I was wondering about the stance of the Shi'i jurisprudence with a man who suffers from psychological hermaphroditism (transgender) . His physical self is "normal", but he likes to think of himself as a woman. If he is not reffrered to as a woman, he suffers psychological distress.

He dresses like a woman and wants to go on hormones prescribed by a doctor but not do surgery.

What is the stance Islam has on this person? Is there any blame upon him for his actions?

He has to present himself to a specialist, and if was diagnosed as female, and carries within him the organs of the female, he may transform if he have to do so. If he does not have female organs, and he is a real male, he is not allowed to do so, if the transform requires cutting off his masculinity organs and creating a female opening, and even if he does, and takes female hormones, he is not considered a female legally.
My advice to the owner of this case is to seek refuge in Allah, to take male hormones instead of female hormones, and to get treated for the psychological state by a specialist.