The government on Wednesday approved a request from Tokyo Electric Power Co. to raise household electricity rates by an average 8.46 percent from Sept. 1 to help the utility overcome its financial plight stemming from the Fukushima No. 1 nuclear power plant disaster.

Tepco decided to shave one-hundredth of a percent off the government's target figure of 8.47 percent after recalculating the costs it plans to pass on to consumers in its service area, including Tokyo, a company source said.

Due to the prolonged government screening process of its rate hike plan, Tepco said it now expects to receive ¥1 trillion in public funds next Tuesday, about a week later than originally scheduled.