Iran has formally launched the Persian Gulf Strait Authority (PGSA) as a dedicated regulatory body to manage and monitor the Strait of Hormuz, signalling the institutionalisation of Tehran’s control over one of the world’s most critical energy chokepoints.

The authority is now operational, with vessels required to obtain permits and comply with detailed transit instructions before passage.

The Supreme National Security Council announced the PGSA’s official presence on X, confirming that the body will provide real-time updates on operations and developments in the Strait of Hormuz. The post declared, “In the Name of God. The official X account of the Persian Gulf Strait Authority (#PGSA) is now live.

Follow us for real-time updates on the Hormuz Strait operations and latest developments.” This marks the formal establishment of a sovereign governance mechanism that Tehran has been gradually introducing since early May.

Iranian state media had earlier reported that the PGSA would serve as the central authority for maritime traffic, requiring all vessels intending to transit the strait to submit information via email to info@PGSA.ir. Ships must comply with instructions issued under this framework and secure a transit permit before entering the waterway.

This system has already been described as a sovereign governance mechanism, effectively transforming Hormuz into a checkpoint regime rather than a free passage corridor.

The PGSA’s creation follows weeks of heightened tensions in West Asia, where the conflict between Iran and the US–Israeli coalition has severely disrupted shipping. Since the outbreak of hostilities on 28 February, traffic through Hormuz has been restricted, causing the largest oil supply shock in history. 

Nearly 20 per cent of global oil and liquefied natural gas trade normally passes through this narrow strait, underscoring its strategic importance. Iran’s move to formalise control has rattled global markets, with Brent crude prices rising sharply in recent weeks.

Reports indicate that the PGSA is not only a regulatory body but also part of a broader toll regime. Vessels have already been charged substantial sums—up to $2 million per transit, often settled in Chinese yuan or even cryptocurrency transfers to IRGC-linked wallets.

This has created what analysts describe as a “Tehran toll booth,” embedding economic leverage into Iran’s maritime strategy. The system also includes bilateral carve-outs, with countries such as India negotiating safe passage arrangements outside Western coalition frameworks.

On 18 May, six India-flagged vessels reportedly transited Hormuz in a coordinated cluster under assurances from Tehran, highlighting the operationalisation of bilateral safe lanes.

Iran has also engaged Oman in technical discussions to establish a framework for secure transit. Expert-level talks between Iranian and Omani teams are scheduled to continue, reflecting Tehran’s intent to share toll revenues and coordinate governance with Muscat. This bilateral engagement is seen as a way to legitimise Iran’s control while offering regional partners a stake in the new system.

The United States, however, has condemned the PGSA’s establishment, warning shipping companies against paying Tehran for passage. Washington has maintained its naval blockade of Iranian ports, while European powers are considering a multinational escort mission to safeguard vessels.

Meanwhile, Pakistan has shared a revised Iranian proposal with the US aimed at ending the conflict, though peace talks remain stalled.

The PGSA’s launch represents a decisive shift from wartime disruption to administrative control. Iran is moving to institutionalise its dominance over Hormuz, embedding sovereignty, toll collection, and regulatory oversight into a single framework.

This development underscores Tehran’s broader vision of a “new regional and global order under a strong Iran,” leveraging the strait as a strategic instrument of power projection.

ANI