Iran announced on May 6 that it has adjusted the transit regulations for the Strait of Hormuz, the throat of the Persian Gulf. All vessels must first apply for and obtain a transit permit. Applicants will receive an application form via email from the newly established “Persian Gulf Strait Authority.” Vessels that complete the form can ensure safe passage.
Foreign media reported on the 7th that the Authority’s “Vessel Information Declaration Form” contains more than 40 questions, very similar to the information previously obtained from shipowners by authoritative shipping intelligence agencies, indicating that Iran aims to institutionalize control over the strait and collect transit fees.
According to reports on the 7th from media including CNN, Arabian Gulf Business Insight (AGBI), and Insurance Journal, the PGSA was established by the Tehran authorities and is regulatory in nature. The application form requires shipping companies to fill in the vessel name, identification number, former name of the vessel, flag state, destination country, registered owner, ship manager, original nationality of the vessel, and intended route.
Richard Meade, Editor-in-Chief of the authoritative maritime intelligence agency Lloyd’s List Intelligence, stated that this declaration form looks very similar to the questions Lloyd’s previously understood shipowners were being asked, but this form is formally structured. “Iran appears to be attempting to normalize the government’s control over transiting vessels.”
The PGSA email provided by Meade and another source emphasized that “complete and accurate information is crucial for processing vessel transit applications.” After a vessel submits an application, “subsequent instructions will be conveyed via email.”
Regarding the amount of transit fees, which is of widespread concern, Iranian officials have not yet announced specific fee standards or payment methods. However, the PGSA’s operation indicates that Tehran intends to turn the “Strait of Hormuz toll station” into a formal operational mechanism.
Media including CNN reported on the 6th that Iran already has a website with the URL “pgsa.ir,” matching the abbreviation for the Persian Gulf Strait Authority (PGSA).
Before the outbreak of war, vessels could freely pass through the Strait of Hormuz without providing any information. Speaking at a seminar, Meade stated that Iran positions the PGSA as the “sole authority authorized to approve vessel passage through the Strait of Hormuz.”
The PGSA announcement has raised concerns among shipowners and insurers about how much freedom of navigation will remain under any arrangement for reopening the strait. The United Nations Convention on the Law of the Sea (UNCLOS), which grants vessels the right of free passage through international straits, came into effect in 1994. Iran signed the convention but never ratified it.
In recent weeks, some vessels have indicated a willingness to comply with Iran’s regulations by including ownership, cargo details, and route information in the destination field.
Arsenio Longo, founder of maritime intelligence firm HUAX, stated that Iran’s purpose in establishing the PGSA is to institutionalize the new management method for the Strait of Hormuz, akin to a “geopolitical review”: “Iran is not just saying ‘pay us,’ but is also trying to establish a navigation management system, turning the Strait of Hormuz into a checkpoint.”
Iranian media reported that vessels wishing to pass through the Strait of Hormuz can send an email to the PGSA to request the declaration form. Iran’s Islamic Revolutionary Guard Corps (IRGC) emphasized on the 6th that with the new regulations in place, vessels will be able to pass through the strait “safely and stably.”
Five industry executives, including those from shipowners, ship management companies, and security consultancies, stated that it is too early to resume cargo vessel transits through the strait, and the outlook is uncertain.
A senior executive from an oil tanker company stated that they will not apply for transit permits from Iran for now, as the requirement to provide vessel navigation details to Tehran is causing great concern among shipping companies. Two of them stated that one reason is that a cargo vessel was attacked near the strait this week.
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