Geographical Position and Climate

The great state of Alabama is located in the southeastern region of the United States and is the 30th largest state. It is positioned between latitude 30 degrees north of the Equator and longitude 84.51 degrees W to 88.28 West of Greenwich Meridian.

Alabama is classified as a humid subtropical area under the Koppen Climate Classification system. Temperatures tend to be warmer in the southern part of the state due to its nearness to the Gulf of Mexico. The northern areas of the state are often cooler as they are higher above sea level and conditions are influenced by the Appalachian Mountains. The summers tend to be hot overall and generous precipitation occurs. Growing seasons can be long and thunderstorms abound during the spring and summer.

Because of this geographical position and the moderate climate in Alabama, a heat pump is a very efficient solution to heating and cooling your dwelling. In fact, where fuel sources such as a furnace may be as much as 95% effective because they lose heat, a heat pump could end up being as much as 300% effective. This is because the heat pump moves the heat from outside to inside without using a direct fuel source to heat the dwelling.

According the data from the National Climactic Center, the normal yearly, average temperature for northern Alabama reached a low of 47 degrees F. The central area this past year saw a low of 51 degrees F. The southern regions saw lows reach 56 degrees F. A heat pump can be effective in transferring heat in temperatures as low as the high 30s. Because Alabama conditions do not often reach into these low numbers, the heat pump is highly effective in keeping the house warm.

Incentives and Rebates

Alabama Power offers incentives to the residents of Alabama for the installation of a host of energy saving products. Items that come with incentives include dehumidifiers, water heaters, heat pumps, programmable thermostats, caulking and weather-stripping, duct/air sealing, insulation, windows, and water heaters. The money returned to you varies from product to product.

Alabama Power also offers low-interest loans to residents to purchase and install new heat pumps. The loans do not require any money down and can be used to purchase and install air source, geothermal or dual-fuel heat pumps. The loans will cover water heating costs and rewiring, if needed. Visit the website for Alabama Power at to get specifics regarding the program. You may also contact the program manager at Alabama Power, Residential Programs, 600 North 18th St., Birmingham, AL 35291 Phone: 800 990 2726 or 800 245 2244. You may find the financing application here:

You can call us at 205-444-4444 and we can process an Alabama Power Loan application.

Other energy companies within Alabama offering incentives and loans for heat pumps are listed for your convenience

  • Cullman Electric Cooperative-Energy Conservation Program
  • Dixie Electric Cooperative-Residential Heat Pump Loan Program
  • South Alabama Electric Cooperative-Residential Heat Pump Loan Program
  • TVA Partner Utilities-Energy Right Heat Pump Loan Program
  • Central Alabama Electric Coop-Residential Energy Efficiency Loan Program
  • Covington Electric Cooperative Inc.-Touchstone Energy Home Program
  • South Alabama Electric Cooperative-Residential Energy Efficiency Rebate Program
  • TVA Partner Utilities-Energy Right New Homes Program


At the federal level, citizens of the United States and homeowners may receive as much as a 30% personal tax reduction. The Energy Policy Act of 2005 originally applied to solar systems, solar water heaters and fuel cells. However, this was expanded in 2008 to include the installation and use of geothermal heat pumps. In 2009, this act was further enhanced when maximum credit amounts ceilings were removed for loans. This act will be in place until 2016 when new considerations will be included.  Tax rules change constantly, consult your tax advisor.

Don JohnsonDon Johnson is the President of Freedom Heating and Cooling in Birmingham, Alabama which offers home owners tools including:

9 Things to Check Before Calling for Service on Your Air Conditioner or Furnace”,  a resource to help home owners save on HVAC problems
The Home Owner’s Guide to Hiring a Heating and Air Conditioning Company“, a quick read on how to guarantee you never suffer by hiring the wrong contractor.
The Ultimate Home Owner’s Guide to Designing an HVAC System , a 59-page eBook covering the 9 steps to building a Complete Home Comfort System.   Find More free eBooks at or contact him at 205-444-4444 or connect on facebook,   LinkedIn or Google +