Minister Champagne announces corrective actions after fact finding mission

October 3, 2023 – Ottawa, Ontario

Today, the Honourable François-Philippe Champagne, Minister of Innovation, Science and Industry, issued the following statement:

“Earlier this year, my department, Innovation, Science and Economic Development Canada (ISED) was made aware of allegations of mismanagement at Sustainable Development Technologies Canada (SDTC). ISED immediately decided to conduct a fact-finding exercise through an impartial third party. Last week, I received the report prepared by this third party, Raymond Chabot Grant Thornton (RCGT).  

 “The fact-finding report identified a number of instances in which SDTC was not in full compliance with the contribution agreement made with ISED. It also identified opportunities for improvement in other areas not covered by the contribution agreement, and outside of the scope of intervention for ISED, including human resources, governance, and oversight. 

“I take these findings seriously and that’s why we are taking the following immediate corrective actions: 

• SDTC has received a detailed Management Response and Action plan to address the issues identified in the report, which I expect will be implemented by no later than December 31, 2023;
• ISED has requested the temporary suspension of funding for all new projects until the corrective measures are in place; and,
• ISED is exploring further options to strengthen the governance oversight of SDTC, and I will be providing further direction on this matter soon. 

“As this process continues, we will continue to monitor the situation – because our government holds all organizations that receive federal funding to the highest of standards.” 

Quick facts

• SDTC is an arm’s length, not-for-profit, foundation that was established by the Government of Canada in 2001 and its mission is to support the growth and development of precommercial cleantech companies. 
• SDTC’s mandate is spelled out in the Canada Foundation for Sustainable Development Technology Act.