Annual Report 2011-2012 - Caritas Australia

End poverty.Promote justice.Uphold dignity.annual report 2011-12

This image: A Somali refugee girl standsin a refugee camp in Kenya near the borderwith Somalia. In 2011, thousands of Somalisfled drought, famine and armed conflictin their country. Hundreds of thousandsnow live in Dadaab camp in Kenya. CaritasAustralia and Baptist World Aid Australia areimproving water and sanitation for recentarrivals in Dadaab.Photo: Laura Sheahen/CRSCover: Rachana Chaudhari, 28, lives inBardiya District, Nepal and is from theIndigenous Tharu community. She has aghaito on her head and is wearing a Tharudress which is worn during festivals andto welcome guests. Rachana completedour Integrated Pest Management (IPM)training and is now successfully sellingher surplus vegetables. Any extra incomebuys clothing, medication and educationalmaterials for her children.Photo: Marden DeanAboriginal and Torres Strait Islanderreaders should be aware that thispublication may contain images or namesof people who have since passed away.Caritas Australia acknowledges thetraditional owners of the land.Established in 1950Bronze Award 2011 / Silver Award 2012Editor: Melinda McHughDesign: Three Blocks LeftPrint: SOS Print + MediaPrinted on: Impact Climate Paper100% recycled paper made fromunbleached recycled fibre.RECYCLEDPaper made fromrecycled m aterialAll photos Caritas Australia unlessotherwise stated.All currency references are shown inAustralian dollars unless otherwise stated.ABN 90 970 605 069Published November 2012by Caritas AustraliaISSN 2201-3075 (Print)ISSN 2201-3083 (Online)© Copyright Caritas Australia 2012Feedback and complaints: Caritas Australiawelcomes feedback about our organisation.To provide feedback or lodge a complaint,call 1800 024 413 toll free, write toCaritas Australia, 24-32 O’Riordan Street,Alexandria, NSW 2015 or send an email tocaritas@caritas.org.au.

About Caritas AustraliaThe international aid and developmentorganisation of the Catholic Churchin Australia, Caritas Australia is partof Caritas Internationalis, one of theworld’s largest humanitarian networks.Caritas Australia works in partnershipwith local communities in 35 countriesthroughout Africa, Asia, Latin America,Indigenous Australia and the Pacific.With an aim to end poverty andpromote justice we are working touphold the human dignity of thoseat greatest risk and assist peopleregardless of their ethnicity, politicalbeliefs, gender or religion.Our organisation provides a beacon ofhope for millions of children, womenand men in times of hardship andcontributes to the development ofsocial justice in times of peace.Caritas Australia’s role is largeand varied, and includes integralhuman development, emergencyrelief, rehabilitation and disasterrisk reduction (DRR), advocacy,peacebuilding, respect for humanrights, and support for stewardshipof the planet’s environment andresources.Our historyCaritas Australia was founded in1964 as the Catholic Overseas ReliefCommittee (CORC) by the AustralianCatholic Bishops. In 1965 a nationalLenten appeal was initiated; in 1966this was renamed Project Compassionand CORC became known asAustralian Catholic Relief (ACR).As the agency developed, we sawthat responding to emergencysituations was only a small part of theresponse to poverty. We began tofocus more on human developmentand programs which built communityself-reliance.In 1995, ACR was renamed CaritasAustralia. Caritas is Latin for love andcompassion – two qualities which arecentral to our work.Our workPartnership approach: We have 195long-term programs around the worldand 143 partnerships in 35 countries.Long-term partnerships with localand international non-governmentorganisations (NGOs) and communitiesare at the core of our work. Thesuccess of good development projectsoften hinges on the trust we build inthe communities. This trust, whichis developed over time, producesdynamic and fruitful projects.Development approach: The Caritasapproach is based on Catholic SocialTeaching (CST) which focuses on thedignity of the human person. CaritasAustralia is committed to buildinga just world by empowering localorganisations and enabling the world’smost vulnerable communities to bethe architects of their own future.A commitment to working at thegrassroots underpins our capacityto ensure that development initiativesreach the most marginalisedpopulations. We also assist theworld’s poorest to access a greatershare of resources, encouragingenvironmental sustainability, equityand respect.Accountabilityand accreditationCaritas Australia is a member of theAustralian Council for InternationalDevelopment (ACFID). We arecommitted to adhering to ACFID’shigh standards of governance,transparency, accountability andfinancial management.We are also fully accredited by theAustralian Agency for InternationalDevelopment (AusAID), whichmanages the Australian Government’soverseas aid program. The rigorousaccreditation process providesAusAID and the Australian publicwith confidence that the AustralianGovernment is funding professionaland well-managed organisationscapable of delivering effectivedevelopment outcomes. CaritasAustralia is also one of eight partneragencies in the AusAID NGOCooperation Program (ANCP).Caritas Australia is a member of theFundraising Institute of Australia. Weare also a signatory to the Code ofConduct for the International RedCross and Red Crescent Movementand NGOs in Disaster Relief. Wewere also selected through a rigorousprocess to be one of six Australianagencies to respond to emergenciesunder AusAID’s HumanitarianPartnership Agreement.Complaints alleging breaches of theACFID Code of Conduct can bemade to the ACFID Code of ConductCommittee via www.acfid.asn.au/code-of-conduct/complaints-andcompliance-monitoring.Caritas Australia is endorsed bythe Australian Taxation Office as aDeductible Gift Recipient. Donationsof $2 or more are tax deductible.ContentsAbout Caritas Australia 1Our Vision, Mission and Values 2From the Chairman 4From the CEO 5Our Year at a Glance 6Evaluating our Programs 8Outcomes and Looking Ahead 10Financial Snapshot 12Our Strategy 14Where we Work 15Indigenous Australia 18Southeast Asia 22South Asia, Burma and Timor Leste 26Africa 30Latin America 34The Pacific 38Emergencies 42Our Caritas Community 45Our Governance 62Financial Report 68/1

Our Vision, Missionand ValuesOur Vision“Jesus stood up to read, and the scroll of the prophet Isaiahwas given to him. He unrolled the scroll and found the placewhere it was written:‘The Spirit of the Lord is upon me, because he has anointedme to bring good news to the poor. He has sent me to proclaimrelease to the captives and recovery of sight to the blind, to letthe oppressed go free, to proclaim the year of the Lord’s favour.’Then he began to say to them, ‘Today this scripture has beenfulfi lled in your hearing.’” (Luke 4:16-19, 21)Our MissionCaritas Australia works towards the creation of a world thatGod desires to be just and compassionate. Caritas works forthe freedom of those who are oppressed by injustice, bringing‘sight’ to both those who are powerless and powerful, andproclaiming to the poor the good news of their human dignity.This work is undertaken principally through the life-givingactivities of aid and development.As God created humanity to be in right relationship, soCaritas Australia will seek to work through right relationshipsor partnerships to bring freedom to the world’s poorestcommunities today. Caritas Australia works within Australia byinviting people into a just and compassionate partnership withthe most vulnerable. Caritas Australia, as the Catholic Church’sagency for aid and development, gives expression to theGospel imperative to pursue justice and to help those sufferingfrom poverty and disadvantage.Please note: in the 2010-11 Annual Report, we mentioned thatthe revised Caritas Australia Mission Statement will be launchedin the coming fi nancial year. Please see page 14 for an updateon our 2013-18 Strategic Plan and keep an eye on our websitefor our updated Mission Statement.Caritas Australia workstowards the creation of aworld that God desires to bejust and compassionate.Our ValuesThe quest for the fullrealisation of human dignityand wellbeing for all peoplesis at the heart of CaritasAustralia’s work and mission.Catholic Social Teaching (CST)promotes the human dignityof each person, regardless ofethnicity, religion or culturalbelief and calls us to focuson some key values. Theseinclude principles such as:The Dignity of theHuman PersonThe dignity of every person,independent of ethnicity,creed, gender, sexuality, ageor ability, is the foundationof CST. Every human beingis created in the image andlikeness of God and thereforehas inherent dignity. No humanbeing should have their dignityor freedom compromised.The Catholic Church promotesthe dignity of the humanperson for theological andphilosophical reasons: everyperson has dignity becausethey are created in the imageof God and the human personis seen as being of unique andirreplaceable value. Poverty,hunger, oppression andinjustice make it impossible tolive a life commensurate withthis dignity.Accordingly, our programspromote the dignity ofall involved. Programsare people-centred withempowerment at their heartrather than technologycentred.No program isundertaken which treatspeople in any way ascommodities.The Common GoodThere are minimum standardsfor any society to beconsidered well-orderedand productive, and inwhich the dignity of everyperson is realised. Everyonehas a duty to promote thecommon good becausehumans were created byGod, not for a life in isolation,but for the formation ofsocial unity. The commongood balances the rights ofthe individual to personalpossessions and communityresources, with the needsof the disadvantaged anddispossessed.Private property is afundamental right but it is notabsolute and untouchable. Itis subordinate to the right tocommon use, as the goodsof the earth are meant to beshared by all. Every personshould have suffi cient accessto the goods and resourcesof society so that they cancompletely and easily livefulfi lling lives. The commongood is reached when wework together to improve thewellbeing of people in oursociety and the wider world.Therefore, community hasto be built up and organisedin such a way that thedignity of all is maintained.The community has to befair and just, and allow theparticipation of everyone inthe enjoyment of the goodsfor Creation.Priority is given todevelopment programs whichinvolve collaboration withall relevant sectors of thecommunity to promote thecommon good. Programsalso involve coordinationof resources, planning andaction across agenciesand organisations. Gooddevelopment increases thesum of social capital./2

Thanks to your solidarity, we are able to reach the poorest of the poor in many parts of the world,including Bolivia in Latin America. Photo: Richard WainwrightSubsidiarity andParticipationAll people have the right toparticipate in decisions thataffect their lives. Subsidiarityrequires that decision makingoccurs at the lowest levelpossible, so that decisionsare made by the peopleclosest and most affectedby the issues and concernsof the community. It is afundamental demand ofjustice and a requirementfor the common good andhuman dignity that all peopleparticipate and contribute totheir community.The rights of the individualand the family also precedethose of the State. TheState exists for the wellbeingof individuals and familiesentrusted to its care; theState and other organisationsshould support, promote anddevelop the social groupsand networks that make upsociety and delegate authorityand power to everybody.This also applies to authenticpartnership practices. CaritasAustralia works with localcommunities to support,promote and develop theircapacity in decision makingso they can better respond totheir own needs.SolidarityAll people belong to onehuman family, regardlessof national, religious,ethnic, economic, politicalor ideological differences.Everyone has an obligationto promote the rights anddevelopment of all peoplesacross communities, nations,and the world, irrespective ofnational boundaries.In particular, rich nationshave responsibilities towardpoorer nations, and thestructures of the internationalorder must refl ect justice andsolidarity. We are called bythe principle of solidarity totake the parable of the GoodSamaritan to heart [Luke 10:29-37], and to express thisunderstanding in how we liveand interact with others.Caritas expresses solidarityby reaching out to those whoare most marginalised. Weare committed to long-termengagement and sustainability.Preferential Option forthe PoorCaring for the poor iseveryone’s responsibility, andpreferential care should beshown to poor and vulnerablepeople, whose needs andrights are given specialattention in God’s eyes.Jesus taught that God askseach of us what we are doingto help the poor and needy:“Amen, I say to you, whateveryou did for one of these leastbrothers of mine, you did forme” [Matthew 25:40]. Throughour words, prayers and deeds,we must show solidarity with,and compassion for the poor,and always keep their needsat the forefront of our mindand actions.Reaching the poorest andmost marginalised peopleoften requires greater effortin discovering where they areto be found. This sometimesmeans additional resources oftime and money.Economic JusticeEconomic life is not meantsolely for profi t, but ratherin service of the entire humancommunity. All people shouldbe involved in economicactivity and be able toprovide for themselves andtheir families.For these reasons, CaritasAustralia’s programs focus onthe development of the wholeperson and increasing thewellbeing of communities.Stewardship of CreationWe must all respect, care forand share the resources ofthe earth, which are vital forthe common good of people.Care for the environment is acommon and universal duty,and ecological problems callfor a change of mentality andthe adoption of new lifestyles.Our development programsare attentive to environmentalconcerns and seek topromote care for the earthand its resources.Promotion of PeacePeace requires respect forand the development ofhuman life, which in turninvolves the safeguardingof the goods, dignity andfreedom of people. Peaceis the fruit of justice and isdependent upon right orderamong human beings. In1982 Pope John Paul IIstated that: “Peace is notjust the absence of war. Itinvolves mutual respect andconfi dence between peoplesand nations. It involvescollaboration and bindingagreements”.Caritas Australia’s programspromote justice, collaborationand respect for people’sdifferences./3

From the ChairmanIn May 2012, I was delighted to be elected to the role of Chairman of Caritas Australia.I take up the role and the challenge of leading the effective governance of Caritas Australiawith excitement. As a priest and Bishop, the work of Caritas and the Church’s wider missionof social justice and social pastoral activity have been central to my ministry. To have theopportunity to lead Caritas Australia as we come to celebrate 50 years of action for justice in2014 is a great blessing. However, the blessings are multiplied by the knowledge that CaritasAustralia’s day-to-day work brings life through development and humanitarian programs tosome of the peoples of our world who experience the worst suffering.I give thanks for the generosity of the Australian Catholic community to our work. Families,individuals, parishes and school communities responded to the 2012 Project Compassionappeal at an extraordinary level and raised over $10.7 million of fi nancial support (a 10%increase on 2010-11). This is a sign of great hope and practical solidarity to the world’s poor.I thank you, on behalf of the agency, the Caritas family and the communities we are honouredto work with for your generosity. Project Compassion is part of the life of Australian Catholics;in our parish celebrations each Sunday of Lent or in our schools, Project Compassion allowsAustralian Catholics to give expression to a faith that reaches out to the world. For thosenow distant in their practice of the faith, Project Compassion continues to resonate deeplywith our Australian Catholic identity and practice. May it continue to nurture each one of you,our supporters.As I take on this role, I am indebted to the leadership, constant presence and wisdom ofArchbishop Adrian Doyle who was a member of Caritas Australia’s National Council since 1999and was the Chairman from 2003. As President of the Australian Catholic Bishops ConferenceI was pleased to thank Archbishop Adrian Doyle on behalf of the Australian Catholiccommunity for his outstanding service and leadership. The coming year willoffer me great opportunities to more fully understand the work of Caritaswhich I am enthusiastically looking forward to. The National Council is fullyengaged in the development of a new strategic plan that we will adopt atour December 2012 meeting. I thank the members of the Council for theirwonderful contribution to Caritas and look forward to our work together.In conclusion, I am grateful for the work of our Diocesan Directors,volunteers, staff and leadership team at Caritas Australia for all theydo to live out this central mission of the Church.With my best wishes in this Year of Grace,Archbishop Philip WilsonChairman“I am grateful for the work of our DiocesanDirectors, volunteers, staff and leadershipteam at Caritas Australia for all they do tolive out this central mission of the Church.”/4

From the CEOOur organisation has extraordinary strength. This strength is not solely based on the predictableindicators of fi nancial performance or support systems; it is through our connection nection to localcommunities who we work with worldwide.Earlier this year, I had the opportunity to visit Bihar state in north-east India where I witnessedour programs in action. Here, Caritas Australia is empowering Indigenous peoples and Dalitcommunities with skills such as sustainable farming techniques, so they can earn an incomeand achieve food security. Our programs are helping marginalised communities live a life ofdignity, free from poverty.Caritas Australia’s programs have been acknowledged for their ability to deliver real change.The contributions our agency makes offer whole communities the ability to takeownership of their own development.We offer hope for a better world. Not just overseas, but in Australia too. In 2012we celebrate our 40th year of walking alongside Aboriginal and Torres StraitIslander Peoples, and we look forward to 2013 and beyond.Our strength is also derived from inviting key stakeholders to plan our future.This year has been one of review and conversation to prepare our 2013-18Strategic Plan. One of the challenges for Caritas Australia is the essentialneed to be true to partnership principles and consult widely and deeply.Caritas can achieve quick results, but the challenge is, “can we be refl ective”? If we are refl ective and hear, then we will bea better organisation for those living in poverty and with injustice. The strategic planning has not been easy and at timesfrustrating, but the fruits have been a fully engaged stakeholder group of people committed to our work for justice.Strength is also developed through learning from diffi culties. Policies on evaluation and whistle-blowing are increasingthe effectiveness of our work and improving our accountability in the fi eld. And 2011-12 saw more commitment toconducting evaluations of our work.We focused on the tough stuff.At Caritas we have zero tolerance for fraud or misappropriation of funds, however we work in very diffi cult contexts ofappalling poverty and systemic injustice in society. The temptation to misuse funds is ever present and our partners areconstantly vigilant to prevent it.In 2011-12, we responded to allegations of either serious mismanagement or misappropriation of funds on threeoccasions. Particularly heartening was that the discovery came from whistle-blowers in the fi eld who gave us theevidence to confront the problem and correct the work. On only one occasion was fraud discovered. On the othermatter, rectifi cation to the management of a program delivering water infrastructure was made to the satisfaction of thecommunity. An investigation is still underway on the third matter.With 195 long-term programs, it is important that we continue to encourage and offer communities more opportunitiesto name and respond to allegations of fraud and mismanagement. We will continue to improve the capacity of partnersand communities in transparency and accountability to the poor.More research, evaluation and measurement of our work are defi nitely challenging us for the better, and as I look towardsthe next 12 months, the opportunities are exciting. The planned December 2012 adoption of our new strategic plan willallow the agency a strong rationale for further growth and investment of resources to combat poverty and fi ght injustice.In 2012-13, we will be renegotiating our multi-year partnership agreement under the Australian Non-Government CooperationProgram (ANCP) with AusAID. This program allows our government and our agency to jointly invest in Caritas programs.Fundraising too is important to us. Our Caritas community is a marvellous strength for our partners. The predictabilityof this support means that whatever may change in government policy will not compromise our ability to work with thepoorest of the poor who are the constant focus of our thinking, actions and reason for being. Thank you to everyone whoworks alongside us: Church leaders, partners, communities, supporters, staff, volunteers, governments and the corporatesector. May the year ahead be an opportunity for Caritas Australia to become stronger through your support.Jack de GrootChief Executive Offi cer/5

Our Year at a GlanceWhat a year it’s been. With the aid of local partners, the Caritas network and our supporters,we brought relief to those whose lives have been devastated by natural disaster or conflict,and empowered the poor to become architects of their own development. We will continueto help communities to help themselves – regardless of ethnicity, religion or political beliefs.This year our staff andvolunteers worked with143 partners, responded to26 worldwide emergencies(natural disasters and confl ict)and implemented 195 longtermprograms in 35 countriesaround the world. In 2012,Project Compassion soaredto new heights and raisedover $10.7 million. Thesefunds support our work withthe world’s poor and mostmarginalised.July:On 9 July, South Sudanbecame the world’s newestnation. We are continuing toprovide humanitarian supportto 87,000 people through ourSudan Emergency Appeal.This month we also launchedA Just Climate, a campaignthat seeks to include the mostvulnerable communities in talkson climate change. We askedsupporters to collect signaturesand show the short fi lm, SweetWater to their family, friendsand local community.July 2011 also saw the releaseof the Australian Government’snew aid policy for Australia’said program, ‘An Effective AidProgram for Australia: Makinga real difference.’August:Torrential rains in August andSeptember added to thedevastation in Pakistan fromthe 2010 fl oods. In 2011,125,055 people receivedhumanitarian assistance fromthe Caritas network.The HumanitarianPartnership Agreement(HPA) was activated for theHorn of Africa response. TheHPA is a consortium of sixAustralian non-governmentorganisations (NGOs) that canapply and receive fundingfrom AusAID. Caritas Australiareceived $455,000 fromAusAID in support of ourdrought response in Kenya.Severe drought acrossthe Horn of Africa left over13 million people in urgentneed of food, water andbasic facilities. In response,we opened our East AfricaCrisis Appeal.September:Voices for Justice, run byMicah Challenge, is a coalitioncampaign made up ofAustralian NGOs and Churchgroups determined to alleviateglobal poverty and injustice inthe developing world. For twodays, our campaigns teamand hundreds of Australians,descended on ParliamentHouse to lobby with thenation’s most powerful people.Two years after the tsunamiin Samoa which left143 people dead, we arestill assisting in rehabilitationand development programs.In partnership with CaritasSamoa, we have suppliedfood and water, and rebuiltschools and villages.October:Between 5 October and30 November 2011, alldonations to our East AfricaCrisis Appeal were matchedby the Australian Government.The Dollar for Dollar schemeand your donations raised over$2.6 million during this period.In total, our East Africa CrisisAppeal raised over $7.7 million.Torrential rains hit CentralAmerica, with over 13,000people forced to fl ee therising waters, while over amillion people were left dead,homeless or in danger afterTyphoon Nesat tore throughCambodia and the Philippines.Caritas Australia and ourinternational network assistedboth emergencies withhumanitarian aid.November:Caritas assisted withemergency aid as fl oodwatersspread across 64 ofThailand’s 77 provincesleaving 500 people dead andaffecting thousands more.December:In the spirit of Christmas, wedeveloped an online Adventcalendar based on theancient Christian symbol of theJesse tree. Available as a freeiPhone app over the festiveseason, it was so popular thatit’s returning for 2012.On 16 December, TyphoonWashi hit land in the Philippineskilling over 1,000 people andaffecting almost 500,000.We offered emergency aidand opened our PhilippinesFloods Appeal.This month we asked thatpeople experience the joy ofChristmas through GlobalGifts; raising $692,036 for thepoorest of the poor.January:One year later, we’re stillassisting those affected byheavy fl ooding in Sri Lankathrough our Sri LankaAppeal. Two years on, we’reassisting Haiti (from the 2010earthquake) with disaster riskreduction (DRR), rebuildingof housing and supportingsmall businesses to becomesustainable.In 2012, we celebrate the 40thanniversary of the AustralianIndigenous Program (AIP).We look forward to the futureas we walk alongside FirstAustralians.February:After much anticipation andhard work, our new websitewas launched. Our website iseasier to navigate, has moremultimedia and informationabout our programs andthe countries we work in.Our redesigned website hasseen signifi cant increases inwebsite traffi c and donations.Former Foreign AffairsMinister, Kevin Rudd,launched ProjectCompassion on 17 Februaryin Brisbane’s Queen St Malland a Fish Friday BBQ washeld at Martin Place, Sydney.The earthquake that struckChristchurch in February2011 was New Zealand’sworst recorded naturaldisaster, killing 181 people.Funds from the NewZealand Earthquake Appealhave continued to assistdevelopment programsthroughout 2012.This month as part of our2012-13 campaign Walk AsOne: connecting with ourworld’s Indigenous Peoples;First Australians Scott Halland Major Cameron (at right),visited the Yuracaré, anIndigenous group in Bolivia,to learn about their way oflife, their culture and theirchallenges.March:One year on, the Caritasnetwork is continuing toassist the Japanese Tsunamirecovery effort throughhumanitarian support.On 22 March we held amorning tea and refl ectedon the ongoing inequalitiesbetween First Australians andnon-Indigenous Australiansfor Close the Gap Day./6

April:Easter is the most importanttime on the Christian calendar.It is a time for refl ection andfor thinking about Jesus’resurrection.First Australians Scott Hall (left) and Major Cameron live in Beswick(Wugularr) on the traditional country of the Jawoyn people in southwestArnhem Land, Northern Territory. They are pictured in Bolivia,Latin America.Photo: Richard WainwrightThis month we also prayedfor those in Fiji who wereaffected by fl ooding. Ouragency assisted in the cleanupof settlements, providedfood relief and delivered vitalpsychosocial support.From 30 April to 2 May2012, Caritas Australiastaff, volunteers, partnersand guests attended a‘propositions for the future’workshop at the inspiringMary MacKillop Place in NorthSydney. This collaborationwas an important stepin shaping our 2013-18Strategic Plan.May:The worst drought in60 years soon spread to theSahel region of Africa, with18 million West Africansin need of emergencyassistance. In response, weopened our West AfricaCrisis Appeal.Funds were approved forLebanon, in response to theongoing confl ict in Syria andto support the increasingnumbers of Syrian refugees.We continue to monitor thesituation and will provideassistance when needed.June:We asked that you give toProject Compassion by30 June 2012, and you did. Intotal, we raised $10,707,842.Thank you to everyone whoraised funds or helped tospread the word!The work never stops. Thankyou for your support, we willcontinue showing love andcompassion to those aroundus and the earth we live on./7

Evaluating our Programs:building for the futureCaritas Australia is committed to being at the forefront of best practicein monitoring and evaluation, and continually learning from our partners.In 2011-12 CaritasAustralia conducted12 program evaluationswith partners in13 countries, covering:food security, health,HIV/AIDS, incomegeneration, environment,peacebuilding, disasterrisk reduction (DRR),water and sanitation,advocacy and Indigenouscultural promotion.We include children,women and men inplanning, implementationand evaluation ofour programs.Country Partners Project/Program Name DateAustralia Djilpin Arts Ghurnman Cultural Centre; and July 2011Learning My DreamingPNG Diocese of Kundiawa Gor-Nauro Peace Program November 2011Zambia Caritas Chipata Mbwindi Community Development November 2011ProgramBangladesh Caritas Bangladesh Natural Resource Management January 2012Program (NRMP)Nepal Caritas Nepal Comparative Strengthening and January 2012Enterprise Promotion ProgramSolomon Islands Caritas Australia(Solomon Islands)Solomon Island Development Program– Catholic Social Teaching Wristbandsand Balls ProgramMarch 2012Pacifi c regional– Samoa,Fiji, SolomonIslands, Kiribati,PNGIndonesiaPhilippinesTutu Rural Training Centre,People’s CommunityNetwork, Caritas Samoa,Diocese of Tarawa andNauru, Caritas Australia PNG,Diocese of Port VilaYayasan Social PansosBodronoyoMaranao PeopleDevelopment Centre Inc.(MARADECA)Pacifi c CRiSTAL Review April 2012Increasing Family Income Effortsfor the Poor Community in DisasterProne AreaMay 2012Lanao del Sur Secure Peace Project May 2012Uganda Caritas Uganda Dioceses of Kases, Kiyinda-Mityana,Lira and LugaziAustraliaDarfur Australia Network andthe Humanitarian Crisis HubHumanitarian Emergencies – DarfurAustralia Network and HumanitarianCrisis HubZimbabwe CRS Zimbabwe, CAFOD Humanitarian Emergencies –Zimbabwe Water, Sanitation andHygiene (WASH)May 2012June 2012June 2012Key findingsImpactEvaluations are an importanttool that Caritas Australia usesto ascertain the long-termimpacts of a program beyondsimply checking implementationof activities. Tackling issues ofpoverty sustainably takes time,but after fi ve years we expectto see transformation takingplace for both individuals andcommunities as a whole.In Uganda, the evaluationidentifi ed group savings andcredit as the most successfulcomponent of the program.It has taught communities tosave; and access to credithas substantially improved.It has enabled families to feelmore secure and dignifi ed asthey borrow from their ownsavings to pay school feesand meet other householdneeds including emergencies,without being dependant onloans from neighbours orfamily. Some have been ableto do more, such as improvingtheir houses and supportingtheir small businesses.In Zambia, the evaluationfound that nearly the entire100 target householdsreported they have becomefood secure and even havesurplus for sale. They havefood throughout the yearwhere previously they ranout of their staple food3-6 months after harvesting.An example of the fl ow onimpact of this is one womanwho reported that with herprofi ts she was able to buyiron sheeting for her homeand pay her children’s schoolfees. In this project area themobilisation of communityhealth workers, constructionof latrines, and promotion ofimproved hygiene resulted ina 73% reduction in cases ofdiarrhoea, as reported by thelocal health facility.In Indonesia, the evaluationrevealed that, as a result ofhealth and hygiene promotion,and mobilisation of localhealth volunteers, one of thetarget villages won the VillageSanitation Competition forthe cleanest, healthiest andmost tidy village in the district.Also, to reduce risks posedby disasters, communitymembers were mobilised towork together and to obtaingovernment assistance for/8

Through the Natural Resource Management Program in Bangladesh, effective farming technologies have resulted inenhanced production, greater income and disease-free lives for many children and adults.improved environmentalconditions. These includeelevated roads, repaired waterchannels, barrier trees andincreased house foundationelevation in at-risk areas.In Muara Brunei Jamantraswhere fl ood waters previouslyreached 1m and inundated300 houses, the fl ood levelhas been reduced to 50cmwith little damaging impact.In Nepal, program impactat the fi eld level was clearlydiscernible. The evaluationfound that the additionalincome generated throughsmall enterprises rangedfrom Rs.4,000 to Rs.10,000($45-$114) per year. Andmore importantly, householdsreported that the additionalincome has been used forchildren’s education, socialevents, health expensesand savings. Participantsalso reported that improvedeconomic position alsoresulted in enhanced familyharmony and support forwomen to continue to engagein enterprise activities.ChallengesEvaluations have alsoassisted programs toclearly identify challengesencountered so that partnerscan adapt and mitigate thesechallenges where programsare continuing.For example, in Zambia theevaluation recommendeda further 2-3 years ofimplementation was requiredto ensure the outcomes aresustainable, as well as anadditional component toimprove effectiveness ofHIV/AIDS prevention initiativesamong youth.A challenge in Nepal isensuring that cooperativesare able to be adaptive andresponsive to the changingmarkets. This means not onlytraining members in enterpriseskills but also developingthe ability of cooperativesto identify their strengths,opportunities, and strategicallyplan the way forward.LearningIn community development,the continual improvementof programs is achievedthrough sharing, learningand identifying innovation.The external perspective ofan evaluator is often able tohighlight where innovationsare being effective and thesecan then infl uence both futureprogram direction and bereplicated in other projects.In Uganda, the evaluationlooked at installation and useof bio-gas technology. Whilesuccessful, replication wasdiffi cult due to the cost andcomplexity of the technology.In Kiyinda-Mityana Diocese,participants recognisedthis intervention as ademonstration of appropriatetechnology and had begunexperimenting with a cheaperand less complex version.In Nepal, ownership of theprogram interventions by thecommunity was seen as acritical success factor. Theevaluation recommended thatthe design of the programcould be further improvedby involving the CooperativeRepresentative from the startof the planning process. Italso stated that visits by fi eldstaff could be increased andutilised for sharing informationregarding market dynamicsand innovative business ideas./9

Outcomes and Looking AheadIn 2011-12, Caritas Australia aimed to respond more effectively to injustice andpoverty; increase Australians’ engagement in our social justice and developmentwork; secure more resources to increase the impact of our work; and build ourorganisation’s capacity to realise our Vision and live our Mission.Serving the poorest of the poorObjective: To respond more effectively to injustice and poverty – their causes as well as their effectsOutcomes achieved• Caritas Australia began integrating an effectiveness frameworkinto our new strategic plan.• We responded to 26 emergencies (natural disasters andconfl ict) as well as protracted crises, and supported disasterrisk reduction (DRR) and humanitarian advocacy initiativesacross 25 countries.• Altogether 2.9 million people were supported through56 international emergency programs (not including advocacyprograms) for a total of $12.25 million.• We spent $17.82 million on our international developmentprograms (including Indigenous Australia), assisting another932,403 people.• We collaborated with the Australian Government, NGOpartners and AusAID on the development of a new monitoringand evaluation framework for the AusAID NGO CooperationProgram (ANCP).• We also collaborated with ACFID, AusAID and other NGOs ona response to the hunger crises in East Africa and the Sahel,resulting in AusAID announcing fi nancial assistance, throughthe Humanitarian Partnership Agreement, of $5 million each tothe East and West Africa Crises.• To increase public awareness and fi nancial support, theAustralian Government announced a Dollar for Dollar initiativefor the East Africa Crisis Appeal. This initiative and yourdonations raised over $2.6 million during this period. In totalover $7.7 million was raised from this appeal.• Caritas Australia conducted 12 program evaluations withpartners in 13 countries. We covered food security, health,HIV/AIDS, income generation, environment, peacebuilding,DRR, disaster response, water and sanitation, and Indigenouscultural promotion. Evaluations help us meet our holisticdevelopment strategic goals by providing more social analysisof our programs and integrating these fi ndings into ourprogram design and partnership.• In the fi rst year of the Australia Africa Community EngagementScheme (AACES) program 4,107 people were successfullydelivered sustainable and safe water supplies, and 3,521farming households improved agricultural technologies inMalawi and Tanzania.Looking ahead• In collaboration with partners in Australia and overseas, as wellas AusAID and ACFID, we will improve our implementation ofDRR strategies, mechanisms for working with people with adisability, and approaches to protection.• Caritas Australia will trial a new approach of capturing accuratedata related to gender, disability and other vulnerable groups, soprogram design can be improved.• We will conduct 17 program evaluations in 2012-13.Growing our workObjective: To secure more resources to increasethe impact of our workOutcomes achieved• Project Compassion raised over $10.7 million in 2012, up 10%on 2011.• Nearly 49,000 supporters, including over 12,000 new donors,generously contributed $26 million (including emergencyappeals) to Caritas Australia.• Our supporter care model has progressed through theappointment of a coordinator with signifi cant customer careexperience; the introduction of a quality framework; a review ofall policies and procedures; and professional development andtraining in delivering quality service.• We have strengthened our post-campaign analysis reporting,allowing us to better understand the behaviour of oursupporters and their responses to tailored funding requestsand direct mail initiatives.Looking ahead• We will grow new income streams through fundraising events,grant-writing and major gift products.• Caritas Australia will strengthen and grow fundraising programsto deliver community support income of nearly $24 million.• We will develop a fi ve-year income growth strategy and relatedinvestment cases.• We will foster and develop an engaging online presencethrough online marketing, interactive online tools and a positiveonline experience; particularly in relation to online donations.• We will improve supporter loyalty and drive income growththrough successful implementation of the supporter caremodel and the supporter journey program./10

Acting for justiceObjective: To do more to engage Australians in our social justice and development workOutcomes achieved• In August 2011, we launched A Just Climate, a campaignthat seeks to include the most vulnerable communities inclimate talks. 1,246 petition signatures were collected; 22,000postcards were distributed nationally and the team held ameeting with the Minister for Climate Change, Greg Combet.• In 2012, the Australian Indigenous Program celebrated their40th year with fi ve new partnerships, an increased focus onthe Northern Territory (NT) and the development of a majoradvocacy campaign: Walk as One – connecting with theworld’s Indigenous Peoples (to be launched in August 2012).• Six educators from the University of Notre Dame, the CatholicEducation Offi ce in WA and Newman College underwent a CaritasAustralia development course in preparation for their July 2012immersion trip to our AACES programs in Tanzania and Malawi.• Our new website was redeveloped and launched in February2012. For 2011-12: total visits to our website grew 39% to over400,000; online donations income increased 30% to $2.5 million;and the number of online donations rose 25% to just over 10,000.• A strategic online marketing campaign coupled with newinteractive online tools and profi les, such as a Virtual Village inTimor Leste, a Project Compassion message board, and ourrevamped Facebook page, were developed and launched.These saw signifi cant increases in supporter engagement.• Our quarterly magazine, Caritasnews was revamped to includecontent more closely related to supporter, campaign andfundraising interests.• Caritas Australia’s regional supporters and Diocesan Directorsraised awareness of global poverty and injustice within theirlocal parishes, schools and community groups.Looking ahead• Six West Australian educators will visit our AACES programsin Malawi and Tanzania with the aim of adapting theirteaching materials and course content to deepen Australians’understanding of aid and development in Africa.• Eight Australian teachers will visit East Timor to interact withstaff and communities involved in Caritas programs; andbring their learnings back to Australia to incorporate into theirclassrooms, careers and community life.• We will explore further collaboration with the Church in theNT, including the placement of a Caritas staff member in AliceSprings or another part of the NT; and increased support forseveral partners in the NT and NSW.• We will work closely with our partners on joint analysesand advocacy on crises in East Africa, the Sahel and theDemocratic Republic of Congo (DRC).• Caritas Australia will resource regional engagement and theDiocesan Director network to extend our reach and strengthenlocal Church community relationships.• We will introduce an effectiveness framework for our Educationprogram into our Just Leadership, Immersion and educationalresources through an impact study by Christian ResearchAustralia.• The Walk as One campaign will be a major focus for theagency in 2012-13, bringing Caritas Australia supporterstogether to advocate for solutions to challenges and injusticesfaced by our world’s Indigenous Peoples, including Aboriginaland Torres Strait Islander Peoples in Australia.Developing our organisationObjective: To build our organisation’s capacity to realise our Vision and live our MissionOutcomes achieved• A competency section has been added to the annualperformance appraisal process to promote behaviours in-linewith CST principles.• 15 staff received in-house training organised by RedR onSphere Standards and 12 staff received in-house training onDisability Inclusive Development conducted by CBM-Nossal.• We have implemented a new Employee Systems Portal (ESP)that enables managers to view and track their team’s leave,and allows each staff member to change their personaldetails. It also stores performance review documents andtraining records.• Caritas Australia updated and published policies,procedures and guidelines such as the work health andsafety policy; workplace bullying and harassment policy;grievance procedure; national history criminal checkprocedure; parent’s request for fl exible working arrangementsprocedures; recruitment and selection guidelines; socialnetworking guidelines; travel guidelines; and working fromhome guidelines.• We have created an in-house job evaluation panel to assessposition descriptions and remuneration grades.Looking ahead• Our 2013-2018 Strategic Plan will be completed by late 2012and operationalised in early 2013.• An Organisational Development plan, aimed at buildingorganisational and individual capacity, expertise and skills, willbe implemented with the new strategic plan.• We will introduce an online eLearning Work Health and Safetyprogram customised for offi ce safety.• We will further enhance our competencies framework with rolespecifi c technical capabilities.Photo: Pia Zanetti/11

Financial SnapshotCaritas Australia’s financial result for 2011-12 reflects our greatest ever financialcontribution to changing the lives of those impacted by poverty and injustice, with$28.6 million of funding for international and $1.4 million to First Australian programs.This represents a $3.8 million or 14% increase on the 2010-11 year which was alsoour previous most significant response.PerformanceCaritas Australia’s activitiesresulted in a defi cit of$121,975 for the fi nancialyear 2011-12. This iscompared with a surplus of$7.3 million the previous year.After transfers to and fromrestricted funds reserves,the net contribution tounrestricted funds from 2012activities was $3.8 million($7.4 million in 2011).Increased programexpenditure during 2012 of$3.8 million was supportedby funds held in the specifi edpurpose reserve at 30 June2011. This reserve reducedfrom $6.1 million in 2011 to$2.3 million at 30 June 2012.Best practice developmentand humanitarian aidprinciples direct thatprograms be designed andscheduled to achieve longtermoutcomes. Prudentlyretaining funds raised inparticular periods for regionsravaged by natural disastersenables these principles to bemet with the timing of projectsbeing undertaken to maximiseoutcomes, not merely todistribute funds.Income from the publicby way of donations,$23.8 million ($21.9 million;2011); from governmentand other agencies throughgrants, $13.4 million($12.6 million; 2011); andinternally generated incomeof $1.2 million ($1.2 million;2011); rose during the year.Only bequest income of$2.4 million in 2012 declined.This result saw a returnclose to the 10-year averageof $2 million following theunprecedented level of$7.5 million received in 2011.In a continuing challengingfi nancial environment achievingthis level of total income wasan excellent outcome.OrganisationalstrengthInitiatives in our core supportactivities, plus the continuedloyalty and generosity of oursupporters, especially duringProject Compassion, havehelped ensure that CaritasAustralia has returned to ourpre-Global Financial Crisis(GFC) fi nancial position during2011-12.Net assets of $16.7 millionwere down by 1.6%. Cashbalances reduced to$15.3 million, down 6.2%as funds were spent onspecifi ed purpose activitiesduring 2011-12. Overallcash received for grantsand donations at $40 million($44.2 million; 2011) wereimpacted by the signifi cantreduction in bequestsreceived during the 2012fi nancial year.Liabilities reduced by$1.2 million to $4.5 millionwith a signifi cant reductionin unexpended grants of$1 million. Timing of fundsprovided by AusAID atyear-end notably infl uencedthis value.The equity market remainedfl at again during the 2012year. The market valueof Caritas Foundationinvestment and Australianshares held that weredonated to Caritas Australiaduring previous years fromestates and individuals valuedat $4.4 million at year-endreduced by 0.1%. Theseinvestments together withcash holdings provide abalanced investment strategy.ViabilityCaritas Australia’s reservesenable the organisation tomake long-term commitmentsto programs, protect thework being carried out fromfi nancial fl uctuations andprovide a degree of securityfrom unanticipated events.Each year the BishopsCommission for Justice,Ecology and Development(BCJED) on the advice of theNational Council considersthe fi nancial risks associatedwith income and expenditurestreams and balance sheetitems, and determines thelevel of reserves suffi cient toprotect ongoing programs(much of which is multiyearin nature) and to provideworking capital in the event ofa major downturn.The reserves policy is to nothold more reserves thanneeded for these purposes inorder to maximise the amountavailable to spend on today’spoor and marginalised.The amount of restrictedfunds in reserves to beheld record donations,contributions and grantsmade to Caritas Australiawhere the donor hasdesignated the funds towardsa specifi c appeal or purpose.The amount of unrestrictedfunds in reserves to be held isdetermined each year basedon assessing the risk of asudden and signifi cant fall inrevenue or an unexpectedincrease in expenses.Any unrestricted generalaccumulated funds in excessof the amount determinedto be appropriate may beallocated to:• fund the CommittedExpenditure Reserve;• fund additional programsupport for a specifi cpurpose or region;• fund growth ininfrastructure and capacitywithin the agency; or• treat as is deemedappropriate.Any shortfall in unrestrictedreserves will be made goodover time by achievingoperating surpluses.The General AccumulatedFunds balance represents theworking capital required toenable the agency to managethe day-to-day infl ow andoutfl ow of cash. The level offunds required to ensure theviability of the organisationare reviewed each year bythe National Council. Thestrategy currently is to holdat least 10% or fi ve weeks ofworking capital required forthe upcoming budget period.Through the budgetingprocess reserve funds areearmarked for distributionto the poorest and mostmarginalised in the world orto resource future capacity forthe agency.SustainabilityCaritas Australia generatesrevenue from public supportthrough donations, bequestsand legacies, AusAID andother government contracts,other overseas agencies,investments and otherincome. By holding reservesand by diversifying the natureof income sources, Caritas/12

Our Strategy:keeping true to our vision and missionStrategic planIn late 2011, Caritas Australia began developing a new strategic plan to guide our work from2013 to 2018. The planning process has sought out, consulted and listened to over 1,500people: from communities we work with in Australia and overseas, to partner organisations, peerand Church groups, supporters and staff. Their wide breadth of knowledge and wisdom hasbeen integral to the strategic development, and their continued support will ensure its success.The draft plan signals a major shift in Caritas Australia’s strategic vision and direction.Key principles include a dedication to reaching and working with the poorest and mostmarginalised people; maintaining an agility and fl exibility in the implementation and review ofthe plan; and a renewed commitment to deepening the agency’s Catholic identity. Caritasrecognises that it will take signifi cant new resources and several years to develop the people,systems and partnerships necessary to successfully implement our vision.The draft plan is built around five Strategic Goals:1. Deepen Catholic Identity2. Build Stronger Relationships3. Strengthen Programs and Advocacy4. Develop Organisational Agility and Competence5. Fund Sustainable Growth“As we planfor the nextfew years, wemust keep trueto our visionand mission;always placingthe poorest ofthe poor at thecentre of ourhearts, asJesus did.”Jack de Groot,Caritas Australia CEO.These goals are the cornerstone of our work to end poverty, promote justice and upholddignity. Together they will create a more agile agency, capable of responding to the needsof the people experiencing extreme poverty as the needs change and new ones emerge.The goals, if achieved, will enable us to deliver programs that are effective, effi cient and willultimately lead to the independence of the people whom Caritas Australia accompaniesthrough our development and humanitarian programs. We also aim to inspire the Australianpublic to support and engage in our work, and act in solidarity with our world’s mostvulnerable. Finally, we will build relationships that empower poor and marginalised people tobe agents of their own change, tell their own stories, and shape and infl uence Caritas.From 30 April to 2 May 2012, Caritas Australia staff, volunteers, partners and guests attended a‘propositions for the future’ strategic plan workshop at the inspiring Mary MacKillop Place in North Sydney./14

where we work:assisting wholeCommunitiesCaritas Australia has 195 long-termprograms in 35 countries around theworld. In 2011-12, we also responded to26 emergencies (natural disasters andconflict) as well as protracted crises,and supported disaster risk reduction(DRR) and humanitarian advocacyinitiatives across 25 countries.Children line up for school lunch in a village near Marsabit, northern Kenya. After a2011 drought dried up crops and killed off herds, the Caritas network provided aidto families in Marsabit.Photo: Laura Sheahen/Caritas Internationalis/15

In 2011-12 we spent $17,823,499 on long-termdevelopment programs worldwide and $12,253,069on humanitarian emergency assistance. Totalinternational and domestic programs expenditure(humanitarian and development): $30,076,568.2010-11: $26,295,4102009-10: $22,110,2652008-09: $24,172,210LebanonAfghanistanChinaJapanPakistanNepalMaliNigerBurkinaFasoChadSudanEritrtreaIndiaBangladeshBurma/MyanmararLaosThailandVietnamCambodiiaPhilippinesSouthSudanEthiopiaSri LankaDemocraticRepublicof CongoUgandaKenyaTanzaniaMalawiZambiaMozambiqueZimbabweSomaliaIndonesiaTimor LestePapuua New GuiuineaSolomonIslandsVanuatuFijiKiribatiSamoaAustraliaSouthAfricaNew Zealand/17

Indigenous Australia:reconciliation and healingWhere we workIndigenous AustraliaSoutheast AsiaSouth Asia, Burmaand Timor LesteAfricaLatin AmericaThe PacificNyinku Kulitja and her sister Martha Protty from Tjanpi Desert Weavers, Ngaanyatjarra Pitjantjatjara Yankunytjatjara(NPY) Women’s Council at Kaltukatjara (Docker River), Northern Territory, with tinka (Goannas). “What better kind ofwork is there? It is strong and important work. We are happy doing it,” said Paniny Mick from Tjanpi.Photo: Rhett Hammerton © NPY Women’s Council/18

Currently we are supporting 14 partnerorganisations, nine of which havebeen established by First Australians.The remaining five employ FirstAustralians and/or are working closelywith Aboriginal and Torres StraitIslander Peoples in their communities.Our partnerships are all long-termrelationships, providing financialstability and ongoing commitment.Together we are working towardslasting change.Our partnershipapproach providesunderstanding,flexibility, respect,and sensitivityto Aboriginaland Torres StraitIslander Peoples.Over900adults and studentssupported on theirjourney to healingand hope891First Australiansincreased capacityand confidenceto manage theirhousehold financesAustralian IndigenousProgram staff, partners andnetwork members at ourannual meeting in Ross River,Northern Territory.We endeavour to empower First Australians toimplement their own solutions to the challenges facingtheir communities within relationships shaped bymutual learning and responsibility.300women in remotecommunities earnedincomes throughtraditional weavingLOOKING AHEADIn 2012, wemarked the 40thanniversary ofthe AustralianIndigenousProgram (AIP),and thereis much tocelebrate.In June, the AIP staffalong with our partnersand network membersgathered at Ross Riverin the Northern Territoryfor our annual meetingand to celebrate our 40thanniversary. As we listenedto and refl ected on ourpartners’ stories, we beganto identify the direction theprogram needs to take intothe future.This process of storytelling,as we learn from theGospel, is very signifi cant.It supports and promotesthe journey of healing forboth First Australians andnon-Indigenous Australians;a goal which CaritasAustralia and all our partnersare working towards.This time togetherrecognised CaritasAustralia’s supportive role,as well as the innovativeand creative network ofdedicated people andorganisations we workalongside. We lookforward to learning moreas we travel together inthe ongoing pursuit ofreconciliation and healing.In 2012-13 we will:• Move forward as the FirstAustralians Program (from theAustralian Indigenous Program).• Begin the journey with our fivenew partners.• Embrace the new organisationalstrategic plan.• Establish a regional position toenhance our accompaniment ofpartners in remote areas.• Increase accountability to ourpartners about implementingtheir recommendations from ourpartners’ meetings.• Increase awareness of importantAboriginal and Torres StraitIslander occasions among theCatholic community and Caritassupporters.A total of $1,491,501 wasspent on long-term developmentprograms in 2011-12.2010-11: $1,188,6072009-10: $1,099,4082008-09: $1,306,887/19

Indigenous Australia: Program SnapshotsAustraliaAboriginal Carbon Fund, Australia (AbCF)Western NSWCentacare Wilcannia-Forbes: Manage YourIncome, Manage Your LifeObjective: There are feweconomic developmentopportunities available forFirst Australians thatprovide employment ontraditional lands.The introduction of a carbonmarket in Australia providesan opportunity for traditionallandowners to earn anincome from selling carbon tobusinesses, industryand environmentallymindedindividuals.Response:With oursupport, thisAboriginal-ledorganisation isengaging directly inthe government’s CarbonFarming Initiative, enablingremote First Australians toinfl uence legislation thatwill impact their land andlivelihoods for centuriesto come. The assistanceprovided by AbCF to traditionallandowners can ensure theyget the best possible price,as well as transparency,integrity and fairness withinthe carbon trading systemby utilising techniques suchEnablingremote FirstAustralians toinfluence carbonlegislationas carbon abatement (coolseason fi re managementto reduce the risk of largescale fi res) or sequestrationprojects (tree planting and landmanagement).The work of AbCF will allowFirst Australians to be part ofthe market and to infl uencethe regulatory environment.Progress: Key progressis in research anddevelopment ofnew carbonmethodologiessuch as the‘Rangelands’,‘Enrichment’ and‘Blue Carbon’methodologies. Intime, these methodologieswill allow First Australiansto participate in the carbonmarket, continue their care ofcountry and earn a livelihood.Key learnings: “It isstill early days in thedevelopment of the carbonfarming industry, however alot companies are interestedin sourcing their carboncredits from Aboriginal lands,”said Rowan Foley, GeneralManager, AbCF.Objective: To implementand support a capacitybuilding model of fi nancialmanagement for FirstAustralians in Western NSWby First Australians, leadingto self-determinationthrough training in basicfi nancial literacy.Most of these communities areisolated with little or no publictransport, low incomes,low internet accessand low levels ofeducation. Thereare many socialissues includingteenagepregnancy,high levels ofdomestic violence,prison admissionand intergenerationalunemployment.Building andsupportingthe financialcapacity of FirstAustraliansResponse: Indigenousyouth have been identifi edas more vulnerable than thenational average. In response,the program aims to build andsupport the fi nancial capacityof all community membersthrough tailored workshopswhich are held at schools,correctional centres andsporting groups.Progress: This fi nancialyear, 891 people across185 group activities havelearnt about mobile phonecontracts, buying a car,gaining a driver’s licence,basic budgeting and banking,cooking on a budget, thedangers of gaming machinesand sales scams.The communities’ culturalpoliteness often results infi nancial commitmentsthey cannot afford.The ‘Do NotKnock’ campaignreduces harmfuldoor-to-doorsales practicesby travellingsalespeople. The‘Don’t get clawedover the phone’ campaignteaches them how to sayno to telemarketers.Key learnings: Thisprogram emphasises theimportance of communityparticipation and relationshipbuilding with all stakeholders.The Centacare fi nancialcounsellors work tirelessly withindividuals, organisations andother fi nancial institutions andservice providers to ensurechange in the right directionfor community participants.An independent, Aboriginal-owned not-for-profit company, the AbCF’sproject will aim to contribute to a reduction in the national level ofatmospheric carbon.Do Not Knock Launch, Melbourne 2012.Photo: Financial Counselling Australia/20

The Kimberley, WAUnity of First People of Australia (UFPA):Wellness ProgramObjective: To holisticallyaddress and reduce chronicdiseases such as diabetes,high blood pressure andcardiovascular disease, aswell as promote nutritionand prevent youth suicidein remote Aboriginalcommunities across theKimberley region ofWestern Australia.Response: TheUFPA employs13 Indigenouscultural carerswho act asmentors oradvisors withincommunities.Their role is tospeak with andbuild up trust amongindividuals, so communitiescan engage with the UFPAprograms effectively, reducingthe risk of chronic diseases.Over 300 children are learningabout healthy lifestyle habits.Progress: In October2011, the UFPA was invitedby the Wangkatjungkacommunity to undertake ahealth assessment. A totalof 124 people (including allchildren) were screened,with the results revealingOver300children learningabout healthylifestyle habitsextraordinarily high rates ofchronic diseases and riskfactors. Over six years, theUFPA has decreased theinstances of diabetes inwhole communities and isworking to replicate this inWangkatjungka.Leah Umbagai, a UFPAproject offi cer, has beenspeaking with youth in theMowanjum communityabout challengesthey face and theimpacts of youthsuicide. Leahruns workshopswhich focus onexpressing feelingsand the importanceof communicating withtrusted people.Challenges: In additionto the challenges describedin Wangkatjungka, 2011 wasa year of recovery for thepeople of Warmun who wererebuilding after devastatingfl ooding. In response to thefl ooding, UFPA nutritionist,David Payne, along withstudents and their teacherprepared evening meals andsold them from the back ofDavid’s truck.Ngaanyatjarra PitjantjatjaraYankunytjatjara (NPY) LandsNPY Women’s Council: Tjanpi Desert WeaversIndigenous and Income Generation ProjectObjective: An NPYWomen’s Council initiative,Tjanpi Desert Weaverssupport over 400 weaversfrom 28 communities acrossNPY Lands (350,000km) andprovides culturally appropriateemployment opportunities.In remote Aboriginalcommunities, women aresocially isolated, have poorhealth and lessemploymentopportunities.Basket weavingprovidesfi nancialindependenceand contributesto their wellbeing.Workshops havebeen held to includeyounger women. In2011-12, 109 females under30 attended training.28communitiesacrossNPY LandssupportedResponse: AcrossAustralia, 16 galleryexhibitions have promotedtheir work. Buildingpartnerships with local artcentres is also important:149 artists are casuallyemployed at Tjanpi CornerWorkshops and 24 teachersare casually employed atcultural exchange workshops.“I like doing the baskets.I don’t make really big ones,just enough for a feed,” saidDallas Smythe, a weaverfrom Warakurna.Progress: Through training,workshops, exhibitions,maintenance of culture andsustained engagementof communities, Tjanpi ismoving toward their goal.They are now part ofthe women’s inma(traditional culturalsong and dance)which is ingrainedin culture;demonstrating aprofound sense ofownership and pride.Challenges: In 2011,Tjanpi’s offi cial book waslaunched. Although successful,it is diffi cult travelling fromremote communities withoutan interpreter to communicatekey messaging. In June2012, a key weaver passedaway; her death has affectedmany, resulting in a prolongedgrieving period, for her life andthe loss of her unique skills.Audrey, from Project Compassion 2012, works with the UFPA across theKimberley region of Western Australia.Photo: Richard WainwrightNyurpaya Kaika-Burton; Yaritji Young; Paniny Mick (hidden); Ilawanti Ken;Naomi Kantjuri. Deadly In Between Heaven and Hell.Photo: Jo Foster © NPY Women’s Council/21

southeast asia:health and disabilityWhere we workIndigenous AustraliaSoutheast AsiaSouth Asia, Burmaand Timor LesteAfricaLatin AmericaThe Pacific*For Timor Leste, please refer to pages 26-29Accurate identification and timely support is a big challenge when assisting children with disabilities. The Sight andSound project in Laos trains teachers to conduct annual eye and hearing tests as a first step in identifying potentialdisabilities. The identified children are then assessed by qualified health professionals who provide assistive devices(glasses and hearing aids) and device maintenance training./22

The Southeast Asia team supports35 local partners across 43 programsthroughout six countries: Cambodia,China, Indonesia, Laos, the Philippinesand Vietnam. Key priorities includeprevention of HIV/AIDS, sustainableagriculture, education, health anddisability, empowering women andchildren, peace and security, andcapacity building.Our projects seekto protect anduphold dignity,enact change forthe common goodand ensure theparticipation of thepoorest and mostvulnerable.2,427additional childrenenrolled in schoolsin the Philippinesand Vietnam2,930farmers have accessto new agriculturaltechnologies and trainingto improve food securityKath Rosic, Program Coordinatorfor Indonesia, Philippinesand China, with a communityin Colasi, Camarines NorteProvince, Philippines.2,170people in Cambodia,Indonesia and thePhilippines increasedhousehold incomes bystarting a small businessIn 2011-12we increasedour focus ondisability, builtawareness ofCatholic SocialTeaching (CST)principles andassisted withhumanitarianemergencies.We funded two newdisability projects in Laos:Sight and Sound; andSupporting Children withIntellectual Disability andCerebral Palsy. In Indonesiaand the Philippines we havefocused on mainstreamingdisability; as a result, thenumber of people with adisability participating in ourintegrated programs hasincreased.We have also builtawareness around CSTprinciples and our partners’capacity to integrate theseprinciples in the fi eld. Anumber of partners haveadapted their programmingapproaches.For example, the communityidentifi es the memberswho will get support (ratherthan project staff deciding),demonstrating subsidiarityin action.The weather hamperedprogress of some projects,for example multipletyphoons and fl oodingslowed down constructionand resettling in thePhilippines’ HumanitarianResettlement program; thefi rst phase was ready inmid-2012.We will continue supportingour brothers and sistersin Southeast Asia, helpingthem out of poverty andinjustice.LOOKING AHEADIn 2012-13 we will:• Facilitate an exchange of ideasthrough a cross-learning visitbetween our Vietnam partnersand our newer Laos partner.• Strengthen our Laos andCambodia partners’ core valuesand child protection strategiesthrough CST training.• Implement an immersion trip tothe Philippines in January 2013for several Diocesan Directorsand Regional Engagement staffto learn about developmentas part of formation andprofessional development.A total of $3,296,462 was spenton long-term developmentprograms in 2011-12.2010-11: $2,742,8402009-10: $2,722,3772008-09: $4,254,483/23

southeast asia: Program SnapshotsVietnamCapacity Building for Parent Associationssupporting Children with DisabilitiesCambodiaRukh Kiri Community Development ProgramObjective: According tothe Vietnamese Government,75% of Children with Disabilities(CWD) do not attend school.Up to 90% of CWD are frompoor families and 80% live inrural areas. The project aimsto build the capacity of 200parents, teachers, communitymembers and government staffin supporting and increasingaccess for children withdisabilities to educationand social inclusion.Response:The project isstrengtheningthe capacityof ParentAssociations (PA)and core parentsin organisationaldevelopment andtechnical skills. In Binh Dinh andQuang Nam, the project haspromoted connections of PAsfrom all districts to the provincialDisabled Person Organization(DPO). Involving parents andcommunity members is key tomobilise CWD to attend school,increase their access to socialservices and change socialattitudes. Parent Associationsbring disability issues into73%of children with adisability attendedschool in twoprovincesmainstream community; buildsocial capital and trust withincommunities; and link to localnon-government associationswith the national policy level.Progress: In total,63 children received regularhome based teaching inacademic or social and lifeskills from core parentsand teachers. Many childrenwith severe disabilitieshave gained signifi cantprogress, buildingmore confi dencefor the parents inthe abilities oftheir children. In2010-11, 68%of CWD attendedschool in Binh Dinhand Quang Nam; in2011-12 this increasedto 73%.Key learnings: Whenparents of CWD are placed inleadership roles of PAs, theyare more active in initiatingcommunity-based activitiesand long-term change.Objective: The programstarted in October 2011 toimprove the living conditionsof 220 of the poorest andmost marginalised familiesliving in six villages in RukhKiri District by 2013.Response: The strategyconsists of four stages:formation, stabilisation,development andsustainability. Each stagepractises peopleempowermentto enable thepoorest to takeresponsibilityof their owndevelopment.VillageDevelopmentAssociations (VDA)were established tomobilise the community toshare their concerns andfi nd solutions. Activitiesaddressing the concerns ofall poor people in the targetareas have been included inthe development plan.Progress: Four VDAshave been established and24 people were selectedby members to stand inthe Village Development154families improvedfood productionAssociation ManagementCommittee. They receivedtraining enabling them toidentify development issuesand map out and implementplans for addressing them.As a result, 154 familiesimproved food production;80 vulnerable familiesreceived food and non-foodrelief packages; 44 familiesreceived start-up capital tostart small businesses;18 families were trainedin sustainableagriculturetechnology andeight familieswere supportedin organic ricefarming.Challenges: Thevillage poor live very isolatedlives. The gap betweenrich and poor had createda communication andnetworking barrier. Initiallythe poorest were reluctantto join the VDAs. Projectstaff conducted home visitsto encourage and convincevillagers to join. Increasedcommunity participationencouraged others toparticipate and work for thecommon good.Lindsay Daines, Group Leader Southeast Asia, with Cheng Guang Jhao,Catholic Relief Services’ Chief of Staff. Lindsay is passionate about childprotection policies and disabilities in Southeast Asia.“I got some food when my family run out. I was so happy. I also got someseeds to grow,” said Village Development Association member, ChhengPhoeun, 69 (far left). Photo: Thorak Ly, Caritas Cambodia, Battambang team/24

The PhilippinesSPACFI* Integrated CommunityDevelopment ProjectObjective: To assist poorfamilies in 10 communities inCamarines Norte to improvetheir livelihood through anintegrated approach todevelopment. The programprovides skills development,income and productivitytraining, education onresilience and sustainability,environmental awareness,sustainable practices, andaccess to basicservices such ashealthcare andeducation.612villagers haveincreased knowledgein disaster riskreductionResponse:Four newvillages(Barangays)have beenselected as partof the project, withineach village 40 families werechosen to participate in projectactivities. The outcomeshave been signifi cant with29 farmers now practicingorganic farming; 173 sacksof organic fertilisers havebeen produced, resulting inincreased harvests. A newsystem of rice growing,System of Rice Intensifi cation(SRI), has produced 139 sacksof organic rice; this will coverJune to September, known asthe ‘coping’ season when foodis scarce. Increased productionmeans rice is available at a lowprice. Twenty skills workshopshave also been conducted toassist participants with generalknowledge, livelihood skillsand business opportunities.Progress: As this is thefi rst year of the secondphase, outcomes for newcommunities are slowbut progressing well. Theoverall goal of the projectis to improve thecommunities’capacity to supportfamilies who areself-reliant andhave sustainablelivelihoods.Disaster risk reduction(DRR) has beenimplemented to increaseawareness and reduce riskswhen natural disasters strike.612 villagers have participatedin trainings and have increasedknowledge of DRR.Key learnings: To improveimplementation of the project,Caritas Daet (SPACFI)* willseek additional technicalassistance from the localgovernment to ensure a morepositive outcome. This will alsoassist in stronger relationshipsbetween local governmentunits and communities.South Sumatra,IndonesiaEnvironmentally based Economic Developmentfor Poor CommunitiesObjective: To improvethe livelihoods of thepoor and vulnerable inthe target villages, andbuild their participation inthe preservation of forestresources in and aroundthe villages.Response: Following theIndonesian Forestry Ministry’s2010 approval of a proposalfor communitymanagement of7,205 hectaresof MuaraMerang’s forest,local partnerWahana BumiHijau (WBH), isincreasing locals’understanding offorest conservation.For example, villagers haveplanted 100 hectares ofdegraded land with rubberand teak trees, and a localforest management structureis helping to protect theforest from illegal loggers byreporting encroachments togovernment departments.WBH is also increasing thecapacity and knowledgeof the remote Indigenouscommunities, includingwomen’s groups to develop100hectaresof degraded landplanted withrubber and teaktreessustainable alternativesources of income.Progress: Best resultsare seen in fi sh breeding,marketing and rice farming.Through joint marketing,awareness of market pricesand increased quality oftheir goods, the farmers inTabala Jaya village receiveda better price for theirproduce. Though somelivelihood activitieshave slowed down,WBH believesit will improveby increasingmembership andmotivation withinthe group.Challenges: Thenursery project (2011-12) hasnot produced ready-for-saleseedlings and most seedlingsplanted the previous yeardied. The failure of seedlingscan mainly be attributed topoor risk control measuressuch as meandering goatsin the village. The group hasagreed that better preparationahead of seedling distributionis required to ensure thatseedlings are protected.The communities in the Camarines Norte Province are deeply attached tothe land and nature.Forest conservation cadres in Muara Merang forest, South Sumatra.*Socio-Pastoral Action Center Foundation, Inc (SPACFI)/25

South Asia, Burma and Timor Leste:justice and peacebuildingWhere we workIndigenous AustraliaSoutheast AsiaSouth Asia, Burmaand Timor LesteAfricaLatin AmericaThe PacificSanta, 35, is a teacher from the Nawalparasi District of Nepal. He also grows rice with his wife, Shanti, using theIntegrated Pest Management (IPM) technique. After incorporating IPM, they experienced a 35% yield increase andimproved their food security by two months. Santa is wearing a pheta; a traditional turban worn during importantevents. Photo: Marden Dean/26

The South Asia, Burma andTimor Leste team supports 13 localpartners and 37 projects acrossBangladesh, India, Nepal, Sri Lanka,Burma/Myanmar and Timor Leste.Our Timor Leste office has 65 staffsupporting and strengthening over70 local organisations. Key priorities forthese countries are poverty reduction,peacebuilding, environment and naturalresource management, food security,maternal health, income generationand refugee support.For many of ourpartners, 2011-12has been a year ofpoverty reduction,justice and peace.Each year, ourpartners continueto strive to improvetheir effectivenessand embedCatholic SocialTeaching (CST)principles intotheir programs.The Akha Literacy program ishelping communities in Kengtung,Shan State, Burma/Myanmarto read and write in their ownmother tongue (Akha language).Over 3,500 people across15 villages have benefited todate from this nine-year program.This image: Program coordinators(standing) from local Caritas,Karuna Kengtung Social Services(KKSS) in Hwe Pon village,May 2012. Photo: KKSSOur team continues to tailor programs to the needs andcapabilities of vulnerable and marginalised communitiesacross this diverse region.14,398families in Bangladeshand Timor Leste haveimproved access tosafe water7,663people in Nepal,Bangladesh and TimorLeste have increasedhousehold income147,019refugees on theThai-Burma borderreceived food, shelterand livelihood supportIn 2011-12,our South Asia,Burma andTimor Lesteprogramsfocused onmeeting thedevelopment,peace andjustice needsof the mostvulnerable andmarginalised.Throughout this diverseregion, various sociopoliticalchallengesmeant that our work inbuilding peaceful and justcommunities took on aneven greater importance.The program focused onbuilding the capacities ofour partners in strategicplanning, outcomesreporting, peacebuilding,climate change adaptationtechniques, as well asbetter management of theenvironment and incomegeneration, among otheractivities.Our partners in South Asiacontinued their deliveryof effective programs andenjoyed strong constructiverelationships with CaritasAustralia. Our partnersin Burma have beenstrengthened through theaccompaniment of CaritasAustralia’s in-country advisorand we contributed to thedevelopment of the localCaritas’ fi rst strategic plan.Our offi ce in Timor Lestecontinues its signifi cantwork, with all our programsreceiving funding fromAusAID. We also completeda successful fi rst phase of aClimate Change Adaptationprogram in Oecusse.A total of $4,789,757 was spent onlong-term development programsin 2011-12 (inc. $1,822,202 or 38%spent in Timor Leste).2010-11: $4,008,034(inc. $1,880,602 or 47% spent in Timor Leste)2009-10: $3,724,847(inc. $1,514,095 or 41% spent in Timor Leste)2008-09: $4,309,184(inc. $1,977,309 or 46% spent in Timor Leste)LOOKING AHEADIn 2012-13 we will:• Evaluate programs in India andBangladesh that are funded bythe AusAID NGO CooperationProgram (ANCP).• Embrace the new organisationalstrategic plan and work closelywith partners assisting the mostvulnerable and marginalisedcommunities.• Continue to develop the newCaritas India partnership model,with greater collaboration incommunity engagement andinstitutional linkages.• Continue to build our partners’capacities in programmanagement and reporting,integrating CST in our work andstrengthening accountability tostakeholders.• Implement phase two of theAusAID-funded Climate ChangeAdaptation project in Oecusse./27

south asia, burma & timor leste: Program SnapshotsNepalIntegrated Pest Management (IPM)BangladeshNatural Resource Management Program (NRMP)Objective: To providegreater food security andincome for families that aretraditionally left out of theeconomic cycle because theyare landless or from minoritycommunities, for exampleDalits* and ethnic people.Through Farmer Field Schools(FFS) small-scale farmersare empowered to adoptsuitable IPM techniquesand realise greatercrop yields, foodsecurity and farmsustainability.Response:85 FFSundertookfollow-up trainingsfor 1,498 people(78% women and 73%Dalit and ethnic people); and10 FFS trained 205 landlesspeasants in vegetable farming.The farmers were alsosupported to advocatefor farmers’ rights. Astwo-thirds of people in Nepalare farmers, the FFS haveasked the government toincrease support to theAgriculture Ministry from 3%to 6% of the national budget.4,766small-scalefarmers reportedimproved cropyieldsProgress: 205 landlesspeople and 239 farmerswith small landholdingare pursuing commercialvegetable farming on22 leased plots; the groupshave started earning anincome. 4,766 additionalsmall-scale farmers werealso assisted to improve cropyields. The average increasewas 57% in the hills and 78%in the plains. Vulnerablefarmers can nowadvocate to theirgovernment forchanges to policyaffecting their lives.As the majority ofparticipants werewomen, this programhas long-term impactson empowering women intraditionally male-dominatedcommunities.Key learnings: Thestrong support and persistentadvocacy of local partnersenabled the landless andmarginalised to realise theirrights and improve theirlivelihoods.*Dalit means ‘oppressed’ and refersto the lowest caste group, theShudra, in the Hindu caste hierarchy.Objective: To encouragecommunities from 182 villagesin Bangladesh to managenatural resources in anenvironmentally sustainableway; increase technicalskills, leading to improvedlivelihoods; diversify livelihoodpractices; and utilise climatechange adaptation techniques.Response: 7,083households have beenselected as NRMPparticipants;4,552 rural poorare now partof 168 VillageResourcesUser Groups;and 2,532participants arepart of 14 communityorganisations. Participantshave increased awarenessabout water management,protection of hills, forestand other natural resources.Each year, rural fairs are heldand there were estimated tobe 35,896 visitors betweenJuly 2010 and June 2012.Rural fairs are considered aneffective tool for improvinglivelihoods and naturalresource management.7,083households have beenselected as programparticipantsProgress: 73 small pondswere rehabilitated, while27 non-arable derelict landplots, 29 rice plots and10 fi sh sanctuaries havebeen re-excavated anddeveloped into valuablelivelihood assets. This enabled653 trained participants toimplement effective farmingtechnologies in organicaqua-agriculture and crops.New methods haveresulted in enhancedfood production,greater income,and better healthand nutrition.The programalso increasesoverall communityresilience to changingweather patterns and naturaldisasters, and exposeslocal policymakers to theresults of good land use andagricultural techniques.Challenges: Unfavourableclimatic conditions such asprolonged droughts, laterainfall and extreme coldweather affect production,harvest, access to farmlandand soil fertility.Integrated Pest Management increases crop yields, household food securityand farm sustainability in Nepal.73 small ponds were rehabilitated, allowing for effective farming in organicaqua-agriculture, Bangladesh./28

Timor LesteIntegrated Rural CommunityDevelopment ProgramSri LankaNational Peace ProgramObjective: To increaseincome generation andopportunities for ruralfarming communities throughagroforestry (incorporatingtrees and shrubs into farminglandscapes), healthcare,sustainable farming,environmental stewardshipand microfi nance.Response: We providedthree water tanks thatdirectly benefi t50 families andtwo meetinghalls forcommunitygatherings.In addition,68 farmer groupsand 700 familieshave access to savings,loans and microfi nance forincome generation, schoolfees and household needs.60 women participated in foodprocessing training to produceand sell products at markets.In 2011-12, 51 cows weredistributed to 51 families; theirmanure provides fertiliser toimprove crop productivity andfood security.The environmental educationteam conducted training with19 youth groups, 15 schools50,009trees planted in17 youth groupgardens to restoreforestation inOecusseand 68 farmers (5,465people) about environmentalprotection, wastemanagement, and land andwater conservation. 50,009trees were planted in 17 youthgroup gardens to restoreforestation in Oecusse.Progress: Crops are nowplanted based on soil typeand many varieties of foodare bringing in additionalincome. Farmers areable to produce andstore their ownseeds, reducingtheir dependencyon Caritas.The planting of treesprotects crops fromstorms and excessivesunlight; and slashing andburning of farm lands has beenreduced due to communities’increased awareness ofecological balance andenvironmental degradation.Key learnings: Postharvestmanagement practicesmust be enhanced so thequality of local food processingmeets market demands.Introducing agroforestry tocommunities who are stillengaging in slash and burntechniques must continue.Objective: Between1983 and 2009, Sri Lankaexperienced a civil war. TheNational Peace Programseeks to promote sustainablepeace through healing andreconciliation, with activitiesmainly undertaken at thegrassroots level. Primaryparticipants are war-widows,youth and children, and smallgroups within the diocesannetwork. The goalis to create apeaceful andharmonioussociety.Response:A strategywas developedfor collaborationbetween political andreligious leaders at nationaland diocesan levels.Achievements include: peaceeducation programs held;peace conventions organised;workshops conducted onnon-violent confl ict resolution,do-no-harm communication,developing skills and toolson peacebuilding; andpolicies and guidingprinciples developed ongood governance.7,262people nowenjoy peacefuldialogue in theircommunitiesA total of 7,262 peopleparticipated in 80 programsand 16 cross-learning visitsacross six dioceses.Progress: This is atremendous opportunityfor the local Church tostrengthen the role it playsin peace transformation andreconciliation. Mutual trustand understanding havebeen built across differentreligious and ethnicgroups. Confl ictingcommunities havelearnt to respecteach other andunderstand theirequal rights ascitizens.Challenges:Defi ning how we can bestcontribute and coordinatewith other Catholic agenciesworking in the country, andthen translating this intoprogram strategies towardpeacebuilding. Our unity andsolidarity with Caritas Sri Lankaas accompaniers on the roadto building sustainable peaceis very important.This program benefits people of all ages, including these boys from avillage in Oecusse, Timor Leste.The National Peace program is helping to rebuild lives in Sri Lanka.Photo: Caritas Sri Lanka/29

AFRICA:Rehabilitation andfood securityWhere we workIndigenous AustraliaSoutheast AsiaSouth Asia, Burmaand Timor LesteAfricaLatin AmericaThe PacificIn 2012, all eight dioceses in Zimbabwe have child protection policies in place which aim to promote the rights and protection of children./30

Our Africa team supports 27 localpartners across 30 communitydevelopment projects in marginalcommunities throughout 10 countries:the Democratic Republic of Congo(DRC), Kenya, Malawi, Mozambique,South Africa, South Sudan, Tanzania,Uganda, Zambia and Zimbabwe.Key priorities are food security andsustainable agriculture, water andsanitation, literacy and education,HIV/AIDS and peacebuilding. Throughour partnerships we aim to empowercommunities to become architects oftheir own development.In 2011, withsupport fromthe AustralianGovernment,Baptist WorldAid Australia andthe Australiancommunity, over$7.7 million wasraised for ourEast AfricaCrisis Appeal.18,189people haveincreased accessto safe water(Malawi, Mozambique,Zimbabwe, Uganda)3,162people provided withvoluntary HIV/AIDStesting and counselling(DRC, Kenya, Mozambique,Zimbabwe)Siobhan Jordan, Caritas AustraliaProgram Officer, with CaritasMalindi program participants ata tree nursery in Jalore, Kenya,February 2012.In 2012, another crisis hit the African continent. In theSahel region, on the edge of the Sahara Desert, over18 million people are suffering from severe drought.7,674people have increasedfood security(Uganda, Malawi, Zimbabwe,Mozambique, Kenya, DRC)LOOKING AHEADIn 2011-12,severe droughthas left millionsof people inurgent need offood, water andbasic facilities.Poor water resources, risingfood prices, confl ict andempty food stores meanmany people across Africa eatjust one meal a day. Some aregoing without food, so theirchildren can eat.Across West Africa, onemillion children under fi ve areat risk of dying from severeacute malnutrition andrequire immediate relief.We have improved foodsecurity and livelihoodsfor thousands of ruralfamilies by providingdrought resistant seeds,rehabilitating boreholes,training farmers insustainable agriculture, andkeeping children in school.The Australia AfricaCommunity EngagementScheme (AACES), whichis funded by AusAID,supported marginalcommunities in Malawiand Tanzania to enhancetheir quality of life throughimproved food security andaccess to water, sanitationand hygiene services. In2011-12 food security wasvastly improved for the mostmarginalised households.Following seed distributionsand trainings in improvedfarming techniques, 369marginal households haveincreased their yields fromtwo (50kg) bags of maizeper acre to 15 (375kg).631 households have alsoincreased their productionof the highly nutritiousgroundnut from 25kg to200kg per half acre.The Caritas network hasbeen working to empowercommunities in Africafor many years and willcontinue well into the future.In 2012-13 we will:• Further expand AACES, whichempowers communities toimprove access to water,sanitation and food security.• Continue our integrateddevelopment programs supportin the four dioceses in Zimbabwein the lead-up to the elections inthe first half of 2013.• Increase our developmentprojects in South Sudan byfunding a Food Security andRehabilitation program in AweilCentre, a highly food insecurearea. We will help returneesfrom Sudan in improved farmingmethods and access to water.A total of $4,204,499 was spenton long-term developmentprograms in 2011-12.2010-11: $3,351,4162009-10: $2,935,1362008-09: $3,509,786/31

AFRICA: Program SnapshotsMozambiqueIntegrated Rural Development ProgramMalawiCADECOM Blantyre CommunityDevelopment ProgramObjective: BetweenDecember 2010 and February2011, fl ooding occurred inMozambique’s southern andcentral provinces. We providedassistance to 178 families(900 people) in Guija who hadlost their houses, goods, farmsand animals. Following thisemergency response, in2011-12 to help restorelivelihoods and rebuildcommunity life,further supportwas providedto the affectedcommunities.The communityadvocatedfor a school for400childrenResponse:With oursupport ourpartner, CaritasRegional Chokwe,facilitated the resettlementof affected families anddistributed 100 school kits sochildren could resume schoollessons. They also workedwith the community to installwater systems and latrinesto improve access to waterand sanitation. 20 houseswere constructed for the mostvulnerable in Dotane.Caritas Regional Chokwealso supplied concrete anda stove for a bakery, while thelocals built it using handmadebricks. This sustainableincome generating activityis the only bakery in a6km radius and benefi ts1,350 people directly.Progress: People in thecommunities now walk 1kmfor water instead of18km. The communityadvocated fora school for400 children;the governmentprovided land,the communitymade the bricks and(with assistance froman engineer) two schoolblocks are currently underconstruction.Key learnings:A humanitarian programcan result in developmentoutcomes. From the outset,the community mobilisedand took ownership of theprogram. In Caritas Australia’stwo monitoring visits tothis program, we listenedand acted upon thecommunity’s advice.Objective: To improve thelives and livelihoods of poorrural families in Malawi throughan integrated approach todevelopment.Response: Caritas Australia,CADECOM* Blantyre and localcommunities worked togetherto increase food security,improve hygiene and sanitation,decrease diseases and improveaccess to water. Inaddition, incomegeneratingactivities toimprovelivelihoodssuch as bakingand makingfuel pellets fromrecycled material forcooking fi res have beenpromoted.3,000households haveimprovedawareness of healthand sanitationpracticesLivestock management trainingwas provided to 290 farmersand 110 families received220 goats. Their manure isused as organic fertiliser and2,734 compost heaps havebeen made. As a way of ‘payingback’ the program, the goats’female offspring are given toother farmers.We provided 12 treadle pumpsto 90 farmers and 120 acres ofirrigable land has beendeveloped. Encouraged bythis, the Malawi Governmentprovided a motorised pumpfor further support.As well, 470 householdsparticipated in microfi nancetraining and invested in smallbusinesses; 3,000 householdsparticipated in hygiene andsanitation training, and aborehole was drilled at Lisangwivillage supplying 280people with clean water.Progress:Agriculturediversifi cation,production andmarketing requirea long-term approach.However, preliminaryresults are positive, forexample 320 farmers haveadopted crop diversifi cationand 783 people are trained inmaking energy effi cient stoves.Key learnings: The multisectoral,integrated approachpromotes sustainability anddelivers multiple outcomes;collaboration with governmentleverages results andcontributes to sustainability;community fi eld offi cers helpbuild trust and understanding.* Catholic DevelopmentCommission in Malawi (CADECOM)2,500 people now have access to safe drinking water in Dotane,Mozambique.Patricia attended microfinance training and started a small business inMalawi. She now earns enough to care for her family and send her childrento school./32

KenyaMalindi Livelihoods ProgramObjective: To improve thelivelihoods of 400 farmersthrough modern farmtechniques, livestock raisingand drought tolerant crops inLango Baya Division, Malindi.Response: Communitiesacross Lango Baya, Jiloreand Chakama have reportedsignifi cant changes since theplanting of drought tolerantcrops. All programparticipants havethree meals aday and byselling theirsurplus cropsthey can sendtheir children toschool.400farmers across16 farmer groupshave improvedlivelihoods55 goats weredistributed and have sired292 kids. The income fromselling the goats’ offspringbuys school uniforms,clothing and householdgoods. People living nearRiver Galana were suppliedwith irrigation tools, 26 pumpsand horticultural seeds.12 out of 16 groups aregrowing horticultural cropsusing irrigation and earninga better income.Progress: Local womenused to beg for food; theytold us they had no dignity.Many can now send theirchildren to school andsome have even builtsemi-permanent houses usingcorrugated iron sheeting.Due to drought resistant cropproduction, when the 2011East African drought hit, thiscommunity did not requirefood relief.Challenges: Withproper guidanceand leadership,the communityhas food andcan meet basicneeds; communityparticipation meansthey have taken ownershipof the project. Howeverdespite the progress made,some elements of culturalpractice can limit women’sparticipation, for example menretain most of the decisionmakingpower over propertyand assets. The programseeks to promote equalparticipation and dialogue.DemocraticRepublic of CongoSexual and Gender-Based Violence in North KivuObjective: Work withCaritas Goma to providewomen and girls affected bysexual and gender-basedviolence with access tomedical services andlong-term counselling; tosupport them through traumaand facilitate their reintegrationinto the community; to rebuildconfi dence and self-worth; toprovide nutrition to vulnerablechildren and orphans;and to provideeducationalawareness.We alsowork to bringperpetratorsto justice andprovide legalsupport to women.Response: Medical supportprovided to 150 women andgirls. Most have recoveredtheir physical health; howevercounsellors continue to assist.200 women were trained inincome generating activitiessuch as farming, microfi nanceand animal husbandry.20 program participants arenow working with victimsof violence and have takenon a lead advocacy roleseeking protection from localgovernment.Support to150 womenand girls isrebuildingconfidence andself-worthProgress: As a resultof educational activities,rape can now be clearlydiscussed at household level.It is now understood that thevictims cannot be blamedor stigmatised over theperpetrator.Data collection has alsoimproved. For example, theaverage age of victims andcrime areas are recorded.This data can be usedat local, nationaland internationallevels to improveprotection. Datacollection helpsto prevent futureviolence; preventivemeasures includewomen travelling in groupsand/or being accompaniedby their husbands. Protectionis being mainstreamed in allactivities.Challenges: One of themost signifi cant challengesis the insecure and volatilesituation in Eastern DRC; aswomen and girls are evenmore vulnerable to violencewhen they are displaced fromtheir homes by confl ict.Dama, 52, is a widow with four children. The Malindi Livelihoods Programallowed her to acquire goats, build a modern goat house and earn an income.With support from counsellors, women and girls are recovering from sexualand gender-based violence in the Democratic Republic of Congo (DRC)./33

latin america:human rights andcommunitydevelopmentWhere we workIndigenous AustraliaSoutheast AsiaSouth Asia, Burmaand Timor LesteAfricaLatin AmericaThe PacificThe community elders of Pasorapa, Bolivia are supporting our local partner, INDEPO*, in the production of olive trees. This project provides an alternativeto traditional dairy farming which is no longer viable because of changing rain patterns. Over 200 children and youth are being trained in practices of ‘dry’farming, food production and marketing techniques. The community is looking forward to the 2015 crop when the olives will be processed as virgin olive oilfor sale in the domestic market. Photo: Richard Wainwright*INDEPO Instituto de Desarrollo Popular (Popular Development Institute)/34

The Latin America team supports10 local partners across 10 programsthroughout four countries: Bolivia,Brazil, El Salvador and Peru.Key priorities include dealing withconflict, food sustainability, Indigenousand human rights, health and climatechange. Our Latin American partnershave said they value the demonstratedmutual learning and respect shared inour partnership.Catholic SocialTeaching (CST)principles areentrenched in ourLatin Americaprograms andare evidencedin our approachto programmingwhere we empowerthe poorest andmost marginalisedto drive their owndevelopment.1,700people experiencedimproved food securityand nutrition throughorganic farming10,000people attendedperformances by “educar esfiesta” Open Doors projectabout human rights, includingchild rightsEdson Quezada and his team fromCentro Creativo Artistico “educar esfiesta” (education is celebration). ACaritas Australia partner, “educar esfiesta” is a circus school for streetkids and abandoned and vulnerablechildren aged 7-18.Photo: Richard WainwrightThere are more than 370 million Indigenous Peoplesliving in some 90 countries around the world. InLatin America alone there are more than 400 groups,each with a distinct language and culture.1,833children in44 communities inBolivia experiencedimproved health, foodsecurity and awarenessof child rightsLOOKING AHEADIn February2011, FirstAustralians,Scott Hall andMajor Cameron,visited theYuracaré, anIndigenousgroup in Bolivia,to learn abouttheir way of life,their cultureand theirchallenges.There are many Indigenouscommunities in LatinAmerica. The Yuracarécommunity, for example,faces many challengesincluding lack of basic healthservices, education andemployment opportunities,and protection of theirland and cultural traditionsfrom external infl uencesand agendas.One of our partners,Centro de Investigacióny Educación Popular orCINEP (Centre for Researchand Popular Education)hosted First AustraliansScott Hall and MajorCameron, and a fi lm wasmade for our 2012-13campaign, Walk As One:connecting with our world’sIndigenous Peoples.CINEP said theirinvolvement in this advocacycampaign has strengthenedtheir work on the rightsof Indigenous Peoples inLatin America.Into 2013 and beyond, wewill continue supportingmarginalised communitiesin Latin America, helping thepoorest of the poor live a lifeof dignity.In 2012-13 we will:• Continue to reach and empowerthe most marginalised,including Indigenous familieson the Amazon Basin. Ourethno ecotourism project isstrengthening the cultural tiesand relationships between thevarious Indigenous groups inthe region and assisting in theenvironmental conservation ofthis threatened environment.• Continue to share knowledge,skills and resources to strengtheneach partner’s capacity toaddress the impact of poverty andvulnerability in their respectivecommunities. This solidaritynetwork will be further enhancedby the Latin America partnersmeeting in Bolivia in April 2013.A total of $694,703 was spent onlong-term development programsin 2011-12.2010-11: $817,4842009-10: $741,2982008-09: $904,549/35

LATIN AMERICA: Program SnapshotsSao Paulo, BrazilYouth as Peacebuilders in areas ofUrban ConflictLima, PeruMaternal and Infant Health, and Water andSanitation ProjectsObjective: To work with ourpartner, Movimento de Defesado Favelado (Movement forthe Defence of Favelados), toengage youth in multimediaactivities that counter dailyviolence and gang culture infavelas (slums). This programpromotes peace so youth canattain success, education andemployment; rather thanjoining local gangs.Response:300 youthparticipated inyouth-targetedpeacebuildingworkshopswhichaddressed thechallenges offavela life. Attendeesare committed to promotingpeace in the favelas and haveparticipated in sessions whichaddressed their identity, favelahistory, and the challengeof being counter cultural ina community affected bydrugs, gangs, violence andunemployment.5,300youth gained skillsin peacebuildingand human rightsawarenessParticipants meet weekly andengage in media and socialmedia workshops, radio andtelevision interviews, peacerallies and environmental care.Progress: The programis receiving attention frommunicipal authorities, mediaand universities as a creativeand sustainable alternativeto youth violence. Theparticipants are seen asyoung people with a voicewho are delivering a messageof peace and hope in anarea known for violence andmarginalisation. Participants,parents and communityleaders reportedsignifi cant changein attitudesto violence,discoveringrealisation ofself-worth anddignity, and restoringpride for living in a favela.5,300 youth have gained skillsin peacebuilding and humanrights awareness.Key learnings: The effectof the program extended toenvironmental awarenessand an awareness that eachperson, as a responsiblecitizen, has the duty tobe a good steward of theenvironment and has a rightto live in a safe and healthyenvironment.Objective: Along withMercy Family Health Services(MFHS), we are improving thehealth and quality of life forpeople living in Cerro Candelaand Ex Fondo Naranjal inLima, Peru. Special emphasisis placed on preventativehealth, and the training of localhealth promoters to alleviatemalnutrition and improve thelocal environment.Response:500 womenhave increasedknowledgein nutrition,sexuallytransmitteddiseases (STDs),parenting andimproved self-esteem;25 local women trained ashealth promoters conducted5,302 home visits promotingpreventative health andsupported ‘at risk’ families.36 children aged 1-4 are inthe crèche’s intensive nutritionprogram; after 12 months,60% achieved satisfactorybody weight and height fortheir age and others arecontinuing to improve. TheWater and Sanitation Projecthas been extended to 100vulnerable families.Volunteerhealthcarepromoters visited5,302‘at risk’ familiesin their homesProgress: Doctors in theclinic marked improvementin the health status ofapproximately 40% ofpatients, particularly children.This will be further improvedwith 200 families whowere added to the waterand sanitation program.Networking with localauthorities was key in thesuccessful implementationof water and sanitationactivities, andthe model ofcommunityengagementpromoted byMFHS is beingreplicated in othercommunities.Challenges: Overall theproject has been successfulbut issues of unemployment/underemployment continueto limit program participants.As the health promotersare volunteers there is anincreasing need for them tofi nd paid work, therefore werequire more health promoters.Sister Margaret Fyfe, Latin American Program Coordinator, with membersof the Youth as Peacebuilders program in Sao Paulo, Brazil.Sister Joan Doyle RSM, Director of Mercy Family Health Services, withchildren from the nutrition program in Cerro Candela, Peru. Photo: Luis Paz/36

BoliviaEthno Ecotourism ProjectEl SalvadorToward a Real Change in the HIV EpidemicObjective: Working withCINEP to address povertyfor the Yuracaré and Yuquicommunities through thepromotion of sustainabletourism. These communitieslive along the Ichilo River inthe Amazon.Response: A TourismInformation Centre inPuerto Villarroel has beenconstructed; varioustour packageshave been100%increase in theself-esteem of familiesparticipating in theEthno Ecotourismprojectdeveloped;training inbasic Englishand cookingcarried outfor communitymembers, andequipment such astelephones, computers,offi ce furniture and kitchenitems have been provided.To strengthen the localIndigenous culture andlanguage, dance and craftworkshops are held. To attracttourism, locals attendeda regional cultural fair andheld meetings with the localcouncil and the government’stourism department.Progress: Thisproject is making goodprogress, particularly inthe development of theIndigenous communities’capacity to run the project,and the recuperation of theircultural and social identity.Challenges: Externalfactors include: the potentialfor a highway to be built (ifit goes ahead, negativeimpacts such asdisplacement ofcommunities andenvironmentaldegradation suchas increasedlogging of oldgrowth forests arelikely); environmentaldisasters such as fl oodingand landslides resulting indamage to buildings, homegardens and infrastructure;ongoing land rights issues andhuman rights issues in theface of the violent repressionof Indigenous communities bythe military. Internal factors:a stronger sense of valuefor traditional Indigenousculture needs to be recoveredand restored, achievable byfacilitating dialogue betweenchildren and adults.Objective: Working withlocal partner CONTRASIDAto prevent the spread ofHIV/AIDS through educationprograms, to providefamily support and clinicalassistance/medical attentionto those living with HIV/AIDS,and to advocate on behalf ofthose living with HIV/AIDS.Response: CONTRASIDAhas developed acampaign tohelp preventthe spreadof HIV/AIDSand supportvulnerablegroups inEl Salvador.Posters, viewed byup to 80,000 people daily,were displayed on buses.The ‘I have HIV and havethe same rights as you do’campaign was heard in14 radio interviews and onetelevision interview. BetweenJanuary and June 2012,326 medical consultations and83 psychological consultationswere carried out.A health fair (includingeye examinations andimmunisations) at theHIV preventionposters on busesviewed by80,000people dailyCONTRASIDA clinic wasattended by 128 people.People have increasedknowledge of HIV laws inEl Salvador and their rights.Progress: Participationin advocacy campaigns ishaving a positive effect inchanging public opinion andgovernmental policy in regardto those living with HIV/AIDS.Public testimony bypersons living withHIV/AIDS isinfl uential inchanging publicopinion in regardto testing.Challenges:CONTRASIDA is akey player in the fi ghtagainst the marginalisation,discrimination andstigmatisation of people wholive with HIV/AIDS.San Salvador, whereCONTRASIDA operates, is acity with high rates of violentcrime. This has severelyimpacted the communityoutreach and educationprogram and all night sessionshave been cancelled due tosafety risks.Nelson is President of the Community Council for the Ethno EcotourismProject which aims to enhance the living conditions of the Indigenous Peoplesby promoting sustainable tourism in the area. Photo: Richard WainwrightCONTRASIDA ‘God has created us all for peace’ is working to prevent thespread of HIV/AIDS and advocating on behalf of those who are living withHIV/AIDS. CONTRASIDA is based in El Salvador./37

the PACIFIC:health andcapacitybuildingWhere we workIndigenous AustraliaSoutheast AsiaSouth Asia, Burmaand Timor LesteAfricaLatin AmericaThe PacificIn October 2011, during the First Regional Convention of Papua New Guinea (PNG) Highlands Catholic Women, amarch was held to celebrate the event in Mt Hagen. A few thousand women from throughout the PNG Highlandsattended. Photo: Father Philip Gibbs/38

The Pacific team supports 19 localpartners across 22 programsthroughout Papua New Guinea (PNG),Samoa, Solomon Islands, Kiribati,Vanuatu and Fiji. Key priorities includehealth (particularly HIV/AIDS), education,water and sanitation, climate change,peace transformation, sustainableagriculture and capacity building.We work closelywith the Church,government andvillage leaders toensure there isstrong communityownership andunderstandingof the programs.64,760people received voluntarytesting and counsellingfor HIV in Catholic-runfacilities (PNG)3,937people have improvedaccess to water,sanitation and hygiene(Solomon Islands)Michael Alexander, Pacific GroupLeader, with Solomon Islands staff:Mary Malagela, Virginia Sauna,Charity Saku, Rose Houkeni,Adam Elliott and Peter Liama.Our team continues to tailor programs to the needs andcapabilities of vulnerable and marginalised communitiesacross this diverse region.920people are empoweredand equipped toconfront gender-basedviolence (PNG)As naturaldisasters suchas cyclones,floods,earthquakesand tsunamisare moreprevalent in thePacific, we workclosely withcommunitieson disaster riskreduction (DRR).In January and April 2012,we provided emergencyrelief to 950 settlementhouseholds affected bythe fl oods in Fiji. Our localpartner, the People’sCommunity Network (PCN)continues to advocatefor the needs of informalsettlements to be relocatedto higher ground.In June 2012, we produceda DVD training tool forkindergarten teachersin the Solomon Islandsand Vanuatu which helpschildren understand what todo in an emergency throughthe use of nursery rhymes.The Church PartnershipProgram in PNG, fundedby AusAID, focuses oninstitutional strengthening ofthe Catholic Church in PNGto improve health (includingtesting and HIV counselling),violence prevention,livelihoods for young peopleand education.A highlight this year wasthe launch of the reportThe Community Good –Examining the Infl uence ofthe PNG LNG Project inthe Hela Region of PapuaNew Guinea, a joint effortof the Church PartnershipProgram, examining thesocial impacts of liquefi ablenatural gas extraction onthe people of PNG. Thereport details importantrecommendations of theChurches in PNG on howgovernments, civil society,Churches and companiescan work together toimprove wellbeing andhuman development.In calm times and whendisasters strike, we willcontinue to pursue peaceand justice for our friends inthe Pacifi c Islands.LOOKING AHEADIn 2012-13:• AusAID has announced a10-year program: Pacific WomenShaping Pacific Development,an innovative, long-termcommitment to improve thepolitical, economic and socialadvancement of Pacific women.We will pursue opportunities toenhance our work on this issue,particularly in relation to reducingviolence against women.• We will continue to supportPacific communities to preparefor and respond to the effectsof climate change, particularlythrough disaster risk reduction.• The new organisational strategicplan and the development of aPacific regional plan will assistus in strengthening our Pacificpresence.A total of AU$3,346,578 wasspent on long-term developmentprograms in 2011-12.2010-11: $3,365,2292009-10: $3,738,7592008-09: $4,249,400/39

THE pacific: Program SnapshotsFijiInformal Settlement AdvocacyPNGNational Catholic HIV/AIDS Office,Church Partnership ProgramObjective: To provideinformal settlements, affectedby the January and April 2012fl oods, with vital humanitarianrelief, and to assist withongoing advocacy so they canbe relocated from fl ood-proneland to affordable, safe housing.Response: Local partner,the People’s CommunityNetwork (PCN) supported950 householdsaffected by fl oodsin Viti Levu withfood relief andpsychosocialsupport. Theyalso mobilisedthe affectedcommunities incleaning up debrisand rehabilitating thelocal area. PCN is continuingto advocate to the FijianGovernment for informalsettlements to be relocatedto safer areas and for the rootcauses of poverty leadingto the creation of informalsettlements to be addressed.Caritas Australia will continuesupporting PCN to empowercommunities to have theirvoices heard.950settlement householdsaffected by floodsreceived emergencyassistanceProgress: PCN’s advocacywork resulted in agreementwith the Fijian Governmentto relocate some of thoseaffected by the fl oods toalternative housing sites.PCN’s success with advocacyis a result of its strong voiceas a representative networkfor informal settlements. PCNwill continue to empowercommunities to identifyongoing concerns andto work togetherto advocate fortheir health,education andhousing needs.Key learnings:PCN has identifi edthe need for more workwith vulnerable communitiesto increase their preparednessfor future disasters.PCN will also continue theiradvocacy for the relocationof vulnerable communities,as a key to breaking the cycleof poverty.Objective: To mitigate theimpact of HIV/AIDS in PNG.Response: Since 2004,Caritas Australia hassupported HIV services inPNG run by the CatholicChurch. There areapproximately 362 VoluntaryCounselling and Testing (VCT)sites in PNG; 126 of these arerun by the Catholic Church.Our support providespersonnel andadministrativestaff, training,and the supplyof HIV teststrips to allCatholic-run VCTcentres in PNG.HIV counselling andtesting is internationallyrecognised as an importantprevention strategy.In 2011-12, 64,760 peoplereceived VCT in Catholic-runfacilities, this accounted forone-third of all testing in PNG(in the fi rst four months of2012, 18,948 people weretested). Currently 3,782 peoplereceive anti-retroviral therapy(ART) from Catholic-run VCTsites, which means that64,760people receivedVoluntary Counsellingand Testingin 2011-12one-third of all people on ARTin PNG get their medicationfrom Catholic centres.Progress: The programhas been successful inmeeting most of its objectivesfor the year.Challenges: In the fi rsthalf of 2012, the governmentran out of ART. This causedsignifi cant stress andhardship to people withHIV, their families andhealth workers.The governmentalso ran out of HIVand syphilis testkits; a key plank inHIV prevention. Oursupport enabled theNational Catholic HIV/AIDSOffi ce to procure additionalsupplies and continue testing.Insecurity during the 2012election period constrainedsome of the mobile outreachand program related travel,but vital services continued atthe clinics.The People’s Community Network (PCN) in Fiji continues to mobiliseinformal settlements to advocate for improved housing and to be relocatedto higher ground.Second from left: Sr Tarcisia Hunhoff, Director of Catholic HIV/AIDS ServicesInc, with trainers and graduates from the Caritas Australia funded couplecounselling program in PNG./40

PNGCaritas Australia Bougainville ProgramSolomon Islandsand VanuatuEarly Childhood Education Nursery Rhyme ProjectObjective: To empowervulnerable and marginalisedcommunities in Bougainville bysupporting them to developlife skills that will promotea healthy environment andsustainable socio-economiclivelihoods.Response: The four focusdistricts: Toreraiva, Korovi,Pepats and Iruh do not haveaccess to basicservices andinfrastructure.They areremote andisolatedbut theyhave strongcommunityparticipation andleadership to implementsustainable projects. Ourtraining focus is on sewing,baking, ferro-cementconstruction, brickmaking,environmental care andrice farming.Progress: 321 communitymembers (54% female) weretrained in 16 rice farmingworkshops. After attendingthese workshops, ricefarmers have increased theirproduction and have extraRice farmingtraining increasedincome for321communitymembersproduce to generate income.It is now cheaper for villagersto buy locally producedrice, in turn helping the localcommunity market. However,as one of the selecteddistricts has law and orderissues, the training there hasbeen delayed.We held baking workshopsto help mothers prepareand sell food for incomegeneration – howevermany communitiesdo not have ovens.To overcome this,a trainer taughtthem to build theirown ovens.Challenges:Unexpected weathercan make it diffi cult for usto visit the communities weassist. Bougainville recentlyexperienced a long wet seasonwhich caused fl ash fl oodingand many food gardenswere destroyed.National elections andongoing political issues arealso challenging, and asstaff safety is a priority,there are sometimes delaysinstigating projects.Objective: To developthe skills of Early ChildhoodEducation (ECE) teachers in theSolomon Islands and Vanuatuso they can teach studentswhat to do in an emergency.These messages aredeveloped into a communityemergency response plan andcommunicated to the broaderschool community. The fouridentifi ed risks are: cyclone,fl ood, earthquake andtsunami.Response:We havedeveloped asimple trainingprogram for ECEteachers focusedon four skills: disasterrisk management;effective communication; timemanagement; and buildingsafe communities to buildresilience among students andcommunities. The teachersand the National DisasterManagement Offi ces worktogether to identify local risks,decide on a common tune,for example Jingle Bells, andcombine lyrics, actions andgames to help kids learn whatto do in an emergency.Over 2,000students havelearnt what todo in anemergencyProgress: Six trainings inthree provinces have beenconducted. More than40 teachers from over25 kindergartens and primaryschools have attended,benefi ting over 2,000students aged 4 to 14. In2012, with support fromAusAID, a training DVD wasproduced; it is now beingused as a training tool. Theprogram is endorsedby the Ministry ofEducation and theNational DisasterManagementOffi ce in Vanuatu.St Joan D’ArcSchool in Port Viladevelopedand lodged anevacuation plan with thesegovernment bodies.Key learnings: Teachersbenefi t from support whichenables them to talk accuratelyto the broader communityabout what their childrenshould do in the event ofnatural disaster. As well,children often sing thesongs at home, helpingfamilies prepare in anemergency situation.As part of vegetable farming in Bougainville, farmers learn to make organicfertiliser. Photo: James WararVolunteer kindergarten teachers from Solomon Islands with their students.The community fundraises for maintenance of the classroom andcontributions to teachers./41

Humanitarian Emergencies Group:responding with compassionA family at their makeshift camp in District Sanghar, Sindh province, Pakistan. Photo: Asad ZaidiCaritas Australia is part of Caritas Internationalis, an internationalconfederation of 164 Catholic relief, development and social serviceorganisations, working to build a better world for the poorest of thepoor in over 200 countries and territories.Our worldwide network allows us to react quickly and provide assistance in the event of anemergency. Our emergency humanitarian relief operations include immediate food and water,healthcare, shelter and medicine. Long-term recovery efforts include restoring livelihoodsthrough grants, microfi nance, training groups and rebuilding infrastructure.While in-country, we take steps to identify, assess and reduce the risks the poor face. Ourdisaster risk reduction (DRR) activities help communities prepare for the impact of disastersbefore they strike.Humanitarian response is a signifi cant part of Caritas Australia’s international program. In2011-12, we responded to 26 emergencies (natural disasters and confl ict) as well as protractedcrises, and supported DRR and humanitarian advocacy initiatives across 25 countries. Wedelivered 56 projects* and reached 2.9 million people at a total cost of $12,253,069.Before, during and after the headlines, Caritas is working to uphold the human dignity of thoseat greatest risk. And whether natural disasters or humanitarian crises capture the public’sattention or not, we remain committed to respond with compassion.*This figure excludes advocacy projectsLOOKING AHEADIn 2012-13 we will:• Continue to focus on workingholistically within communitiesto build capacity and promotehuman dignity.• Commit to building the capacityof our partners to prepare forand respond to humanitariandisasters, ensuring that welearn from them how to respondflexibly within different contexts.• Focus on building the resilienceof communities to enable themto cope better in the eventof disasters, climate change,violence, and economic andpolitical shocks.• Develop further collaborationbetween regional developmentteams and the humanitarianresponse team to ensure crossagencycapacity to prepare forand respond to emergencies.• Ensure the safety and security ofcommunities and staff workingin increasingly complex conflictsituations./42

“Life was a waking nightmarefor me,” said Tibiwa Galfur fromMarsabit County, northern Kenya.Photo: Catholic Agency forOverseas Development (CAFOD)In October 2011, the long-awaited rains arrived in Marsabit County, northern Kenya, and filled the reservoir. It nowprovides water to more than 3,000 people. Photo: Joseph MirgichanEast Africa CrisisIn 2011, severe drought acrossthe Horn of Africa left over13 million people in urgentneed of food, water and basicfacilities. Successive seasonsof failed rains combined withincreasing food prices, confl ict,and in some cases limitedhumanitarian access, resultedin food insecurity, watershortages and widespreadmalnutrition throughout muchof East Africa.With support from theAustralian Government, BaptistWorld Aid Australia and theAustralian community, over$7.7 million was raised forour East Africa Crisis Appeal.1.1 million people werereached in East Africa throughcritical relief and recoverysupport from Caritas Australia.In Kenya alone, CaritasAustralia supported 579,563drought affected people withemergency assistance. Theseprograms have improvedhousehold income, foodsecurity, and resilience todrought and disasters by:increasing the availability andaccessibility of water, restoringlivestock assets, providingtraining to pastoralists inanimal health and marketingpractices, and assistance inwater, sanitation and hygienepractices.Tibiwa’s storyTibiwa Galfure, 51, had onequestion: how to provide foodfor his wife and four children?Like many residents in TupchaVillage, Marsabit County,northern Kenya, Tibiwa hadno job, no income and noguarantee of where the nextmeal would come from. As aresult of frequent drought, theregion suffers from chronicwater and food scarcity, forcingvillagers to walk an hour tofetch 20 litres of drinkingwater; resource-driven confl ictscomplicate matters further.“Life was a waking nightmarefor me,” said Tibiwa. “I did notknow where our next mealwould come from. A lot ofthe water in my village wascontaminated and made ussick. I had no job and it was areal challenge to survive withmost of our animals perished.”With an aim to develop asustainable solution, Tibiwawelcomed support fromthe Australian Government(Humanitarian PartnershipAgreement – HPA) throughCaritas Australia and our UKpartner, the Catholic Agencyfor Overseas Development(CAFOD).For a long time, thecommunity had relied oncontaminated undergroundwater. The solution lay inbuilding new water pans whichcapture surface water, andrehabilitate existing pans.Under our cash-for-workprogram, Tibiwa purchasedfood in exchange forlabour. The water panswere successful and soonexpanded to create a largewater reservoir. In October2011, the long-awaited rainsarrived and fi lled the reservoir;it now provides water to morethan 3,000 people.Now, villagers can fetch upto 60 litres of safe water perday in just under 20 minutes.Tibiwa has valuable time andhis family’s health is no longerat risk from contaminatedwater and poor nutrition.To promote hygiene andfocus on the need to boilthe water before use, watermanagement committees arealso in place.“This project has changed mylife and that of my family forthe better,” said Tibiwa.However, many Africancountries remain vulnerableto food insecurity. Currentlyin West Africa over 18 millionpeople are also at risk. In2012 – we opened a WestAfrica Crisis Appeal, and willcontinue to raise funds forthose devastated by drought./44

our caritas community:creating a better worldThanks to the extraordinary, ongoingdemonstration of the faith, loveand generosity of the Catholiccongregation and caring supportersthroughout Australia, we are ableto continue assisting marginalisedcommunities worldwide. Without you,we couldn’t do the work that we do.Thank you.The Grade 2 students at St Joseph’s Murgon Catholic Primary School inQueensland took part in a Live Simply day. Organised by their teacher, CarlyCoombes, the children participated in a day of solidarity by carrying teddy bearsor dolls on their backs, carrying buckets of water and not using any electricity./45

Our Caritas Community:campaigns, education and onlineCaritas Australia’s campaigns, education and online teams are passionate about engaging theAustralian community on social justice and global issues.Kateia Kaikai of the Pacific Calling Partnership; Alexandra Engel,Caritas Australia Campaigns Coordinator and Greg Combet,Climate Change Minister.Independent MP Rob Oakeshott participated in Canberra’s longest toiletqueue as part of Voices for Justice.A Just ClimateSanitation Saves LivesOn 20 September 2011,Alexandra Engel and KateiaKaikai met with ClimateChange Minister Greg CombetMP to present him withpetition signatures collectedfrom around the countrycalling for A Just Climate.Together they discussedthe importance of improvingfi nancial and technicalassistance to developingcountries to help mitigatethe impacts of climate changeon the world’s poorest,including communities livingon the small Pacifi c nation ofKiribati, where Kateia is from.The Caritas Australiateam was thankful for theopportunity to reinforce themessage that the world’spoorest must be at the heartof any conversations aroundchanges to climate.Voices for Justice is run byMicah Challenge, a coalitioncampaign made up of AustralianNGOs and Church groups,including Caritas Australia,determined to alleviatepoverty and injustice in thedeveloping world.During 17-20 September2011, some of Australia’shighest profi le politiciansqueued for a giant toilet onthe grounds at ParliamentHouse in Canberra.Independent MP RobOakeshott even sat on italong with Senator MichaeliaCash from Western Australia.Why? To draw attentionto the fact that 2.6 billionpeople worldwide do nothave access to an adequatetoilet and millions of childrendie every year from illnessescaused by poor sanitation.The giant toilet was thecentrepiece for the Voicesfor Justice gathering, where230 Australians descendedon Federal Parliament for twodays to try and infl uence thenation’s most powerful people.Voices for Justice is run byMicah Challenge, a coalitioncampaign made up ofAustralian NGOs andChurch groups, includingCaritas Australia, determinedto alleviate global povertyand injustice in thedeveloping world.By the end of the event thegovernment reaffi rmed itscommitment to allocating0.5% of Gross NationalIncome (from 0.35%) toforeign aid by 2015-16. Sixmonths later the governmentfailed on this commitmentby extending the deadline by12 months to now not reach0.5% of GNI until 2016-17./46

ANCP-supported Pendekezo Letu (PKL) is a wide-ranging child rights program, helping hundreds of people each year. In February 2012, Siobhan Jordan,Program Officer Africa and Latin America, visited Korogocho, Nairobi. Left to right: Sarah Mbira, PKL Director; Sabina Wanjiru, Catherine Wangari and ChristineWangari who have all graduated from PKL hair and beauty and are now hairdresser apprentices; Siobhan Jordan and Magdalene Munuku, PKL social worker.AusAID NGO CooperationProgram (ANCP)Australia Africa CommunityEngagement Scheme (AACES)In June 2011, the ANCPCommunity EngagementWorking Group (CEWG)which includes CaritasAustralia, fi nalised theANCP Partnership – JointCommunity EngagementStrategy 2012-15.Within this strategy, the groupestablished their vision forgenerational change: “Tosee a broad constituency ofAustralians who understandand are committed to globalcitizenship and Australia’s rolein creating a fairer world.”However to work towardsthis goal the group needed togauge where the Australiancommunity is at nowand investigate/researchhow non-governmentorganisations (NGOs) couldcommunicate differently tohelp broaden and deepenpublic engagement aroundaid and development.Research into attitudes,values and frames wascommissioned by the CEWGin late 2011 and completedin April 2012, with the report‘Building Global Citizenshipin Australia’. The CEWGidentifi ed from this researchthree key projects that thegroup could achieve by theend of 2012.During April-June, two ofthese projects were facilitatedby working groups withinthe CEWG and are nearcompletion.The ‘Theory of ChangeToolkit’ and the ‘BuildingGlobal Citizenship in Australia’communications pack will bepresented to AusAID at theend of the 2012 calendar year.The third project is a jointcommunication project andthis is yet to be fi nalised.CEWG plan to begin work onthis by October 2012.In 2011-12 Caritas Australiacommenced a fi ve-yearintegrated communitydevelopment program acrossMalawi and Tanzania; theAustralia Africa CommunityEngagement Scheme(AACES). In additionto meeting the AACESagricultural development,water, sanitation and hygieneobjectives, this AusAID-fundedprogram has a key objectiveto deepen understanding ofdevelopment in Africa withinthe Australian community.Building on our long-termrelationships with educationalinstitutions in WesternAustralia (WA), we selectededucators within WA asour target audience. Sixeducation professionals fromthe Catholic Education Offi ceof WA, University of NotreDame (Fremantle campus)and Newman College in Perthundertook a formation coursein development in preparationfor their July 2012 two weekimmersion exploring ourAACES programs in Malawiand Tanzania.The formation course focusedon development issues andsolutions within Tanzania andMalawi, and more broadlyin Africa; Caritas Australia’sdevelopment approachgrounded in Catholic SocialTeaching principles; andthe strengths-based modelof development. Havingcompleted the experience,these educators claim to havea better understanding of:• key issues such asHIV/AIDS, disease andwater quality;• underlying causes ofpoverty; and• social, political andeconomic factors affectingaid and development.They also expressed that theynow feel better equipped tocontribute more meaningfullyto aid and development,and are prepared for theirupcoming trip to the fi eld earlyin the new fi nancial year. Allthe educators have plans forpassing their knowledge ontotheir students through theircourse and curriculum work./47

Development throughimmersionOur new online presenceThe professional developmentof teachers in Catholiceducation is a strategic priorityfor our Caritas Education team.In 2011-12 we conductedour Immersion program witha range of educators fromacross Australia. The programcombines a course in globaljustice and development and avisit to a country we work in.For the third consecutiveyear, the Catholic EducationOffi ces (CEOs) in Brisbane,Rockhampton and Toowoombaselected and supportedrepresentatives to completethe 30-hour course and visitMalawi in September 2011.In term four of 2011, aninaugural Immersion programin partnership with theSydney CEO was conductedfor teachers from differentschools. The Head of NewEvangelisation and nineteachers (eight of whomtravelled) completed thecourse then visited Cambodiain January 2012. In Victoria,28 people from Melbourneand Sandhurst undertook thecoursework and 10 travelledto Uganda.Many of these teachers,Deputy Principals, ReligiousEducation Coordinators andParish Justice Representativesnow conduct regular Caritasjustice events for schoolsand teachers in their regions,develop resources forteachers and students, andsupport Caritas Australiapromotional events.In Adelaide, two new teacherprofessional developmentand adult training programscommenced, and Caritaseducation staff delivered ateaching methods courseon justice as a unit of theGraduate Certifi cate inReligious Education at theUniversity of South Australia.Twenty-one teacherscompleted the 15-hour courseover four weeks; as a resultthe teachers have developedunits of work that are nowavailable in schools.A major project for CaritasAustralia in 2011-12 wasour website redevelopmentproject. In February thisyear, our Communicationsteam launched CaritasAustralia’s new websitewhich included design andbranding extensions acrossFacebook and YouTube. Thenew website included a totalrewrite of all content; moremeaningful and user-friendlylayout and navigation; morephoto galleries; a series of newand modifi ed online resources;and more opportunities forour supporters to engagewith us online. We havecontinued to grow ouronline advertising portfolioand have strengthened ouronline marketing strategyand initiatives.The website redevelopmentproject has already seenstrong results and return oninvestment.In comparing the fi ve monthperiod after the launch(February to June 2012) withthe same fi ve months (Februaryto June 2011), we have seen:• 70% increase in totalwebsite visits (207,900in 2012, up from 122,383in 2011)• 63% increase in uniquewebsite visitors (127,000in 2012)• 82% increase in webpageviews (754,000 in 2012)• 24% increase in thenumber of completedonline donations (3,500in 2012).For the past fi ve years, thenumber of online donationshas grown year-on-year fromjust over $645,000 and2,594 donations in 2007,to $2.5 million and just over10,000 donations in 2012. Thisrepresents an overall averageannual growth of 15%.Our redesigned Facebookpage and profi le alsoexperienced considerablegrowth. Within six weeksof launching the new pagewe had surpassed our1,712 ‘lifetime likes’ on ourFacebook page (which wehad acquired in over threeyears). By the end of the2011-12 fi nancial year, ourlifetime likes had grown by320% to 5,492.Looking ahead for educationCarly Coombes is a grade two teacher at St Joseph’s Primary School inMurgon, Qld. She said the immersion program to Malawi in 2011 was alife-changing experience.In 2012-13 we will developan effectiveness frameworkto measure the impact ofour Community Engagementprograms, particularly in thearea of school education.The fi rst step in this processis gathering baseline dataabout our resources andprograms in the Catholiceducation sector.Christian ResearchAssociation will conduct anextensive survey of teachersand students and the reporton impact will be a valuablerefl ection upon which todevelop tools for ongoingmeasurement of the impactand reach of our work./48

Our Caritas Community:fundraising and appealsSo we can continue serving the poorest of the poor in 35 countries, Caritas Australia relieson donations and support from the Australian public. In 2011-12, our fundraising programsraised more than $26 million. Excluding bequests and emergencies this total represented a5.4% increase on last year.Direct mail: Caritasnewsand fundraising appealsEvery quarter our supportersreceive Caritasnews.This magazine providesinformation about Caritas andour partners, and shares thestories of lives changed in thecommunities we work with.In 2011, the design, contentand layout were revampedto include information moreclosely related to supporter,sector, campaign andfundraising interests.Caritasnews is always mailedwith a fundraising appeal letter.In 2011-12, a total income of$2,578,396 was raised; down5% on the previous year.A reason we saw a declinemay be due to the East AfricaCrisis Appeal which, thanksto the Australian Government’sDollar for Dollar scheme andyour donations, raised over$7.7 million.In 2011-12, the numberof gifts from Caritasnewsdecreased 6% from lastyear, however the averagegift value increased 2% to$132.50. The autumn issueof Caritasnews promotingProject Compassion 2012was particularly successfuland raised $1,344,234 forthe agency, up 26% on theprevious year.In addition to traditionaldirect mail appeals, we areexpanding our marketingactivities to offer alternativeways of giving, such asintegrated campaigns that linktraditional offl ine media withthe interactive capabilities ofonline. Taking advantage ofour new website, which waslaunched in February 2012,we have increased our effortsto drive online donations andstarted to introduce initiativessuch as personalised webpages to further promoteonline donations.As well as the quarterlymagazine, Caritas Australiaundertakes two additionaldirect mail appeals each year– at Christmas and the endof fi nancial year.End of financialyear appealThe end of fi nancial yearappeal raised a total of$605,239 from approximately4,300 donations. The averagegift amount was $139 andthe total income increased5% on the previous year.hopegiver: monthlygiving programhopegiver is our regular givingprogram and an effective wayof supporting Caritas Australiaas it reduces administrationcosts and helps to ensure thelong-term continuation of lifechangingcommunity projectsworldwide.In August 2011, we invited ouractive donors to change theirgiving patterns and donateregularly to the hopegiverprogram; 300 supportersresponded and becameregular givers. In 2011-12, thisprogram grew steadily andincreased 20% to $2,611,173while the number of hopegiversrose 10% to 4,181.800,000700,000600,000500,000400,000300,000200,000100,00002007 2008 2009 2010 2011Global Gifts Income 2007-2011Christmas campaign:global giftsIn 2011, we provided ninewonderful Global Giftssuch as the gift of cleanwater or a healthy meal;each represented by abeautiful card. Almost 7,000supporters purchased over15,000 cards with 42%representing the gift of cleanwater. The campaign raised$692,036, a 45% increasefrom 2010-11 which included$449,445 from gift cardpurchases and $242,591 fromone-off donations. In additionto traditional paper cards,400 supporters donated justover $20,000 from purchasinge-cards (electronic cards).Emergency responseWe raised a total of$5,401,241 from generoussupporters responding toemergencies around theglobe. The majority of gifts(15,147) were designated tothe East Africa Crisis Appeal,with an average gift amountof $352 and a total incomeof $4,637,896. Australianshave taken to onlinedonations enthusiastically,with $836,618 of this amountdonated through our website.In August 2011, we lodgeda direct mail campaignaddressing donors who hadnot been in contact withus for a while and raised$118,915 for our East AfricaCrisis Appeal.“I pray that CaritasAustralia is able to keepdoing the work and helpthose in need throughoutthe world.”Kathleen Henderson,hopegiver/49

Our Caritas Community:Project Compassion 2012With your help, Project Compassion 2012 raised a total ofAU$10,707,842, breaking its own record and ensuring thousands offamilies are guaranteed life-changing support.“Despite great fi nancialuncertainty, when charitiesall around the country arestruggling, the Catholiccommunity of Australia hastaken a true stand in solidaritywith the world’s poor,” saidJack de Groot, CaritasAustralia CEO.“This really is remarkable.Times have been tough anduncertain for many Australiansin the last 12 months and yetour parishes, our schools andChurch communities managedto fi nd a way to support thepoorest of the poor.“This is unprecedented andwe are humbled to see thisdemonstration of almsgivingthroughout the sacred Lentenperiod. We thank everyonewho was involved.”Thank you to our DiocesanDirectors and everyonewho helped make ProjectCompassion 2012 asuccess. Some highlightsincluded:Brisbane Launch: Attendedby former Minister forForeign Affairs, Kevin Rudd,Sister Joan Doyle RSM,Jack de Groot and BrigidineCollege student Tess David,16, Project Compassionwas launched at Brisbane’sQueen St Mall.Caritas Ks: Counting theirkilometres to help endpoverty were Port AdelaidePower footballers and ChrisBowen, Federal Minister forImmigration. In just one week,Mr Bowen covered more than38km and raised $650.Dress for Peace Day:Using the Pope Paul VImessage as inspiration, ‘If youwant Peace, work for Justice’,St Anthony’s School atAlexandra Hills, Queenslandadded a ‘Dress for Peace Day’to their fundraising efforts.Fish Friday: At Martin Placein Sydney’s CBD, Peter Doyle@ the Quay and his team oftalented chefs cooked BBQfi sh meals, while Harris Farmdonated bottles of water. Over$3,000 was raised on the day.Lemonade Stall: Well doneto Eve Gascoigne who madeand sold lemonade from herhome on Easter Monday. Evecollected $52 and placedthe money inside the ProjectCompassion Box at UrsulaFrayne Catholic College,Victoria Park, WA.Paint your Nails Purple forPeace: The Vinnies group atSt Aloysius in Huntingfi eld,Tasmania organised a ‘Paintyour Nails Purple for Peace’fundraiser. Students paid agold coin donation for plainpurple nails or $3 for designercrackle nails, with $200 raisedin 20 minutes.Swimming Challenge:Deirdre Wright from St FrancisXavier Parish, Armadale WAraised $324.50 by swimming42 laps of her local pool.“It was the farthest I’d everswum!” she said.A special mention must goto Kevin Rudd and his manypassionate Twitter supporters.Thank you for your greatProject Compassionmessages and for continuingto spread the word.“We are humbledto see thisdemonstrationof almsgivingthroughout thesacred Lentenperiod,” saidJack de Groot,Caritas AustraliaCEO.Every year, Caritas Australiaasks that you support ProjectCompassion, and every yearwe witness your faith in actionwhen we receive your generousresponse. Thanks to you,what started in 1966 as asmall fundraiser has nowbecome one of the largesthumanitarian fundraisingcampaigns in Australia!St Mary’s ParishPrimary Schoolin Goondiwindi,Queensland hadfun with ProjectCompassion.For 50 cents, thestudents entereda raffle. The prize?To cover theirteacher’s facewith mud!/50

DIOCESE PC08 PC09 PC10 PC11 PC12New South Wales $3,459,935 $3,331,824 $3,556,101 $3,469,217 $3,879,387Victoria $1,947,677 $1,730,204 $1,835,200 $1,937,390 $2,283,502Queensland $1,420,084 $1,398,819 $1,522,786 $1,537,157 $1,775,334Western Australia $1,243,788 $1,182,354 $1,231,735 $1,330,955 $1,498,641South Australia $646,114 $618,830 $670,242 $616,713 $725,054Tasmania $146,546 $143,474 $145,901 $156,139 $150,133ACT $249,882 $235,145 $241,542 $546,103 $291,519Northern Territory $56,805 $52,209 $49,790 $49,662 $50,350Ukrainian, Maronite & Anonymous $49,772 $37,012 $48,272 $41,955 $53,922Total $9,220,602 $8,729,870 $9,301,568 $9,685,289 $10,707,842Project Compassion total income by year12,000,00010,000,0008,000,0006,000,0004,000,0002,000,0000$10.7$9.6$9.2$9.3$8.7PC08 PC09 PC10 PC11 PC12Project Compassion webpage views200,000150,000100,00050,0000167,674120,20093,485PC10 PC11 PC12Project Compassion onlineProject Compassion enjoyed awhole new online presence thisyear, achieved through targetedonline advertising and strategiconline marketing initiatives.Our new website launchedin February 2012. ProjectCompassion 2012 webpagesreceived much higher traffi cthan previous years, andwebpage views increased by39% from 2011 (based onfi gures for the six month periodbetween November and Aprilof each year).Another signifi cantimprovement this year wasa more consistent spreadof website traffi c throughoutthe peak six week ProjectCompassion Lenten period.Website usage has alwayssignifi cantly decreased duringthe last few weeks of ProjectCompassion but this year theshift was far less dramaticthan in the past. Webpageviews increased by 234% inthe fi fth week of Lent and by485% in the sixth.Our Project Compassion2012 fi lm, featuring Flabianafrom Timor Leste, was viewed14,219 times in the six monthperiod, November to April.This was a growth of 194%from the 2011 feature fi lm,with 4,830 views.Another popular onlineinitiative for this year’s ProjectCompassion was our inauguralinteractive virtual village whichoffered a new and engagingway for supporters to learnabout Flabiana. This wasthe second most popularpage for Project Compassionwith 12,470 views. Wealso included an interactivemessage board offeringsupporters a tool to post theirrefl ections, and a dedicatedFacebook landing page.“A year ago my husband died. Thiswas very hard, but my childrenare healthy and happy. They enjoyschool and we have enough food… I would like to thank everyonewho has donated money tosupport our activities. Now I seethat our lives are getting better”– Flabiana from Timor Leste.Photo: Caritas Australia Timor Leste/51

Our Caritas Community:our diocesan networkCaritas Australia’s regional engagement team is at the forefront of the agency’s work with oursupporters and donors.In each of the Catholic dioceses of Australia along with the Ukrainian and Maronite Eastern Catholic Rite Dioceses, there is aDiocesan Director appointed or approved by the Bishop of the Diocese. Diocesan Directors and their team work tirelessly, engagingwith parishes, schools and the community to profi le the work of Caritas and to encourage them to act, donate and pray.Diocesan Directors, in the majority of our dioceses, are volunteer workers who roll out Project Compassion each year, support theadvocacy work of the agency and spread the word when help is needed for those who suffer from natural disasters, war and confl ict.In 2011-12 our Diocesan Directors and representatives were:National• Maronite Eastern Catholic Rite Diocese:Mrs Huguette Salame• Ukrainian Eastern Catholic Rite Eparchy: Fr Michael KalkaNSW/ACT• Armidale Diocesan Director: Mr Brian Sullivan• Bathurst Diocesan Director: Sr Maureen Sanderson RSJ• Broken Bay Diocesan Director: Sr Magdalena Tallafer OSA• Canberra/Goulburn Diocesan Director: Rev DeaconJoe Blackwell• Lismore Diocesan Director: Rev Deacon Graeme Davis• Maitland-Newcastle Caritas Team: Mrs Theresa Brierley;Mrs Patricia Bannister; Mrs Lyn Dowling;Mrs Noeleen Osborne• Parramatta Diocesan Director: Sr Louise McKeogh FMA• Sydney Diocesan Director: Mrs Belinda Carson Bourke• Sydney Admin Assistant: Miss Krystie Tham• Wagga Wagga Diocesan Director: Ms Karen Williams• Wollongong Diocesan Director: Mr Tom van KintsQLD• Brisbane Diocesan Director: Mrs Patricia Ryan• Brisbane Admin Assistant: Mrs Maureen de Groot• Cairns Diocesan Director: Mr Paul O’Connor• Rockhampton Diocesan Director: Mrs Margaret Perkins• Townsville Diocesan Director: Mrs Marie Radford• Toowoomba Diocesan Director: Mrs Veronica WhiteNT• Darwin Diocesan Director: Br Joe HughesSA• Adelaide Diocesan Coordinator: Mrs Angela Hart• Port Pirie Diocesan Director: Fr Paul BourkeTAS• Hobart Diocesan Director: Mr Pat O’HalloranVIC• Ballarat Diocesan Director: Mrs Susan Searls• Melbourne Diocesan Director: Sr Margaret Fyfe CSB• Melbourne Admin Assistant: Mrs Alicia Ocampo• Sandhurst Diocesan Director: Fr Rom Hayes• Sandhurst Diocesan Coordinator: Mrs Kerry Stone• Sale Diocesan Director: Mrs Susan GroutWA• Broome: Vacant• Bunbury Diocesan Director: Mr Ray Lowe• Geraldton Diocesan Director: Mrs Tricia Rogers• Perth Diocesan Director: Mrs Ann FairheadDiocesan Directors and theirteam work tirelessly, engagingwith parishes, schools and thecommunity to profile the workof Caritas and to encouragethem to act, donate and pray./52

Ray Lowe in CambodiaIn May 2012, Bunbury Diocesan Director Ray Lowe, while ona holiday to Cambodia with his wife Ingrid, spent a day withCaritas Australia in Cambodia (known as Australian CatholicRelief). Together they visited villages in the province of KampongChhnang to see programs supported by Project Compassion.“Witnessing the outcome of our supporters’ investment inProject Compassion was a very moving experience; especiallyseeing the pride, joy, hope and gratitude in the faces of ourbenefi ciaries. These people are truly the face of Jesus and theysend a clear message of thank you to the people of the Dioceseof Bunbury,” said Ray.Bunbury Diocesan Director Ray Lowe withThavy Vorn, field staff with Phnom Neang KangreiAssociation (PNKA), a partner of Australian CatholicRelief in Cambodia. Photo: Ingrid LoweWorking in the CommunitySandhurst Diocesan Director Fr Rom Hayes (back left), DiocesanCoordinator Kerry Stone (far right) and students from Catholic CollegeBendigo launched Project Compassion 2012 on Shrove Tuesday.L-R: Caritas Australia CEO Jack de Groot; the ApostolicNuncio in Australia, His Excellency Most ReverendGuiseppe Lazzarotto; Br Blazio from Caritas Gweru andBroken Bay Diocesan Director Sr Magdalena Tallafer OSAwith Year 11 students and staff from St Joseph’s CatholicCollege, East Gosford. They are celebrating the launch ofProject Compassion 2012./53

Our Caritas Community:our supportersWe offer our heartfelt thanks to all who gave in 2011-12. Your donationsand support help deliver long-term development programs around the world.Anti-poverty weekNo matter what age you are,you can make a stand againstpoverty! During Anti-PovertyWeek (16-22 October),students from St John theBaptist Primary School inGladstone, Queenslandrefl ected on marginalisedcommunities around theworld. During the week, theylearnt what poverty means.By the end, they translatedtheir thoughts and ideas intobanners, which they proudlyheld up in front of their school.Caritas KsFrom 16-19 December,supporter Bill Mulcahy, withfamily and friends, walked100km and raised $1,180for the world’s marginalisedcommunities.On 4 May, students from NotreDame College in SheppartonVictoria, walked in solidarityfor the world’s poor. Studentswere challenged to askthemselves: why am I doingthis? Could I walk this far everyday for water, for school, to getto the medical clinic?Cuts for a causeOn 22 January, Partners Hairin Glebe NSW and Waratahs’Phil Waugh and Tom Carter,teamed up to raise $9,741 forthe East Africa Crisis Appeal.Famine relief appealIn September, St TheresePrimary School in MascotNSW raised an amazing$39,500.25 for the peopleof East Africa through theirFamine Relief Appeal.Head, heart, handsIn October 2011, Lynn Longand the students from Teangihouse, Santa Sabina Collegein Strathfi eld NSW raised$450 for the Caritas SafeMotherhood Program. Withtheir 2011 pastoral theme‘Head, heart, hands: bettertogether’ as an ideal, eachstudent also stitched a smallsquare to represent love andhome. The squares were thensewn together to make fourcot quilts for the SudaneseCommunity Centre, St BakhitaCentre, Flemington.Ping pong to the rescueIn November, Yahoo!7 heardabout the food crisis in EastAfrica, so they put headstogether and came up witha fun way to raise funds.Holding their ping pong batsin solidarity, they held a pingpong tournament – with$1,111 raised for our EastAfrica Crisis Appeal.Pray 4 providenceFrom 30 September to24 December, the SteadfastCommunity made acommitment of 1-2 hourspraying for providence. Simplyusing the fruit of prayer as theirfundraiser, they raised $8,020for the poorest of the poor.Simply SharingIn June, Simply Sharing – aninitiative of Caritas Australia,Anglican Board of Mission,UnitingWorld, AnglicanOverseas Aid and Act forPeace – was relaunched. Witha new app and online resourcecentre, Simply Sharing isabout coming together as acommunity to stand in solidaritywith those who are often borninto injustice and have little sayin the circumstances they areconfronted with.Team Caritas CongoCity to Surf: On 28 August2011, a group of Bunburysupporters in WesternAustralia formed TeamCaritas Congo to raisemoney and awareness ofCaritas Australia’s work inthe Democratic Republicof Congo (DRC). The teamcompeted in Perth’s City toSurf and raised $4,000.WA farmersIn November 2011, farmersacross Western Australiawere asked to give up a smallpercentage of the profi tsfrom their grain harvest ina generous bid to help thepeople in drought-strickenEast Africa.Driven by retired farmer,Laurie “Toby” Watson, andhis mates Alan McGill andFrank Schwarzbach, theinitiative had the support ofone of Australia’s largest grainorganisations, ConsolidatedBulk Handling (the CBHGroup), which helped toadminister the program.‘The Poor Deserve More’ wrote students from St John the BaptistPrimary School in Gladstone, Queensland.On 4 May, students from Notre Dame College in Shepparton Victoria, walkedin solidarity with the world’s poor for Caritas Ks./54

Where our supporters liveNT - 0.5%WA - 12.0%QLD - 14.8%SA - 6.9%Other - 1.0%NSW - 34.7%ACT - 3.0%VIC - 25.4%TAS - 1.7%Grand Total 100%Where our new supporters are coming fromThis table illustrates where our new supporters are coming from. Our largest sources are from Project Compassionand emergency appeals. We currently do not conduct any supporter acquisition campaigns.2007-08 2008-09 2009-10 2010-11 2011-12 TotalProject Compassion 8,184 6,687 7,617 7,568 6,480 36,536Emergency 2,121 718 5,733 3,064 3,389 15,025Other 568 607 397 330 626 2,528Direct mail 493 421 367 413 459 2,153Peer-to-peer- 20 245 406 675 1,346fundraisingInternet 72 101 103 270 641 1,187Specified country 125 140 49 91 66 471Bequest 21 40 27 43 57 188Phone 51 38 28 20 19 156Caritas Ks - 36 1 5 - 42Total 11,635 8,808 14,567 12,210 12,412 59,655Direct Mail includes:autumn, winter, spring,summer newsletters,Global Gifts, end offinancial year appeal,August appeal.Other includes: inperson, In Celebration,school, parish, WorkPlace Giving, specifiedbeneficiaries, hopegiver,Be More, online,major supporters./55

Our Caritas Community:our supportersBequests: a legacy of loveThanks to the foresight and generosity of many of our supporters who have chosen to makeCaritas Australia a beneficiary of their will, in the financial year 2011-12 we have received inexcess of $2.3 million from 69 separate bequests.Every bequest, large or small allows Caritas Australia to help families whose lives have been devastated by natural disaster orconfl ict; support communities through long-term development programs which encourage self-reliance; and promote a just andcompassionate society at home and abroad.We would like to express our condolences to the family and friends of those who left a lasting gift to Caritas Australia; a gift in theirwill. Please know that you are in our thoughts and prayers.Aida Grace ArenaMary BainiLaurent Van BeemPatricia Mary BennettDulcie Carmen BogaarsJoseph James BoseleyRobert William BuckbyHarry Herbert BugdenDavid P BurrowMargaret Mary CapraRev. Graham Mills CarrPeter ChiversMonica Mary ConnoleAzuva Ellen CoxMargaret Mina CunninghamRobert Stephen CurtinLorna May DaviesWilliam Walter Digby DigginsAlan Patrick DwyerGraeme Henry DwyerJohn Gavan DwyerGrace Agnes DyerAlma EastwoodMary June EgertPeter Roch FarleyCatherine FaulksJanina GajewskiKathleen Mary Denmeade GillHazel Belle GodwinMartha Anne GreenVeronica Joyce GunnulsonPhilomena Bridget HartmanMargaret Clare HerbertJosephine Lily JamisonFrances KeanW T KeaneMargaret Eleanor KennyLie Mie KhioenTeresa Frances KillianMary R KineallyKathleen Blanche LandersMichael Francis LarkinMarie Helen LeedhamFredrick LehmannOlvia May LewisAlison LloydConcetta LoccoJoseph Mathew Francis LyonsJoy McMullanJohn Michael MalloneMonica Gertrude ManganAngela MogaverroKathleen Fiona MoorePeter John NorrisLucy Hazel PetryRonald RodgersAbel RuizBrian Ritchie RyanMaria SteenbergenFather Kevin SweeneyPhyllis Agnes VerityBeatrice WalkerPatrick Joseph WalshEthel Mary WebbMavis M WebbEarl Knowles WilkinsonOllie WintersPatrick G VallenceMarie VicqSupporters and corporate sponsorsCaritas Australia wishes to express our appreciation for the help we have received from our Trusts andFoundations, Major Supporters and Corporate Partners, in 2011-12. Your loyalty funds much of ourongoing emergency assistance and community development programs. We thank you for your vision.In 2011-12 our special thanks go to:Delron Investments Pty LtdThe Flannery FoundationTom and Carolyn LyonsO’Brien Family FoundationThe Patronax FoundationBritta Ross on behalf ofThe Gordon Ross FoundationThe Rossi Foundation/56

In 2011, with support from the AustralianGovernment’s Dollar for Dollar initiative(5 October to 30 November) and theAustralian community, over $7.7 millionwas raised for our East Africa CrisisAppeal. Your assistance helps providefood, fresh water and shelter to peoplelike this four-year-old girl and her babysister near Musavani village in Kenya,December 2011. Photo: Caritas Kenya/57

Our Caritas Community:living our valuesAt Caritas Australia we are committed to living the values of Catholic Social Teaching (CST) bothin our external work with partners and communities and in our internal operations. This includesdemonstrating those values in the day-to-day activities of our staff and offices.Faith and wellbeingThe Church has alwaysadvocated that the familyshould be at the forefront ofsociety’s obligations. “Thefamily must be helped anddefended by appropriatesocial measures. Wherefamilies cannot fulfi l theirresponsibilities, othersocial bodies have the dutyof helping them and ofsupporting the institution ofthe family” – Catechism ofthe Catholic Church (Part 3Life in Christ).At Caritas Australia, wesupport our staff balancework and family commitmentsby offering a generous14 weeks paid parentalleave allowance, one weekpaid parental leave forfathers and fl exible workingarrangements. This yearwe continued to supportour staff to meet their familycommitments with 27% ofstaff members working ina part-time arrangement.Furthermore 11% of full-timestaff members worked fromhome one day a week, and28% of staff worked fromhome on an ad hoc basis.Minimising our footprintCaritas Australia is striving toimprove our environmentalfootprint by employinginitiatives such as recyclingunwanted computer hardwarethrough the Planet GreenRecycling Centre andprinting waste through PlanetArk; printing on doublesidedpaper; using moreecologically-friendly productsin our bathrooms; andrecycling cardboard, paper,milk cartons, plastic, glassand tins.We have also introducednew IT initiatives, such asmoving more resourcesonline and lowering printand DVD production runs,and continuing practicessuch as online receiptingfor website donations. Thishas signifi cantly reducedpaper usage. We have alsovirtualised our data centre,which reduces electricityconsumption as it minimisesthe amount of electronicequipment drawing energyand reduces the drain onair-conditioning.Cultural awarenessIn 2012, we celebratedthe 40th anniversary ofthe Australian IndigenousProgram which has its rootsin the early 1960s whenfunds were raised to providea deep-sea fi shing boat forthe people of Melville Island,west of Arnhem Land in theNorthern Territory. In the1970s, Caritas Australia (thenknown as Australian CatholicRelief or ACR) graduallybegan to fund Indigenousprojects, starting with twoin 1973.Our Reconciliation Action Plan(RAP) working group meetsregularly to discuss eventsand cultural recognition.Our fi rst RAP group wasdeveloped in 2008 in closeconsultation with RecognitionAustralia who providedguidance, resources andfeedback on our initial RAPdraft. The RAP was revisedfor this fi nancial year.In 2011-12, the RAP grouporganised in-house eventsfor NAIDOC Week (1-8 July),National Sorry Day (26 May)and National ReconciliationWeek (27 May-3 June). Onthese days, the Australian,Aboriginal and Torres StraitIslander fl ags were fl ownat Caritas Australia’s headoffi ce, Sydney. The group hasplanned a two-day culturalawareness workshop withRed Dust Healing for staffmembers in 2013.In February 2012, a messagewas added to all outboundstaff emails: “Caritas Australiaacknowledges the Gadigalpeople as custodians of theland where our head offi ceis located and the traditionalowners of the land on whichour offi ces are based. CaritasAustralia pays its respects tothe elders past and presentof all nations and clans ofFirst Peoples in Australia.”For every RAP or IndigenousAustralia team event, weacknowledge the Gadigalpeople from the Eoranation on which our headoffi ce stands. On severalformal agency eventsa representative for thetraditional owners wasinvited to open and delivera Welcome to Country.Health and safetyWith the implementationof the new Work Healthand Safety Act in January2012; and to maximise andmaintain best practice for asafe and healthy workplaceculture, a consultant wasengaged to brief all managerson their obligations andresponsibilities. In additionto this initiative, we continueto actively promote healthand safety practices toall staff members throughregular work health and safetyupdates. At induction, newstaff members receive trainingon good safety practices.At Caritas Australia wealso continue our focus onmaintaining a high priorityfor a safe work environment.In our Australian offi ceworkplace safety inspectionsare carried out on abi-annual basis; similarly ourinternational staff undertakesafety workplace inspectionsin their respective internationaloffi ces and report back to ouragency. Staff members whowork from home either on aregular or ad hoc basis alsocarry out mandatory safetyand risk assessment of theirhome offi ce environment.For this reportable year weprovided one ergonomic chairfor a staff member’s homeoffi ce environment.For the next reporting year,we have purchased a trainingvideo. Each staff member willbe required to participate inan online safety session onpotential hazards in the offi ceenvironment.Gender diversityOur Leadership Team has amix of two males and threefemales while our Australianbasedmiddle managementhas a complement of eightmales and six females.Overall, the gender mix ofour Australian-based staffis currently 68% female and32% male. The percentagesare the exact reverse in ourinternational locations with32% female and 68% male./58

In March 2012, Chanthea Nou and Zeynep Selcuk from the Southeast Asia team, visited our seven partners in Cambodia. This dam andcanal built by our partner, Environment Protection and Development, was badly damaged in last year’s floods. During this visit, it was inthe final stages of rehabilitation. Photo: Kong Sopheap, Australian Catholic Relief (ACR), CambodiaGender diversity – Australian based staffStaff SnapshotScott MartinAACES Coordinator(Australia Africa CommunityEngagement Scheme)32%68%Gender diversity – international offices32%FemalesMalesScott started with ouragency in February 2003on a 13-month maternitycover role and works in ourNairobi offi ce, Kenya. As theincumbent did not return,he was offered a full-timeposition with Caritas Australia.Scott now coordinates thefi ve-year AusAID fundedAACES program which aimsto improve people’s lives inTanzania and Malawi.“I enjoy working for Caritasbecause the agency’sapproach to communitydevelopment is respectful andempowering to partnersand communities. We arereceived with grace, warmthand generosity but weshould always be listeningand learning.“The genuine joy expressedby the communities we servealways touches me. Onoccasions we visit Maasaicommunities and the warriorscame out fully decorated,plaited, painted and beaded,with weapons; singing anddancing to welcome us. Thatis always a privilege and trulyunforgettable.”68%FemalesMales/59

Our Caritas Community:our peopleAt Caritas Australia we employ a diverse group of passionate people who are committedto our mandate in tackling the causes of poverty and to bring about long-term change tothe poorest of the poor. In turn, we are committed to giving our people optimal workingconditions, ongoing support and focused direction through our regular training opportunitiesand flexible working conditions.Caritas Australia is an EqualEmployment Opportunity(EEO) employer. We welcomeand encourage Aboriginaland Torres Strait Islanderapplicants for all advertisedpositions. At the end of thereporting year we had a totalof 187 staff; 87 located withinAustralia and 100 based ina number of internationallocations. Over this yearwe increased our staffi ngnumbers by eight, which is theequivalent of 6.2 full time staff.VolunteersWe have an extendednetwork of Diocesan Directorsand regular offi ce volunteersacross Australia, all whogenerously give their timeeach week; approximately312.5 hours nationally.We also have volunteerswho either assist duringemergencies or with ad hocproject work.This year three of our projectwork volunteers have foundpermanent employmentopportunities within the agency.All volunteers receive anorientation to CaritasAustralia and a furthertask-specifi c inductionprogram is customised tothe volunteer’s role.Staff engagementand terminationWe engaged 28 peopleon contract or ongoingemployment this reportingyear. In February weengaged an external providerto undertake employeeattachment surveys for newemployees. The surveysmeasure the alignment andengagement levels of newstaff based on 20 specifi cdrivers that infl uence anemployee’s behaviour andperformance within theteam and the wider agencyover their fi rst 100 days.To June 2012, we receivedeight reports with overallattachment scores rangingfrom 73% to a pleasinghigh of 98%.In 2011-12, Caritas Australiahad 22 staff departures,compared to 18 in 2010-11.From the exit surveysundertaken we found morethan half the respondentsidentifi ed two key reasons forleaving. These were either acareer change or relativelylimited opportunities tomeet that individual’s careeraspirations at the time ofresignation. On the positiveside, the respondents said theywould return to Caritas if theright opportunity was available.In comparing longevity ofstaff engagement, in 2009,11 Australian-based staffmembers had four years ormore of service, pleasinglythis number increased to27 staff as at June 2012.This positive trend can inpart be attributed to theincrease in numbers of staffpromotions and expandingcareer opportunities.Years of service of Australian staff(excludes casuals and expats)11%21%30%14% 0

Staff SnapshotLuke SypkesStrategic PlanningAnalystStaff SnapshotLizzie BorwickFundraising and DonorServices Group LeaderIn August 2011, in his fi nalsemester of a Masters inInternational Development atthe University of NSW, Lukebegan as a volunteer withthe communications team– researching and writing forthe new website which waslaunched in February 2012.Luke was then offered anine-month contract with thestrategic planning team. Heis hoping to work with Caritasfull-time when the right rolebecomes available.“Ever since I visited TimorLeste in 2003, I’ve wantedto work for an internationaldevelopment agency. I’vebeen lucky enough to visitover 10 countries in thedeveloping world; as wellas work in Burma, Thailand,India and the Philippines.“I enjoy working at Caritasbecause the staff are greatfun; they’re also seriouslycommitted to their work.Everyone at the agencygenuinely cares about theirwork mates and the peoplewe serve.”Lizzie grew up in Norwich,United Kingdom, andstudied geography atuniversity. After three yearsworking in fundraising, sherelocated to Australia, takingup a full-time position atCaritas in June 2006.Lizzie now manages amulti-disciplinary team of 15and helps to raise funds forCaritas Australia. After eightand a half months maternityleave, Lizzie returned to workpart-time.“It’s important to be happy.My gran always says: ‘Behappy in what you do andwho you are, and the restwill follow.’ I’ve carried thisthrough life and it’s somethingI will tell my daughter.“I enjoy working at Caritasas I’m passionate aboutfundraising and the positivechange Caritas creates inthe world. The agency isalso very fl exible with myfamily responsibilities. It’sfantastic to work in suchan understandingenvironment with peoplewho make me smile.”This year we also updatedand published policies andguidelines for ACFID Code ofConduct; ACBC Work Healthand Safety; ACBC WorkplaceBullying and Harassment;ACBC Grievance Procedure;Confl ict of Interest; Privacy;Recruitment and Selection;National History CriminalCheck; Travel; Workingfrom Home; and Parent’srequest for Flexible WorkingArrangements.Building the agency’sperformanceWe have further enhancedthe annual performanceappraisal system to includea competency frameworkwith a focus on behavioursvalued by Caritas Australiaand based on Catholic SocialTeaching (CST) principles.The development of thecompetency framework grewthrough the collaboration ofa workgroup. This group wasa blend of managers andstaff from across the agencywho brought a wealth ofknowledge, experience andinsights to the workgroup.A new Employee SystemsPortal (ESP) has beenimplemented with the keybenefi ts of enabling managersto view their team’s leave andgiving each staff member theability to change their personaldetails, store performancereview documents andtraining records.To complement the newESP, we developed aseries of effective trainingvideo tutorials with easyto follow instructions. Thisonline training enabled ourstaff within Australia and ininternational locations theability to quickly adopt thenew ESP.Lost time injuriesIn Australia over the reportingyear, we had one lost timejourney injury with a lossof four days and fi ve offi ceincidents with no time lost. InTimor Leste there was onereportable journey injury withno time lost. Both reportedinjuries were staff journeysto work. We address allincidents and accidentsthrough a formal investigationprocedure; our goal is toprevent the likelihood ofreoccurrences.Training and developmentDuring the year, externalcontractors were engagedto deliver training sessionson key topics including childprotection; bullying andharassment; occupationalhealth and safety (OHS)consultation; fi rst aid; jobevaluations and fi re wardenresponsibilities. In-housetraining sessions were offeredon performance appraisalsand our IT DocumentManagement System; andwe ran refresher sessionson child protection trainingfor partners.A number of staff membershave taken advantage ofprofessional developmentopportunities over thepast year in the form ofpromotions, higher dutiesand role changes. Ouragency also offers up to120 hours of approvedtertiary study leave andfi nancial assistance. Takingadvantage of this generousassistance, four staffmembers are undertakinga tertiary 12-month Diplomain Management.For the coming reporting year,professional development incultivating individual capacity,expertise and skills for staff hasbeen identifi ed as a priority.Looking aheadCaritas Australia has notyet delivered the plannedOrganisational Development(OD) function. The timing ofintroducing this OD functionhas been delayed pendingthe fi nalisation of our newstrategic plan. Importantly akey part of the new strategicplanning process is theformation of the OD function./61

Our Governance:ACBC and National CouncilCaritas Australia is anagency of the AustralianCatholic Bishops Conference(ACBC) and we conductour operations in accordancewith ACBC policy andmandate. The President of theACBC is the Archbishop ofMelbourne, Denis Hart DDand the Vice President isthe Archbishop of Adelaide,Philip Wilson DD JCL.The ACBC establishedthe Bishops Commissionfor Justice, Ecology andDevelopment (BCJED),which is responsible foroverseeing the activities ofCaritas Australia. The BCJEDappoints, from among theirmembership, the Chair ofthe National Council ofCaritas Australia.At the ACBC Plenary meetingin May 2012, ArchbishopPhilip Wilson was electedas Chair of the BCJED andCaritas Australia. The Bishopof Darwin, Eugene Hurleywas reappointed as DeputyChair of Caritas Australia andthe Bishop of Port Pirie,Greg O’Kelly was elected asa second Deputy Chair.Caritas Australia’sNational CouncilOur National Council isresponsible for ensuringthe good governance andeffective implementation ofCaritas Australia’s mandate.The Council provides strategicdirection and timely andindependent advice to theBCJED on the formation ofpolicies and administrationof the agency.Caritas Australia’s NationalCouncil comprises 13members and is responsiblefor the overall governance ofthe organisation. They metfour times during the 2011-12period, as scheduled.Achievements for the NationalCouncil included: successfulmanagement of a smoothtransition of the leadershipbetween retiring Chair of nineyears, Archbishop Adrian Doyleto Archbishop Philip Wilson;set and delivered a processfor building back reserves toensure long-term sustainabilityof our program commitments;and adoption of theorganisation’s ReconciliationAction Plan (RAP).The National Council waschallenged with navigatingthe changing dynamics ofthe Caritas InternationalisConfederation and identifyingan appropriate way forwardfor the organisation toparticipate and bestleverage the strengths of theConfederation. In addition toplanning for the transition ofChair leadership, three newmembers were welcomedto the Council and requiredappropriate orientation to theirnew governance role and theorganisation. The NationalCouncil also participatedin the strategic planningprocess at different stagesthroughout the year. Below isa table showing the numberof National Council meetingsattended by each member ofthe Council during the period.NameNo of meetingsheld during timein officeNo of meetingsattended duringtime in officeDate of appointment/retirementArchbishop Adrian Doyle 4 4 Retired March 2012Archbishop Philip Wilson n/a 1st meeting: Appointed May 2012July 2012Bishop Eugene Hurley 4 3Bishop Greg O’Kelly n/a 1st meeting: Appointed May 2012July 2012Mr Michael Burnett 1 1 Appointed January 2012Mrs Louise Campbell-Price 4 2Mr Chris Carlile 4 3Ms Louise Crowe 4 2Dr Leoni Degenhardt 4 3Mr Anthony Fogarty 1 1 Appointed January 2012Mr Richard Haddock 4 4Ms Virginia Miller 4 3 Retired December 2011Ms Andree Rice 4 2Ms Jennifer Stratton 4 3Mr Derrick Tranter 4 3 Retired December 2011Mr Robert Ward 4 3Note: In 2012, we said farewell to ourChairman, Archbishop Adrian Doyle,and in December 2011 membersMs Virginia Miller (Tas) andMr Derrick Tranter (NT). We welcomeour new Chairman, Archbishopof Adelaide Philip Wilson DD JCL;Deputy Chairman, Bishop ofPort Pirie, Greg O’Kelly SJ AM DD;and in January 2012, membersMr Michael Burnett (Tas) andMr Anthony Fogarty (NT).Committees within National CouncilThe National Council has two standing committees: the Audit and Risk Management Committeeand the Remuneration Committee. Both committees have formal terms of reference that arereviewed annually. They report to the National Council which makes recommendations to theBCJED where necessary./62

Audit and RiskManagement (ARM)CommitteeMembers:Mr Richard Haddock,Mr Michael BurnettThe ARM Committeefocuses on the fi nancialprobity and effi ciency of ourorganisation’s operationsand reports regularly tothe National Council onfi nancial compliance and riskmanagement. The NationalCouncil ensures that thefi duciary responsibility ofCaritas Australia is fulfi lled andthat our policies and practicesare ethical and meet all legalrequirements. The BCJEDhas appointed an HonoraryTreasurer to the NationalCouncil of Caritas Australiawho chairs the ARM.The ARM Committee met ninetimes in the July 2011 to June2012 period. Achievements ofthis committee included:review and oversight ofthe organisation’s monthlyfi nancial accounts; approvalof the budget and forecasts;and to monitor the impact ofthe Australian Charities andNot-for-profi t Commission(ACNC). Going forward thiscommittee will be responsiblefor ensuring that there is aframework for resourcing thenew strategic plan and thatwe work to comply with therequirements of the ACNC.Remuneration CommitteeMembers:Dr Leoni DegenhardtMr Chris CarlileMr Richard HaddockThe Remuneration Committee’spurpose is to review theremuneration of the CEO andmembers of the LeadershipTeam who report to the CEO.The committee met once duringthe July 2011 to June 2012period to review remuneration.Organisational structureAustralian Catholic Bishops ConferenceBishops Commission for Justice,Ecology and DevelopmentChief ExecutiveOfficerNational CouncilExecutiveSupportCorporate ServicesInternationalProgramsHuman ResourcesCommunityEngagementAccountsInformation TechnologyReception /AdministrationHumanitarian &EmergenciesThe Pacifi cAfrica &Latin AmericaProgram Effectiveness,Accountability& LearningIndigenousAustraliaSoutheastAsiaSouth Asia,Burma &Timor LesteAustralian CommunityPartnershipsEducationFundraising &Donor ServicesCommunicationsPhoto: Marden Dean in NepalPapua NewGuineaSolomonIslandsKenyaCambodiaIndonesiaTimor LesteBurma/Myanmar/63

Caritas Australia:National CouncilThe role of the National Council is to provide advice and oversight on the strategic directionsof Caritas Australia’s work.Chair: ArchbishopPhilip Wilson DD JCLArchbishop Wilson grew upin Cessnock, Hunter ValleyNSW, and served as a priestin nearby Maitland. He wasordained a Bishop in 1996when he was appointed byPope John Paul II as Bishopof Wollongong. Five yearslater, he became the eighthArchbishop of Adelaide. In2006, Archbishop Wilsonwas elected President of theAustralian Catholic BishopsConference and subsequentlyre-elected twice more. In2012, he was elected VicePresident and is currently Chairof the Bishops Commissionfor Justice, Ecology andDevelopment (BCJED).What inspires me aboutCaritas: “It is a clearexpression of the CatholicChurch’s commitment to thecare of people in need.”Deputy Chair: BishopEugene Hurley DDBishop Hurley was appointedBishop of Darwin in 2007.From 1999 to 2007 he servedthe Diocese of Port Pirie asBishop, having worked thereas a priest since 1964. He hasserved as Army and IndustrialChaplain, and in the 1990slectured at the University ofSA in Australian sociology,philosophy and a postgraduateprogram in counselling. Heis currently the Chair of theBishops Commission forPastoral Life and is a memberof the BCJED.What inspires me aboutCaritas: “Caritas addressesthe basic command of JesusChrist to recognise Him inothers in need.”Deputy Chair: BishopGreg O’Kelly SJ AM DDBishop O’Kelly was ordainedAuxiliary Bishop of Adelaidein 2006, and in 2009became the 11th Bishopof the Diocese of PortPirie. Prior to this, he wasprincipal of Jesuit collegesin Adelaide and Sydney;Chairman of the SouthAustralian Catholic SchoolsCommission; Chairman ofthe Association of Headsof Independent Schools ofAustralia; and President ofthe South Australian Councilof Churches. He received theOrder of Australia for his workin education, is currently Chairof the Bishops Commissionfor Catholic Education and amember of the BCJED.What inspires me aboutCaritas: “Caritas is thepresence of the Church formany people in great need.”Treasurer:Richard Haddock AMMr Haddock commenced hisprofessional life as a lawyerwith Blake Dawson Waldron;he then worked for BNPParibas and wasDeputy General Managerat the time of leaving.Mr Haddock is presently Chairof CatholicCare; AustralianCatholic Superannuationand Retirement Fund; TheCurran Foundation; Sistersof Charity Foundation; andCommonwealth ManagedInvestments Ltd. He isa Director of CatholicChurch Insurances Ltd andRetirement Villages GroupLtd, and a member of theFinance Council of theArchdiocese of Sydney.What inspires me aboutCaritas: “Our strongcommitment to help thepoorest of the poor andmake a lasting difference topeople’s lives.”NSW:Louise Campbell-PriceMrs Campbell-Price is from theMaitland-Newcastle Dioceseworking in education withinCatholic schools. She belongsto the tribal group Gumbainggirand is very involved in theAboriginal Catholic Movement,believing in the importanceof empowering IndigenousAustralians. Mrs Campbell-Price is Coordinator of theAboriginal Catholic Ministry inNewcastle and Chair of theNSW Aboriginal and IslanderCatholic Council.ACT: Chris CarlileMr Carlile works for theAustralian Government inthe Department of Health.He has expertise in policydevelopment, nationalprogram management,community capacity buildingand disaster recovery. For sixyears he worked in a torture/trauma rehabilitation servicein the ACT as a counsellorand program manager. Hehas worked at a communitylevel in the Philippines andBougainville, and is currentlya member of the AustralianCivilian Corps.What inspires me aboutCaritas: “Our commitmentto empower and supportpartner organisations allover the world.”VIC: Louise CroweMs Crowe teachesIndonesian and ReligiousEducation at LoyolaSecondary College inMelbourne. Previouslyshe worked in project andpolicy development tosupport refugees in theirresettlement with a refugeecounselling and supportservice in Melbourne.Ms Crowe has a stronginterest in development andhuman rights in SoutheastAsia, and has lived andworked with the NauiyuAboriginal community at DalyRiver and with the Corpus/64

Christi community for menaffected by homelessness.What inspires me aboutCaritas: “We takepartnership seriously,enabling those mostaffected by poverty andinjustice to determine ourresponse.”NSW:Dr Leoni DegenhardtDr Degenhardt is Dean of theLeadership Centre at TheAssociation of IndependentSchools of NSW. A formerprincipal of Catholicsystemic and congregationalschools, and a member ofNational Catholic EducationCommission (NCEC) for eightyears, Dr Degenhardt’s PhD isin Educational Leadership. Shehas worked as a consultant inboth education and corporatesectors on leadership, learning,strategy and organisationalchange. Dr Degenhardt’sinvolvement in educationhas spanned all levels, fromearly learning to tertiary, in allsectors: government, Catholicand independent.What inspires me aboutCaritas: “Our core missionto work beside and for thepoorest of the poor.”WA: Jennifer StrattonMs Stratton has been GroupDirector of Mission for St Johnof God Health Care WA since2000. Her early professionalexperience in education wasgood grounding for a careerencompassing a range ofroles in industrial relations,policy and research, eventorganisation, professionaland faith development,and human resourcesdevelopment. Ms Strattonis a Fellow of the AustralianInstitute of CompanyDirectors and a Member ofthe Catholic Health AustraliaStewardship Board.What inspires me aboutCaritas: “Our clear focus onthe poorest of the poor andthe vibrancy of the staff whoproduce outstanding work.”SA: Robert WardMr Ward brings broadexperience including 10 yearswith the (then) BHAS LeadSmelters in Port Pirie andover 30 years’ experiencewith the SA AmbulanceService, attaining theposition of District Manager.During this time he gainedsignifi cant experience in theunderstanding of disasterresponse and recovery.Since World Youth Day 2008,Mr Ward has chaired theDiocesan Committee whichis currently preparing a groupfor Brazil 2013. He is nowretired and maintains a stronginvolvement in communityand church activities.What inspires me aboutCaritas: “By living a CSTphilosophy, and throughdedicated and committedstaff, the world is becominga better place to be in.”QLD: Andree RiceMs Rice is currently DeputyPrincipal – Director ofMission at StuartholmeSchool, Brisbane. She enjoyssearching for new ways tomake Social Justice and CSTrelevant and attractive toyoung people. Ms Rice hasa strong interest in Aboriginaland Torres Strait Islanderissues and has enjoyedworking in Tennant Creekand Kakadu National Park.She was the recipient of theAustralian Catholic Bishops’Social Justice Scholarshipfrom 1998 to 2000.What inspires me aboutCaritas: “Seeing the CatholicChurch working to transformlives; Caritas is the Gospelin action in the world as weknow it now.”TAS: Michael BurnettMr Burnett is a CharteredAccountant and co-owner ofAccru Hobart. Specialisingin tax planning, businessstructures and fi nancialmanagement, he is also anauditor for many not-for-profi t(NFP) entities. He supportedthe establishment of theTasmanian Social EnterpriseNetwork whose aim is toenable NFP organisationsto fl ourish on their own anddecrease dependency ongovernment funding. Thecurrent National ManagingDirector of the Accru Group,Mr Burnett also holdspositions on the Boards ofGymnastics Australia and theCPAAI Asia Pacifi c Region.What inspires me aboutCaritas: “Caritas hasvery lean administrationcosts, and is making realimprovements to the lives ofthose most in need.”NT: Anthony FogartyMr Fogarty’s experienceis in social and economicdevelopment, education andlaw. For over 15 years he hasconsulted to business andcommunity organisations,government and NFPs.Mr Fogarty has workedin developing countriesand is currently managingIndigenous focused programsin the NT. He’s providedoperational and strategicplanning, governance, humanresource management,economic development,law, education and trainingresources to organisations.He enjoys working withpeople and on projects thatfocus on social development,education and employment.What inspires me aboutCaritas: “We tackle difficultand complex situationsthroughout the worldwhile basing our work onthe simplicity of Jesus’teachings.”/65

Caritas Australia:Leadership TeamOur Leadership Team provides direction to our agency’s core work,and informs National Council decisions.Jack de GrootChief Executive OfficerMr de Groot has been CEOof Caritas Australia sinceAugust 2000. He hasoversight of the executivemanagement of Caritasand implementation of thestrategic priorities and policiesof the National Council.He is recognised as a leaderin the Australian internationalNGO network and is afrequent speaker on thekey aid and justice issuesfacing the poor throughoutthe world. His experienceis sought by governmentadvisors and colleagues bothinternationally and in Australia.Mr de Groot is a memberof the Executive Committeeof the Australian Council forInternational Development(ACFID), the peak body forAustralia’s international aidand development agencies.He is an adjunct Professorat the Australian CatholicUniversity; a member of theUniversity of Notre DameBoard of Governors; and amember of the St John ofGod Health Care GoverningBoard. He is also a memberof the Representative Councilfor Caritas Internationalis.I enjoy working for CaritasAustralia because: “Caritasis an organisation ofincredible energy. We areanimated by the resilienceof the poor and their ownenergy to bring change.Our commitment to pursuechanges that celebratedignity and proclaim justiceinspires me.”Peter CarterChief Financial OfficerA Chartered Accountant withbroad experience, Mr Cartertrained and worked with achartered fi rm whose clientsspanned diverse industriesfrom not-for-profi t (NFP) toASX-listed public companiesfollowed by a number of yearsin the UK working primarily inthe fi nance sector.He has 12 years ofexperience with disabilityorganisations and six yearsin the aid and developmentsector – starting with CaritasAustralia in 2006. He haspresented for the NationalDisability Services (NDS) ontaxation and remunerationissues and for ACFID onaccountability within theNFP sector. Mr Carter iscurrently an adjudicator onthe Australasian ReportingAwards panel for Division2 – Community andWelfare, including CharitableOrganisations.I enjoy working for CaritasAustralia because: “Iappreciate the opportunityto contribute to the lifechangingoutcomes in thecommunities we work with.”Pam MoitieHuman ResourcesManagerMs Moitie has extensiveexperience as a humanresources practitioner havingworked within the corporatesector, federal governmentand an NGO disability group.She has worked with CaritasAustralia since 2007.Ms Moitie’s career highlighthas been increasing EqualEmployment Opportunity(EEO) awareness andorganisational responsibilitiesin the corporate sector.She achieved this throughchampioning equity anddiversity principles andprogressing programs forwomen, Australian Aboriginaland Torres Strait Islanders,people from non-Englishspeaking backgrounds andpeople with disabilities.She continues to have aspecial interest in promotingEEO and diversity; and is nowan active member of CaritasAustralia’s Gender WorkingGroup and Disability SpecialInterest Group.I enjoy working for CaritasAustralia because: “Ourstaff continually inspiresme with their commitmentand passion to our agency’svision and mission.”/66

Jamieson DaviesInternational ProgramsManagerSince 2009 Ms Davieshas directed internationalprograms at Caritas Australia.From August 2012, shewill serve as Co-Chair ofthe ACFID DevelopmentPractice Committee.Prior to joining CaritasAustralia, Ms Davies workedfor our US partner, CatholicRelief Services (CRS), asGlobal Director of EmergencyOperations, Special Assistantto CRS President, CountryDirector in East Timor,Assistant Country Directorin Zambia, and ProgramManager in Angola.She has 15 years ofinternational relief anddevelopment experience inAfrica, Central America andSoutheast Asia, with a focuson strengthening the capacityof local organisations.I enjoy working for CaritasAustralia because: “Of thetremendous commitmentand talent our staff andpartners bring to our missionof empowering the poorest.It’s a joy to see local Churchand Caritas partners grow,helping communities most inneed to become architectsof their own development.”Helen FordeCommunity EngagementManagerMiss Forde joined CaritasAustralia in 2009. In her role,she has oversight of theagency’s fundraising anddonor services, education,communications and regionalengagement programs.Miss Forde has more than14 years of experiencein senior marketing,communications andfundraising roles across theNFP and corporate sectors,including health and agedcare, technology, the internetand fi nancial services.Prior to Caritas Australia,she was Director of Marketingand Communications atCatholic Healthcare whereMiss Forde oversaw theorganisation’s brand,communications, marketingand fundraising strategies.She has volunteered withJesuit Refugee Service,Jesuit Mission, JosephiteCommunity Aid andSt Vincent de Paul.I enjoy working for CaritasAustralia because: “As oneCaritas community – withour staff, Diocesan Directors,volunteers, supporters andlocal partners – we share aunited vision and commonvalues for creating a morejust and compassionateworld for the poorest andmost vulnerable.”“Caritas is an organisation of incredible energy.We are animated by the resilience of the poorand their own energy to bring change. Ourcommitment to pursue changes that celebratedignity and proclaim justice inspires me.”/67

financial reportFOR THE YEAR ENDED30 June 2012Born into a poor family made poorer by the passing of her father, Chari Maya Tamang was 16 when she was traffickedto India. In 2000, Chari Maya and 15 other survivors established Shakti Sumaha, an anti-trafficking NGO. In 2011, shewas presented with the 2011 Hero Acting to End Modern Slavery Award from US Secretary of State, Hillary RodhamClinton. Chari Maya is a strong supporter of Caritas Nepal; helping women live with dignity. Photo: Katie Orlinksy/68

Independent Auditor’s Reportto Caritas AustraliaFinancial Reportfor the Year Ended30 JUNE 2012Report on the financial reportWe have audited the accompanying fi nancial report of Caritas Australia, which comprises the balance sheet as at 30 June 2012, and the statementof income and expenditure, the statement of comprehensive income, statement of changes in equity and statement of cash fl ows for the yearended on that date, a summary of signifi cant accounting policies, other explanatory notes and the Bishops Commissions for Justice, Ecology andDevelopment’s declaration.Commission Members’ responsibility for the financial reportThe Bishops Commission for Justice, Ecology and Development is responsible for the preparation of the fi nancial report that gives a true and fairview in accordance with Australian Accounting Standards and for such internal control as the Bishops Commission members determine is necessaryto enable the preparation of the fi nancial report that is free from material misstatement, whether due to fraud or error.Auditor’s responsibilityOur responsibility is to express an opinion on the fi nancial report based on our audit. We conducted our audit in accordance with Australian AuditingStandards. These Auditing Standards require that we comply with relevant ethical requirements relating to audit engagements and plan and performthe audit to obtain reasonable assurance whether the fi nancial report is free from material misstatement.An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the fi nancial report. The proceduresselected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the fi nancial report, whether due tofraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation ofthe fi nancial report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinionon the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and thereasonableness of accounting estimates made by the Bishops Commission, as well as evaluating the overall presentation of the fi nancial report.The fi nancial report has been prepared for the purpose of fulfi lling the Bishops Commission’s fi nancial reporting responsibilities. We disclaim anyassumption of responsibility of any reliance on this report or on the fi nancial report for any purpose other than which it was prepared.We believe that the audit evidence we have obtained is suffi cient and appropriate to provide a basis for our audit opinion.Basis for Qualified OpinionCash from donations and other fundraising activities are a signifi cant source of revenue for Caritas Australia. The Bishops Commission hasdetermined that it is impracticable to establish control over the collection of revenue from these sources prior to entry into its fi nancial records.Accordingly, as the evidence available to us regarding revenue from cash donations and other fundraising activities was limited, our audit procedureswith respect to revenue from these sources had to be restricted to the amounts recorded in the entity’s fi nancial records. As a result, we are unableto express an opinion as to whether revenue from cash donations and other fundraising activities is complete.Qualified opinionIn our opinion, except for the possible effects of the matter described in the Basis for Qualifi ed Opinion paragraph, the fi nancial report of CaritasAustralia, presents fairly, in all material respects the fi nancial position as at 30 June 2012, and its fi nancial performance and its cash fl ows for the yearthen ended in accordance with Australian Accounting Standards and the Australian Council for International Development (ACFID) Code of Conduct.PricewaterhouseCoopersMark DriessenPartnerSydney,15 October 2012PricewaterhouseCoopers, ABN 52 780 433 757Darling Park Tower 2, 201 Sussex Street, GPO BOX 2650, SYDNEY NSW 1171T: +61 2 8266 0000, F: +61 2 8266 9999, www.pwc.com.auLiability limited by a scheme approved under Professional Standards Legislation./69

Bishops Commission for Justice,Ecology and Development Declarationto Caritas AustraliaThe Bishops Commission declares that:1. The fi nancial statements and notes, as set out on pages 69 to 86:(a) give a true and fair view of the fi nancial position as at 30 June 2012 and of the performance for the year ended on that date; and(b) comply with Accounting Standards in Australia and Australian Council for International Development (ACFID) Code of Conduct; and2. In the opinion of the Commission, as at the date of this declaration, there are reasonable grounds to believe that Caritas Australia will be able topay its debts as and when they become due and payable.3. Note 1 confi rms that the fi nancial statements also comply with Australian Accounting Standards and the Australian Council for InternationalDevelopment (ACFID) Code of Conduct.This declaration is made in accordance with a resolution of the Commission.Archbishop Philip WilsonBishop Eugene HurleySydney, NSWDated: 15 October 2012/70

Statement ofIncome and ExpenditureFinancial Reportfor the Year Ended30 JUNE 2012for the year ended 30 June 20122012 2011Note $ $REVENUEDonations and gifts:Monetary 23,199,873 21,463,922Non-monetary 126,625 128,875Legacies and bequests 2,388,011 7,510,648Grants:AusAID 12,431,917 12,330,395Other Australian 941,073 272,253Other overseas 1,957 -Investment income 948,922 879,274Other income 791,363 580,321TOTAL REVENUE 2 40,829,741 43,165,688EXPENDITUREInternational Aid and Development Programs ExpenditureInternational programs:Funds to international programs 28,585,068 25,106,803Program support costs 3,048,806 2,874,185Community education 4,324,138 3,643,441Fundraising costs:Public 2,318,936 2,045,735Government, multilateral and private 112,491 89,265Accountability and administration 827,892 701,841Non-monetary expenditure 126,625 128,875Total International Aid and Development Programs Expenditure 39,343,956 34,590,145Expenditure for international political or religious proselytisation programs 29,200 28,100Domestic programs expenditure 1,578,560 1,205,593TOTAL EXPENDITURE 40,951,716 35,823,838(SHORTFALL) EXCESS OF REVENUE OVER EXPENDITURE (121,975) 7,341,850East Africa Appeal generated 10 per cent or more of the total income for the year ended 30 June 2012. During the fi nancial year, Caritas Australiareceived no income for international political or religious proselytisation programs.The accompanying notes form part of these fi nancial statements./71

Balance Sheetas at 30 June 2012CURRENT ASSETS2012 2011Note $ $Cash and cash equivalents 4 15,287,677 16,297,574Trade and other receivables 98,568 158,034Prepayments 261,630 326,916Other fi nancial assets 6 6,980 -TOTAL CURRENT ASSETS 15,654,855 16,782,524NON-CURRENT ASSETSOther fi nancial assets 5 4,423,442 4,428,898Leasehold improvements, plant and equipment 7 1,102,929 1,374,735TOTAL NON-CURRENT ASSETS 5,526,371 5,803,633TOTAL ASSETS 21,181,226 22,586,157CURRENT LIABILITIESTrade and other payables 8 3,949,890 5,074,774Other fi nancial liabilities 9 - 66,260Other liabilities 10 12,431 12,431Short term provisions 11 320,376 254,705TOTAL CURRENT LIABILITIES 4,282,697 5,408,170NON-CURRENT LIABILITIESOther liabilities 10 5,180 17,611Long term provisions 11 225,025 228,374TOTAL NON-CURRENT LIABILITIES 230,205 245,985TOTAL LIABILITIES 4,512,902 5,654,155NET ASSETS 16,668,324 16,932,002EQUITYReserves 12 10,884,884 13,469,532Accumulated funds available for future use 13 5,783,440 3,462,470TOTAL EQUITY 16,668,324 16,932,002At the end of the fi nancial year, Caritas Australia had no balances in the following Balance Sheet categories: Inventories, Assets held for sale,Investment property, Intangibles, Other non-current assets, Borrowings, Current tax liability, Other non-current liabilities.The accompanying notes form part of these fi nancial statements./72

Statement ofComprehensive IncomeFinancial Reportfor the Year Ended30 JUNE 2012for the year ended 30 June 20122012 2011Note $ $(Shortfall) Excess of revenue over expenditure (121,975) 7,341,850Other comprehensive income:Net (loss) gain on revaluation of fi nancial assets 12 (141,703) 1,415Total Other comprehensive income for the year (141,703) 1,415TOTAL COMPREHENSIVE INCOME FOR THE YEAR (263,678) 7,343,265Statement of Changes in Equityfor the year ended 30 June 2012AccumulatedFunds Committed Specified FinancialAvailable for Funds Purpose AssetsNote Future Use Reserves Reserves Reserve Total$ $ $ $ $Balance at 1 July 2010 3,713,133 - 6,244,648 (369,044) 9,588,737Excess of revenue over expenditure 7,341,850 - - - 7,341,850Other comprehensive income for the year 12 - - - 1,415 1,415Transfers (to) from reserves: 12Committed Funds Reserves (7,655,904) 7,655,904 - - -Specifi ed Purpose Reserves 63,391 - (63,391) - -Balance at 30 June 2011 12,13 3,462,470 7,655,904 6,181,257 (367,629) 16,932,002Shortfall of revenue over expenditure (121,975) - - - (121,975)Other comprehensive income for the year 12 - - - (141,703) (141,703)Transfers (to) from reserves:Committed Funds Reserves 12 (1,450,427) 1,450,427 - - -Specifi ed Purpose Reserves 12 3,893,372 - (3,893,372) - -Balance at 30 June 2012 12,13 5,783,440 9,106,331 2,287,885 (509,332) 16,668,324The accompanying notes form part of these fi nancial statements./73

Statement of Cash Flowsfor the year ended 30 June 2012CASH FLOWS FROM OPERATING ACTIVITIES2012 2011Note $ $Grants and donations received 40,048,509 44,186,388Payments for projects and to suppliers and employees (40,910,426) (35,795,977)GST (net) remitted to the ATO (790,936) (915,821)Dividends received 237,459 162,736Interest received 672,182 611,297NET CASH (USED IN) PROVIDED BY OPERATING ACTIVITIES 15 (743,212) 8,248,623CASH FLOWS FROM INVESTING ACTIVITIESPayments for leasehold improvements, plant and equipment (130,438) (284,279)Payments for investments (136,247) (1,059,049)Proceeds from sale of plant and equipment - 25,074NET CASH USED IN INVESTING ACTIVITIES (266,685) (1,318,254)Net (decrease) increase in cash held (1,009,897) 6,930,369Cash at beginning of year 16,297,574 9,367,205CASH AT END OF FINANCIAL YEAR 4 15,287,677 16,297,574The accompanying notes form part of these fi nancial statements./74

Notes to the Financial Statementsfor the year ended 30 June 2012Financial Reportfor the Year Ended30 JUNE 2012The fi nancial report covers the entity of Caritas Australia which is anagency of the Australian Catholic Bishops Conference.Note 1: Summary of SignificantAccounting PoliciesBasis of PreparationThe fi nancial report is a general purpose fi nancial report thathas been prepared in accordance with Australian AccountingStandards, Australian Accounting Interpretations, other authoritativepronouncements of the Australian Accounting Standards Board andthe Australian Council for International Development (ACFID) Code ofConduct. Caritas Australia is a not-for-profi t entity for the purpose ofpreparing the fi nancial statements.Australian Accounting Standards set out accounting policies that theAustralian Accounting Standards Board (AASB) have concluded wouldresult in a fi nance report containing relevant and reliable information abouttransactions, events and conditions to which they apply. Material accountingpolicies adopted in the preparation of this fi nancial report are presentedbelow. They have been consistently applied unless otherwise stated.The fi nancial report has been prepared on an accruals basis andis based on historical costs, modifi ed where applicable, by themeasurement at fair value of selected non-current assets, fi nancialassets and fi nancial liabilities.The preparation of fi nancial statements requires the use of certaincritical accounting estimates. It also requires the Bishops Commissionto exercise its judgement in the process of applying Caritas Australia’saccounting policies. The areas involving a higher degree of judgementor complexity, or areas where assumptions and estimates are signifi cantto the fi nancial statements, are disclosed in note (o).Accounting Policies(a) Income TaxNo income tax is payable by Caritas Australia as the entity is exempt fromincome tax under Section 50-5 of the Income Tax Assessment Act 1997.(b) Leasehold Improvements, Plant and EquipmentLeasehold improvements, plant and equipment are measured on thecost basis less depreciation and impairment losses.The carrying amount of leasehold improvements, plant and equipmentis reviewed annually by the Bishops Commission to ensure that it is notin excess of the recoverable amount from these assets. The recoverableamount is assessed on the basis of the expected net cash fl ows thatwill be received from the assets’ employment and subsequent disposal.The expected net cash fl ows have been discounted to their presentvalues in determining recoverable amounts.Subsequent costs are included in the asset’s carrying amount orrecognised as a separate asset, as appropriate, only when it is probablethat future economic benefi ts associated with the item will fl ow to CaritasAustralia and the cost of the item can be measured reliably. All otherrepairs and maintenance costs are charged to the statement of incomeand expenditure during the fi nancial period in which they are incurred.DepreciationThe depreciable amount of all fi xed assets is depreciated on a straightline basis over their useful lives to the entity commencing from the timethe asset is held ready for use. Leasehold improvements are amortisedover the shorter of either the unexpired period of the lease or theestimated useful lives of the improvements.The depreciation rates used for each class of depreciable assets are:Amortisation /Class of Non-Current AssetDepreciation RateLeasehold Improvements 10.0%Motor Vehicles 22.5% – 25.0%Plant and Equipment 10.0% – 40.0%The assets’ residual values and useful lives are reviewed, and adjustedif appropriate, at each balance sheet date.An asset’s carrying amount is written down immediately to itsrecoverable amount if the asset’s carrying amount is greater than itsestimated recoverable amount.Gains and losses on disposals are determined by comparing proceedswith the carrying amount. These gains and losses are included in thestatement of income and expenditure. When revalued assets are sold,amounts included in the revaluation reserve relating to that asset aretransferred to accumulated funds available for future use.(c) LeasesLeases of fi xed assets where substantially all the risks and benefi tsincidental to the ownership of the asset, but not the legal ownership, aretransferred to the entity are classifi ed as fi nance leases. Caritas Australiacurrently has no fi nance leases, and it is not the intention of CaritasAustralia to enter into fi nance leases.Lease payments for operating leases, where substantially all the risksand benefi ts of ownership remain with the lessor are charged asexpenses in the period in which they are incurred.Lease incentives under operating leases are recognised as a liabilityand amortised on a straight line basis over the life of the lease term.(d) Financial InstrumentsInitial Recognition and MeasurementFinancial assets and fi nancial liabilities are recognised when CaritasAustralia becomes a party to the contractual provisions of theinstrument. For fi nancial assets, this is equivalent to the date thatCaritas Australia commits itself to either purchase or sell the asset.Financial instruments are initially measured at fair value plus transactionscosts where the instrument is not classifi ed ‘at fair value through profi tand loss’. Transaction costs related to instruments classifi ed ‘at fairvalue through profi t and loss’ are expensed to the statement of incomeand expenditure immediately.Classification and subsequent measurementFinancial instruments are subsequently measured at fair value lessamortised cost using the effective interest rate method or cost. Fairvalue represents the amount for which an asset could be exchangedor a liability settled, between knowledgeable, willing parties. Whereavailable, quoted prices in an active market are used to determine fairvalue. In other circumstances, valuation techniques are adopted.Amortised cost is calculated as:i. the amount at which the fi nancial asset or fi nancial liability ismeasured at initial recognition;ii. less principal payments;iii. plus or minus the cumulative amortisation of the difference, if any,between the amount initially recognised and the maturity amountcalculated using the effective interest method; andiv. less any reduction for impairment./75

Notes to the Financial Statements (continued)for the year ended 30 June 2012The effective interest method is used to allocate interest income orinterest expense over the relevant period and is equivalent to the ratethat exactly discounts estimated future cash payments or receipts(including fees, transaction costs and other premiums or discounts)through the expected life (or when this cannot be reliably predicted, thecontractual term) of the fi nancial instrument to the net carrying amountof the fi nancial asset or fi nancial liability. Revisions to expected future netcash fl ows will necessitate an adjustment to the carrying value with aconsequential recognition of an income or expense in the statement ofincome and expenditure.Financial liabilities at fair value through profit and lossFinancial liabilities are classifi ed ‘at fair value through profi t and loss’where they are derivatives that do not qualify for hedge accounting.Such liabilities are subsequently measured at fair value with changesin carrying value being included in income and expenditure.Loans and receivablesLoans and receivables are non-derivative fi nancial assets with fi xedor determinable payments that are not quoted in an active market andare subsequently measured at amortised cost.Available-for-sale financial assetsAvailable-for-sale fi nancial assets, comprising principally marketableequity securities, are non-derivatives that are either designated inthis category or not classifi ed in any of the other categories. Theyare included in non-current assets unless the investment matures ormanagement intends to dispose of the investment within 12 monthsof the end of the reporting period. Investments are designated asavailable-for-sale if they do not have fi xed maturities and fi xed ordeterminable payments and management intends to hold them for themedium to long term.Financial liabilitiesNon-derivative fi nancial liabilities (excluding fi nancial guarantees) aresubsequently measured at amortised cost.Fair ValueFair value is determined based on current bid prices for all quotedinvestments. Valuation techniques are applied to determine the fair valueof all unlisted securities, including recent arm’s length transactions andreference to similar instruments.ImpairmentAt each reporting date, Caritas Australia assesses whether there isobjective evidence that a fi nancial instrument has been impaired. Inthe case of available-for-sale fi nancial instruments, a prolonged declinein the value of the instrument is considered to determine whetherimpairment has arisen. Impairment losses are recognised in thestatement of income and expenditure.DerecognitionFinancial assets are derecognised where the contractual rights toreceipt of cash fl ows expires or the asset is transferred to another partywhereby the entity no longer has any signifi cant continuing involvementin the risk and benefi ts associated with the asset. Financial liabilitiesare derecognised where the related obligations are either discharged,cancelled or expire. The difference between the carrying value of thefi nancial liability extinguished or transferred to another party and the fairvalue of consideration paid including the transfer of non-cash assets orliabilities is recognised in income and expenditure.(e) Impairment of AssetsAt each reporting date, Caritas Australia reviews the carrying values of itstangible assets to determine whether there is any indication that thoseassets have been impaired. If such an indication exists, the recoverableamount of the asset, being the higher of the asset’s fair value less coststo sell and value-in-use, is compared to the asset’s carrying value. Anyexcess of the asset’s carrying value over its recoverable amount isexpensed to the statement of income and expenditure.Where the future economic benefi ts of the asset are not primarilydependent upon the asset’s ability to generate net cash infl ows andwhen Caritas Australia would, if deprived of the asset, replace itsremaining future economic benefi ts, value in use is the depreciatedreplacement cost of an asset.Where it is not possible to estimate the recoverable amount of anindividual asset, Caritas Australia estimates the recoverable amount ofthe cash generating unit to which the asset belongs.(f) Foreign Currency Transactions and BalancesFunctional and presentation currencyThe functional currency of Caritas Australia is measured using thecurrency of the primary economic environment in which Caritas Australiaoperates. The fi nancial statements are presented in Australian dollarswhich is Caritas Australia’s functional and presentation currency.Transactions and balancesForeign currency transactions are translated into functional currencyusing the exchange rates prevailing at the date of the transaction.Foreign currency monetary items are translated at the year-endexchange rate. Non-monetary items measured at historical costcontinue to be carried at the exchange rate at the date of transaction.Non-monetary items measured at fair value are reported at theexchange rate at the date when fair values were determined.Exchange differences arising on the transaction of monetary items arerecognised in the statement of income and expenditure, except whendeferred in equity as a qualifying cash fl ow or net investment hedges.Exchange differences arising on the transaction of non-monetary itemsare recognised directly in equity to the extent that the gain or loss isdirectly recognised in equity, otherwise the exchange difference isrecognised in the statement of income and expenditure.(g) Employee BenefitsProvision is made for Caritas Australia’s liability for employee benefi tsarising from services rendered by employees to balance date. Employeebenefi ts have been measured at amounts expected to be paid when theliability is settled.Contributions are made by Caritas Australia to superannuation fundsnominated by employees and are charged as expenses when incurred.(h) ProvisionsProvisions are recognised when Caritas Australia has a legal orconstructive obligation, as a result of past events, for which it isprobable that an outfl ow of economic benefi ts will result and thatoutfl ow can be reliably measured.(i) Cash and Cash EquivalentsCash and cash equivalents include cash on hand, deposits held atcall with banks, other short-term highly liquid investments with originalmaturities of three month or less./76

Financial Reportfor the Year Ended30 JUNE 2012(j) RevenueFundraising proceeds, bequests, donations, gifts in kind andcontributions from local groups are recognised as revenue when received.Grant revenue is recognised in the statement of income and expenditurewhen Caritas Australia obtains control of the grant, it becomes probablethat the economic benefi ts gained from the grant will fl ow to the entityand when the amount of the grant can be measured reliably.If conditions are attached to the grant which must be satisfi ed beforeit is eligible to receive the contribution, the recognition of the grant asrevenue will be deferred until those conditions are satisfi ed.Interest revenue is recognised on a proportional basis taking intoaccount the interest rates applicable to the fi nancial assets. Dividendrevenue is recognised when the right to receive a dividend has beenestablished.Gifts in kind are recognised at fair value, when its measurement can bereasonably determined. The contributions included in the fi nancial reportare measured on the basis of the wage or salary expenses incurredby the relevant Archdioceses who have donated staff time to CaritasAustralia. The contributions are also expensed at the same value in theexpense category to which it was related.All revenue is stated net of the amount of goods and services tax (GST).(k) Goods and Services Tax (GST)Revenues, expenses and assets are recognised net of the amount ofGST, except where the amount of GST incurred is not recoverable fromthe Australian Tax Offi ce. In these circumstances the GST is recognisedas part of the cost of acquisition of the asset or as part of an item ofthe expense. Receivables and payables in the balance sheet are showninclusive of GST.Cash fl ows are presented in the statement of cash fl ows on a grossbasis, except for the GST component of investing and fi nancingactivities, which are disclosed as operating cash fl ows.(l) Comparative FiguresWhere required by Accounting Standards, comparative fi gures havebeen adjusted to conform to changes in the presentation for the currentfi nancial year.Key estimates — ImpairmentCaritas Australia assesses impairment at each reporting date byevaluating conditions and events specifi c to Caritas Australia that maybe indicative of impairment triggers. Recoverable amounts of relevantassets are reassessed using value-in-use calculations which incorporatevarious key assumptions.Key judgements – Available-for-sale investmentsCaritas Australia maintains a portfolio of shares and managedfunds with a carrying value of $4,423,442 at reporting date. Certaininvestments, within the portfolio have declined in value but the BishopsCommission does not believe that this decline constitutes a signifi cantor prolonged decline below the prior year’s carrying value. Should pricesremain at levels below prior year’s carrying value for a period in excessof 12 months, the Bishops Commission has determined that suchinvestments will be considered impaired in the future.(p) New Accounting Standards for Application in Future PeriodsChanges in accounting policy and disclosureNo accounting standard has been adopted earlier than the applicationdate as stated in the standard. No new accounting standards,amendments to standards and interpretations issued by the AustralianAccounting Standards Board that are applicable in the current periodare assessed to have a material fi nancial affect on the entity.Accounting Standards and Interpretations issued but not yeteffectiveNew standards, amendments to standards, and interpretations thatare applicable to future periods have been issued by the AASB. It isassessed that adopting these pronouncements, when effective, willhave no material impact on future reporting periods. Caritas Australiahas not elected to apply any pronouncements before their operativedate in the annual reporting period beginning 01 July 2011.The fi nancial report was authorised for issue by the BishopsCommission on 15th October 2012. The Bishops Commissionhas the power to amend and reissue the fi nancial report.(m) ReservesReserves represent funds held for the specifi c purpose for which theywere raised or in the case of general donations, for the commitmentsmade to third parties engaged in aid or development activities wherememorandums of understanding are in place. It has been determinedby the Bishops Commission that these reserves can only be drawnagainst for these specifi ed purposes or commitments.(n) Accumulated Funds Available for Future UseFunds available for future use represent accumulated surpluses availableto fund future projects yet to be determined by the Bishops Commission.(o) Critical Accounting Estimates and JudgementsThe Bishops Commission evaluates estimates and judgementsincorporated into the fi nancial report based on historical knowledgeand best available current information. Estimates assume a reasonableexpectation of future events are based on current trends and economicdata, obtained both externally and within the organisation./77

Notes to the Financial Statements (continued)for the year ended 30 June 2012Note 2: Revenue2012 2011$ $Revenue from Government and other grantsGovernment grants 12,431,917 12,330,395Other Australian 941,073 272,253Other overseas 1,957 -13,374,947 12,602,648Other revenueDonations and gifts - monetary 23,199,873 21,463,922Gifts in kind - non-monetary 126,625 128,875Legacies and bequests 2,388,011 7,510,648Interest - other corporations 662,597 626,372Dividends - other corporations 286,325 252,902Gain on foreign currency translation 19,444 -Fair value gain on fi nancial assets held at fair value through income and expenditure 59,280 -Other income 712,639 580,32127,454,794 30,563,040Total Revenue 40,829,741 43,165,688Note 3: Expenses(Shortfall) Excess of income over expenditure includes the following expenses;ExpensesRental expense on operating leases 675,970 613,798Employee benefi ts 6,487,118 5,656,704Loss on foreign currency translation - 1,944Fair value loss on fi nancial liabilities held at fair value through income and expenditure - 13,584Depreciation of leasehold improvements, plant and equipment 401,137 398,501Note 4: Cash and Cash EquivalentsCash at bank and in hand 1,380,813 2,746,589Short-term bank deposits 13,906,864 13,550,985Total Cash and Cash Equivalents 15,287,677 16,297,574Table of Cash Movements for Designated PurposesCash available Cash raised Cash disbursed Cash availableat beginning of during during at end ofDesignated Purpose / Appeal financial year financial year financial year financial year$ $ $ $Haiti Earthquake Appeal 3,368,051 99,150 (2,376,938) 1,090,263Pakistan Floods Appeal 1,473,647 35,352 (1,323,890) 185,109East Africa Appeal - 5,681,421 (5,330,605) 350,816Other Designated Purpose Appeals 4,455,077 699,461 (1,377,323) 3,777,215Other Purposes 7,000,799 34,442,766 (31,559,291) 9,884,274Total 16,297,574 40,958,150 (41,968,047) 15,287,677/78

Financial Reportfor the Year Ended30 JUNE 2012Note 5: Financial Assets2012 2011$ $Available-for-sale fi nancial assets 4,423,442 4,428,898Available-for-sale fi nancial assets comprise:Unlisted Investments, at fair value:- Managed funds 4,423,442 4,428,898Available-for-sale fi nancial instruments comprise investments in the ordinary issued capital of variousentities. There are no fi xed returns or fi xed maturity dates attached to these instruments.Note 6: Other Financial AssetsFinancial assets at fair value through profi t and loss 6,980 -Financial assets at fair value through profi t and loss comprise:Derivatives, at fair value- Foreign currency forward contract 6,980 -Financial assets comprise foreign currency forward contracts that Caritas Australia has entered intoto minimise the effect of foreign currency fl uctuations on future project payments.Note 7: Leasehold Improvements, Plant and EquipmentOffice Equipment:At cost 1,554,720 1,435,698Accumulated depreciation (1,197,644) (955,233)357,076 480,465Motor Vehicles:At cost 206,413 206,413Accumulated depreciation (166,438) (134,927)39,975 71,486Leasehold Improvements:At cost 1,259,298 1,249,618Accumulated amortisation (553,420) (426,834)705,878 822,784Total Leasehold Improvements, Plant and Equipment 1,102,929 1,374,735(a) Movements in Carrying AmountsMovement in the carrying amounts for each class of plant and equipment between the beginning and end of the current fi nancial year.Office Motor LeaseholdEquipment Vehicles Improvements Total$ $ $ $Carrying amount at 1 July 2010 497,865 44,333 946,759 1,488,957Additions 220,616 61,666 1,997 284,279Disposals - (35,019) - (35,019)Depreciation and amortisation expense (238,016) 506 (125,972) (363,482)Carrying amount at 30 June 2011 480,465 71,486 822,784 1,374,735Additions 120,758 - 9,680 130,438Disposals (1,736) - - (1,736)Depreciation and amortisation expense (242,411) (31,511) (126,586) (400,508)Carrying amount at 30 June 2012 357,076 39,975 705,878 1,102,929/79

Notes to the Financial Statements (continued)for the year ended 30 June 2012Note 8: Trade and other payables2012 2011$ $Trade payables 242,011 308,914Unexpended grants 2,747,063 3,710,555Sundry payables and accrued expenses 474,103 535,066Short-term employee benefi ts 486,713 520,2393,949,890 5,074,774(a) Financial liabilities at amortised cost classifi ed as trade and other payables:- Total current 3,949,890 5,074,774- Less short term employee benefi ts (486,713) (520,239)- Less unexpended grants (2,747,063) (3,710,555)Financial liabilities as trade and other payables 716,114 843,980Note 9: Other Financial LiabilitiesFinancial liabilities at fair value through profi t and loss - 66,260Financial liabilities at fair value through profi t and loss comprise:Derivatives, at fair value- Foreign currency forward contract - 66,260Financial liabilities comprise foreign currency forward contracts that Caritas Australia has entered intoto minimise the effect of foreign currency fl uctuations on future project payments.Note 10: Other LiabilitiesCurrent:Lease incentive 12,431 12,431Non-Current:Lease incentive 5,180 17,611Total Other Liabilities 17,611 30,042Note 11: ProvisionsLong TermOverseasEmployeeEmployeeBenefits Benefits Total$ $ $Opening balance at 1 July 2011 418,983 64,096 483,079Additional provisions raised during the year 104,667 - 104,667Amounts used (42,345) - (42,345)Balance at 30 June 2012 481,305 64,096 545,4012012 2011$ $Analysis of total provisionsCurrent 320,376 254,705Non-Current 225,025 228,374545,401 483,079/80

Financial Reportfor the Year Ended30 JUNE 2012Note 11: Provisions continuedProvision for long-term employee benefitsA provision has been recognised for employee entitlements relating to long service leave. The measurement and recognition criteria relating toemployee benefi ts have been included in Note 1 of this report.Provision for overseas employee benefitsCaritas Australia has recognised a provision for employee on-costs with regards to employees engaged in overseas activities that were Australianresidents for tax purposes.Note 12: Reserves(a) Specified Purpose Reserve:Specifi ed purpose reserve records donations and contributions made to Caritas Australia where the contributor or donor has designated the fundstowards a specifi c appeal or purpose.2012 2011$ $East Africa Appeal:Opening balance - -Transfers to the reserve 5,681,421 -Transfers from the reserve (5,330,605) -Closing balance 350,816 -Haiti Earthquake Appeal:Opening balance 3,368,051 3,783,554Transfers to the reserve 99,150 217,095Transfers from the reserve (2,376,938) (632,598)Closing balance 1,090,263 3,368,051Pakistan Floods Appeal:Opening balance 1,473,647 -Transfers to the reserve 35,352 3,714,848Transfers from the reserve (1,323,890) (2,241,201)Closing balance 185,109 1,473,647Other Specified Purpose Reserve:Opening balance 1,339,559 2,461,094Transfers to the reserve 699,461 948,421Transfers from the reserve (1,377,323) (2,069,956)Closing balance 661,697 1,339,559Total Specifi ed Purpose Reserve 2,287,885 6,181,257(b) Committed Funds Reserve:Committed expenditure reserve fund was put in place to ensure that the agency has the fi nancial meansto continue to provide critical support to its partners in the event of a prolonged economic downturn.Caritas Australia Committed Expenditure Reserve:Opening balance 4,259,490 -Transfers to the reserve 1,447,044 4,259,490Transfers from the reserve - -Closing balance 5,706,534 4,259,490Caritas Foundation reserve was put in place to recognise the preference as notifi ed by supporters thattheir contribution, wherever operationally possible, provide a capital base from which the annual incomederived be used to fund expenditure.Caritas Foundation Reserve:Opening balance 3,396,414 -Transfers to the reserve 3,383 3,396,414Transfers from the reserve - -Closing balance 3,399,797 3,396,414Total Committed Funds Reserve 9,106,331 7,655,904/81

Notes to the Financial Statements (continued)for the year ended 30 June 20122012 2011$ $Note 12: Reserves continued(c) Financial Assets Reserve:Financial assets reserve records the mark to market movement in available-for-sale investmentsheld by Caritas Australia.Financial Assets Reserve:Opening balance (367,629) (369,044)Revaluation (decrement) increment – fi nancial assets (141,703) 1,415Closing balance (509,332) (367,629)Note 13: Accumulated Funds Available for Future UseAccumulated funds available at beginning of year 3,462,470 3,713,133(Shortfall) Excess of revenue over expenditure (121,975) 7,341,850Transfers (to) / from reserves 2,442,945 (7,592,513)Accumulated funds available at end of year 5,783,440 3,462,470Note 14: Governance Officials and Key Management Personnel(a) Name and position held of Caritas Australia governance offi cials and key management personnel in offi ce at any time during the fi nancial year are:Key Management PersonnelArchbishop Adrian Doyle* (retired March 2012)Archbishop Philip Wilson* (appointed May 2012)Bishop Eugene Hurley*Bishop Greg O’Kelly* (appointed May 2012)Mr. Michael Burnett (appointed January 2012)Mrs. Louise Campbell-PriceMr. Chris CarlileMs. Louise CroweDr. Leoni DegenhardtMr. Anthony Fogarty (appointed January 2012)Mr. Richard HaddockMs. Virginia Miller (retired December 2011)Ms. Andree RiceMs. Jennifer StrattonMr. Derrick Tranter (retired December 2011)Mr. Robert WardMr. Jack de GrootMr. Peter CarterMs. Jamieson DaviesMiss. Helen FordeMs. Pam MoitiePositionCouncil Chairman – non-executiveCouncil Chairman – non-executiveCouncil Deputy Chairman – non-executiveCouncil Deputy Chairman – non-executiveCouncil member – non-executiveCouncil member – non-executiveCouncil member – non-executiveCouncil member – non-executiveCouncil member – non-executiveCouncil member – non-executiveCouncil member – non-executiveCouncil member – non-executiveCouncil member – non-executiveCouncil member – non-executiveCouncil member – non-executiveCouncil member – non-executiveChief Executive Offi cerChief Financial Offi cerInternational Programs ManagerCommunity Engagement ManagerHuman Resources Manager* Indicates members of Bishops Commission for Justice, Ecology and Development/82

Financial Reportfor the Year Ended30 JUNE 2012Note 14: Governance Officials and Key Management Personnel continued(b) Key Management Personnel Compensation:National Committee members do not receive any compensation for their roles at Caritas Australia.Short-term benefitsPost Employment BenefitsTerminationSalaries Superannuation Pay Bonus Other Total$ $ $ $ $ $2012Total Compensation 729,156 69,940 - - - 799,0962011Total Compensation 695,009 67,232 - - - 762,241Note 15: Cash Flow Information2012 2011$ $Reconciliation of Cash Flow from Operating Activitieswith (Shortfall) Excess of Revenue over Expenditure(Shortfall) Excess of revenue over expenditure for year (121,975) 7,341,850Non-cash flowsDepreciation and amortisation 401,137 398,501Fair value adjustment to fi nancial liabilities (72,134) 13,584Net gain on sale of plant and equipment - (25,074)Changes in assets and liabilities:Decrease in receivables 59,466 1,914,841Decrease / (Increase) in prepayments 65,286 (139,906)(Decrease) in payables (1,124,884) (1,204,200)Increase / (Decrease) in provisions 62,323 (39,287)(Decrease) in other liabilities (12,431) (11,686)Cash flows from Operating Activities (743,212) 8,248,623Note 16: Related Party TransactionsCaritas Australia is an agency of the Catholic Church in Australia where the Bishops Commission for Justice, Ecology and Development andNational Council members are appointed by the Australian Catholic Bishops Conference (ACBC). As part of Caritas Australia’s normal operationsand activities it conducts a substantial number of transactions with other entities within the Catholic Church both in Australia and abroad. Theseentities include other Catholic Church agencies, its dioceses and parishes. The nature of these transactions is predominately in the form of donationsand transfers of funds./83

Notes to the Financial Statements (continued)for the year ended 30 June 2012Note 17: Financial InstrumentsCaritas Australia’s fi nancial instruments consist mainly of deposits with banks, trade and other receivables, trade and other payables and long terminvestments.The totals for each category of fi nancial instruments, measured in accordance with AASB 139 as detailed in the accounting policies to these fi nancialstatements, are as follows:2012 2011Note $ $Financial AssetsCash and cash equivalents 4 15,287,677 16,297,574Trade and other receivables 98,568 158,034Available-for-sale fi nancial instruments 5 4,423,442 4,428,898Financial assets at fair value through profi t and loss 6 6,980 -19,816,667 20,884,506Financial LiabilitiesFinancial liabilities at amortised costTrade and other payables 8 716,114 843,980Financial liabilities at fair value through profi t and loss 9 - 66,260716,114 910,240Financial Risk Management PoliciesCaritas Australia’s management analyses its exposure to fi nancial risks and evaluates strategies in the context of the most recent economic andindustry conditions and forecasts. Caritas Australia’s overall risk management strategy seeks to assist Caritas Australia in meeting its fi nancialtargets, whilst minimising potential adverse effects on fi nancial performance.Specific Financial Risk Exposures and ManagementThe main risk Caritas Australia is exposed to through its fi nancial instruments is liquidity risk.(a) Interest Rate Risk:At 30 June 2012 Caritas Australia is not exposed to any material interest bearing liabilities and therefore is not materially impacted by fl uctuations ininterest rates./84

Financial Reportfor the Year Ended30 JUNE 2012Note 17: Financial Instruments continued(b) Liquidity:Liquidity risk arises from the possibility that Caritas Australia might encounter diffi culty in settling its debts or otherwise meeting its obligations relatedto fi nancial liabilities. Caritas Australia manages liquidity by monitoring forecast cash fl ows and ensuring that adequate cash reserves are maintained.The table below refl ects an undiscounted contractual maturity analysis for fi nancial liabilities.Total contractualWithin 1 Year 1 – 5 Years Over 5 Years cash flow2012 2011 2012 2011 2012 2011 2012 2011$ $ $ $ $ $ $ $Financial Liabilities due for paymentTrade and other payables 716,114 843,980 - - - - 716,114 843,980Unexpended Grants 2,747,063 3,710,555 - - - - 2,747,063 3,710,555At fair value through profi t and loss - 66,260 - - - - - 66,260Total expected outfl ows 3,463,177 4,620,795 - - - - 3,463,177 4,620,795Financial Assets cash flows realisableCash and Cash Equivalents 15,287,677 16,297,574 - - - - 15,287,677 16,297,574Trade and other receivables 98,568 158,034 - - - - 98,568 158,034Available-for-sale investments - - - - 4,423,442 4,428,898 4,423,442 4,428,898At fair value through profi t and loss 6,980 - - - - - 6,980 -Total anticipated infl ows 15,393,225 16,455,608 - - 4,423,442 4,428,898 19,816,667 20,884,506Net infl ow on fi nancial instruments 11,930,048 11,834,813 - - 4,423,442 4,428,898 16,353,490 16,263,711(c) Credit Risk:Caritas Australia does not have any material credit risk exposure to any single receivable under fi nancial instruments entered into.(d) Foreign currency risk:Caritas Australia is exposed to fl uctuations in foreign currencies arising from the payment of overseas aid and development funds in currencies otherthan its functional currency.Caritas Australia manages these fl uctuations through appropriate budgeting of foreign currency expenditure.(e) Price risk:Caritas Australia is not exposed to any material commodity price risk.Net Fair ValuesThe net fair values of all fi nancial assets and liabilities approximate their carrying value. The accounting policies, terms and conditions of these itemsare the normal commercial policies, terms and conditions adopted by businesses in Australia.The aggregate net fair values and carrying amounts of fi nancial assets and fi nancial liabilities are disclosed in the balance sheet and in the notes tothe fi nancial statements.Sensitivity analysisNo sensitivity analysis has been performed for interest rate risk as Caritas Australia is not materially exposed to fl uctuations in interest rates. Nosensitivity analysis has been performed for foreign exchange risk as Caritas Australia is not materially exposed to fl uctuations in foreign currency rates./85

Notes to the Financial Statements (continued)for the year ended 30 June 2012Note 18: Capital and Leasing CommitmentsOperating Lease Commitments contracted but not capitalised in the fi nancial statements:2012 2011$ $Payable: minimum lease payments– not later than 12 months 699,946 673,390– between 12 months and 5 years 395,388 1,063,302– greater than 5 years - -1,095,334 1,736,692Note 19: Remuneration of AuditorsDuring the year the following fees were paid or payable for the services provided by theauditor of the Caritas Australia.PwC Australia– audit and other assurance services 42,000 38,000– other services - 45,45442,000 83,454Note 20: Change in Accounting PolicyCaritas Australia has not changed its accounting policy from the previous fi nancial year. All accounting is undertaken in compliance with the ACFIDCode of Conduct.Note 21: Contingent or Other LiabilitiesUnder the terms of the lease of Level 1, 24-32 O’Riordan Street, Alexandria, Caritas Australia would be required to remove designated fi xtures,fi ttings, fl oor coverings, signs and notices if the option to renew is not exercised at the completion of the initial six year lease term. If Caritas Australiaexercises this option then Caritas Australia is not required to make good the premises. Caritas Australia management consider it unlikely that theoption to renew the lease will not be exercised in September 2013. Should the option not be renewed in September 2013 it is estimated that CaritasAustralia would be liable for expenditure of $60,000 in total to ‘make good’ the premises.Note 22: Events After the Reporting DateNo matters or circumstances have arisen since the end of the year which signifi cantly affected or may signifi cantly affect the operations of CaritasAustralia, the results of those operations, or the state of affairs of Caritas Australia in future years./86

Financial Reportfor the Year Ended30 JUNE 2012In a small village in Pandeglang, Indonesia, a new system of rice growing, System of RiceIntensification (SRI) is yielding good results. At the end of June 2012, rice production was5930kg/ha; resulting in a 20% increase in production and a 43% increase in profit for the farmers(compared to the old system). Children and families are benefiting from increased food security,health and nutrition; and more rice means farmers can earn an income, send their children toschool and look after their families./87

Ways to HelpFor more information, visit www.caritas.org.au orcall 1800 024 413 toll free (9am to 5pm AEST Monday to Friday).AA Just Climate: this campaignseeks to promote ecologicalsustainability as a means tominimise the impact of climatechange on the world’s mostvulnerable communities. Findout more at www.caritas.org.au/ajustclimate.Advent calendar: based onthe ancient Christian symbol ofthe Jesse tree, this calendar isavailable as an app or onlineover the festive season atwww.caritas.org.au/advent.Act for Congo: through ourlocal partners in the DemocraticRepublic of Congo, we supportdevelopment programs whichfocus on mitigating the impactsof HIV/AIDS, supporting survivorsof sexual violence, medicalassistance, trauma counsellingand reintegration of child soldiers:www.caritas.org.au/act/congo.BBequests: a gift in your willis the ultimate way to supporta cause. If you are able, weencourage you to considerleaving a legacy that will liveon through our vital work.Call 1800 024 413, emailgrowingspirit@caritas.org.auor visit www.caritas.org.au/donate/bequests.Blog: stay up-to-dateby reading our Blog atwww.caritas.org.au/blog.CCaritas Ks: run, walk, cycleor swim and raise funds forCaritas Ks. Walk in solidarity withthose who have to travel vastdistances to fetch water, get foodor collect fi rewood. Find out moreat www.caritas.org.au/caritas-ks.Caritasnews: a 12-pagequarterly magazine, Caritasnewsis fi lled with inspiring storiesfrom our partners andcommunities we work with inAustralia and overseas. Subscribetoday or view online atwww.caritas.org.au/caritasnews.Corporate partnerships:becoming a Caritas Australiacorporate partner has benefi tson many levels – for employers,employees and the globalcommunity. Contact Caritason 1800 024 413 or emailcaritas@caritas.org.au.DDiocesan network:our dedicated diocesanrepresentatives work acrossthe nation engaging communitiesin Caritas Australia’s work.To contact your representative,call 1800 024 413 or visitwww.caritas.org.au/contact-us.Donate: by supporting CaritasAustralia you are creating positivechange and bringing hopeto many. Donations of $2 ormore are tax deductible. Call1800 024 413, send a cheque ormoney order to Caritas AustraliaGPO Box 9830 in your capitalcity, or donate securely atwww.caritas.org.au/donate.EEducation: our team ofglobal education advisors areavailable to assist schools,education offi ces, universitiesand community groups withglobal issues and social justiceeducation. We also producea range of online resourcesfor teachers and students atwww.caritas.org.au/schools.eNewsletter: keep up-to-dateby signing up to the monthlyCaritas eNewsletter atwww.caritas.org.au/subscribe.FFacebook: our Facebook pageis a great way to join our socialjustice conversation. Head towww.facebook.com/caritasAU.GGlobal Gifts: giving atax-deductible Global Gift cardis a meaningful way to mark aspecial occasion, and helpvulnerable communities. Visitwww.caritas.org.au/globalgifts toview the cards and select your gifts.Hhopegiver: help support CaritasAustralia by joining our monthlygiving program. As a hopegiveryour donation is automaticallydeducted from your credit cardor bank account. Find out moreby calling 1800 024 413 or visitwww.caritas.org.au/hopegiver.JJust Leadership days:are an opportunity for schoolstudents to learn more aboutjustice, peace and development.The one-day seminars are held inmost states and territories. Phone1800 024 413 to fi nd your localGlobal Education Advisor.LLearn: about us atwww.caritas.org.au.NNewsroom: we inform themedia and keep them updatedabout our work through regularmedia releases. Head towww.caritas.org.au/media forthe latest news.OOnline fundraising: onlinefundraising helps keep ouradministration costs low andlets you control your fundraisingevent. You select the idea, setyour fundraising target, rally yoursupporters and have fun in theprocess at www.caritas.org.au/fundraising.PPray: your prayers and wellwishes help Caritas Australia’sstaff, volunteers and partnerscontinue our life-giving work withthe vulnerable communities weserve, which refl ects the life ofJesus Christ, and is shaped bythe tradition of Catholic SocialTeaching (CST).Project Compassion:every year, we ask that yousupport Project Compassion.Thanks to you, what started in1966 as a small fundraiser is nowone of the largest humanitarianfundraising campaigns inAustralia. Our 2012 campaignraised over $10 million!Visit www.caritas.org.au/projectcompassion.SSign a petition: put yourpassion for justice into action andsign our Walk As One petition atwww.caritas.org.au/walkasone.TTwitter: read our regular Twitterupdates at www.twitter.com/CaritasAust.VVolunteer: we appreciateand love having volunteers onboard. To volunteer, pleasecall 1800 024 413, emailjobs@caritas.org.au or speakwith your local diocesanrepresentative.WWalk As One: our feature2012-13 campaign is Walk AsOne: connecting with our world’sIndigenous Peoples. Join usas we advocate for justice byreading our report ‘The Pathto Justice’, watching the shortfi lm, ordering a campaign kitand signing the petition atwww.caritas.org.au/walkasone.Website: our new websitelaunched in February 2012. Itis now even easier for you tolearn about our work and to stayup-to-date with our latest news,events, appeals, resources andcampaigns at www.caritas.org.au.Workplace giving: givingregularly through your pay isone of the most cost-effectiveand simple ways of making adonation. Your ongoing donation,which is deducted automaticallyfrom your salary each pay period,allows us to plan vital projectsfor the future. Call us or headto www.caritas.org.au/donate/workplace-giving.YYouTube: this site is regularlyupdated with videos from ouragency and the Caritas network.Go to www.youtube.com/caritasaustralia./88

Photo: Pia Zanetti in South SudanAcronymsAACES Australia Africa Community Engagement SchemeACBC Australian Catholic Bishops ConferenceACFID Australian Council for International DevelopmentAIP Australian Indigenous ProgramANCP AusAID NGO Cooperation ProgramAusAID Australian Agency for International DevelopmentBCJED Bishops Commission for Justice, Ecology and DevelopmentCADECOM Catholic Development Commission in MalawiCAFOD Catholic Agency for Overseas Development(Caritas in England and Wales)CRS Catholic Relief Services (Caritas in the US)CST Catholic Social TeachingCWD Children with DisabilitiesDRC Democratic Republic of CongoDRR Disaster Risk ReductionGNI Gross National IncomeHPA Humanitarian Partnership AgreementIHD Integral Human DevelopmentINGO International non-government organisationMDG Millennium Development GoalsNAIDOC National Aboriginal and Torres Strait IslanderDay of Observance CommitteeNC National CouncilNFP Not-for-profi tNGO Non-government organisationPNG Papua New GuineaRAP Reconciliation Action PlanSPACFI Socio-Pastoral Action Center Foundation, IncLEARN: about us at www.caritas.org.auACT: it’s never too late to helpDONATE: to Caritas Australia. Donations of $2 or more are tax deductible.

Thanks foryour supportCaritas Australia relies onsupporter donations to continueour life-giving work.Please accept our heartfeltthanks for your generosity.To learn more or to donateto Caritas call 1800 024 413or visit www.caritas.org.au24-32 O’Riordan Street, Alexandria, NSW 2015