A proposed 100 euro cut to energy bills will go before cabinet next Tuesday.
The deduction would kick in when people's first bill arrives in the new year.
The rate at which prices are going up has hit a 20-year high.
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The cost of electricity, gas and other fuels has risen by nearly 30 per cent over the last year
The government is now planning to knock 100 euro off energy bills early next year.
The credit would apply across the board and be deducted in March.
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Housing Minister Darragh O'Brien hopes it can ease the financial pressure facing households.
Social Democrats co-leader Roisin Shortall thinks it should be means tested to help those struggling the most.
The new scheme is expected to cost around 170 million euro.
