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Rebates & Incentives

Check out current offers that can help you efficiently manage your energy usage.

These offers are for a limited time. Alabama Power reserves the right to discontinue them at any time, please check back often for updates.


The 2022 Smart Thermostat Reimbursement Offer is closed. Please check back in 2023 for an updated offer.

Up to $200 Back on Smart Thermostat Purchases

Smart thermostats help you save energy, time and money at home. And for a limited time, we’ll reimburse your qualifying smart thermostat purchase up to $200. 

Smart thermostats learn your schedule and optimize your heating and cooling to run only when you need it. They also allow you to remotely control them from anywhere. 

The 2022 Smart Thermostat Reimbursement Offer is closed. 
Please check back in 2023 for an updated offer.

$650 REBATE. Hybrid water heater.

Looking for the most efficient water heater on the market? Hybrid water heaters, also called heat pump water heaters, can help cut your hot water costs in half – up to $150 per year on average.

Shop hybrid water heaters on or at an Alabama Power Appliance Center near you.


  • Applicants must convert from an existing gas water heater to a hybrid (heat pump) water heater; Eligible water heaters must use air transfer technology to heat water (other types of high efficiency water heaters do not qualify; tankless water heaters do not qualify).
  • Qualifying water heaters must be purchased and installed on or after January 1, 2022.
  • The location where the water heater will be installed must:
    • Have an active Alabama Power residential service account (temporary service accounts do not qualify)
    • Be an existing single-family home (multi-family homes, such as apartments, mobile/manufactured homes, and homes less than a year old do not qualify)  
    • Not have received an Alabama Power Water Heater Program incentive (free equipment or rebate) in the past eight years
  • The owner of the home must apply for the rebate.
  • Applicants must submit proof of purchase (receipt/invoice) on or before December 1, 2022, containing the following information:
    • Purchase date
    • Brand and model
    • Amount paid for the thermostat
    • Proof of payment

Shop hybrid water heaters on or at an Alabama Power Appliance Center near you.

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Water Heater Over 8 Years Old?

It may be time for a new one. Based on the manufacturer's suggested service life, the life expectancy of the average water heater is 8 to 12 years.