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No conflict in handling of BC zero-emission grants, says auditor general

British Columbia's auditor general said his office found no evidence of a conflict of interest in the handling of provincial grants for the zero-emission vehicle sector, after an accusation by a truck maker earlier this year.

Michael Pickup said in a statement the investigation looked into accounting firm MNP's handling of Advanced Research and Commercialization grant applications, reviewing "a significant amount of information" from the company, the government and all applicants.

Pickup said the results show no evidence MNP wrote grant applications for clients, influenced the evaluation process to benefit clients or used its administering of the program to "recruit" clients for the company's other services.

"Our examination was guided by three questions about MNP's actions," Pickup said in a statement. "After extensive work, we found no evidence of a conflict of interest in any of the areas that we examined."

In April, the provincial legislature unanimously directed Pickup's office to examine allegations by electric-hybrid truck maker Edison Motors that MNP was both administering the grants and offering services to help businesses with applications.

<who> Photo credit: Canadian Press

The Office of the Auditor General said the allegations from Edison, which is based in Merritt, B.C., suggested MNP "was offering to write grant applications in exchange for a success fee while also deciding who received grant funding."

MNP said at the time that the allegations were "false and misleading."

B.C. Energy, Mines and Low Carbon Innovation Minister Josie Osborne said in a statement there were no recommendations from the Office of the Auditor General, and the province is "moving forward" with the grant program as normal.

"The ministry will work to improve the information provided to applicants to ensure it's clearer that MNP's role is limited to day-to-day program administration," Osborne said.

"British Columbians need to be able to have confidence that public funds are being administered appropriately and that grant programs are fair for everyone. And that is exactly what the auditor general found."

MNP has administered the grant program in question since 2018 under contract with Osborne's ministry.

B.C. has committed about $50 million to the Advanced Research and Commercialization grant program under its CleanBC plan to "reduce transportation-related greenhouse gas emissions."



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