The Japanese cabinet has approved a draft law under which a fund will be set up to help Tokyo Electric Power (TEPCO) to provide compensation to the victims of the radiation crisis at its quake-hit nuclear plant.

The fund will ensure the regional power monopoly in Tokyo and the surrounding areas can keep supplying electricity, reports Reuters.

The scheme requires other nuclear power operators to make annual contributions to the fund, and the government will make its contributions when needed.

TEPCO will repay the fund over an unspecified number of years.