PRESS RELEASE
FOR IMMEDIATE RELEASE
August 5, 2025
Alabama Power methane gas plant purchase is approved, guaranteeing another bill hike for customers
MONTGOMERY, Ala. — Today the Alabama Public Service Commission voted to allow Alabama Power to purchase the Lindsay Hill methane gas power plant, a move that will raise customers’ bills more than $3 a month and deepen the state’s dependence on expensive, dirty, climate warming fossil fuels. The PSC’s decision ensures Alabama Power profits while families and businesses foot the bill.
During an April 15 hearing on the proposal, Alabama Power claimed the Lindsay Hill plant was necessary to meet growing demand, including data centers, coming to the state.
SELC, on behalf of Energy Alabama and GASP, submitted testimony from expert witnesses that found the company did not meet its burden to prove the additional capacity was necessary or that the methane gas plant was the most cost-effective way to meet the supposed demand. Alabama Power selected Lindsay Hill in a process that excluded solar plus battery storage resources.
““Alabama Power’s five-year gas grab burdens families with higher bills and highlights the utility’s failure to consider cheaper and cleaner alternatives,” said Daniel Tait, executive director of Energy Alabama.
“Alabama families deserve better than approving polluting power plants without proof they’re absolutely necessary,” Jilisa Milton, director of GASP.
“Once again, Alabama Power did not consider clean, low-cost options like solar, batteries, and energy efficiency programs and opted to double down on methane gas,” said Christina Tidwell, a senior attorney in SELC’s Alabama office. “Alabama will continue to lag behind other states in cost effective, renewable energy, like solar, if our leaders approve investment in harmful energy sources instead of clean, renewable options.”
Lindsay Hill is a nearly 23-year-old combined cycle methane gas plant with an 895 MW winter capacity rating. Since 2020, Alabama Power has petitioned to acquire, construct, or purchase approximately 3,500 MW of methane gas-fired resources, including Lindsay Hill. Today’s decision will increase customer bills by another $3.32 per month, for a total of over $8 per month or $96 per year for recent methane gas added to Alabama Power’s system.
Alabama only had 634 megawatts of utility scale (1 MW or larger) solar power capacity as of 2024, compared to neighboring Georgia’s 5,200 megawatts. Alabama has the least installed small-scale solar generating capacity among U.S. states, according to U.S. Energy Information Administration.
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The Southern Environmental Law Center is one of the nation’s most powerful defenders of the environment, rooted in the South. With a long track record, SELC takes on the toughest environmental challenges in court, in government, and in our communities to protect our region’s air, water, climate, wildlife, lands, and people. Nonprofit and nonpartisan, the organization has a staff of 200, including more than 120 legal and policy experts, and is headquartered in Charlottesville, Va., with offices in Asheville, Atlanta, Birmingham, Chapel Hill, Charleston, Nashville, Richmond, and Washington, D.C. selc.org
Energy Alabama is a 501(c)(3), member-supported, non-profit organization dedicated to advancing Alabama’s clean energy future. Through education and advocacy, we empower Alabamians of all ages to embrace clean energy solutions. We champion policies that promote sustainable energy adoption, cultivate a skilled workforce ready to deploy these technologies, and believe in a future where clean energy is accessible to all. energyalabama.org
GASP is a nonprofit health advocacy organization based in Birmingham, Ala. Our mission is to advance healthy air and environmental justice in the Greater-Birmingham area through education, advocacy, and collaboration. We strive to reduce exposure to air pollution, educate the public on the health risks associated with poor air quality, and encourage community leaders to serve as role models by advocating for clean air and clean energy. gaspgroup.org
