Surety Bonds - Frequently Asked Questions

What is a surety bond?

Surety bonds protect consumers by ensuring that BCSA licensed gas and electrical contractors adhere to their legal responsibilities to correct non-compliant work.  Currently, BCSA requires a $10,000 surety bond as a condition of both gas and electrical contractor licenses. These bonds provide a source of funds to correct non-compliances in the event that the licence holder (contractor) cannot or will not remediate the non-compliance(s).

BCSA currently requires a $10,000 surety bond for gas and electrical contractor licenses. A bond is valid until it is cancelled, expired or called.

What happens to a Contractor’s Licence when a bond is called?

If the bond is called, the licence is suspended. Once the licence is suspend the contractor is no longer authorized to obtain permits or perform regulated work in the province until a new bond is submitted to BCSA.

When can BCSA call a bond?

BCSA may choose to call a bond under the following circumstances:

  1. in the case of non-compliances which also pose a safety hazard;
  2. where the contractor refuses to rectify the deficiency after adequate notice;
  3. where the contractor cannot be located or is believed to be out of business;
  4. where the contractor is legally unable to perform the work himself or herself, for example due to expiry, suspension or revocation of any necessary permission; or
  5. in some circumstances where the contractor is physically unable to do the work, such as due to accident or illness.

Watch BCSA’s new animated video presentation outlining duty holder obligations and the compliance and enforcement processes and tools.