Typical customer: Not worth it

Arab Electric Cooperative and solar

Arab Electric Cooperative is an electric cooperative serving about 14,159 homes in Alabama. Here's what its rates and export rules mean for solar: for a typical customer, solar is not worth it.

Average price (2026 est.)
13.0¢21% below Alabama average
Typical bill
$1631,252 kWh a month
Exports credited
~23%No statewide net metering
Typical payback
22.5 yrs5.3 kW, cash

Export rules for Arab Electric Cooperative customers

No statewide net metering (Alabama rule).

Alabama has no net metering law. Alabama Power buys any electricity you send to the grid at a low wholesale (avoided-cost) price. It also charges solar customers a monthly 'capacity reservation' fee of about $5.41 per kW of system size, which a federal judge let stand in March 2026.

Alabama net metering details

Solar for a typical Arab Electric Cooperative home

System5.3 kW (50% of 1,252 kWh/month)
Cost$19,930
First-year savings$779
Payback22.5 years
25-year net$3,049

Uses the utility's average price.

Solar adoption

Homes with solar (2025)
—
Share of customers
—
Residential solar capacity
—
Residential customers
14,159

EIA-861, 2025.

Questions about Arab Electric Cooperative and solar

Does Arab Electric Cooperative have net metering?

Arab Electric Cooperative follows Alabama's rules: Alabama has no net metering law. Alabama Power buys any electricity you send to the grid at a low wholesale (avoided-cost) price. It also charges solar customers a monthly 'capacity reservation' fee of about $5.41 per kW of system size, which a federal judge let stand in March 2026.

How much does electricity cost with Arab Electric Cooperative?

Residential customers paid an average of 12.8¢ per kWh in 2025 (EIA), about 13.0¢ adjusted to 2026. The typical home uses 1,252 kWh a month, a bill of about $163.

Is solar worth it with Arab Electric Cooperative?

For a typical customer, solar is not worth it: a 5.3 kW system costing about $19,930 pays back in about 22.5 years, with $3,049 net over 25 years.

How many Arab Electric Cooperative customers have solar?

Arab Electric Cooperative did not report residential net-metered solar to EIA for 2025.

Legal name: Arab Electric Coop Inc (EIA ID 750). Data: EIA-861 2025 and monthly data through 2026, state policy research October 2026.