Petrol giants have dropped fuel prices by four cents a litre following Gull's 10 cent a litre drop announcement this morning.

Gull's discount day starts at 7am today and will run through until midday tomorrow.

Retail manager Graham Stirk says even bigger savings are possible at manned sites when paired with Countdown fuel vouchers.

Prices will be $2.11 for 91 octane at unmanned sites and $2.14 at manned sites while 98 octane will sit around $2.26 at unmanned sites and $2.29 at manned sites.

Diesel will be about $1.41 at unmanned sites and $1.44 at manned sites.

'We're all about delivering value to hard working kiwi motorists,” says Graham.

'Today's discount day, which starts at 7am, is just perfect for the end of the school holidays, and family road trips back home.”

Prices hit a record this month with 91 octane costing $2.26.

Z Energy has dropped its prices to $2.22, with drop being welcomed by the Automobile Association.

"It's great after two months of price rises we're finally seeing some decreases in pump prices.

"Things are finally heading in the right direction. It's a culmination of a small decrease in commodity prices, which the fuel companies have been quick to pass on, and the exchange rate, which continues to rise."

Mark says retail prices are higher today because tax on petrol has risen 17cpl since 2008.

He says since the last retail price rise on July 3, commodity prices have risen further, up US$5 a barrel for petrol although diesel is only up US$1 a barrel.

'The price of petrol has never been this high before in nominal terms, the last record high being $2.23/litre in August 2012, and $2.19/litre in July 2008.

'But in real terms, motorists have paid more for petrol. Back in December 1984 the price of petrol reached 84 cents per litre, which adjusted to 2012 prices would be $2.42/litre (and diesel $1.92/litre).”
Mark says in terms of affordability, fuel cost a lot more in during 1984-85 than it does today.