The cost of a tank of petrol is to reduce by €12 and diesel by €9 from Thursday but many forecourts across the country have jacked the prices up.
And even the Government has admitted prices will continue to soar despite their intervention.
From midnight tonight, the Government has cut excise duty on petrol by 20c per litre and 15c per litre of diesel.
And a cut of 2c per litre on green diesel has also been agreed and the reduction will remain in place until the end of August.
Finance Minister Paschal Donohoe said that this measure will reduce the cost of a 60 litre tank of petrol by €12 and 60 litre tank of diesel by €9.
But Green Party leader and Minister for Energy and Transport, Eamon Ryan has urged people to slow down while driving in order to keep fuel in their car tank.
Speaking in the Dáil, Taoiseach Micheál Martin said: “The price increases are beyond this Government’s control.
“The impact of the war in Ukraine has been stark in terms of the dramatic increase in the price of oil and gas.
“We want to reduce the pressure on people, that’s why we’re reducing 20c on petrol and 15c on diesel.”
Mr Martin said the Government would like to do more on diesel but can’t due to an EU directive.
The reduction in excise duty has been slammed by Opposition parties as Sinn Fein leader Mary Lou McDonald pointed out that hikes at forecourts overnight have eroded any benefit that the Government proposed.
She said: “Prices per litre have jumped as high as €2.20.
“People will still wake up in the morning and pay €2 per litre.
She said “it’s a disaster” and called on the Taoiseach to look again at what the Government can do “to make it fit with the realities of the crisis.”
She also called on him to help reduce the cost of the “outrageous price” of home heating oil.
People are facing prices of up to €900 for a half fill of their tank, Ms McDonald told the Dáil.
The Taoiseach said the Consumer Competition Authority is there for instances where price gouging at fuel pumps across the country may be taking place.
He said: “In terms of price gouging, the consumer competition authority is there to monitor and to go after anybody where there is evidence of price gouging.
“There shouldn’t be in terms of existing supplies that people already have.”
Minister Donohoe said the Government “had to be honest with people” on the Government’s ability to help with soaring bills.
He admitted: “We cannot protect citizens and businesses from the entire cost impact.
“We are experiencing the consequences of a war.”
Public Expenditure Minister Michael McGrath told the Irish Mirror that further costs are expected on the cost of construction which will have a knock-on effect on people building or renovating their home.
And also he warned of price jumps on the cost of food.
Minister Ryan said the risk of supplies of food and fuel coming into Ireland having to be rationed is “low” but it may happen.
He said: “We tend to buy about a month ahead. We have to see. No one knows when Russian supplies are reduced, there are risks to supply but those risks are low.”
Minister Ryan said “the key thing is to reduce our demand,” when asked how people can do this, Minister Ryan said people should drive slower in order to keep more fuel in their car tank.
He told the Irish Mirror: “Yes in certain instances, when you go above certain speed limits the actual use of fuel increases dramatically, the cost of driving increases dramatically as one practical example of what people can make in the tank go further.”
He urged greater energy independence and said: “The way we put it up to Mr Putin is to stop buying his gas, oil and coal.”
Minister Ryan said Sustainable Energy Authority will bring out a public information campaign in the coming days to help people understand how they make changes in order to ease up on demand for fuel.
