All four of the country's major petrol retailers have cut fuel prices by six cents a litre in response to the lower cost of crude oil.
Greenstone Energy, which owns the Shell stations, was the first to drop prices this morning, followed by BP, Mobil and Caltex.
At the pumps, 91 octane is selling for $2.159, 95 octane for $2.239 and diesel is priced at $1.579.
The move follows a dramatic drop in the price of crude oil on Friday.
Last week, 91 octane petrol reached a record high of $2.219 per litre in main centres, surpassing the previous record set in 2008.
However the Automobile Association's Mark Stockdale believes Monday's drop will be short-lived as huge demand for oil continues in China and India, driving up prices.
