of these will disqualify your application so review this checklist before scheduling installation.
In addition to the $500 one-time rebate, Alabama Power offers the Night Charging Discount for EV owners who shift their charging to off-peak overnight hours between 9 PM and 5 AM. During these hours the electrical grid has surplus capacity from generation sources running continuously regardless of demand. Alabama Power passes these savings to EV customers who agree to charge primarily overnight.
Alabama already has residential electricity rates around $0.12 per kWh, which is below the national average. The Night Charging Discount reduces that further for enrolled customers. Over the course of a year of EV ownership the savings from the Night Charging Discount can add up to $200 to $350 depending on how many miles you drive annually and how consistently you charge during the discount window.
| Charging Scenario | Rate | Monthly Cost (30 mi/day) | Annual Cost |
|---|---|---|---|
| Standard Alabama Power rate | $0.12/kWh | ~$13/month | ~$156/year |
| Night Charging Discount rate | Lower than standard | ~$9 to $11/month | ~$108 to $132/year |
| National average electricity rate | $0.16/kWh | ~$17/month | ~$204/year |
| Public Level 2 charging | $0.35 to $0.50/kWh | ~$40 to $57/month | ~$480 to $684/year |
The $500 rebate reimburses you after installation is complete. Here is the correct order to follow:
Ready to claim your Alabama Power $500 rebate?
Get Free Birmingham QuotesImportant: DIY installations do not qualify. A licensed electrician must perform the installation. Alabama Power may conduct an onsite inspection. If application information is found to be false the rebate must be repaid.
Alabama Power serves the central, southern, and eastern portions of Alabama including Birmingham, Montgomery, Huntsville, Tuscaloosa, Mobile, Dothan, Anniston, Gadsden, and most of the state outside the northern Tennessee Valley Authority service area. TVA serves portions of north Alabama including the Huntsville area through separate utility programs. If you are unsure which utility serves your address check your electricity bill which will show either Alabama Power or your local TVA-connected cooperative.