Alexander, who began his career at Glanford Park before moving to Luton in 1995, was part of the Clarets side that won promotion to the top flight a year ago.
They were relegated after just one season, but the right-back is confident of a repeat of the surprise push for promotion he was part of in 2009.
"We're confident in ourselves, we've got a strong squad, a really competitive squad and there are a lot of players who can come into the first team which will be vital if we want to go back up," he told Burnley's official website.
"The disappointment has gone now and we're confident and positive of the season ahead. We are back in the Championship now which is a great league to play in, but also a tough league. There are enough players in the squad who want to win and want to get promoted again".
Alexander is part of a substantial former Iron contingent at Turf Moor. Martin Paterson will lead the line for them again this season, while they are managed by Brian Laws and Russ Wilcox whose partnership led Scunthorpe to automatic promotion from League Two in 2005.