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World

Iran Puts a Price Tag on Hormuz Passage

Tehran: Iran’s parliament has approved a provision allowing the government to charge fees for services provided to ships passing through the strategically important Strait of Hormuz, as tensions surrounding the key shipp...

Iran Puts a Price Tag on Hormuz Passage

Tehran: Iran’s parliament has approved a provision allowing the government to charge fees for services provided to ships passing through the strategically important Strait of Hormuz, as tensions surrounding the key shipping route continue.

The provision was approved by the Iranian parliament’s National Security and Foreign Policy Committee on Sunday as part of a proposed law titled the “Strategic Action Plan to Ensure the Security and Development of the Strait of Hormuz.” The move gives Tehran a framework to collect payments from vessels belonging to countries that are authorised to transit the waterway.

According to committee spokesman Hassan Qashqavi, the approved provision covers charges for a range of services. These include navigation and environmental services, fuel supplies in special circumstances, insurance, security and other assistance provided to vessels operating in the strait. Payments could be made in Iranian rials or another currency designated by Tehran.

Iran has presented the measure as part of a broader effort to regulate and secure maritime traffic through the Strait of Hormuz. The legislation also refers to the rights and sovereignty of countries bordering the waterway while recognising international rules concerning maritime navigation.

The development comes at a time when commercial shipping through the strait has fallen sharply amid the continuing confrontation between Iran and the United States. The waterway is one of the world's most important energy routes, carrying a significant share of global oil and gas shipments under normal conditions.

Recent shipping data shows just how sharply traffic has declined. Fewer than 20 commodity vessels crossed the Strait of Hormuz over the weekend, with only four recorded transits on Sunday and 13 on Saturday. Overall traffic during the week ending August 21 was around 90% below pre-conflict levels.

Iran has also recently granted special permission for several Iraqi oil tankers to pass through the strait, highlighting Tehran’s role in determining which vessels can currently transit the waterway.

However, the fee provision is not yet equivalent to a final law. The committee’s decision must go through the remaining stages of Iran’s legislative process, including consideration by the full parliament. If approved, the legislation would then be reviewed by the Guardian Council before it could come into force.

The proposed fee system could add another layer of uncertainty for shipping companies already facing security, insurance and operational challenges in the region. Its eventual implementation will be closely watched by international energy markets and countries dependent on supplies passing through the Strait of Hormuz.

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