Iranian officials have drafted legislation to establish a toll system for ships passing through the Strait of Hormuz, according to Iranian news agency Fars, as reported by CNBC. The proposed system would require ships to pay for secure passage, with the draft bill expected to be completed by next week and then submitted to parliament for approval [1]. The move is seen as an effort to formalize Iranian supervision over the critical waterway, which has experienced a near standstill in traffic since the onset of the U.S.-Israeli conflict with Iran almost four weeks ago [1].
Recent attacks on energy facilities and regional production shutdowns have contributed to supply constraints, pushing oil prices into triple digits. Brent crude futures surged more than 3% to $165.65 per barrel, while U.S. West Texas Intermediate crude futures rose 3.6% to $93.59 per barrel [1]. Multiple media reports have suggested that Iran has already been charging ships substantial sums to bypass traffic in the Strait, though CNBC has not independently verified these claims [1].
The conflict is nearing its fifth week, with mixed signals from Washington and Tehran regarding negotiations to end the war. Iran reportedly received a 15-point peace plan from U.S. President Donald Trump, but Iranian media stated that officials in Tehran have dismissed the proposal [1].
Karen Young, a senior research scholar at Columbia University's Center on Global Energy Policy, told CNBC that it is "very clear" Iran would not be able to operate a toll booth through the Strait of Hormuz. She emphasized that GCC states, including the UAE, Saudi Arabia, and Oman, would not accept or tolerate such a system, and any bilateral bargains with Iran regarding transit abilities would not be tenable or acceptable to other regional exporters in the long term [1].
CONCLUSION
Iran's proposed toll system for ships in the Strait of Hormuz has heightened concerns about regional stability and energy supply, driving oil prices sharply higher. Analysts and regional stakeholders are skeptical about the feasibility and acceptance of Iran's plan, suggesting significant resistance from neighboring GCC states. The ongoing conflict and uncertainty continue to exert substantial influence on global energy markets.