Photo/Illutration Tokyo Electric Power Co. is seeking to restart its Kashiwazaki-Kariwa nuclear power plant, located on the coast of Niigata Prefecture. (Asahi Shimbun file photo)

Tokyo Electric Power Co. Holdings Inc. plans to contribute about 100 billion yen ($653 million) to a regional fund in Niigata Prefecture, home to its Kashiwazaki-Kariwa nuclear power plant, according to sources.

The move is part of a broader effort to gain local support for restarting the facility, which has faced prolonged shutdowns following the 2011 accident at the Fukushima No. 1 nuclear power plant.

The fund, to be established by the prefectural government, will be financed using profits generated from the plant’s operation.

TEPCO intends for the money to be used for regional development initiatives, with details on disbursement and usage to be finalized through discussions with local authorities.

TEPCO President Tomoaki Kobayakawa is scheduled to appear before the Niigata prefectural assembly on Oct. 16 to explain the company’s community contribution plans.

The restart of the Kashiwazaki-Kariwa plant is central to TEPCO’s financial recovery, as the company remains burdened by the costly decommissioning of the crippled Fukushima plant and post-disaster compensation payments.

TEPCO has already loaded nuclear fuel into reactor No. 6 of the Kashiwazaki-Kariwa plant. However, local consent remains the final hurdle, particularly that of Governor Hideyo Hanazumi.

Although located in Niigata, the plant supplies power to Tokyo, fueling local skepticism over safety and the lack of direct benefits for residents who bear the risks.

In response, Niigata Prefecture sought financial compensation for the restart. TEPCO has since pledged funding for indoor evacuation facilities and other safety measures, separate from the recently announced fund.

In August, the national government also announced plans to revise the relevant law to increase financial support for communities hosting nuclear plants.

In a related development, TEPCO is considering decommissioning some of the older reactors at the Kashiwazaki-Kariwa plant, according to sources.

The company aims to restart the No. 6 and 7 reactors at the facility, which consists of seven reactors in total.

However, Kashiwazaki Mayor Masahiro Sakurai has insisted that at least one older unit be permanently shut down as a condition for approval.

The latest report builds on TEPCO’s earlier openness to scrapping older reactors. Kobayakawa is expected to elaborate on this during his scheduled appearance at the prefectural assembly on Oct. 16.