Want ships to cross Hormuz safely? Pay a toll. Report says Iran mulling new law
Iran’s parliament is drafting a bill to charge ships a fee for passing through the Strait of Hormuz, citing security and oversight of the vital waterway.
As tensions continue to disrupt global energy flows, Iran is now exploring a move that could further impact operations at one of the world’s most critical shipping corridors—the Strait of Hormuz.
Cargo ships and tankers are seen off coast city of Fujairah, in the Strait of Hormuz in the northern Emirate. (AFP)
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The Iranian parliament is drafting a bill that would introduce a fee for ships passing through the narrow waterway, effectively charging for security and oversight, Bloomberg reported citing semi-official Fars News Agency.
What Iran is proposing
The idea, still in the works, is expected to take clearer shape soon. The report suggests the draft could be finalised as early as next week.
“We are pursuing a proposal in which Iran’s sovereignty, control, and oversight in the Strait of Hormuz are formally recognized in law, and through the collection of tolls, a source of revenue is also created for the country,” Fars cited the lawmaker as saying.
Why this matters now
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The timing of this move is significant. The Middle East conflict has now entered its fourth week, and the Strait—through which nearly a fifth of the world’s oil supply moves—has seen severe disruption.
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The timing of this move is significant. The Middle East conflict has now entered its fourth week, and the Strait—through which nearly a fifth of the world’s oil supply moves—has seen severe disruption.
Only a limited number of ships, mainly linked to China and Iran, are currently passing through. The route is effectively operating at a fraction of its usual capacity. This choke point has had a ripple effect across the energy market.
Impact on oil supply and prices
With shipping restricted, oil production in the Persian Gulf has been forced to slow down. Refineries in the region have also suffered damage due to the ongoing conflict, further tightening supply.
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The result has been a sharp spike in oil prices. Global benchmark Brent crude crossed $114 per barrel earlier this week. There are also concerns about how much higher prices could go, with the administration of Donald Trump reportedly examining the economic implications of a possible surge to $200 per barrel.
Iran’s proposal adds another layer of uncertainty to an already volatile situation.
Shivya Kanojia is a journalist at Hindustan Times, where she works in the fast-paced digital news ecosystem with a strong sense of editorial judgement and a clear understanding of what makes a story both important and traffic-driven. An alumna of the Indian Institute of Mass Communication (IIMC), Shivya brings a thoughtful balance of news value and audience relevance to her work, ensuring stories resonate beyond the immediate headline. Over the course of her three-year journey in the digital news space, Shivya has worked across a wide range of beats, including politics, civic issues, human-interest features and trending news. This diverse exposure has shaped her ability to approach stories with nuance, adaptability and context, whether she is breaking down complex developments or spotlighting everyday narratives that often go unnoticed. She is particularly drawn to human-interest stories, interviews and explainers that offer depth and clarity, aiming to move past surface-level reporting to explore the people, emotions and circumstances behind the news. Prior to joining Hindustan Times, Shivya worked with Firstpost and Times Now, where she covered a broad spectrum of topics and honed her skills in digital journalism . Outside the newsroom, Shivya enjoys discovering new cafés, drawn to good coffee, cosy spaces and unhurried conversations. Shopping is another pastime she cherishes, not always out of necessity, but often guided by instinct and the simple joy of stumbling upon unexpected finds. Above all, she treasures time spent with loved ones, finding meaning in shared laughter, simple moments and memories that linger long after.
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Home/World News/Want ships to cross Hormuz safely? Pay a toll. Report says Iran mulling new law
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