Public Service Commission Chairman Jeff Davis said the commission's decision does not automatically authorize automatic rate increases.

Instead, he says the commission agreed to let utility companies apply for automatic rate increases to reflect rising fuel costs.

The rate case process will allow the commission to measure what the actual cost of fuel is for the utility company and determine what a fair price for the surcharge would be, if one is deemed necessary.

For several years, federal law has provided a similar rate adjustment for natural gas suppliers.

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