- Instead of just reopening the waterway after recent conflicts, Iran has announced a plan with Oman to create a new authority that would charge fees for any ship passing through. This would effectively let Iran tax and control the flow of the world’s oil and natural gas.
- This narrow 13-to-21-mile passage carries about one-quarter of the world's energy supplies, including 20% of global oil and nearly 20% of liquefied natural gas. If Iran controls it, energy prices, fertilizers and even food costs could spike worldwide.
- When the war started, the United Arab Emirates began rerouting its oil through the port of Fujairah to avoid the strait. Iran's new plan claims authority over waters near that port, threatening to cut off that alternative and tighten its grip on the region's oil exports.
- The Strait has been effectively closed since late February, and shortages in fertilizer and energy are already being felt. If Iran permanently monetizes this bottleneck, it could cause supply chain breakdowns, fuel price spikes and economic pain from Japan (which depends on the strait for survival) to Western Europe.
- In the past, Iran never fully closed the Strait because it needed to export its own oil. But this new toll system shows Iran wants to permanently "own" the waterway, leaving the rest of the world with a grim choice: pay the tolls or face a global energy crisis.
In a move that threatens to rewrite the rules of global energy markets, Iran has announced it is entering talks with Oman to establish a permanent toll system for vessels transiting the Strait of Hormuz.
The plan, revealed by Iranian officials on May 20, would formalize Tehran's military control over the strategic waterway. The Strait of Hormuz, a narrow 13-to-21-mile passage, carries roughly one-quarter of the world's energy supplies.
The new "Persian Gulf Strait Authority" (PGSA) has already staked its claim, declaring on social media that Iran now controls the waters from the coast of Fujairah in the United Arab Emirates to Qeshm Island. In plain terms, Iran is attempting to turn the Strait of Hormuz into a paid checkpoint for the world's oil tankers.
Iran's ambassador to France, Mohammad Amin-Nejad, framed the proposal as a security arrangement, stating that Iran and Oman must "mobilize all their resources to provide security services and manage navigation." Foreign Ministry spokesperson Esmaeil Baghaei echoed this, calling for "sustainable security" protocols with Oman and other Gulf states.
But the language of cooperation belies a harsher reality. Iran effectively closed the Strait after launching its war with the United States and Israel on Feb. 28, a closure that has already sent shockwaves through global supply chains. BrightU.AI's Enoch AI engine explains that the impasse continued even after a ceasefire in April, with Iran refusing to reopen the waterway without major concessions.
Now, instead of reopening, Iran wants to monetize the bottleneck.
The PGSA warned that any transit through the area requires "coordination with, and authorization from" the new authority. This means any ship moving oil from Saudi Arabia, the United Arab Emirates, Kuwait or Iraq would have to pay a toll—or risk being blocked by the missile batteries Iran has positioned on islands like Abu Musa and La Rock.
The timing is disastrous. Roughly 20% of global oil exports and nearly 20% of liquefied natural gas travel through this choke point daily. With Iran's plan, that flow would be taxed, delayed or halted at Tehran's whim.
The immediate impact includes price spikes in energy, fertilizer and food. Fertilizer, a key input for global food production, has already seen shortages since the closure began.
The U.S.-Israel war on Iran has exposed a fragile global system
The UAE is directly in Iran's crosshairs. Since the war started, the Emirates rerouted its oil exports by pipeline to the Fujairah Port to bypass the strait.
Iran's new plan explicitly claims authority over waters south of Fujairah, threatening to cut off that alternative route. Emirati presidential advisor Anwar Gargash dismissed the idea as a "pipe dream," accusing Iran of trying to create a new reality from a military defeat.
But the damage is already done.
The standoff has exposed a fragile global system where a single 21-mile waterway can cripple economies. Japan, which imports much of its energy through Hormuz, has called the strait a matter of survival.
Western Europe, already reeling from self-inflicted energy crises, faces the nightmare of losing access to natural gas shipments.
Iran's leverage is undeniable.
While experts note the country has never fully closed the strait in past conflicts—largely because it needs to export its own oil—the current toll proposal is a different beast. It signals a permanent shift: Iran no longer just wants the strait open; it wants to own it.
For the rest of the world, the choice is grim: pay up, or brace for a global energy famine.
Watch this clip as the Health Ranger Mike Adams explains how the Strait of Hormuz closure is pushing people toward off-grid solar energy.
This video is from the Health Ranger Report channel on Brighteon.com.
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