Key facts
- Iran is reportedly developing a framework to charge fees for vessels transiting the Strait of Hormuz.
- The move appears to be inspired by Turkey's model for charging tolls on ships passing through the Bosphorus and Dardanelles straits.
- Turkey collected $259 million in tolls from its straits in the past year.
- A preliminary peace agreement between Iran and the U.S. includes restoring traffic through the Strait of Hormuz.
- Iran previously established the Persian Gulf Strait Authority to manage 'safe passage permits'.
- Oman has rejected Iran's proposal to collect transit fees for the Strait of Hormuz.
Iran is reportedly developing a framework to charge fees for vessels transiting the Strait of Hormuz, a move that appears to be inspired by Turkey's system for collecting tolls on ships using its straits. This development comes amid the threat of new U.S. economic sanctions and follows the signing of a preliminary peace agreement between Iran and the U.S.
Turkey collected $259 million from tolls on the Bosphorus and Dardanelles straits in the past year. The preliminary agreement between Iran and the U.S. includes the immediate lifting of Washington's maritime blockade and the restoration of traffic through the Strait of Hormuz within 30 days. However, recent rhetoric from both sides regarding the governance of ships transiting the strait has raised questions.
President Donald Trump stated during the G7 summit that the waterway would be 'permanently toll-free,' while Iran asserts its right to impose fees for services like navigation and environmental protection, despite potential conflicts with international law. Iran had previously established the Persian Gulf Strait Authority in May to manage 'safe passage permits' for ships.
Under the memorandum of understanding, Iran will provide safe passage to commercial shipping without charge for 60 days while demining operations are conducted. The protocol also requires the U.S. to prevent interference with Iran. Oman, which shares maritime borders with Iran, has rejected Iran's proposal to collect transit fees.
Experts note that while tolls on international waterways are not unprecedented, Iran's potential imposition of fees is legally contentious. Stéphane Graber of Fiata expressed concern that any service fees applied discretionally or for political reasons would be unacceptable to the U.S. The closure of the strait since the conflict began on February 28 has significantly disrupted global oil markets, supply chains, and contributed to inflation.