I got this reply to my support ticket. Worst case I get yet another VPS.
Hi,
Unfortunately this setting is a server wide setting and we cannot adjust it for one instance, we have this limit in place to protect server performance and stability and although i'm sure your script isn't a problem as it is only run periodically if someone was to have a script that used more than 128mb of ram and ran it frequently it could cause the server problems.
If you require custom php settings for your sites/apps to work you might want to look at a VPS solution as they are not much more than a reseller but you have complete control over it's setup including php settings with the added benefit you are not sharing the server with anyone else.
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