Government party leaders have agreed proposals that will see excise duty on diesel cut by 20 cent and by 15 cent on petrol until the end of May.
Tánaiste and Minister for Foreign Affairs Simon Harris has also recommended a diesel rebate scheme for hauliers and bus operators, which will be backdated.
The overall package, which will also include targeted energy supports for pensioners, carers and people with disabilities is set to cost €235m.
The excise measures will take effect from midnight tonight subject to a financial resolution being passed in the Dáil.
The Tánaiste will bring the proposals to Cabinet this morning.
On the fuel front, there is expected to be a pause of the National Oil Reserves Agency (NORA) levy for two months but this will require the passing of legislation.
It is charged at two cents per litre on motoring fuel and home heating oil.
Once the legislation is passed, it would mean that there would be an effective cut in levies of 17 cent on petrol and 22 cent on diesel.
Sinn Féin has accused the Government of abandoning those dependent on home heating oil and said it would seek to amend the financial resolution in the Dáil.
Labour called for a cut of 10% on public transport fares and said it wants more people to be able to work from home.
Social Democrats deputy leader and finance spokesperson Cian O’Callaghan has expressed deep concern that the Government response to the energy crisis is going to be wholly inadequate.
Deputy O’Callaghan said: “It has taken this Government nearly a month to respond to this escalating energy crisis – and I am now deeply concerned that this belated response is going to be wholly inadequate.
“While a cut to excise duty, to provide relief at the pumps, is welcome, there is so much more the Government should be doing to target supports at those who are struggling the most.
“Even before this latest crisis erupted, 320,000 households were in arrears on their energy bills. That is hundreds and thousands of people all over the country who simply can’t meet soaring energy prices.
“For months now, the Social Democrats have been asking the Government to introduce a targeted €400 energy credit for the 800,000 households who are struggling most, based on household income. This measure has been fully costed, at €362 million, and would provide real support to people who need it most.”