AUTOMATIC-ADJUSTMENT CLAUSE

automatic-adjustment clause.A provision in a utility-rate schedule that allows a public utility

to increase its rates without a public hearing or state review, if certain operating costs, such as the

price of fuel, increase.Federal Energy Regulatory Comm’n v. Mississippi, 456 U.S. 742, 102 S.Ct.

2126  (1982).  [Cases:  Electricity    11.3(4,  6);  Public  Utilities    128,  167.  C.J.S. Electricity  §  33;

Public Utilities §§ 36, 44–46, 48, 87, 96.][Blacks Law 8th]