Typical customer: Not worth it

City of Florence and solar

City of Florence is a municipal utility serving about 41,690 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.)
12.7¢23% below Alabama average
Typical bill
$1621,278 kWh a month
Exports credited
~24%No statewide net metering
Typical payback
23 yrs5.5 kW, cash

Export rules for City of Florence 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 City of Florence home

System5.5 kW (50% of 1,278 kWh/month)
Cost$20,550
First-year savings$785
Payback23.0 years
25-year net$2,487

Uses the utility's average price.

Solar adoption

Homes with solar (2025)
—
Share of customers
—
Residential solar capacity
—
Residential customers
41,690

EIA-861, 2025.

Cities served

Questions about City of Florence and solar

Does City of Florence have net metering?

City of Florence 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 City of Florence?

Residential customers paid an average of 12.4¢ per kWh in 2025 (EIA), about 12.7¢ adjusted to 2026. The typical home uses 1,278 kWh a month, a bill of about $162.

Is solar worth it with City of Florence?

For a typical customer, solar is not worth it: a 5.5 kW system costing about $20,550 pays back in about 23 years, with $2,487 net over 25 years.

How many City of Florence customers have solar?

City of Florence did not report residential net-metered solar to EIA for 2025.

Legal name: City of Florence - (AL) (EIA ID 6422). Data: EIA-861 2025 and monthly data through 2026, state policy research October 2026.