Eight areas in England and Wales that are earmarked to host new nuclear power stations could receive benefits of up to £1000 per MW over 40 years from when the plants start operating.
The sweetener could be worth £128m ($194m) alone to the community at Hinkley Point in Somerset, England, where EDF wants to build a new reactor.
In a statement the government said: “The scale and duration of the impact of new nuclear power stations on their localities is to be recognised by ensuring communities benefit from the role they play in national power generation.”
“Use of the funds will be tailored to specific localities and will be managed locally to bring long-term benefit and focus on ensuring an economic and social legacy arising from the development.”
UK Business and Energy Minister Michael Fallon said new nuclear “will have a central role to play in our energy strategy” and added: “It is absolutely essential that we recognise the contributions of those communities that host major new energy projects.”
“This package is in the interests of local people, who will manage it to ensure long-term meaningful benefit to the community.
“It’s proportionate to the scale and lifespan of new nuclear power stations and it builds on the major economic benefits they will bring in terms of jobs, investment and use of local services.”