How Alabama Power Maintained High Bills and Limited Opposition
In one of the poorest U.S. states, Alabama Power generates enormous profits by producing dirty energy, facing minimal resistance from state regulators.
The facade of Alabama Power’s headquarters in Birmingham. — Lee Hedgepeth, Inside Climate News
This report originally appeared on Inside Climate News, an independent nonprofit covering climate, energy, and environment, republished here with permission.
Profit Over People in Alabama
Mary Rosenboom, along with 1.5 million other Alabamians, endures rising electricity bills dictated by Alabama Power and approved by the state's Public Service Commission. Residing in McCalla, Alabama, Rosenboom faces a heavy financial burden each month as she pays hundreds of dollars to the utility.
She fears that a large hyperscale data center planned near her home will further increase her costs. Working in sales, Rosenboom avoids using her air conditioner during much of the day to manage her bills and often relies on high-interest credit cards to keep the power on.
“I’m robbing Peter to pay Paul,” Rosenboom shared. “It makes me sick.”
Her situation reflects the struggles of many residents in the state.
Context of Alabama Power’s Influence
- Alabama Power benefits from lenient state regulation, enabling significant profits.
- The company’s reliance on fossil fuels leads to environmental and health concerns.
- Public Service Commission approvals maintain high electric rates despite public hardship.
- Large data projects near residential areas contribute to fears of rising costs.
Summary
Alabama Power’s dominant position allows it to keep electricity prices high with little pushback, causing financial strain for many residents like Mary Rosenboom.
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