Iran is moving to impose transit fees on vessels passing through the Strait of Hormuz after a key parliamentary committee approved the proposal, The Caspian Post reports citing, Tasnim news agency.

According to a member of the Committee on National Security and Foreign Policy, the plan allows for duties to be levied on ships transiting the strategic waterway.

Under the proposal, vessels linked to the United States, Israel, or countries that have previously imposed unilateral sanctions on Iran would be barred from passing through the Strait of Hormuz.

Any applicable transit fees would be required to be paid in Iranian rials.