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Tesla Supercharger ROI in Alabama

Alabama files the Southern Company sibling of Georgia's EV rate — but where Georgia Power kept a demand charge, Alabama Power went energy-only: Rate BEVT prices three time-of-use windows and bills no demand charge at all. Every Alabama Power retail component is frozen through December 2027 by consent order, making this the most rate-stable state in the covered set. North Alabama is TVA country: Huntsville Utilities files the TVA-standard EV fast-charging rate, a flat energy price that also carries no demand charge.

What makes Alabama economics distinct

An EV rate with no demand charge — and a five-year term

Rate BEVT serves separately metered, EV-charging-only premises with summer on-peak, intermediate, and off-peak energy prices and no demand charge; billing demand is metered only for a minimum bill that does not bind at multi-stall volumes. The trade is contractual: the schedule carries a five-year minimum term, the longest in the covered set, continuing until a year's written notice.

Rates frozen through 2027

The Alabama PSC approved a consent order in December 2025 freezing every Alabama Power retail rate component through December 2027 — the modeled figures hold through the model's first two years by order rather than by assumption. The first re-derivation lands with the January 2028 reset.

Huntsville is a different utility and a different design

Huntsville Utilities resells TVA power on the TVA-standard EV fast-charger rate: one flat energy price near 25.5 cents bundled, no demand charge, with the TVA fuel rider resetting monthly. A Huntsville site models materially more expensive per kWh than a Birmingham site at default volumes — filed reality across the state's two regulatory worlds.

The tax stack is light and mostly invisible

Alabama's 4% utility gross receipts tax rides inside the bill and is folded into the modeled rates. There is no per-kWh charging tax in force or pending, separately stated installation labor is exempt from sales tax, and the Business Privilege Tax exempts liabilities of $100 or less outright — a thinly capitalized site LLC owes nothing.

Utilities and tariffs modeled in Alabama

Utility & tariffEnergyDemand
Alabama Power BEVT13.4¢/kWh–20.4¢/kWh by time of daynone (energy-only)
Huntsville Utilities EV L3 DCFC25.5¢/kWh flatnone (energy-only)

Rates are digit-verified against each utility's own filed sheets and update within two weeks of any revision. Full derivations are on the methodology page.

Alabama tax profile

  • Sales tax on hardware: 10%
  • Business personal property tax: 1.45% of equipment value (example rate)
  • Clean-fuels credit: no program
  • Per-kWh charging excise: none

Alabama tax defaults applied: no clean-fuels credit program exists in Alabama (the LCFS revenue line is $0). LLC costs carry the Business Privilege Tax at a ~$300/yr net-worth-based estimate (fully exempt when the liability computes to $100 or less) plus a municipal business-license estimate; Alabama LLCs file no Secretary of State annual report. Sales tax defaults to Birmingham's 10% combined rate — Huntsville runs 9% and separately stated installation labor is exempt. Business personal property assesses at 20% of value against Birmingham's 72.5 mills, about 1.45% per year; other covered metros run lower and the field is editable. No per-kWh charging tax exists in Alabama. State income tax on pass-through income is not modeled, as for every state.

Alabama programs and incentives

ADECA Alabama EV Charging Infrastructure Program

State-administered grants for publicly accessible charging funded from the VW settlement allocation, alongside NEVI corridor rounds. Site-specific awards enter the model through the grant inputs.

Alabama Power Make Ready program

Utility-side make-ready support for business charging installations; where it offsets customer capex it reduces the modeled install cost or rides the grant inputs.

NEVI (federal, ADECA-administered)

Federal corridor DC fast-charging funding along Alabama's interstates, administered in award rounds.

Alabama charging market

Alabama carries roughly 38 Supercharger stations along I-65, I-20/59, and I-10. Alabama Power serves Birmingham, Montgomery, Mobile, and Tuscaloosa — about two-thirds of the state. Huntsville Utilities covers the state's fastest-growing metro on TVA power; Decatur and Florence are separate TVA municipal utilities the model does not cover, and addresses there see a named-utility notice.

Alabama Supercharger ROI — questions

Does Alabama charge a demand charge on EV charging?
Neither covered rate does. Alabama Power's BEVT is a filed EV-exclusive rate with time-of-use energy prices and no demand charge; Huntsville Utilities' TVA-standard EV rate is a flat energy price, also without one. Alabama contributes two more rows to the most common filed EV-rate design in the covered set.
How stable are Alabama's rates?
Unusually stable: every Alabama Power retail component is frozen through December 2027 under a PSC consent order approved in December 2025. The fuel factor's seasonal billing shape still cycles inside the frozen value, and Huntsville's TVA fuel rider resets monthly.
Is there a per-kWh charging tax in Alabama?
No — none is in force and none was found pending. Alabama chose registration-side EV fees instead ($203 per year for a BEV), which are driver costs rather than site costs.

Sources

Model a Tesla V4 Supercharger site in Alabama — payback, NPV, IRR, and a 15-year cash flow from your own inputs.

Run a Alabama scenario

Other states: California, North Carolina, Georgia, Oregon, Pennsylvania, Florida, Arizona, Texas, Virginia, Illinois, Michigan, Tennessee, Montana, Idaho, Kansas, Nebraska, North Dakota, South Dakota, Wyoming, New Mexico, Oklahoma, Missouri. Coverage spans twenty-three states in total — see the full list.

ForgeAsset is software, not investment, tax, or legal advice — outputs are model estimates from your inputs, not guarantees. Rates and programs current as of research; verify current terms with each source before committing capital.