Residents living in rural communities which are having to host newly installed pylons could be paid £250 a year, the government has said.
Households within 500 metres of new or upgraded pylons could get electricity bill discounts of up to £2,500 over 10 years.
The government said this would be a "huge boost" for rural areas, with residents seeing "hundreds of pounds in their pockets for hosting infrastructure".
The policy will be made possible as part of the government’s upcoming Planning and Infrastructure Bill.
Alongside money off bills, new guidance will set out how developers should ensure rural areas can benefit, by funding projects like sports clubs and educational programmes.
Where communities host this infrastructure, the government said it was right they directly benefited from supporting "this nationally critical mission".
Deputy Prime Minister Angela Rayner said: "It is no longer a question of whether we build the new infrastructure we need but a question of how and this must be done in lockstep with local communities.
"This government’s Planning and Infrastructure Bill will slash energy bills for local people living near new projects, so they benefit as we drive forward in our mission to achieve a more energy secure future."
John Pettigrew, CEO of National Grid, welcomed the move, as it was "right that communities see tangible benefits" for hosting transmission infrastructure.
"We are pleased to see this guidance and look forward to continuing to work in partnership with communities to deliver long-lasting, meaningful benefits alongside critical infrastructure."
Housing and planning minister Alex Norris told Sky's Wilfred Frost on Breakfast that communities "need to share the benefits" of the government's clean energy programme.
"If you're making that sacrifice of having some of the infrastructure in your community, you should get some of the money back," he said.
"So we're making that commitment - £250-a-year if you are near those pylons.
"We think that's a fair balance between people who are making that commitment to the country... they should be rewarded for that."
