Optical absorption, emission, and carrier recombination characteristics of Al x Ga 1--x N epilayers (x ¼ 0.17, 0.26, and 0.33) were systematically studied by means of transmission, photoluminescence (PL), and time-resolved PL spectroscopy, respectively. A typical energy-gap shrinkage behaviour with temperature was confirmed for all the Al x Ga 1--x N epilayers by transmission measurements. However, we observed anomalous PL temperature dependences such as a decrease-increase-decrease behavior of the PL peak energy shift and an increase-decrease-increase behavior of the spectral width broadening with increasing temperature. The anomalous temperature-induced emission shift is attributed to energy tail states due to alloy potential inhomogeneities in the Al x Ga 1--x N epilayers with large Al content.