UPDATE 2-Japan trade min: no arrangements for Tepco fund injection

* No request from Tepco for public fund injection-Edano

* Tepco faces huge compensation, decommissioning costs

* Shares up 1 pct after previous day's plunge

By Yoko Kubota

TOKYO, Dec 9 (Reuters) - Japanese trade minister Yukio Edano said on Friday that no arrangements are being made to inject public funds into struggling Tokyo Electric Power Co , the operator of the crippled Fukushima Daiichi nuclear power plant.

"As of now no requests have been made (from Tokyo Electric), and it is not the case that we are specifically making arrangements in the direction of injecting public funds," he told a news conference.

"We are considering all kinds of possibilities in mind."

The utility's future as an independent firm has been in doubt since an earthquake and tsunami wrecked the plant in March, triggering the world's worst nuclear crisis in 25 years and leaving it with huge compensation payments and cleanup costs.

The government may inject about $13 billion into the utility, known as Tepco, as early as next summer in a de facto nationalisation, and the government and Tepco will also seek additional loans from banks, sources told Reuters on Thursday.

In order to inject public funds, the government must first receive a request from the utility.

COST-CUT PLAN

Decommissioning the four reactors at the crippled plant could cost about 1.2 trillion yen ($15.5 billion) though this amount could change as there are many uncertain factors, an experts' panel report showed in October.

That sum would render Tepco insolvent unless drastic steps to shore up its financial base were taken, media said.

To avoid insolvency Tepco is pushing for rises in electricity charges as well as restarting nuclear reactors at its biggest plant, Kashiwazaki-Kariwa, on the Sea of Japan coast.

It also announced on Friday plans to cut costs by an additional 100 billion yen to 2.6 trillion yen over 10 years such as by reviewing businesses with clients and cutting pension payments.

The utility is also considering selling its existing power plants, but Mamoru Muramatsu, an executive officer at Tepco, said he could not comment on which plants would be sold or when the sale would take place.

"As of now, our priority is to ensure that supply stably matches demand. We absolutely do not have any specific plant names or areas in mind," he told a news conference.

The firm is also looking into whether it can buy electricity from independent power producers, he said.

Shares of Tepco rose 1 percent on Friday and ended at 247 yen, a day after falling 11 percent following reports of a possible public fund injection.