News
October 22, 2026

Electrical Safety Authority Fines Ontario Contractor $122,000 Over Permit Scheme

Construction Owners Editorial Team

Highlights

  • Aya Electric Inc. and its owner, Razi Khan, were fined a combined $122,000 under Ontario’s Electricity Act, 1998.
  • The investigation identified electrical permits obtained for work at six residential properties across Southern Ontario.
  • An unlicensed contractor performed the work without electrical qualifications, proper insurance or supervision.
  • ESA investigators also identified electrical work at a seventh Brantford home where no permit had been obtained.

Fines Follow Investigation Into Electrical Permit Practices

Electrical contractor licensing and permit compliance remain important considerations for construction businesses operating in Ontario, following a court decision that imposed $122,000 in combined fines on Aya Electric Inc. and its owner, Razi Khan.

The penalties followed an investigation by the Electrical Safety Authority (ESA) into arrangements that allowed an unlicensed individual to perform electrical work under permits obtained by a licensed contractor. In September 2026, Aya Electric and Khan pleaded guilty to offences under Ontario’s Electricity Act, 1998.

Aya Electric received a $92,000 fine, while Khan was fined $30,000 and placed on probation. The ESA is also considering whether additional administrative action is warranted.

Investigation Identifies Work at Seven Residential Properties

The investigation found that Aya Electric obtained electrical permits for work at six homes in Clarington, Brantford, Milton and Markham. Khan collected payments for the permits while an unlicensed contractor carried out the work.

The individual was not employed by Aya Electric and lacked electrical qualifications and proper insurance. The work was also performed without supervision from the company or Khan, who served as Aya Electric’s Designated Master Electrician.

Investigators identified a separate incident at a seventh residential property in Brantford, where Khan was observed working alongside two unlicensed contractors. No ESA electrical permit had been obtained for that job.

As Designated Master Electrician, Khan was responsible for planning and supervising electrical work performed on behalf of Aya Electric.

Court Emphasizes Licensing and Safety Responsibilities

The Ontario Court of Justice considered the use of a licensed business to obtain permits for work performed by an unlicensed contractor a serious matter. The sentencing reasons highlighted the deceptive nature of the conduct, the financial benefit involved and the potential consequences of electrical work that bypasses required safeguards.

Electrical deficiencies can expose property owners and occupants to fire and other serious hazards. The court also emphasized the need for penalties that discourage similar breaches of Ontario’s electrical safety requirements.

Under provincial requirements, electrical work in Ontario homes and businesses must be performed by Licensed Electrical Contractors (LECs). A contractor’s licence cannot be used simply to obtain permits for work performed independently by an unlicensed individual.

General contractors arranging electrical work must also ensure that the electrical work is undertaken by an appropriately licensed contractor. An individual’s electrician qualifications or Master Electrician’s licence alone do not replace the requirement to use a Licensed Electrical Contractor.

Compliance Implications for Ontario Construction Businesses

The case highlights the importance of verifying contractor licences, confirming responsibility for permit applications and ensuring that electrical work is performed under the appropriate supervision.

For general contractors, developers, property owners and construction managers, electrical subcontractor selection and oversight are essential parts of project compliance. Businesses should confirm that electrical contractors hold the required licences and that permit arrangements accurately reflect who is performing and supervising the work.

The ESA accepts reports of suspected unlicensed electrical work and other contractor non-compliance. Its contractor lookup tool also allows businesses and property owners to verify a contractor’s seven-digit ECRA/ESA licence number before engaging electrical services.

Source: Electrical Safety Authority.

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