EDF Energy has agreed to invest about £100m for local communities to extenuate the impact of the proposed new nuclear power station at Hinkley Point C in Somerset, England.
The signing of the deal between EDF, West Somerset, Sedgemoor District and Somerset County Councils follows months of negotiations about how the company could soften the impact of the development on local communities.
The settlement also resolves all the councils' principal concerns pertaining to the application to build and operate nuclear power station in Britain.
EDF will spend over £64m on supporting local communities and services such as education, training, transport and housing within the section 106 of agreement.
The firm has already committed about £30m earlier this year in relation to site preparation works.
EDF Energy chief executive Vincent de Rivaz said the latest move is a landmark agreement for the project and the people of Somerset.
"During three years of consultation, we have worked very closely with the local authorities and other groups to identify and mitigate the impact of our proposals," Rivaz added.
"It heralds a new phase in the Hinkley project and is another important stepping stone ahead of our final investment decision. We look forward to moving ahead in partnership and realising the many opportunities that this important development will deliver, locally and for the nation."