Canadian Sustainable Development Technology Canada dispute

A political dispute has emerged in the Canadian House of Commons regarding the recovery of taxpayer funds from Sustainable Development Technology Canada (SDTC). The controversy follows audits by Auditor General Karen Hogan, which found that the agency awarded $59 million to ten ineligible projects and identified numerous instances of potential conflicts of interest.

Liberal MPs have used procedural measures, such as adjourning committee meetings, to block motions aimed at recovering at least $34 million paid to five ineligible green technology projects. Industry Minister Mélanie Joly has argued that pursuing these funds “does not lie in the public interest,” asserting that the applicants acted “in good faith” and that recovery efforts would likely be unsuccessful.

Conservative MPs have criticized these actions, labeling the agency a “green slush fund” and accusing the government of halting efforts to reclaim mismanaged money. The agency was previously dissolved in 2024 following the resignation of its entire board, amid broader reports of mismanagement costing taxpayers approximately $150 million.