Iran is reportedly considering a proposal that would require European countries to contribute financially to the maintenance of the Strait of Hormuz, a strategic maritime corridor through which a significant portion of the world’s oil supply passes. The plan, which remains in preliminary discussions, envisions the establishment of a “voluntary fund” supported by Gulf states and select European members of the International Maritime Organization (IMO) to cover costs related to navigation management, environmental protection, search and rescue operations, and other essential services along the strait.
Sources from the Gulf and Europe indicate that the fund could address longstanding political challenges surrounding the reopening and safe passage of vessels through the Strait. The initiative is seen as a potential solution to recent disruptions caused by heightened tensions between Iran and the United States and the resulting volatility in global energy markets.
Under the proposed arrangement, vessels entering the Gulf would navigate a channel near Iran’s coast, while those exiting would use a separate channel near Oman. This bifurcated transit system is inspired by the existing framework governing the Strait of Malacca in Southeast Asia, where Indonesia, Malaysia, and Singapore operate a voluntary contribution mechanism known as the Aids to Navigation Fund. That system has enabled cost-sharing for the maintenance of navigational aids by benefiting countries and commercial operators reliant on the strait.
Oman has reportedly taken a leading role in advancing this concept, emphasizing that states and shipowners dependent on Gulf energy supplies would likely be inclined to support such a fund. European countries with strong energy ties to the Gulf region—such as Italy, Belgium, and France—are seen as potential contributors. Conversely, the United Kingdom maintains that only a small portion of its crude oil imports originate from the Middle East, with the majority sourced from Norway, the United States, and the North Sea.
The reopening of the waterway follows a preliminary agreement between Washington and Tehran, aiming to restore unrestricted navigation after prolonged disruptions, but questions remain about which authority will regulate passage through the strait. Iran continues to insist that the United States must lift its naval blockade as a prerequisite for reopening, while Washington has expressed diplomatic efforts to de-escalate tensions. On the same day discussions about the strait’s status were progressing, U.S. officials including Senator Marco Rubio and Treasury Secretary Scott Bessent signaled optimism about an imminent deal.
Despite the apparent momentum, a United Nations official confirmed that no formal proposal for the voluntary fund has been submitted to the IMO, which comprises 176 member states including Iran, Oman, and the United States. The official noted that mandatory tolls for international shipping corridors are not legally enforceable under current maritime law, but acknowledged that voluntary funding mechanisms could be a feasible compromise.
If implemented, the plan could represent a novel approach to managing a critical energy passage whose obstruction has previously led to sharp spikes in oil prices and broader global economic impacts. The voluntary fund model, drawing on the Malacca Strait example, would rely on collaborative burden-sharing among the international shipping and energy-consuming community to ensure safe and reliable passage through the Gulf.