The cabinet is expected to sign off on a significant cut to excise on fuel this morning.
It's expected the cuts will amount to a 15c reduction in a litre of diesel and 20c on a litre of unleaded petrol.
That will kick in at midnight in the same way as a regular budget.
It will be a limited time move, likely for six months, before being reviewed in the budget.
While it should make an immediate impact, sources warned it may not last long, with global supply pressures because of the war in Ukraine likely to undo the impact of this measure in a matter of weeks.
Cuts to VAT may be considered later this week, with the Government waiting for the EU to issue advice to member states.
The price of petrol and diesel reached €2 a litre in many forecourts this week, the highest they've ever been in Ireland.
Meanwhile, Sinn Fein Finance is calling for the government to intervene to maintain the price of fuel at €1.75 a litre for the coming months.
Reporting by Seán Defoe
