As tensions in West Asia continue to escalate, Iran is taking steps toward a significant decision concerning the strategically vital Strait of Hormuz. With tensions between Tehran and Washington intensifying, Iran’s parliament is moving swiftly toward imposing fees on ships that use the Strait of Hormuz. After a parliamentary commission approved a provision allowing Tehran to charge fees for various services it provides within this strategic strait, Iran has moved a step closer to introducing charges on vessels using the waterway.
Conditions in the Strait of Hormuz have been shifting by the day over the past several months. Iran has designated one route through the strait, while the US has secured another. However, international shipping has increasingly favoured the alternative route near the Omani coast over the one designated by Iran. According to ship-tracking organisations, more than 80 percent of vessels that have recently transited the Hormuz region have used the Oman route. Observers say traffic along this route has increased owing to the security provided by the US Navy, sparking discussion over whether Iran’s control over Hormuz is weakening. It is against this very backdrop that Iran’s parliamentary commission has approved the proposal to charge fees from ships under the guise of services rendered.
According to state-run news agency IRNA, the Parliamentary National Security and Foreign Policy Commission has approved Article 3 of the proposed plan titled “Strategic Action to Ensure the Security and Progress of the Strait of Hormuz.” Under this provision, Iran has stated that vessels belonging to countries permitted to transit the strait would be required to pay for a range of services, including navigation, environmental protection, and, under certain conditions, fuel supplies, insurance, and security. Iran made clear that these fees would be collected specifically from vessels of countries authorised to transit Hormuz, and that payments would be made either in Iran’s currency, the rial, or in another currency determined by Tehran.
However, the commission’s approval alone does not mean the provision will immediately become law. The proposal must first be presented before and approved by the Iranian parliament, following which it will need to be reviewed by the Guardian Council. Only if it receives approval there as well will the President formally bring it into effect.