Typical customer: Not worth it

South Alabama Electric Cooperative and solar

South Alabama Electric Cooperative is an electric cooperative serving about 16,940 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.)
16.2¢2% below Alabama average
Typical bill
$1631,006 kWh a month
Exports credited
~19%No statewide net metering
Typical payback
19.2 yrs4.2 kW, cash

Export rules for South Alabama 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 South Alabama Electric Cooperative home

System4.2 kW (50% of 1,006 kWh/month)
Cost$16,520
First-year savings$764
Payback19.2 years
25-year net$6,994

Uses the utility's average price.

Solar adoption

Homes with solar (2025)
—
Share of customers
—
Residential solar capacity
—
Residential customers
16,940

EIA-861, 2025.

Cities served

Questions about South Alabama Electric Cooperative and solar

Does South Alabama Electric Cooperative have net metering?

South Alabama 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 South Alabama Electric Cooperative?

Residential customers paid an average of 15.8¢ per kWh in 2025 (EIA), about 16.2¢ adjusted to 2026. The typical home uses 1,006 kWh a month, a bill of about $163.

Is solar worth it with South Alabama Electric Cooperative?

For a typical customer, solar is not worth it: a 4.2 kW system costing about $16,520 pays back in about 19.2 years, with $6,994 net over 25 years.

How many South Alabama Electric Cooperative customers have solar?

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

Legal name: South Alabama Elec Coop, Inc (EIA ID 17534). Data: EIA-861 2025 and monthly data through 2026, state policy research October 2026.