MULTINATIONALS look set to enjoy a €150m government bailout on their electricity bills next year as domestic customers and small businesses face no lowering of their ESB charges, the Sunday Tribune has learned.

Fewer than 60 companies will benefit from the government rebate on ESB network charges for large energy users but they may include firms such as Intel, Tara Mines, Aughinish Alumina and CRH. A similar temporary rebate scheme which shielded all consumers from last year's oil-price spikes will be abolished at the end of September.

Last week, the ESB unveiled price cuts of 0.2% for householders and 0.4% for small businesses, a gesture which was condemned as an "insult to the sector" by the Irish Small and Medium Enterprises Association (Isme).

Although the rebate was announced 10 days ago, the Commission for Energy Regulation (CER) has declined to provide a total cost for the scheme.

But the managing director of ESB Networks, John Shine, has told this newspaper it is expected to cost around €150m.

"The government and the ESB agreed because of the employment sensitivities involved and difficulties faced by large users that we should continue to provide them with a rebate," he said. But Shine said ESB Networks was unable to continue the rebate for other users because of the costs involved. "No company can give away €300m to €400m per year in rebates on a continual basis," he said.

Industry sources believe that the main reason for the rebate's retention for large users is down to unforeseen consequences resulting from energy minister Eamon Ryan's intervention into the energy market earlier this year.

Under political pressure from the minister, the CER temporarily adjusted network charges to give all users a premature 10% price cut to reflect falling fuel prices. This cut in charges, however, included large users who had already benefited from the fall in prices. This means that if the rebate were abolished, their electricity prices would immediately rise by 10%.

The Department of Energy admitted that a significant spike in electricity prices for large users would occur if the levy was removed. It said, however, the rebate was being retained because the "government is committed to delivering a reliable and competitively priced energy supply in support of economic growth and competitiveness".