How much more expensive is electricity in Alabama?

At 900 kWh/month, electricity in Alabama costs about $3.78 more per month than in Texas—roughly 2.5% higher.

Why do electricity prices vary between states?

Electricity prices vary due to generation mix (coal, gas, nuclear, renewables), transmission costs, regulations, taxes, and demand. States with more hydropower or natural gas often have lower rates; those relying on imported power or with higher renewable mandates may have higher rates.

Electricity Cost: Alabama vs Texas

Electricity costs about 2% more in Alabama than in Texas. A typical monthly bill runs about $157 in Alabama vs $153 in Texas.

Based on average residential rates from EIA data · 900 kWh of monthly use

Alabama rate

17.41 ¢/kWh

Texas rate

16.99 ¢/kWh

Alabama 900 kWh bill

$156.69

Texas 900 kWh bill

$152.91

Is electricity cheaper in Alabama or Texas?

State	Electricity rate	Estimated monthly bill
Alabama	17.41 ¢/kWh	$156.69
Texas	16.99 ¢/kWh	$152.91

What the difference adds up to

At a typical 900 kWh a month, a household in Alabama pays about $3.78 more than one in Texas — about 2% higher, or roughly $45 a year for the same electricity.

Monthly Bill Comparison

Alabama vs Texas

Frequently Asked Questions

Is electricity cheaper in Alabama or Texas?: Texas has cheaper electricity. At 900 kWh/month, the estimated bill is $152.91 in Texas vs $156.69 in Alabama—about 2.5% less.
How much more expensive is electricity in Alabama?: At 900 kWh/month, electricity in Alabama costs about $3.78 more per month than in Texas—roughly 2.5% higher.
Why do electricity prices vary between states?: Electricity prices vary due to generation mix (coal, gas, nuclear, renewables), transmission costs, regulations, taxes, and demand. States with more hydropower or natural gas often have lower rates; those relying on imported power or with higher renewable mandates may have higher rates.