Alabama is actively promoting green transportation through rebates and grant programs for residential EV charging. In this blog, we will explore the Alabama EV Home Charger Rebate and associated discounts that contribute to a sustainable commute.
Alabama EV Home Charger Rebate
Alabama offers a range of home rebates, state incentives, utility/private incentives, and regulations related to alternative fuels, electric vehicles (EVs), and transportation.
The details of the Alabama EV home Charger rebate are outlined below:
- Alabama Power customers can get a $500 one-time rebate for purchasing and installing a Level 2 (240V) EV charger at their home.
- This rebate makes EV home charging more affordable and convenient by offering a faster charging rate than Level 1 (120V) chargers.
- Eligibility requirements include being an Alabama Power residential customer, residing in a single-family home, and owning or leasing a battery electric vehicle (BEV) or plug-in hybrid electric vehicle (PHEV) at the installation site.
- To qualify for the charger rebate, make sure it’s a Level 2 (240V) charger on a dedicated circuit purchased within the last 90 days. Submit a photo, proof of purchase, and serial number.
The EV charging state incentives of Alabama are as follows:
1. Alabama’s National Electric Vehicle Infrastructure (NEVI) Planning
The Alabama Department of Transportation must submit an annual EV Infrastructure Deployment Plan to the United States Departments of Transportation and Energy. This plan outlines how NEVI funds will be distributed.
2. EV Charging Station and Medium- and Heavy-Duty Diesel Vehicle Replacement Rebates
The Alabama Department of Economic and Community Affairs (ADECA) provides grants for light-duty EV charging stations as well as the replacement of qualified medium- and heavy-duty diesel vehicles with new diesel or alternative fuel vehicles.
The grants cover a wide range of vehicles and equipment, including medium- and heavy-duty trucks, school, shuttle, and transit buses, freight switchers, airport ground support equipment, forklifts, and port cargo handling equipment. Eligible vehicles must meet specific model year requirements. The amount of funding available varies depending on factors such as vehicle type, fuel type, and applicant type.
You can also take a look at How Does the Electric Car Tax Credit Work?
3. Biofuel Research and Development Funding
The Alabama Department of Economic and Community Affairs (ADECA) manages the Alabama Research and Development Enhancement Fund (ARDEF) Program, which encourages ongoing research and development initiatives in the state to increase job opportunities and expand products and services for Alabama residents. Biofuel production is eligible for ARDEF funding.
4. Biofuel Production Jobs Tax Credit
Upon discovering the Alabama EV Home Charger Rebate, it’s worth noting that companies investing in the development of a biofuel production facility may be eligible for a tax credit equal to 3% of the previous year’s annual employee wages. For up to a decade, this credit can be applied to utility gross receipts and utility service use taxes. It can also be refunded during the incentive period or used as a credit against utility taxes, with unused amounts carried forward.
Additionally, businesses may be eligible for a tax credit of 1.5% of qualified capital investment per year for up to ten years. This credit can be used to offset income taxes, estimated income taxes, financial institution excise taxes, or insurance premium taxes. Companies must enter into a project agreement with the Governor to be eligible.
5. Idle Reduction and Natural Gas Vehicle (NGV) Weight Exemption
Vehicles equipped with an APU or other idle reduction technology can exceed gross, axle, tandem, or bridge formula weight limits by up to 400 pounds (lbs.). To be eligible for the weight exemption, the vehicle operator must provide written proof or certification of the APU’s weight, as well as demonstrate or certify the continuous functionality of the idle reduction technology. Natural gas vehicles (NGVs) may exceed limits by up to 2,000 lbs.
6. Electric Vehicle (EV) Infrastructure Grants
ADECA manages the EV Infrastructure Program, which provides funding opportunities for government and non-government entities to install direct current fast charging (DCFC) stations along Interstate 22 in Alabama. Grants are also available for Level 2 or DCFC stations along non-interstate corridors. All EV charging stations that are funded must be open to the public.
7. Electric Vehicle (EV) Charging Station Rebate – Tennessee Valley Authority (TVA)
Through the Fast Charge Network Program, TVA has committed to establishing and funding a network of direct current fast charging (DCFC) stations every 50 miles along interstates and major highways. The program provides up to $150,000 per DCFC station in funding for public DCFC stations along EV corridor gaps.
TVA Local Power Companies are among the eligible applicants, and approved projects must include at least two DCFC ports per location. Participants agree to own, operate, and maintain Program-funded DCFC stations for at least five years.
8. Residential Electric Vehicle (EV) Time-Of-Use (TOU) Rates
In addition to the Alabama EV Home Charger Rebate, Alabama Power offers a Time-Of-Use (TOU) rate for residential customers who own or lease an electric vehicle.
9. Commercial Electric Vehicle (EV) Charging Station Rebate
Alabama Power’s Make Ready Program offers commercial customers rebates for installing Level 2 and DCFC locations. Rebates are divided into levels based on charger type and power output rating, with varying amounts for different installations.
10. Commercial Electric Vehicle (EV) Time-Of-Use (TOU) Rates
Alabama Power provides a Time-of-Use (TOU) rate for public EV charging stations to its commercial and industrial customers. Eligible customers must have separate metered electricity usage for charging EVs.
11. Electric Vehicle (EV) Infrastructure Support
Alabama utilities are members of the National Electric Highway Coalition (NEHC), which has committed to establishing a network of DCFC stations connecting major highways from the Atlantic to the Pacific coasts of the United States. Members of the NEHC work together to ensure efficient and effective fast-charging deployment while avoiding duplication among coalition utilities and complementing existing corridor DCFC sites.
Alabama EV Charging Laws and Regulations
Some major Alabama EV charging regulations are:
1. EV Charging Station Grant Program and Public Utility Classification
The Alabama Department of Transportation manages the Electric Transportation Infrastructure Grant Program, which distributes grants for the expansion of EV charging station infrastructure. Entities that own, operate, lease, or control EV charging stations are not considered public utilities.
2. Autonomous Vehicle (AV) Operation Requirements
An AV may operate without a driver if it complies with federal and Alabama traffic and motor vehicle laws, is certified according to federal motor vehicle safety standards, can achieve minimal risk conditions in the event of task non-performance, and has valid insurance.
3. Electric Vehicle (EV) Fee
Electric vehicle (EV) owners are obligated to pay an annual fee on top of the standard registration fees. The annual fee for an all-electric vehicle is around $203, while the fee for a plug-in hybrid electric vehicle is about $103. Every four years, the EV fee rises by $3. A portion of these fees goes toward funding EV charging stations through the Electric Transportation Infrastructure Grant Program.
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4. Alternative Fuel Taxes
Propane-powered vehicles in Alabama pay the state road tax through an annual flat fee sticker based on the vehicle’s gross weight. Owners must obtain an annual decal from the Alabama LPG Board and attach it to their vehicle as proof of fee payment.
Decals must be applied within 10 days of switching to propane or face a 20% penalty. Out-of-state alternative fuel users who purchase propane must pay Alabama motor fuel tax or choose the annual flat fee decal, with funds remitted to the LPG Board by the 20th of the following month. The Alabama Department of Revenue collects excise taxes on compressed and liquefied natural gas.
5. Fuel-Efficient Green Fleets Policy and Fleet Management Program Development
The Alabama Legislature established a Green Fleets Review Committee and a Green Fleets Policy, outlining a procurement procedure for state vehicles based on criteria such as fuel economy and life cycle costing. State fleet managers must classify their vehicle inventory to ensure compliance with the Policy and submit annual plans for procuring fuel-efficient vehicles.
Plans must account for annual increases in average fleet fuel economy for various vehicle types. Government entities must manage fleets efficiently, minimizing emissions, reducing petroleum dependency, and employing the Committee’s specified proven technology.
6. Electric Vehicle (EV) Charging Station Financing Program Authorization
Alabama EV Home Charger Rebate is available for residents, and for commercial support, ADECA oversees the Commercial Property Assessed Clean Energy (C-PACE) program. This initiative allows counties, municipalities, or improvement districts to issue bonds or alternative financing to facilitate energy efficiency or storm resilience enhancements for commercial properties, including the installation of EV charging stations.
Also Read: How Much will Electric Cars Cost in 2025?
EV Night Charging Discount Alabama
Alabama Power offers the EV Night Charging Discount (PEV Rate Rider), providing plug-in electric vehicle (PEV) owners with savings during off-peak hours from 9:00 p.m. to 5:00 a.m. on weekdays, weekends, and holidays. The EV Night Charging Discount applies a monthly rate discount of 1.7155¢ per kWh, applicable to metered kWhs during this period, excluding Rate ECR charges, Rate T adjustments, and the Utility Gross Receipts Tax.
This initiative not only benefits customers financially but also eases the strain on the power grid during peak hours. To qualify, individuals must own or lease a PEV designed for use on public streets, roads, and highways, excluding electric scooters, bicycles, golf carts, and motorized electric wheelchairs.
Enrollment necessitates proof of eligibility, with an annual renewal requirement. The discount may be waived in months where the customer is charged the Minimum Billing under the applicable rate. The service term is one year, renewable annually with a notice sent before the end of each term. Customers no longer meeting eligibility criteria can cancel without penalty.
Alabama Power Refund 2023
Alabama Power Company is considering issuing refunds to customers in the fall of 2023. The estimated average residential customer credit on Rate FD (Family Dwelling) is around $23, assisting during peak usage months. The refunds, planned for August 2023 bills, will be limited to customers who used electricity in July, August, and September of the previous year.
Although the exact refund amount per customer has yet to be determined, the APSC Commissioners have approved a total refund of $62 million. This direct refund approach in the summer is intended to benefit customers experiencing increased usage due to the warmer weather.
Note: Refund amounts may vary based on usage hours.
Ultimately, the Alabama EV home charger rebate and infrastructure grants contribute to economic growth and sustainable transportation. Furthermore, Alabama Power’s EV night charging discount offers PEV owners a monthly rate reduction, promoting financial savings and aiding power grid relief during off-peak hours.
Source: Alabama Power Offical Page