Liberal MPs voted to adjourn a parliamentary committee meeting Wednesday, cutting short debate as Conservatives demanded Ottawa recover $34 million in taxpayer funds awarded to ineligible green technology projects.
The clash erupted at the House of Commons public accounts committee over Sustainable Development Technology Canada (SDTC), the scandal-plagued agency Conservatives dubbed the “green slush fund.”
During the October 8 meeting, MP Kristina Tesser Derksen defended the government’s response to concerns raised by Auditor General Karen Hogan.
“The department responded proactively, quickly, and well,” she said, citing Hogan’s previous testimony.
“Weaknesses were identified and addressed. Let’s not throw more good money at this. It is not in the public interest to do so.”
Tesser Derksen then moved to adjourn, ending the meeting without a vote on the Conservative recovery proposal.
Industry Minister Mélanie Joly had confirmed Ottawa would not seek repayment of $34 million awarded to five ineligible projects, citing the likelihood that recovery efforts would fail.
“Therefore, as a matter of fairness and sound stewardship of public funds, it was determined that further pursuit of recoveries was not likely to be successful, and not in the public interest,” Joly wrote in response to an order paper question.
On Wednesday, Conservative MP Michael Cooper accused Liberals of shutting down efforts to recover taxpayer money.
“The Liberals SHUT DOWN a CPC motion to ORDER the recovery of $34 MILLION tax dollars,” Cooper wrote on social media.
A 2024 Auditor General report found SDTC awarded $59 million to 10 ineligible projects and identified 90 conflict-of-interest policy violations involving nearly $76 million.
A subsequent review identified five ineligible projects receiving $34 million, but Ottawa did not name the recipients or publicly explain the differing findings.
The decision not to pursue repayment contrasts with the Public Accounts Committee’s earlier unanimous recommendation to recover improperly awarded funds.
SDTC disputed some eligibility findings, which do not necessarily establish wrongdoing. The scandal prompted Ottawa to transfer SDTC’s programming to the National Research Council in 2025.