Sheffield Utilities and solar
Sheffield Utilities is a municipal utility serving about 15,662 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.)
- 13.3¢19% below Alabama average
- Typical bill
- $1691,277 kWh a month
- Exports credited
- ~23%No statewide net metering
- Typical payback
- 22.1 yrs5.4 kW, cash
Export rules for Sheffield Utilities 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.
Solar for a typical Sheffield Utilities home
| System | 5.4 kW (50% of 1,277 kWh/month) |
|---|---|
| Cost | $20,240 |
| First-year savings | $807 |
| Payback | 22.1 years |
| 25-year net | $3,658 |
Uses the utility's average price.
Solar adoption
- Homes with solar (2025)
- —
- Share of customers
- —
- Residential solar capacity
- —
- Residential customers
- 15,662
EIA-861, 2025.
Questions about Sheffield Utilities and solar
Does Sheffield Utilities have net metering?
Sheffield Utilities 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 Sheffield Utilities?
Residential customers paid an average of 13.0¢ per kWh in 2025 (EIA), about 13.3¢ adjusted to 2026. The typical home uses 1,277 kWh a month, a bill of about $169.
Is solar worth it with Sheffield Utilities?
For a typical customer, solar is not worth it: a 5.4 kW system costing about $20,240 pays back in about 22.1 years, with $3,658 net over 25 years.
How many Sheffield Utilities customers have solar?
Sheffield Utilities did not report residential net-metered solar to EIA for 2025.
Legal name: Sheffield Utilities (EIA ID 17033). Data: EIA-861 2025 and monthly data through 2026, state policy research October 2026.