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AEP Energy is the retail electricity and natural gas arm of American Electric Power. AEP ranks among the nation's largest generators of electricity and is the nation's largest electricity transmission system with major supply infrastructures in Texas, Ohio, Virginia, West Virginia, Tennessee, Indiana, Michigan, Oklahoma, Kentucky, Arkansas and Louisiana.

In 2012, AEP began to make major efforts towards expanding into the realm of retail energy with purchases of Blue Star Power in Illinois, as well as plans to pursue retail energy sales in Texas and Ohio. It is expected they will continue to expand into the retail natural gas and electricity markets across the United States.