VARIABLE INTEREST ENTITIES AND EQUITY METHOD INVESTMENTS (Tables)

12 Months Ended

Dec. 31, 2025

Variable Interest Entities [Abstract]

Schedule of Consolidated Assets and Liabilities of Variable Interest Entities

The balances below represent the assets and liabilities of AEP’s consolidated VIEs. These balances include intercompany transactions that are eliminated upon consolidation.

	December 31, 2025
	Consolidated VIEs
	SWEPCo Sabine		I&M DCC Fuel		AEP Texas Restoration Funding			APCo Appalachian Consumer Rate Relief Funding			SWEPCo Storm Recovery Funding		KPCo Cost Recovery Funding			AEP Credit		Protected Cell of EIS		Transource Energy
	(in millions)
ASSETS
Current Assets	$	1	$	118	$	18		$	18		$	17	$	24		$	1,232	$	223	$	45
Net Property, Plant and Equipment	—		227		—			—			—		—			—		—		658
Other Noncurrent Assets	80		118		98		(a)	79		(b)	312		462		(c)	10		—		4
Total Assets	$	81	$	463	$	116		$	97		$	329	$	486		$	1,242	$	223	$	707
LIABILITIES AND EQUITY
Current Liabilities	$	15	$	118	$	31		$	31		$	23	$	30		$	1,176	$	56	$	50
Noncurrent Liabilities	66		345		84			64			304		454			1		102		298
Equity	—		—		1			2			2		2			65		65		359
Total Liabilities and Equity	$	81	$	463	$	116		$	97		$	329	$	486		$	1,242	$	223	$	707

(a)Includes an intercompany item eliminated in consolidation of $4 million.

(b)Includes an intercompany item eliminated in consolidation of $1 million.

(c)Includes an intercompany item eliminated in consolidation of $16 million.

	December 31, 2024
	Consolidated VIEs
	SWEPCo Sabine		I&M DCC Fuel		AEP Texas Restoration Funding			APCo Appalachian Consumer Rate Relief Funding			SWEPCo Storm Recovery Funding		AEP Credit		Protected Cell of EIS		Transource Energy
	(in millions)
ASSETS
Current Assets	$	6	$	79	$	21		$	14		$	3	$	1,118	$	219	$	40
Net Property, Plant and Equipment	—		132		—			—			—		—		—		598
Other Noncurrent Assets	111		64		122		(a)	110		(b)	332		11		—		4
Total Assets	$	117	$	275	$	143		$	124		$	335	$	1,129	$	219	$	642
LIABILITIES AND EQUITY
Current Liabilities	$	20	$	79	$	31		$	31		$	24	$	1,069	$	55	$	57
Noncurrent Liabilities	96		196		111			91			309		1		96		274
Equity	1		—		1			2			2		59		68		311
Total Liabilities and Equity	$	117	$	275	$	143		$	124		$	335	$	1,129	$	219	$	642

(a)Includes an intercompany item eliminated in consolidation of $5 million.

(b)Includes an intercompany item eliminated in consolidation of $1 million.

Schedule of Billings from Significant Variable Interest

Total AEPSC billings to the Registrant Subsidiaries were as follows:

	Years Ended December 31,
Company	2025		2024		2023
	(in millions)
AEP Texas	$	278	$	243	$	229
AEPTCo	319		290		270
APCo	352		335		325
I&M	189		188		178
OPCo	282		283		270
PSO	176		157		139
SWEPCo	207		194		185

Schedule of Carrying Amount and Classification of Variable Interest in Accounts Payable

The carrying amount and classification of variable interest in AEPSC’s accounts payable were as follows:

	December 31,
	2025				2024
Company	As Reported on the Balance Sheet		Maximum Exposure		As Reported on the Balance Sheet		Maximum Exposure
	(in millions)
AEP Texas	$	51	$	51	$	26	$	26
AEPTCo	54		54		29		29
APCo	52		52		36		36
I&M	32		32		25		25
OPCo	47		47		35		35
PSO	29		29		19		19
SWEPCo	32		32		22		22

Schedule of SWEPCo's Investment In DHLC

SWEPCo’s investment in DHLC was:

	December 31,
	2025				2024
	As Reported on the Balance Sheet		Maximum Exposure		As Reported on the Balance Sheet		Maximum Exposure
	(in millions)
Capital Contribution from SWEPCo	$	7	$	7	$	7	$	7
Retained Earnings	1		1		1		1
SWEPCo’s Share of Obligations	—		11		—		16
Total Investment in DHLC	$	8	$	19	$	8	$	24

Schedule of AEP's Investment In OVEC

AEP’s investment in OVEC was:

	December 31,
	2025				2024
	As Reported on the Balance Sheet		Maximum Exposure		As Reported on the Balance Sheet		Maximum Exposure
	(in millions)
Capital Contribution from AEP	$	5	$	5	$	5	$	5
AEP’s Share of OVEC Debt (a)	—		379		—		433
Total Investment in OVEC	$	5	$	384	$	5	$	438

(a)Based on the Registrants’ power participation ratios, APCo, I&M and OPCo’s share of OVEC debt was $137 million, $68 million and $174 million as of December 31, 2025, respectively, and $156 million, $78 million and $199 million as of December 31, 2024, respectively.

Schedule of Purchased Power from OVEC

Power purchased by the Registrant Subsidiaries from OVEC is included in Purchased Electricity, Fuel and Other Consumables Used for Electric Generation and Purchased Electricity for Resale on the statements of income and is shown in the table below:

	Years Ended December 31,
Company	2025		2024		2023
	(in millions)
APCo	$	120	$	134	$	122
I&M	60		67		61
OPCo	153		170		155