EU signs off on scheme to cover rising energy bills for businesses

Eligible businesses can receive payments by the end of the year

The support is capped at €10,000 per month but this can be increased to €30,000 for companies which operate from different locations.

Businesses can begin applying for new financial supports to cover their soaring energy bills from tomorrow after the European Commission signed off on the budget plan.

Revenue will begin accepting applications under the Temporary Business Energy Support Scheme (TBESS) which will see the Government cover 40% of the increase in their bills which have placed firms across the country under major strain.

Companies that have experienced an increase of 50 per cent or more in their natural gas and electricity average unit price between last year and this year are eligible to apply. 

Once registered with the Revenue, the businesses, professions, certain charities and sporting organisations can begin submitting claims from December 5. Payments under the scheme will be made once the Finance Bill 2022 is enacted later in December.

It means many firms are expected to receive payments before the end of the year. The support is capped at €10,000 per month but this can be increased to €30,000 for companies which operate from different locations.

The Minister for Finance Paschal Donohoe welcomed the European Commission State aid approval for the TBESS. "The scheme will provide much needed support to thousands of businesses across the country who are experiencing a material shock to the price of their energy inputs."

Tánaiste Leo Varadkar said: "My Government colleagues and I have been hearing from businesses all around the country about how much they really need this money - and we want to get it to them as soon as possible - ideally before Christmas."