In Alabama in 2025, the electricity landscape is primarily dominated by fossil fuels, which account for just over 60% of the generated electricity. Natural gas is a significant contributor within this category, forming nearly half of the electricity supply, while coal makes up about 15%. Low-carbon energy sources collectively form almost 40% of the electricity generation in the state, driven largely by nuclear power, which provides 30% of the mix. Other low-carbon sources such as hydropower and biofuels contribute smaller portions, providing just under 6% and slightly more than 2% respectively. This mix illustrates a significant reliance on fossil fuels while showing a substantial commitment to nuclear energy as a cleaner alternative.

Is Electricity Growing in Alabama?

Electricity consumption per person in Alabama is experiencing a slight decline. In 2025, the per capita consumption stands at approximately 27,408 kWh, showing a decrease of about 303 kWh from the previous record in 2024. Similarly, there is a troubling decrease in low-carbon electricity generation per person, which has dropped by 690 kWh compared to the 2023 record. Despite the state's efforts to maintain a high level of nuclear energy, this decline indicates a need for increased focus on expanding low-carbon electricity sources to support and sustain future demands and address growing concerns like climate change.

Suggestions

To enhance the share of low-carbon electricity, Alabama could strategically expand its existing nuclear facilities, which already contribute significantly to the state's clean electricity portfolio. Looking to other regions as examples, the state could also invest more in solar energy, learning from the successes of places like Nevada and California that have achieved remarkable solar electricity generation rates of around 30%. Additionally, exploring opportunities in wind energy like Iowa or Denmark, where wind forms more than 50% of their electricity mix, could provide new avenues for Alabama's sustainable energy growth. By drawing inspiration from these regions, Alabama can effectively reduce its dependence on fossil fuels while enhancing its low-carbon electricity capacity.

History

Historically, Alabama's low-carbon electricity generation has seen some fluctuations, particularly in the nuclear sector. In 2024, there was a noted reduction of 1.1 TWh in nuclear power generation, followed by a further decrease of 1.8 TWh in 2025. These declines are concerning, given the importance of nuclear as a major component of the state's clean energy strategy. However, biofuels have maintained a steady or slightly increasing trend, while hydropower experienced minor variations each year, indicating relative stability in these sectors. Moving forward, it is crucial for Alabama to address these past challenges and reinvigorate its low-carbon initiatives, ensuring a robust and sustainable energy future.

Electricity Imports and Exports

Balance of Trade