In 1898, the City of Dothan's first electric lights were turned on with the start up of the new municipal power plant. As the small town flourished and the system grew, so did the demand on the new system.

In 1907, by order of the City Council and support of the residents, the generators began to operate twenty-four hours a day. The City's power plant continued to provide power to its citizens until 1918 at which time the City began to purchase power from the Columbia Power Company and the City power plant was shut down. It was soon learned that the Columbia Power Company could not meet the demands of the growing city. In 1919, the power plant was restarted and once again the City began to supply electricity to its residents.

In 1942, the City decided to purchase about half of its electricity from Alabama Power. By 1949, the decision was made to purchase all of City power and the municipal power plant was shut down permanently. The building housing the power plant continued as the offices, warehouse and crew quarters for the Electric and Water Departments.

In January, 1975, the new Roy Driggers Municipal Building (Civic Center) opened and the Electric Department moved all of its administrative offices there. The electric crews were still located at the old power plant.

In 1976, the Water department joined the Electric department to form one department with separate divisions.

In 1990, the Electric and Water Department moved into its new building, at its current location, 200 Kilgore Dr. bringing all the crews, warehouse and administrative offices back together.

In 2003, the Wastewater Collections Division joined Dothan Utilities at 200 Kilgore Drive.