The excise duty will be cut on petrol by 20c and on diesel by 15c and this cut will remain in place until the end of August, the Irish Mirror understands.
Cabinet Ministers will hold an incorporeal meeting to sign off on the measure on Wednesday morning and it will be announced by Finance Minister Paschal Donohoe.
There is a technical EU limit that is preventing the Government from cutting excise on diesel any further, according to senior sources.