If you’re an energy broker or energy consultant in New York, you now need to file an approved form of financial security with the State Department of Public Service (DPS) by April 30, 2026.
This change took effect on March 1, 2026, as part of revisions to NY Public Service Law §66-t. Here’s what you need to know to stay compliant this year.
Why Was This Requirement Introduced?
Over the past few years, the DPS has transformed the energy brokerage and consulting industry from an unregulated market into a professional, regulated class. Brokers and consultants are now held to similar legal standards as the insurance and real estate industries. This new bond requirement builds on the 2024 state registration mandate.
The DPS aims to prevent predatory marketing, ensure fee transparency, and provide a path for clients to recover financial losses in cases of fraud or misconduct.
What Is the New Financial Security Requirement?
Energy consultants and brokers must file either a surety bond or a letter of credit (LOC) with the DPS by April 30, 2026. Typically, surety bonds are more affordable since you only pay a small upfront premium rather than full collateral.
Your required LOC or bond amount depends on your registration type:
- Energy consultants: $50,000 bond
- Energy brokers: $100,000 bond
- Dual registration: $100,000 bond
The DPS will approve or deny your financial security submission by October 31, 2026.
Who Does This Change Affect?
All energy brokers and consultants operating in New York must register with the state and file a surety bond:
- Energy consultants are professionals who advise businesses and property owners on how to reduce utility costs, secure energy contracts, and comply with state standards
- Energy brokers are non-utility companies that negotiate electricity or natural gas contracts between energy suppliers (ESCOs) and customers. They don’t own or sell the energy themselves.
How Do I Get a NY Energy Broker and Consultant Bond?
Energy brokers and consultants must purchase their bonds from an A-rated surety. You can apply online to get a free quote, typically within one business day or less.
SuretyBonds.com works with the top surety providers to provide the best rates and the fastest online bonding process.
How Much Will My Bond Cost?
New York energy broker and consultant bonds require a soft credit check. This allows underwriters to determine risk and provide a personalized quote.
Highly-qualified applicants typically pay just 1–2% of the bond amount. This means you could pay as low as $500 for the $50,000 consultant bond or $1,000 for the $100,000 broker bond. With SuretyBonds.com, you can also select a multi-year term to save 25%. Apply for your bond today.
Next Steps
Be sure to file your surety bond by April 30, 2026 to avoid penalties and fines. This may include the revocation or denial of your registration.
For more information, refer to the New York Department of Public Service website or call 1 (800) 308-4358 to speak with one of our surety experts.