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Alabama Power Rebates & Incentives

Alabama Power · Utility program

Up to $1,000 on a heat pump; up to $200 on a smart thermostat; free tank water heater or $500 rebate for electric conversion

Alabama Power offers limited-time rebates for qualifying residential customers, including up to $1,000 back for a high-efficiency heat pump and up to $200 back for a smart thermostat. These are energy programs, not wildfire-specific hardening grants.

Closes: December 1, 2026
Last verified: September 6, 2026

Program details

How it works

Alabama Power’s rebates and incentives page lists several current residential offers, including a smart thermostat rebate, a water heater offer, and a heat pump rebate. The company says the offers are limited time and can be discontinued.

What the money covers

  • Smart thermostat rebate: up to $200 back for purchasing and installing a new qualifying smart thermostat.
  • High-efficiency heat pump rebate: $1,000 back when switching from a gas furnace to a high-efficiency heat pump.
  • Water heater offer: a free tank water heater or a $500 rebate if the customer buys their own and converts from gas to electric water heating.

Timing and deadlines

  • Alabama Power says the heat pump offer ends permanently on 2026-12-01.
  • For the heat pump rebate, the application must be completed within 90 days of purchase.

Notes for homeowners

These offers are tied to Alabama Power residential energy upgrades rather than natural-disaster home hardening. The company also notes that applications for some programs may take longer than usual during its Aug. 31–Sept. 7 system update.

Full eligibility details

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