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๐Ÿ‡ณ๐Ÿ‡ฌ Nigeria /Economy & Trade

Iran, Oman discuss Strait of Hormuz maritime service fees

From The Punch · () English

Summarized and contextualized by DistantNews.

At a glance

News Named sources New plan
  • Iran and Oman will jointly study the costs associated with maritime services in the Strait of Hormuz, asserting their sovereign rights over the waterway.
  • Both nations emphasized their commitment to "toll-free safe passage" and will establish a joint working group to discuss future administration and services.
  • This agreement follows recent discussions where Iran proposed charging "maritime service fees" for crossing the strait, a plan previously opposed by the United States.

Iran and Oman announced Tuesday they will jointly study the costs for services provided within the Strait of Hormuz, reaffirming their sovereign rights over the vital waterway. This move comes as Iran plans to implement what it terms "maritime service fees" for passage, a concept that has faced opposition from the United States.

sovereign rights over their territorial waters

โ€” Iran and OmanEmphasizing their control over the Strait of Hormuz in a joint statement.

In a joint statement, both countries stressed their "sovereign rights over their territorial waters." Oman's Foreign Minister, Badr Albusaidi, confirmed on X that both nations are committed to ensuring "toll-free safe passage." A joint working group will be established between the foreign ministries to reach an agreement on the future administration of navigation and associated services in the Strait, adhering to international standards.

toll-free safe passage

โ€” Badr AlbusaidiConfirming commitment to unimpeded passage through the Strait of Hormuz.

The discussions follow meetings in Muscat between high-ranking officials, including Iran's Foreign Minister Abbas Araghchi and Oman's Sultan Haitham bin Tariq. Iran's chief negotiator, Mohammad Bagher Ghalibaf, previously stated the fees would take effect after a 60-day period without charges, as outlined in a memorandum of understanding with the U.S. The Strait of Hormuz, critical for global energy transit, was previously closed by Iran but reopened as part of a recent deal with the U.S. Oman's engagement on this issue had previously drawn strong reactions from U.S. officials, including threats of sanctions.

future administration of navigation in the Strait of Hormuz and the services that will be provided in this regard and the costs associated with them in accordance with international standards

โ€” Iran and OmanDescribing the mandate of the joint working group.
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Originally published by The Punch. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.