Middle East Crisis Oil Market

Iranian Media: Iran Wants to Introduce Fees for Shipping Through the Strait of Hormuz

Iran wants to introduce a law on customs fees for shipping through the Strait of Hormuz. This is reported by AFP and Reuters, referring to Iranian media.

According to the Iranian news agency ISNA, parliament is considering a proposal that would require countries that use the strait for trade, energy and food transport to pay fees and taxes to Iran in order to gain free passage.

An advisor to Iran's supreme leader says that a "new system for the Strait of Hormuz" is expected after the end of the war, which would give Iran the opportunity to introduce restrictions against countries that previously sanctioned Iran.

Two Scenarios: Oil Above $100 for Three Months in Both

The Rystad analysis house has outlined two scenarios for the Iran war, and in both cases the oil price will be above $100 per barrel for the next three months. This is reported by the Norwegian newspaper DN.

In the more optimistic scenario, the parties reach a ceasefire in early April. This would give oil an average price of 110 dollars per barrel in April, May and June – and then fall to 70 dollars towards the end of the year.

In the second scenario, the war continues into the summer, which could give an average price of 135 dollars per barrel in May and June, according to the calculation.

On Thursday, the spot price of a barrel of Brent oil traded above 110 dollars and at most around 118 dollars.

– I think the market is assessing the situation somewhat more correctly now, says Rystad Energy's founder Jarand Rystad to the newspaper.

Price shock on fuel in Sweden – has surged 30 percent

The war in the Middle East has triggered an energy crisis that has now begun to be reflected in Swedish fuel prices. In a short time, gasoline and diesel prices have skyrocketed by 20-30 percent, reports DI.

Diesel prices have taken the biggest hit, with a price increase of about 5 kronor per liter to over 22 kronor per liter compared to before the outbreak of war on February 28.

During the same period, gasoline has increased from about 15 kronor per liter to 18 kronor per liter.

“It is an extremely large change in such a short time,” says Johan Söderberg, head of fuel supply at Circle K in Sweden.