Tankers urged not to pay toll to Iran for use of strait
Tankers Urged to Avoid Paying Iran for Strait Use
Following a ceasefire agreement reached on Tuesday, ship operators navigating the Strait of Hormuz are now being encouraged to avoid paying Iran for passage, as traffic through the critical waterway remains disrupted. The deal was intended to include the reopening of the strait, but Iran has proposed that vessels must obtain its approval to transit, with the possibility of imposing fees for safe travel.
Intertanko’s Stance on Toll Payments
Phillip Belcher of Intertanko, a coalition representing tanker firms, stated that tolls are not the appropriate solution. “We do not believe the payment of tolls is the right way to go about this,” he said. “We are amazed that this appears to be one of the starting points of negotiations.”
“We do not believe the payment of tolls is the right way to go about this,” said Phillip Belcher, from Intertanko, a group representing tanker firms. “We are amazed that this appears to be one of the starting points of negotiations,” he told the BBC.
US-Iran Ceasefire Discussions
US Vice President JD Vance is meeting Iranian officials in Islamabad, Pakistan, to finalize details of the ceasefire. However, the agreement faces uncertainty due to ongoing air strikes in Israel and Lebanon, and a deadlock over the strategic shipping route.
Freedom of Navigation and Legal Concerns
Belcher emphasized that the Strait of Hormuz is currently under the effective control of Iran’s military. “At the moment the Strait of Hormuz is under the de facto rule of the Iranian military,” he noted. The Iranian Revolutionary Guard Corps (IRGC), a military branch, oversees Iran’s economic activities but is designated as a terrorist organization by the US and EU.
“The IRGC is a designated terrorist organisation and so the payment of monies to a terrorist organisation should be avoided,” said Belcher.
Reports indicate Iran may charge up to $2 million per ship for transit, with funds split between Iran and Oman. President Trump initially suggested the US and Iran could impose joint fees but later denied such plans on social media, stating: “They better not be and, if they are, they better stop now.”
Global Supply Chain Implications
The war has drastically reduced traffic through the strait. Only 15 vessels have passed through since Tuesday, compared to nearly 140 daily before the conflict. Over 800 ships are stranded in the Gulf, most carrying cargo. Prolonged blockage could disrupt oil, gas, and fertilizer supplies, affecting fuel, electricity, food, and medicine prices worldwide.
Industry Response to Safety Uncertainty
Erik Hanell, CEO of Swedish tanker firm Stena Bulk, said his company would not use the strait until safety is guaranteed. “We need safety guarantees,” he said. “I know there are discussions going on between the US and the different shipping communities, and maybe Iran as well, but at this stage we have limited information.”
“We need safety guarantees,” said Erik Hanell, chief executive of Swedish tanker firm Stena Bulk. “I know there are discussions going on between the US and the different shipping communities, and maybe Iran as well, but at this stage we have limited information.”
Stena Bulk has not engaged directly with Iranian officials and will not pay tolls as a standalone entity or without official confirmation. Hanell compared future tolls to fees for using the English Channel, suggesting such a model would not be desirable for the industry.