Mr. Speaker, in debate in the House of Commons today, I would like to take a few moments to highlight why the Conservative Party of Canada is determined to have the matter in the business of the House of Commons, in the chamber, for all Canadians to see and hear. We do not want another committee established. It is House business, and this is where the matter must be debated. It always seems to be the same thing with the current NDP-Liberal government: Who can get away with what at this time?
Upon researching SDTC, I found it interesting to see its initial purpose. It was a vital initiative launched by the Canadian government to foster the development of clean technologies. Its primary goal was to help innovators address some of the most pressing environmental challenges, while driving economic growth. At its core, SDTC provided funding and other resources to projects that focused on reducing greenhouse gas emissions, improving air quality and water quality and promoting sustainable resource use. The support was critical for early-stage projects, particularly those that might struggle to secure private investment due to inherent risks of pioneering new technologies.
One of the most defining features of the SDTC was the broad scope of sectors it covered. From energy to the agriculture and transportation sectors, the organization played a key role in helping innovators across industries. In the energy sector, for instance, it supported clean-energy solutions such as renewable power, energy storage and advancements in energy efficiency. In the agriculture sector, SDTC backed projects that focused on sustainable farming practices, reducing emissions from food production and conserving water resources. In the transportation sector, SDTC helped drive innovations aimed at reducing the carbon footprint on public transportation and at promoting electric mobility.
Beyond just financial support, SDTC fostered a collaborative ecosystem. It connected industry players with academia, researchers and government agencies, and it encouraged partnerships that accelerate the development of these technologies. By bringing together diverse stakeholders, SDTC not only helped ideas become a reality but also ensured that clean technologies reached the market faster and more effectively.
Sustainable Development Technology Canada was essentially turned into a slush fund by Liberal insiders. The Auditor General of Canada uncovered that $400 million in taxpayer funds was misused. Nine board members are linked to 186 conflicts of interest. The situation has escalated due to the refusal of the Liberal government to comply with a parliamentary order demanding the release of documents related to the scandal. This has resulted in a halt to parliamentary business for two weeks.
SDTC was originally established in 2001 to fund green-technology initiatives. Instead it became an open channel for insiders' dealings by the Liberal government. The Prime Minister appointed numerous board members implicated in the scandal. The Auditor General's findings uncovered numerous serious issues of misappropriation of funds and conflicts of interest. Despite the Auditor General's findings, the government has refused to release documentation requested in the House of Commons.
The reluctance of the Liberal government to share the documents raises serious concerns about transparency and accountability. This has created a very clear picture of a deep web of political insiders. The refusal to release the documents is a scathing misuse of public funds. The House must respect the seriousness of the situation. The House and the taxpayers of Canada need to know what is in the documents, and a refusal to release the documents does not respond to the seriousness of the situation.
The concerns we have raised highlighted a deep dissatisfaction within the current NDP-Liberal government, particularly regarding the recent scandal involving Sustainable Development Technology Canada and the alleged misappropriation of the $400 million in taxpayer funds. That is taxpayers' money. Taxpayers are the people who are providing money for Canada, and the government is spending it without any accountability.
The Speaker's ruling indicating that the government violated a House order by refusing to turn over evidence to the police only adds to the perception of a cover-up, especially when the Auditor General's findings revealed 186 conflicts of interest involving Liberal appointees directing funds to their own companies.
The situation is exacerbated by the real economic struggles Canadians are facing. There are rising housing costs, food inflation and increasing crime rates, which many feel the government is failing to adequately address. The argument that the NDP-Liberal coalition has paralyzed Parliament by focusing on damage control instead of solving these pressing issues resonates with those who believe that government corruption is not just a political issue but one that directly affects the ability of Canadians to meet basic needs, such as the need for food, housing and energy.
Government is being called to stop the cover-up and provide the necessary documents for a criminal investigation. This would be a step toward restoring integrity and allowing Parliament to refocus on the real problems the country is facing. For critics, the solution lies in a change of leadership, with the common-sense Conservatives being presented as a party that will end corruption, deliver answers and focus on reducing costs for Canadians.
In terms of the misallocation of funds, $58 million was allocated to 10 projects that did not meet the eligibility criteria; this goes against the fund's intended purpose. These funds were disbursed without contribution agreements, indicating a lack of oversight and due diligence.
The Auditor General found that $334 million was given to projects in which board members had conflicts of interest. Specifically, 186 conflicts of interest were identified among nine board members, including cases where the individuals approved projects that financially benefited them. In other words, they were approving money that was going to their own companies.
In the board transactions audit, the Auditor General reviewed 226 out of 405 transactions approved by the board over a five-year period and found that 82% of them involved conflicts of interest. We can imagine what would be found if they reviewed all 405.
This indicates a systematic ethical lapse within the governance of the fund. One striking example of conflict of interest involves a board member who runs a venture capital firm, Cycle Capital. Her firm reportedly received significant government grants, up to $250 million, while she was on the board. Even while serving on the board, there was $114 million of funding approved for companies she previously invested in, which directly benefited her firm. This apparent self-enrichment highlights the gravity of the governance failure.
In terms of the failure of oversight by government, the Auditor General attributes a large part of this scandal to the Liberal government's industry minister for insufficiently monitoring the contracts and ensuring that proper checks and balances were in place. Despite managing nearly a billion dollars in public funds, the Liberal government seemed lax in its oversight, contributing to the lack of accountability and fiscal responsibility.
The above is clearly a serious lapse in both ethical standards and financial oversight. How can we possibly be confident of the management of taxpayers' dollars when we have a lapse in judgment? If there is no accountability, where is the money going? If it is not our money, and it is taxpayers' money, where is the confidence from the people who elected us to be here? Every person in the House, I am sure, is elected to represent not only their constituents but also people in Canada or abroad who are Canadians. If we do not have any accountability in terms of the money they provide us, then where is confidence within our government? Canadians' tax dollars are missing here.
Political connections and insider connections cannot be seen as a pathway to financial gain. Parliament's role is to hold government to account, and the Liberal government is protecting those involved at the expense of the Canadian taxpayer. How can we possibly allow this critical matter to go unresolved? Taxpayer dollars have been wasted. Without exception, Conservatives will hold the Liberals to account.
The hardships described are painting a stark picture of the economic challenges many Canadians are facing today, with food insecurity being one of the most pressing concerns. According to recent reports, food prices have indeed soared, with families expected to pay $700 more for groceries this year compared with 2023.
The increased reliance on food banks, with a 50% spike in visits since 2021, just underscores the scale of the struggle for many Canadians to meet their basic needs, yet here we are today with $400 million that is unaccounted for. The government has been ordered by the Speaker to produce documents as to where the money went, and we are still arguing about that. There are people going to the food bank wondering why we are doing that.
StatsCan reported on food insecurity, showing a jump from 11.6% in 2018 to 15.6% in 2022. This just illustrates a growing financial strain under the current NDP-Liberal government. The surge in food insecurity, exacerbated by inflation and policies such as carbon tax, is leading to further economic stress. Food Banks Canada’s 2024 poverty report card indicates that nearly half of Canadians feel worse off financially compared with last year, with one in four experiencing food insecurity.
Critics of the government point to its inflationary policies, such as increased spending and the carbon tax, as contributing factors. The carbon tax in particular has been criticized for raising costs throughout the supply chain, going from farmers, ranchers and truckers to consumers. This has made food and other essentials more expensive for families. This burden is compounded by inflation. It is seen by many as a direct result of the government's approach. Economists have highlighted the significant cost burden the carbon tax imposes on the food industry, further validating concerns that these policies are driving up costs for ordinary Canadians. The Conservative position focuses on reversing these policies, specifically by axing the carbon tax, fixing the budget and implementing measures to bring down costs for consumers.
In a letter tabled in Parliament on October 21, the House of Commons law clerk told MPs that he recently received new documents from three government departments relating to Sustainable Development Technology Canada. In all three cases, information was withheld. Testifying to MPs at the public accounts committee on Monday, the law clerk said that three departments are still failing to comply with an order by the House of Commons. According to one article, the law clerk “wrote to [the Speaker] about Finance Canada, Innovation, Science and Economic Development and the Treasury Board Secretariat” that “[a]ll three government institutions provided documents containing redactions and/or withheld some pages purportedly relying on the Access to Information Act”. He also testified that “only eight government organizations had forked over all their unredacted records on SDTC. The vast majority of others (22) had either withheld documents or redacted them.”
He went on to say, “We're talking about documents, sometimes hundreds of pages, that have been withheld, and redactions that are not only about personal information, but also solicitor-client privilege or other motives under the Access to Information Act”.
The scrutiny and accusations surrounding SDTC, particularly when it comes to allegations of conflicts of interest, are significant. The claims that Liberal appointees funnelled $400 million to start-ups with ties to senior SDTC management and that 82% of the reviewed projects had conflicts of interest raise serious concerns about governance and transparency. Conservatives' concerns about the mismanagement of $400 million in taxpayer money through Sustainable Development Technology Canada resonate with many Canadians, especially in light of their current economic struggles. With inflation rising, rising costs and many people living from paycheque to paycheque, the perception that public funds are being misused or awarded to connected insiders can be deeply frustrating for citizens.
Many Canadians see the government's handling of the Sustainable Development Technology Canada issue as emblematic of larger problems. The refusal to turn over documents related to the green slush fund has fuelled accusations of a government trying to hide potential corruption and conflicts of interest.
The lack of transparency shows contempt for Parliament and, by extension, for the public, the taxpayers supporting the government. The claim that Parliament has been paralyzed because of the government's refusal to co-operate adds to the urgency. At a time when Canadians are facing crises in housing, food security and public safety, the perception that government is prioritizing a cover-up over helping citizens exacerbates frustration. With the cost of living skyrocketing, crime rising and affordable housing in short supply, many Canadians are looking for leadership that is focused on addressing these immediate concerns.
The demand for the government to finally turn over the documents is about more than just the scandal: It is about restoring trust and allowing Parliament to get back to addressing the critical challenges that everyday Canadians are facing. The lack of action is seen as preventing the government from making meaningful progress on issues that directly affect the quality of life for millions. It is deeply concerning when public trust in government institutions is undermined by allegations of mismanagement and self-dealing, as appears to be the case with the green slush fund. The fact that we are discussing this issue speaks to a broader problem with accountability and transparency, things that should be fundamental in any democratic government.
The Auditor General's findings that the Liberal government allegedly turned SDTC into a slush fund for insiders and that nearly $400 million in contracts were inappropriately awarded only fuel the frustration felt by many Canadians. When a government initiative designed to foster sustainability and clean technology becomes embroiled in allegations of corruption, it raises serious questions about the governance and integrity of those responsible for overseeing public funds. The troubling part is that such a situation should not require the lengthy debates of a prolonged effort to bring the truth to light. Ensuring that public funds are managed transparently and ethically is a basic expectation, and the need to debate such a clear-cut issue reflects how far things have gone astray.
Citizens rely on the government to act in the public's interest, particularly when it comes to something as critical as environmental and economic sustainability. For the government to restore any sense of trust, not only does it need to release the documents that detail these conflicts of interest, but it also needs to take decisive actions to rectify the situation and prevent it from happening again.
Earlier this year, through her report on the SDTC, the Auditor General revealed the shocking truth of the extent of Liberal corruption. This showed that the Liberal government had turned the organization into a slush fund. for organizations connected to Liberal insiders. In total, contracts worth $123 million were found to have been given inappropriately, and $76 million was given to projects where there was a connection with Liberal friends appointed to the roles within SDTC.
At this point, keeping the current government accountable seems to be an unattainable task or a bad joke. We have Canadians living in their cars because of unaffordability, food bank attendance at record highs and kids living at home because they cannot buy a house. Nevertheless, the Liberal government is playing games with how much money it can distribute without getting caught. Continued delays will only further erode public confidence. Pressing issues such as affordability, crime and housing need to be addressed. In the end, all we are asking for is transparency and accountability. The government should present the requested documents to this chamber immediately and answer to the taxpayers of Canada. With $400 million spent and 186 ethical violations, it is time to present the documents.