A Comprehensive Guide To Alabama EV Rebates, Incentives & Tax Credits

To make the transition to an electric lifestyle as easy as possible, we’ve created this guide with everything Alabama residents need to know about driving an electric vehicle (EV), including available rebates, incentives, and tax credits. Qmerit is your electrification partner in Alabama!

Updated: February 24, 2025

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Alabama Electric Vehicle Rebates, Tax Credits and EV Incentives

With generous rebates, optimized charging rates, and expanding infrastructure, Alabama is creating more opportunities for individuals and businesses to transition to electric mobility.

In this guide, we’ll explore Alabama’s EV tax credits, rebates, and incentives, along with key details on charging programs and public EV charging infrastructure and availability across the state.

Central Alabama Electric Cooperative EV Rebate

Central Alabama Electric Cooperative members who own or lease a battery electric vehicle (BEV) registered within the service territory may qualify for a $100 rebate.

Tax Credits For Electric Vehicles

Car buyers in Alabama may qualify for federal tax credits like the clean vehicle tax credit of up to $7,500 for new vehicles, or the used clean vehicle tax credit for up to $4,000. Income restrictions as well as battery component and critical mineral restrictions may apply. Be sure to speak to a qualified CPA or tax professional to check your eligibility.

Alabama EV Charger Rebates

Charging your EV at home is both affordable and convenient. To achieve the best charging speed with your residential electrical infrastructure, it is essential to install a Level 2 EV charger with the help of a qualified EV charger installation professional.

Before scheduling your installation, be sure to verify whether your electricity provider currently offers any rebates for EV chargers, as programs and program requirements are subject to change.

Alabama Power EV Charger Rebate

Alabama Power offers a one-time $500 rebate for residential customers who purchase and install a Level 2 home charger. To qualify, customers must lease or own a battery electric vehicle (BEV) or plug-in hybrid electric vehicle (PHEV) and install the charger in a single-family home.

EV Charging Rates in Alabama

Enrolling in a time-of-use (TOU) plan allows EV drivers to take advantage of lower rates for EV chargers when the demand for electricity is lower.

For EV owners who can adjust their charging schedule to align with discounted rates, this can lead to significant savings and help alleviate pressure on the grid.

Several Alabama utilities offer TOU rate plans that incentivize off-peak EV charging, reducing electricity costs for both home and public charging.

Alabama Power

Alabama Power offers the Time Advantage – Energy Rate Plan, which provides discounted rates based on the time of day and season. Economy pricing applies during all weekend hours year-round and all hours in April, May, and October, with rates as low as $0.09 per kWh. Summer peak hours (June through September) are weekdays from 1 p.m. to 7 p.m., with rates at $0.25 per kWh. During winter months (November through March), peak hours are weekdays from 6 a.m. to 9 a.m., with rates at $0.12 per kWh.

Pioneer Electric Cooperative

Pioneer Electric Cooperative offers a time-of-use TOU rate plan with off-peak energy charges at $0.09 per kWh and on-peak energy charges at $0.45 per kWh. Additionally, there is a $50 monthly access charge, no demand charge, and a wholesale power cost adder of $0. The peak hours for winter are from 6 a.m. to 8 a.m. (November 1 to April 30), while summer peak hours are from 3:30 p.m. to 6 p.m. (May 1 to October 31).

Tallapoosa River Electric Cooperative (TREC)

Tallapoosa River Electric Cooperative (TREC) offers a TOU rate plan with an on-peak energy charge of $0.15 per kilowatt-hour (kWh) and an off-peak energy charge of $0.10 per kWh. The on-peak hours are from 3:30 p.m. to 6 p.m. (May 1 to October 31) and 6 a.m. to 8 a.m. (November 1 to April 30), while off-peak hours apply during all other times, weekends, and holidays.

Tennessee Valley Authority (TVA)

Tennessee Valley Authority (TVA) offers a TOU rate plan with on-peak rates of $0.15 per kWh and off-peak rates of $0.07 per kWh. On-peak hours are from 3 p.m. to 7 p.m. (June to September), while off-peak hours apply to all other times, weekends, and holidays.

Public EV Charging Stations in Alabama

Alabama is rapidly expanding its public charging infrastructure to support the state’s growing EV adoption.

How Many Public EV Charging Stations Are in Alabama?

As of February 2025, Alabama has nearly 500 public charging stations including over 300 Level 2 and 197 DC Fast stations. There are 32 Tesla Supercharger stations and 414 Tesla Supercharger ports in Alabama.

As mentioned above, the state also has robust at-home EV charger installation and charging incentives that can help reduce the reliance of EV drivers on public charging, provide the convenience of at-home charging, and offer greater cost savings than utilizing public EV charging stations.

How Much Do Public EV Charging Stations Cost in Alabama?

Public charging prices can vary from one network to another, but as a general rule, rates for charging at public EV charging stations tend to be higher than at-home charging costs.

In addition to any other charging station or parking fees, Level 2 EV chargers typically cost drivers between $0.10 and $0.20 per kWh, while DC Fast chargers may cost between $0.30 to $0.50 per kWh.

Are There Free EV Charging Stations in Alabama?

Yes, you can find free EV charging stations in Alabama, but access to free public charging shouldn’t be your primary charging strategy.

In Tuscaloosa, for instance, there are 13 free public charging stations available. Similarly, Montgomery provides 22 free charging stations for public use.

Additionally, the University of Alabama has installed multiple charging stations on its campus, offering free charging to students, faculty, staff, and visitors. These stations are strategically located in various parking areas, including the Presidential Parking Deck and Riverside Parking Deck, among others.

Where Are Public EV Charging Stations Located in Alabama?

Public chargers are widely distributed across AL’s urban centers, highways, and key destinations.

Tesla has built a Supercharger network of fast charging stations throughout the state, with locations approximately 150 miles apart along I-20 and I-65. 

Visit the U.S. Department of Energy’s Alternative Fuels Data Center Map of EV Charging Station Locations in Alabama, which can be sorted and filtered based on public access, charger type (Level 1, Level 2, DC Fast), and connector type (NACS, J1772, CCS, CHAdeMO).

Home Electrification Incentives in Alabama

Combining EV ownership with other electrification projects, such as upgrading your home with solar panels & battery storage, or investing in a heat pump, will help you save even more while reducing your environmental impact.

You may qualify for home electrification incentives through your local electricity provider in addition to the U.S. federal government. Scroll down to read rebate and incentive details for specific home electrification technologies.

Battery Storage

The 25D Residential Clean Energy Tax Credit provides a 30% federal tax credit on the cost of new battery storage systems size 3kWh and larger.

Electrical Panels

The 25C Energy Efficient Home Improvement Tax Credit provides a federal tax credit for electrical panel upgrades needed to complete electrification projects like heat pumps and heat pump water heaters (up to 30% of project costs, capped at $600). The 25C tax credit can be used by renters, and homeowners making upgrades to their primary or secondary home.

Qualifying electrical panels must meet the standards of the National Electric Code (NEC) and have a capacity of 200 Amps or more. This means that your new/upgraded panel must be able to serve a load of at least 200 Amps, but you don’t need 200 Amps of incoming utility service. Smart panels may qualify if they allow you to serve a load of 200 Amps.

If you’re claiming 25D for a residential solar or battery storage project and the installation required you to upgrade your main panel, you may be able to apply 25D to electrical panel costs as well.

Heat Pumps & Heat Pump Water Heaters

The 25C Energy Efficient Home Improvement Tax Credit also applies to heat pumps and heat pump water heaters. A 30% federal tax credit is available (capped at $2,000 dollars). Eligible technologies must meet certain energy efficiency requirements.

Solar Panels

The 25D Residential Clean Energy Tax Credit also provides a 30% federal tax credit on the cost of photovoltaic (PV) solar panel systems.

Why Qmerit is the #1 EV Charger Installer in Alabama

With the savings available in Alabama, including tax credits, charger rebates, and TOU rates, alongside the rapidly growing rate of EV adoption, Alabama is embracing electrification and making EV ownership more practical with growing incentives and charging programs.

If you’re interested in exploring your at-home EV charging options or interested in taking advantage of commercial EV charging benefits to install chargers at your business, Qmerit can help.

As North America’s most trusted and largest network of certified EV charger installers, Qmerit is recommended by automakers, EV charger manufacturers, utilities, businesses, and homeowners alike. Rated #1 in customer satisfaction, our expert network has installed over 450,000 EV charging stations across the U.S. and Canada.

Discover how Qmerit is paving the way forward for residential EV charger installation and whole-home electrification solutions. Contact us today to find out how easy home electrification can be!