How Iran plans to regulate Hormuz via an online form, Pg11

Key Highlights:

• Iran's newly established Persian Gulf Strait Authority (PGSA) has introduced new online procedures for vessels seeking clearance to transit the Strait of Hormuz.
• This move follows the signing of the Islamabad Memorandum of Understanding (MoU) between the US and Iran, mediated by Pakistan, aimed at de-escalation and reopening the strait.
• For an initial 60-day period, the Iranian government will cover all costs, waiving tariffs and service fees for security, safety, environmental services, and insurance.
• Vessels are required to submit passage requests at least 48 hours in advance via the PGSA website and must adhere to a designated northern route near Iran's Larak island.
• The Strait of Hormuz is a crucial global maritime chokepoint, through which approximately one-fifth of global oil and liquefied natural gas (LNG) flows.

Detailed Insights:

• The Persian Gulf Strait Authority (PGSA) was founded on May 5, 2026, amidst an ongoing crisis in the Strait of Hormuz, to manage and regulate maritime traffic.
• The Islamabad MoU, signed on June 17, 2026, by US President Donald Trump and Iranian President Masoud Pezeshkian, aims to end the 2026 Iran war and facilitate negotiations on a permanent settlement, including the reopening of the strait and the lifting of sanctions.
• After the initial 60-day period, Iran plans to introduce fees for services such as maritime security, navigation assistance, environmental protection, and insurance, with discussions to be held with Oman and other Gulf littoral states.
• The online application form requires extensive details, including vessel specifications, cargo type and quantity, crew information, insurance details, and intended route and date of passage.
• Approved transit permits are valid for a single passage and for a maximum duration of five calendar days, after which a new application is required.
• Iran's assertion of control and imposition of fees are contentious under international law, particularly the United Nations Convention on the Law of the Sea (UNCLOS), which guarantees "transit passage" through international straits.
• Iran, however, has not ratified UNCLOS and maintains that the more restrictive "innocent passage" regime applies, leading to differing interpretations of maritime rights.
• The situation is further complicated by the existence of two perceived routes: Iran's mandated northern route and a southern route in Omani waters, for which the US-backed Joint Maritime Information Centre (JMIC) has issued separate guidance, including warnings about mines.

Key Concepts Involved:

• Strait of Hormuz: A narrow, strategically vital maritime chokepoint connecting the Persian Gulf to the Gulf of Oman and the Arabian Sea, crucial for global energy trade.
• Islamabad Memorandum of Understanding (MoU): A peace agreement between the United States and Iran, mediated by Pakistan, intended to end the 2026 Iran war and facilitate broader negotiations.
• Persian Gulf Strait Authority (PGSA): An Iranian government agency established to authorize and regulate maritime transit through the Strait of Hormuz.
• United Nations Convention on the Law of the Sea (UNCLOS): An international treaty defining the rights and responsibilities of nations regarding their use of the world's oceans, including navigation through straits.
• Transit Passage: A right under UNCLOS allowing ships and aircraft to pass through international straits continuously and expeditiously, which coastal states cannot impede.
• Chokepoint: A geographical feature, such as a strait, that is narrow and critical for the flow of trade, particularly for oil and gas shipments.