The Minister for Communications, Energy and Natural Resources, Eamon Ryan, is to publish legislation regulating premium rate services for mobile phone users later this week.
The move follows complaints about abuses by operators selling ring-tones, chat-lines and competitions.
Under the legislation, which was presented to the Cabinet today, operators will be required to have a licence to run their services, and must abide by a new code of practice.
Minister Ryan said companies which operate without a licence will face fines of up to €250,000.