Imposing toll on Strait of Malacca would be unlawful, Indonesia committed to freedom of navigation: Foreign minister

Indonesia's Foreign Minister Sugiono has said that no tolls will be imposed in the Strait of Malacca as it will be inconsistent with international laws.

Indonesian news outlet Tempo reported that Sugiono made the remarks during an interview on Thursday (April 23).

When asked about whether Indonesia plans to charge ships to use the waterway — one of the world's busiest — he said the country maintains respect for the United Nations Convention on the Law of the Sea (UNCLOS).

"We also hope for free passage, and I think that is a commitment shared by many nations — to create a shipping lane that is free, neutral and mutually supportive," he added.

His remarks comes a day after Indonesia's finance minister floated the idea of imposing a levy on ships passing through the Strait of Malacca — a major shipping lane for global trade and energy that is bordered by Indonesia, Malaysia and Singapore.

Purbaya Yudhi Sadewa said that the idea — inspired by Iran's plan to impose tolls on ships passing through the Strait of Hormuz — will generate significant economic value.

"If we split it three ways – Indonesia, Malaysia, and Singapore – it could be quite substantial. Our stretch is the largest and the longest," he reportedly said.

"Singapore is small, Malaysia is similar — perhaps we could split it in two. If only it were that simple, but it isn't. So with all our resources, we must not think defensively; we need to start thinking more offensively, but in a measured way."

Singapore's Foreign Minister Vivian Balakrishnan on Wednesday said that Singapore, Malaysia and Indonesia have a shared strategic interest to keep the Malacca strait open.

In an interview at CNBC's Converge Live event, Dr Balakrishnan said: "The right of transit passage is guaranteed for everyone."

"We will not participate in any attempts to close or interdict or to impose tolls in our neighbourhood."

Meanwhile, Singapore's Prime Minister Lawrence Wong on April 17 said that as a global trading hub and a major oil refinery centre, the country's position on the right of transit passage in straits used for international navigation is "clear and unequivocal". 

"We continue to support free and open trade," he said.

"It's really in the collective interest of everyone in the international community to uphold navigational rights and freedoms, and to ensure that critical sea lanes remain open, secure, and accessible to all."

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chingshijie@asiaone.com