The social partners' request to postpone the introduction of higher utility tariffs until April was all but ruled out by Finance Minister Tonio Fenech yesterday.
"At this stage we are not considering that option," Mr Fenech told The Sunday Times.
He said the government would have to fork out an extra €7 million for each month the new pricing regime was postponed. This made it difficult to accept the request made by the Malta Council for Economic and Social Development.
Last Friday, unions and employers asked the government to postpone the introduction of the new pricing system. The proposal, which will impose higher charges on most users, was criticised by the social partners who called for another meeting to discuss the situation.
Infrastructure Minister Austin Gatt had said the government would implement the measures presented to the social partners.
However, Parliamentary Secretary Chris Said subsequently said the proposal was not final.
But Mr Fenech yesterday said it was very difficult to accept the request made by the social partners.
"Clearly we cannot keep delaying it. Postponement is not a solution," he said, adding that a decision would be taken "at the opportune moment".
Mr Fenech's statement will be a blow to some of the social partners. The government's latest proposal will mean most people must fork out an extra 65c to €1.85 each per week.
Small businesses will also be hit hard, while figures highlighted by the Chamber for Small and Medium Enterprises - GRTU show that the industry's highest energy consumers will actually see a reduction in their electricity bills.
In fact, those which consume more than 10 million units of electricity each year will save around €250,000, while smaller businesses will fork out more money as they have to carry most of the burden of the staggered elimination of the €50,000 capping for big industry.
Meanwhile, sources close to the social partners told The Sunday Times yesterday that the upcoming Budget was expected to be "cautious" considering the looming global financial crisis.
The government kept its plans close to its chest during a meeting with the Malta Council for Economic and Social Development, with the Finance Minister only giving an overview of the country's financial situation.
The proposals are expected to be revealed to unions and employers on Friday, just days before being officially announced.
But, according to sources, the picture painted by government was not all doom and gloom and some positive elements were expected.
Despite the obvious differences between government and social partners on energy bills, yesterday's meeting was described as a good one. "There was a very open discussion," MCESD chairman Sonny Portelli said.