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                                                            Exhibit 25(d)

                                    FORM T-1

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                            STATEMENT OF ELIGIBILITY
                   UNDER THE TRUST INDENTURE ACT OF 1939 OF A
                    CORPORATION DESIGNATED TO ACT AS TRUSTEE

                      CHECK IF AN APPLICATION TO DETERMINE
                      ELIGIBILITY OF A TRUSTEE PURSUANT TO
                             SECTION 305(b)(2) |__|



                              THE BANK OF NEW YORK
               (Exact name of trustee as specified in its charter)


New York                                               13-5160382
(State of incorporation                                (I.R.S. employer
if not a U.S. national bank)                           identification no.)

48 Wall Street, New York, N.Y.                         10286
(Address of principal executive offices)               (Zip code)





                       SOUTHWESTERN ELECTRIC POWER COMPANY
               (Exact name of obligor as specified in its charter)


Delaware                                               72-0323455
(State or other jurisdiction of                        (I.R.S. employer
incorporation or organization)                         identification no.)

428 Travis Street
Shreveport, Louisiana                                  71156-0001
(Address of principal executive offices)               (Zip code)

                             ----------------------

                      Guarantee of Preferred Securities of
                                SWEPCO Capital II
                       (Title of the indenture securities)


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1.    General information.  Furnish the following information as to the Trustee:
      

      (a)  Name and address of each examining or supervision authority to which 
           it is subject.

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                  Name                                        Address
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         Superintendent of Banks of the State of     2 Rector Street, New York,
         New York                                    N.Y.  10006, and
                                                     Albany, N.Y. 12203

         Federal Reserve Bank of New York            33 Liberty Plaza, New York,
                                                     N.Y.  10045

         Federal Deposit Insurance Corporation       Washington, D.C.  20429

         New York Clearing House Association         New York, New York   10005

         (b)      Whether it is authorized to exercise corporate trust powers.

         Yes.

2.       Affiliations with Obligor.

         If the obligor is an affiliate of the trustee, describe each such
         affiliation.

         None.

16.      List of Exhibits.

         Exhibits identified in parentheses below, on file with the Commission,
         are incorporated herein by reference as an exhibit hereto, pursuant to
         Rule 7a-29 under the Trust Indenture Act of 1939 (the "Act") and Rule
         24 of the Commission's Rules of Practice.

         1.       A copy of the Organization Certificate of The Bank of New York
                  (formerly Irving Trust Company) as now in effect, which
                  contains the authority to commence business and a grant of
                  powers to exercise corporate trust powers. (Exhibit 1 to
                  Amendment No. 1 to Form T-1 filed with Registration Statement
                  No. 33-6215, Exhibits 1a and 1b to Form T-1 filed with
                  Registration Statement No. 33-21672 and Exhibit 1 to Form T-1
                  filed with Registration Statement No. 33-29637.)

         4.       A copy of the existing By-laws of the Trustee.  (Exhibit 4 to
                  Form T-1 filed with Registration Statement No. 33-31019.)

         6.       The consent of the Trustee required by Section 321(b) of the
                  Act.  (Exhibit 6 to Form T-1 filed with Registration 
                  Statement No. 33-44051.)

         7.       A copy of the latest report of condition of the Trustee 
                  published pursuant to law or to the requirements of its 
                  supervising or examining authority.










                                    SIGNATURE



         Pursuant to the requirements of the Act, the Trustee, The Bank of New
York, a corporation organized and existing under the laws of the State of New
York, has duly caused this statement of eligibility to be signed on its behalf
by the undersigned, thereunto duly authorized, all in The City of New York, and
State of New York, on the 24th day of March, 1997.


                                      THE BANK OF NEW YORK


                              By:     /S/VIVIAN GEORGES
                            Name:     VIVIAN GEORGES
                           Title:     ASSISTANT VICE PRESIDENT