A bill to regulate and restrict the use of fuel adjustment clauses by federally regulated, and State regulated, electric and gas utilities, and for other purposes.

[AI summary unavailable — showing source text] Amends the Federal Power Act to require the Federal Power Commission to hold an evidentiary hearing before approving public utility rate increases due to fuel adjustment clauses. Requires a showing that the clause effectively provides incentives for the economical purchase and use of fuel. Requires further that the clause is necessary to enable the utility to pay for the added fuel costs which are by nature short-term fluctuations and therefore not capable of determination in proceedings before such costs are incurred. Sets a one-year limit on approved fuel adjustment clauses and requires an evidentiary hearing before their renewal. Requires the Commission to examine and, if appropriate, to audit the practices of public utilities using fuel adjustment clauses. Requires relevant utilities to supply information as the Commission may require and makes such information available to the public. Grants to any purchaser of electric energy produced for resale and subject to a fuel adjustment clause, the right to examine the records of the relevant utility to insure compliance with applicable schedules and Commission rules. Requires the Commission, after affording the opportunity for an evi…