Iran Reports First Strait of Hormuz Transit Fee Deposit to Central Bank

Local media reported on April 23 (local time) that a transit fee for passage through the Strait of Hormuz has been deposited with Iran’s central bank for the first time.

Yonhap News Agency and local outlets cited Hamid Reza Haji Babaei, a deputy speaker of Iran’s parliament, as making the statement. No details were released on the amount or the timing of the deposit.

Iran’s military sealed off the strait by force on Feb. 28, shortly after attacks by the United States and Israel, in what it described as a response. Since then, it has allowed only limited passage for some vessels not linked to what it called enemy states — the United States and Israel.

Iran has not officially announced the fee, but reports have said it was provisionally set at $1 per barrel for oil tankers. Estimates have put the charge for very large crude carriers at $2 million (about 3 billion won).

Iran’s parliament on April 21 passed a bill affirming Iran’s control over the Strait of Hormuz and authorizing the collection of transit fees. Under the bill, ships seeking to pass must submit documents to Iranian authorities for approval, and fees must be paid in Iranian rials.