KEY POINTS:
Petrol prices dropped below the $2 mark last night with Shell leading the charge, dropping 3 cents a litre.
Diesel has also fallen by 8 cents to 171.9 cents in what spokeswoman Jackie Maitland has described as possibly the biggest drop in four years.
"We have been reviewing prices daily, and despite a steady fall in the Kiwi dollar over the last week, we have seen enough drop in the price of crude to be able to pass on these savings to Kiwi motorists," Ms Maitland said.
Caltex followed suit at 8pm last night.
Spokeswoman Sharon Buckland said the international price of diesel had been going up faster than the price of petrol and has now dropped faster too.
She said there has been speculation that with China freezing parts of its industrial centres during the Olympics, the international demand for diesel has dropped.
When asked if the price of diesel could go back up once the Olympics were over, Ms Buckland said she could not comment.
Mobil has also dropped prices. Spokesman Alan Bailey said the price of crude had been dropping but the weakening Kiwi dollar had counterbalanced that.
"That's possibly delayed a move on prices over the last week or so," Mr Bailey said.
But despite the drops, Gull remains the cheapest fuel provider, coming in at 1 cent below its competitors.
New Zealand regional manager Dave Bodger said the company had a simple philosophy.
"The reason behind that is we really focus on the overheads. Sometimes it's a cent, half a cent, or nothing but if there's any chance of it, we pass it on," Mr Bodger said.
He said the company's new biofuel "regular" grade was selling at 196.9 cents and proving popular.
"People are very happy. They're saying: Thank you, this is what we want. We want a biofuel," Mr Bodger said.
BP have so far not returned phone calls.
Shell
91 199.9 cents
95 204.9 cents
Diesel 171.9 cents
Caltex
91 199.9 cents
95 204.9 cents
Diesel 171.9 cents
Mobil
91 199.9 cents
95 204.9 cents
Diesel: 171.9 cents
Gull
91 198.9
Regular plus: 196.9
Diesel: 170.9
- NZHERALD STAFF
