AUSTRALIAN AGENCY FOR INTERNATIONAL DEVELOPENT - ANNUAL REPORT I 2011–2012

AUSTRALIAN AGENCY FOR INTERNATIONAL DEVELOPMENT

ANNUAL REPORT I 2011–12

2012

AUSTRALIAN AGENCY FOR INTERNATIONAL DEVELOPMENT

ANNUAL REPORT I 2011–12

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ISSN 2200-4491 (Print)

ISSN 2200-4505 (Online)

© Commonwealth of Australia 2012

With the exception of the Commonwealth Coat of Arms and where otherwise noted all material presented in this document

is provided under a Creative Commons Attribution 3.0 Australia (http://creativecommons.org/licenses/by/3.0/au/) licence.

The details of the relevant licence conditions are available on the Creative Commons website (accessible using the links

provided) as is the full legal code for the CC BY 3.0 AU licence (http://creativecommons.org/licenses/by/3.0/au/legalcode).

The document must be attributed as the AusAID Annual Report 2011–12.

Acknowledgements

Editor: Stacey Leigh Walker

Editorial consultant: Morris Walker Pty Limited

Design and typesetting: GRi.D Communications Pty Ltd

Indexer: Michael C Harrington

Printing: Blue Star Print ACT

Internet websites

AusAID home page: www.ausaid.gov.au

AusAID annual report: www.ausaid.gov.au/annualreports

Distribution

This report is available through the above website and directly from the Australian Agency for International

Development (AusAID).

Comments about this report are welcome and should be directed to:

Annual Report Editor

AusAID

GPO Box 887

Canberra ACT 2601 Australia

Telephone: 02 6178 4000

Facsimile: 02 6178 4880

Email: [email protected]

Australian Business Number (ABN): 62 921 558 838ii

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LETTER OF TRANSMITTAL

Letter of transmittal

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TABLE OF CONTENTS

Table of contents

Letter of transmittal iii

Guide to the report v

At a glance vii

Section 1 Overviews ...................................................................................................................1

Director General’s review 2

Agency overview 8

Section 2 Report on performance ............................................................................................13

Effectiveness against outcomes 14

Program 1.1 ODA—Papua New Guinea and Pacifi c 34

Program 1.2 ODA—East Asia 69

Program 1.3 ODA—Africa, South and Central Asia, Middle East and other 104

Program 1.4 ODA—Emergency, humanitarian and refugee programs 137

Programs 1.5 and 1.6 ODA—Multilaterals, United Nations, Commonwealth and other

international organisations 146

Program 1.7 ODA—Non-government organisation, volunteer and community programs 168

Program 1 ODA—Cross regional programs 181

Program support—Outcome 1 209

Program 2.1 ODA—East Asia (Australia–Indonesia Partnership for Reconstruction

and Development) 220

Financial results 222

Section 3 Management and accountability .......................................................................... 225

Corporate governance 226

External scrutiny 236

Management of human resources 237

Purchasing and assets 250

Section 4 Financial statements ..............................................................................................257

Section 5 Appendices ............................................................................................................337

A. Minister and Parliamentary Secretary 338

B. Agency resource statement 339

C. Aid program expenditure 341

D. Staffi ng overview 347

E. Freedom of information 351

F. Advertising and market research 354

G. Ecologically sustainable development and environmental performance 355

H. Sources for key statistics 361

Section 6 Glossaries and index ............................................................................................ 363

Glossary 364

Abbreviations 366

List of requirements 368

Index 372

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GUIDE TO THE REPORT

Guide to the report

The Australian Agency for International Development (AusAID) Annual Report 2011–12 reports

on the agency’s performance against the outcomes and programs framework, as outlined in

the Foreign Affairs and Trade Portfolio Budget Statements 2011–12—Australian Agency for

International Development (AusAID): agency resources and planned performance. The report

also provides information for the community and stakeholders on AusAID’s work during the

year and has been prepared according to parliamentary reporting requirements.

Section 1: Overviews

This section provides a review by the Director General, including a summary of major issues

and developments during 2011–12 and the outlook for the year ahead. The agency overview

provides a snapshot of the agency and includes its role and functions, organisational structure

and outcomes and programs framework. The agency’s two outcomes are:

Outcome 1: To assist developing countries to reduce poverty and achieve sustainable

development, in line with Australia’s national interest.

Outcome 2: Australia’s national interest advanced by implementing a partnership between

Australia and Indonesia for reconstruction and development.

Section 2: Report on performance

This section provides an analysis of performance and effectiveness against Outcomes 1 and 2

under their respective programs. The agency’s key development results and activities are

outlined under the following program areas:

• Outcome 1: country and regional programs—Papua New Guinea and Pacifi c, East Asia and

Africa, South and Central Asia, Middle East and other

• Outcome 1: emergency, humanitarian and refugee programs

• Outcome 1: multilateral and international programs—multilaterals, United Nations,

Commonwealth and other international organisations

• Outcome 1: non-government organisation, volunteer and community programs

• Outcome 1: cross regional programs

• Outcome 1: program support—information, education and communication programs

• Outcome 2: East Asia—Australia–Indonesia Partnership for Reconstruction and Development

• Financial results.

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GUIDE TO THE REPORT

Section 3: Management and accountability

This section reports on management and accountability processes, including corporate

governance, external scrutiny, human resource management, and purchasing and assets.

Section 4: Financial statements

This section contains the audited fi nancial statements for 2011–12.

Section 5: Appendices

This section comprises additional information as required by legislation.

Section 6: Glossaries and index

This section contains a glossary of terms, list of abbreviations, compliance requirements and

an index.

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AT A GLANCE

At a glance

The Australian Agency for International Development (AusAID) is the Australian Government

agency responsible for managing Australia’s overseas aid program. AusAID is an Executive Agency

within the Foreign Affairs and Trade portfolio and reports to the Minister for Foreign Affairs.

Our role

We manage Australia’s overseas aid program and provide advice to the Government on

development policy. We plan and coordinate poverty reduction activities, collect, analyse and

publish data relating to development, and evaluate and improve Australia’s aid programs.

We represent Australia in international development and are the lead agency responsible for

coordinating Australia’s response to natural and humanitarian disasters in developing countries.

Our objective

The fundamental purpose of the Australian aid program is to help people overcome poverty.

This also serves Australia’s national interests by promoting stability and prosperity both in our

region and beyond. The aid program’s efforts are focused in areas where Australia can make a

difference and where our resources can most effectively and effi ciently be deployed.

Our people

At 30 June 2012, we employed 2124 staff, comprising 823 based overseas (227 Australian

Public Service staff and 596 locally engaged staff ) and 1301 in Australia. Our head offi ce is in

Canberra and we have representation in 40 diplomatic missions overseas.

Our budget

In 2011–12, it is estimated AusAID provided $4.328 billion in offi cial development assistance.

Assistance through other government departments and agencies brought total Australian offi cial

development assistance to an estimated $4.864 billion, or 0.35 per cent of gross national income.

How we work

We work in partnership with governments, multilateral and bilateral development agencies,

civil society organisations and the private sector to reduce poverty in developing countries.

We provide fi nancial assistance and support, as well as policy advice and technical expertise

designed to support development efforts. We work at the country level, but also with regional

and global organisations to address regional and global development challenges. We support

developing countries to prepare for and respond to emergencies such as cyclones, fl oods,

tsunamis and earthquakes. We work closely with other Australian Government agencies to ensure

a coordinated, whole-of-government approach to the implementation of Australia’s aid program.

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SECTION 1 I OVERVIEWS

» Director General’s review

» Agency overview

Above left: Foreign Minister Senator

Bob Carr meeting patients at Siem

Reap Regional Eye Hospital in

Cambodia. Thousands of people

have received sight restoring surgery

thanks to partnerships between the

Australian Government and

non-government organisations such

as The Fred Hollows Foundation

Photo: Courtesy of Nick Sells for the

Australian Minister for Foreign Affairs

Above middle: Parliamentary

Secretary for Pacifi c Island Affairs,

Richard Marles, in discussion with

Esmie Sinapa, Secretary General

for Papua New Guinea Red Cross

Society at the Papua New Guinea

Red Cross Hohola Special Education

Resource Centre for children

with disability

Photo: Michael Wightman, AusAID

Above right: Foreign Minister

Senator Bob Carr meets school

children at the Australian-supported

Thit Kyar Kone Primary School,

near Kungyangon Township in the

Irrawaddy Delta, Myanmar

Photo: Christopher Davy for AusAID

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Director General’s review

The year in review

2011–12 was a year of major change for AusAID and the Australian

aid program. On 6 July 2011 the Government released its new

aid policy, An effective aid program for Australia: making a real difference—delivering real results. The year that followed was

dominated by the delivery of a series of major reforms and

milestones connected to the policy’s implementation.

AusAID played a major role in the international response to the humanitarian crisis in the

Horn of Africa, a crisis brought on by the worst drought in that region in 60 years. The scale of

the emergency served as a reminder of the major development challenges still facing many

countries in our region and beyond, and the importance of early, committed and coordinated

international action in response. AusAID’s rapid and effective response to the crisis began a

year of intensive program delivery in our partner countries, a year in which we saw the delivery

of real results and substantial progress towards the Millennium Development Goals.

An effective aid program for Australia

The new aid policy An effective aid program for Australia provides a framework to 2015–16,

defi ning where Australia will provide aid, what we will focus on, and how we will deliver

our assistance.

More fundamentally, the new policy sets out a series of steps to improve the effectiveness of

the aid program. The policy was released at the same time as, and responded to the fi ndings

of, the Independent Review of Aid Effectiveness—the fi rst independent review of the Australian

aid program in 15 years.

The review found that Australia had a good aid program that is effective by global standards.

It made 39 recommendations to further improve its effi ciency and effectiveness, including

steps to make the program more transparent, accountable, focused on results and on real,

measurable value for money. In the policy the Government agreed, or agreed in principle, to

38 of those recommendations. It reserved its position on a recommendation to rename the

Minister’s portfolio.

As of 30 June 2012, AusAID had implemented 31 of these 38 recommendations—a substantial

achievement for the agency. By the end of 2012, the remainder will be completed.

In the course of 12 months, we:

• developed a Transparency Charter, released in November, which commits the Government

to provide clear, accessible and timely reporting on our aid activities. In line with the

charter, more information on the aid program is being made available on our website. At

30 June 2012, more than 1500 documents had been published, and enhanced country sites

had been released for 13 country programs

The Director General, Peter Baxter

Photo: Jessica Abigail, AusAID

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• conducted the fi rst ever Australian Multilateral Assessment, which was released in March

2012. The assessment systematically rated the performance of 42 multilateral organisations

based on an evaluation of their effectiveness, capacity to make a difference, value for

money and alignment with Australia’s development objectives. The assessment will be

updated through a series of annual multilateral scorecards that will guide our core funding

allocations to multilateral agencies in future years

• developed and released eight new thematic strategies covering health, education, gender,

food security, governance, infrastructure, water and sanitation, and humanitarian action.

These strategies defi ne how Australia will engage in these core sectors and, importantly,

set out the measurable results we expect to achieve

• developed a Civil Society Engagement Framework, released in June, which defi nes how we

will work alongside civil society organisations to reduce poverty in our partner countries.

The framework was developed in close consultation with Australian non-government

organisations and links Australian funding to the effectiveness of civil society organisations,

their capacity to make a difference and alignment with Australia’s development objectives

• strengthened our linkages with the private sector, the engine of economic growth and

job creation, through a new Business Engagement Steering Committee that includes

representatives from the Business Council of Australia, the Australian Chamber of

Commerce and Industry and the Australian Industry Group. The committee is leading

preparations for the fi rst AusAID Consultative Forum with Business, at which a new private

sector development strategy will be launched

• revised the agency’s policy and guidance on program strategy development, and on

performance management and evaluation, to ensure that our country and regional

strategies are aligned with the policy framework provided by An effective aid program for Australia, and that our programs are producing real and measurable results

• continued efforts to ensure value for money in the program. AusAID’s Adviser Remuneration

Framework delivered further savings in 2011–12, with the average salaries and allowances

for both long and short-term advisers falling markedly. From July to December, the

average daily fee for short-term international advisers fell by 41 per cent compared to

pre-framework rates. The average monthly remuneration package for an international

long-term adviser was reduced by 34 per cent

• substantially strengthened AusAID’s corporate governance arrangements, including

through the creation of two key governance committees chaired by Deputy Directors

General: a Strategic Reform Committee to direct and coordinate AusAID’s reform initiatives,

and a Strategic Programming Committee to provide high level oversight and review of major

investment decisions

• completed a major organisational restructure which has positioned the agency to deliver

an expanded and more effective aid program. The new structure, which came into place

in March, is based on three groups, including a new Corporate Group led by a Deputy

Secretary-level Chief Operating Offi cer. A new Risk Management and Fraud Control Branch

will further enhance our risk and fraud management across the aid program, while an

Economics Advisory Group will improve the level of economic analysis applied to AusAID’s

programs, enhancing their effectiveness and value for money

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• strengthened our fraud prevention and detection capacity by more than doubling the

resources of our Fraud Control Section and creating dedicated risk management and fraud

control positions in the four countries with the highest risk of fraud. We estimate potential

losses in 2011–12 equate to 0.012 per cent of the aid budget—less than half the fi gure for

the previous fi nancial year

• developed AusAID’s fi rst ever mission and values statement, Our mission, our values.

Launched in May, the statement was developed through extensive consultation with staff

and outlines the fi ve values we consider most important to the way AusAID conducts its

business: valuing people, teamwork, excellence, accountability and integrity. The statement

is a key element of efforts to strengthen the agency’s organisational culture and support

the delivery of an effective aid program.

Perhaps the most substantial of the implementation milestones reached during 2011–12 was

the launch of the Comprehensive Aid Policy Framework, which was released by the Minister for

Foreign Affairs, Senator Bob Carr, in May with the 2012–13 Budget.

The framework is unprecedented in the history of the Australian aid program. It includes

the fi rst ever four year budget strategy for the program, including indicative allocations of

Australian aid to 2015–16. This sets a new standard in transparency and predictability. Through

the funding clarity it provides, the framework will allow the Government to better plan, design

and deliver the Australian aid program. This will deliver better results in terms of lives saved,

children educated and people lifted out of poverty.

This framework puts results at the centre of our work and sets a higher standard of

accountability for AusAID’s work than ever before. The framework also includes a new, three

tier results framework that sets out in detail the results we expect to achieve up to 2015–16.

This includes measures of global progress against the Millennium Development Goals, of

Australian aid’s contribution to the achievement of the Millennium Development Goals, and of

efforts to strengthen our organisational effectiveness and effi ciency.

We will report annually on the results outlined in the framework through the Annual Review

of Aid Effectiveness, which will cover the performance of all Australian Government agencies

involved in delivering the Australian aid program. It will be considered each year by Cabinet,

allowing the Government to examine the aid program’s performance and make corresponding

updates to the four year budget strategy. The review will be published alongside AusAID’s

annual report. This will provide the Government and the Australian public with an unparalleled

level of information about the aid program’s performance and effectiveness.

The quality and robustness of AusAID’s monitoring and evaluation systems will be further

strengthened through the work of the Independent Evaluation Committee, which was

established by Senator Carr at the same time as the launch of the Comprehensive Aid Policy

Framework in May 2012. The committee is chaired by Jim Adams, a former World Bank

Vice President, and includes Patricia Rogers, Professor of Public Sector Evaluation at RMIT

University and Dr Wendy Jarvie, School of Business Visiting Professor at the University of New

South Wales. The committee will oversee the work of the Offi ce of Development Effectiveness,

including preparation of the annual synthesis and quality assurance report on the effectiveness

and impact of Australian aid. The fi rst annual synthesis report will be published in 2013.

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A year of delivery

Delivering these reforms involved a substantial process of change across the agency during

2011–12. The reforms have set a new benchmark in terms of the program’s transparency and

effectiveness, and positioned AusAID as a leader amongst bilateral development agencies

internationally. They also occurred while AusAID continued to deliver a high quality aid

program that delivered real results.

Program highlights in 2011–12

An effective aid program for Australia: making a real difference—delivering real results has fi ve

strategic goals. These are to save lives, promote opportunities for all, encourage sustainable

economic development, promote effective governance and prepare for and respond to

humanitarian emergencies and disasters.

Saving lives

• Australia’s support for the GAVI Alliance in 2011–12 helped vaccinate 1.5 million children

against diseases such as hepatitis B, yellow fever, meningitis and pneumonia. In the

Pacifi c, Australian aid helped immunise 164 755 children against measles and 22 647

against diphtheria, whooping cough and tetanus, including 15 000 in Papua New Guinea.

In Solomon Islands our support for malaria eradication helped reduce malaria rates from

199 cases per 1000 people nearly 10 years ago to 46 cases per 1000 people. In Pakistan,

Australian funds have helped to train 8966 community midwives in rural areas, of which

2969 are now working. With a skilled midwife in attendance, more mothers and babies in

rural areas now have a better chance of surviving childbirth.

Promoting opportunities for all

• Australia’s commitment in 2011–15 to the Global Partnership for Education will help

25 million more children in the world’s poorest countries go to school by 2015. This will

create measurable changes in the life prospects of these children. Our aid to Afghanistan,

along with other international partners, has helped increase school enrolments from about

one million in 2001 to nearly eight million, including 2.5 million girls. In Uruzgan Province,

Australia funded the building of 205 schools, including 29 schools for girls. Our assistance

helped launch the World report on disability 2011 in 33 countries, distribute 8000 copies of

the Community-based rehabilitation guidelines, and pilot a wheelchair training package in

East Timor and Solomon Islands. It also increased the number and quality of rehabilitation

services available at 59 centres in 27 countries. Through the Pacifi c Disability Forum in

2011–12, AusAID supported 13 disability organisations to advocate for the rights and defend

the dignity of people across the Pacifi c living with disability.

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Sustainable economic development

• Australia’s support in Vietnam in 2011–12 has delivered water and sanitation services to

rural communities, giving an additional 2.3 million people access to clean water and an

extra 455 000 households with access to hygienic toilets. This will reduce the spread of

disease, stopping people from becoming sick and making it more possible for children

to attend school and adults to work. In Papua New Guinea, our funds helped more than

140 000 borrowers and 340 000 savers to learn about savings and fi nance, opening bank

accounts and taking out loans. By funding the rehabilitation and construction of 128

kilometres of priority roads on three outer islands of Vanuatu, Australia helped generate

68 000 days of employment, and improved access to health centres, schools and markets

for up to 40 000 people. Similarly in East Timor, Australia engaged 31 500 workers (28 per

cent of who were women and 44 per cent youth) to work on our rural roads program. This

meant an average earning of US$281 per person, which is a substantial amount for the

rural poor. It provided cash for housing materials, starting a business, school needs and

food. In Myanmar, Australia provided support such as agricultural training and access to

microfi nance for up to two million poor and vulnerable people living in rural areas, including

the Irrawaddy Delta.

Effective governance

• By working with Indonesia to promote greater transparency and accountability, Indonesians

can now access more than 244 000 court decisions online, including more than 99 000

which have been published since January 2012. This is in contrast to 2007, when virtually

no court decisions were published. By supporting Papua New Guinea’s women candidates

training strategy, 148 people, including 74 women who intended to nominate as candidates

at the 2012 national election and their campaign managers, received information on

fundraising and budget management, the voting system, candidate obligations and the

role of a member of parliament. Australia also sent a group of 23 staff from the Australian

Civilian Corps to work with the Electoral Commission in Papua New Guinea to plan and

manage the elections and help train about 20 000 electoral and polling offi cers. Women

in partner countries will benefi t from new funding to combat domestic violence, including

women in Bangladesh who have survived acid attacks, and mobilising parliamentarians to

do more to end violence against women.

Humanitarian and disaster response

• Throughout the year Australia provided life-saving assistance such as food, water, shelter

and medical supplies to an estimated 14 million people caught up in 30 humanitarian

emergencies in Asia, the Pacifi c, Africa and the Middle East. This includes our rapid

response to the crises in the Sahel region, Syria and to extensive fl ooding in Fiji. Our

support helped reduce the number of people in the Horn of Africa needing life-saving

assistance from 13 million in August 2011 to 10 million in January 2012. This included food

assistance to 7.9 million people, help with restoring crop production for 4500 households

or 27 000 people in Somalia, and registering and assisting 686 000 refugees, 66 per cent

of who were children, in camps in Kenya and Ethiopia. We provided more than one million

people in this region with food rations and 600 000 people with the means to produce their

own food, by providing seeds, fertiliser, and agricultural tools and equipment.

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The year ahead

An effective aid program for Australia will guide our development efforts in the countries in

which we work, including in some of the most diffi cult settings on earth.

We will effectively manage our increased aid budget to Afghanistan and work closely with

other agencies to manage our transition out of Uruzgan Province. Australia will continue to

play a strong but less direct role in Uruzgan Province and instead deliver assistance through

development programs administered at the national level. This approach carries risks beyond

the general security threats. Afghanistan has weak governance systems and corruption is

widespread. Australia will try to mitigate these risks by insisting the Government of Afghanistan

makes progress on its own commitments to tackle corruption. We will limit our exposure by

having credible partners such as the World Bank deliver our aid and we will put in place robust

monitoring and evaluation processes and respond quickly if we detect any irregularities.

Another key task is in Solomon Islands where a different type of transition is underway. By 30

June 2013, the Regional Assistance Mission to Solomon Islands (RAMSI) development activities

will conclude, and the Australian aid program will integrate high priority former RAMSI

programs into a new program of assistance under the Partnership for Development between

our two countries. This will be in addition to the assistance Australia already gives Solomon

Islands to provide core services in health, education, rural livelihoods and infrastructure. For

this transition to be smooth and seamless, both countries will need to adhere to an agreed

timetable of action.

Myanmar’s transition to democracy gives Australia new opportunities to make a greater impact

in reducing poverty and building capacity in what is one of the world’s poorest countries. The

increase of our aid means we can expand our existing programs in basic education, health and

livelihoods and support wider economic, political and social reforms. We will be able to assist

with the peace process by having development activities in areas affected by confl ict. The test

for AusAID will be to manage the new aid relationship with Myanmar effectively so that our

assistance is well coordinated, well regarded and reaches those who need it most. We will also

need to negotiate a bilateral agreement that includes safeguards against aid being implicated

in human rights abuses or corrupt activities.

Over the next year, AusAID will need to further build its workplace culture and human resource

capacity to ensure we have the right mix of skills and knowledge to deliver a larger and

more effective aid program. The second phase of our workforce plan will be released early

in 2012–13 and will put greater emphasis on sectoral career streams. This will give us the

technical expertise and analytical capacity the agency needs to properly assess and evaluate

its investment options and ensure their value for money.

Finally, we will continue to strengthen the agency’s overarching focus on the delivery of

real results. Through the work of the Strategic Programming Committee and the Economics

Advisory Group, AusAID’s major investments will be subject to a new level of analytical rigour

and oversight. By publishing the fi rst Annual Review of Aid Effectiveness, we will provide the

Australian public with a new benchmark for assessing the performance of their aid program.

I am confi dent that our results will speak for themselves.

Peter BaxterDirector General

AusAID

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Agency overview

Our role and functions

AusAID is the Australian Government agency responsible for managing Australia’s overseas

aid program. AusAID is an Executive Agency within the Foreign Affairs and Trade portfolio and

reports to the Minister for Foreign Affairs.

The fundamental purpose of the Australian aid program is to help people overcome poverty.

This also serves Australia’s national interests by promoting stability and prosperity both in our

region and beyond. The aid program’s efforts are focused in areas where Australia can make a

difference and where our resources can most effectively and effi ciently be deployed.

AusAID’s functions are defi ned in a July 2010 order made by the Governor-General, on the

advice of the Prime Minister, which established AusAID as an Executive Agency. Our role is to:

• provide advice on development policy

• manage Australia’s overseas aid program

• plan and coordinate poverty reduction activities

• evaluate and improve Australia’s aid program

• collect, analyse and publish data or other information relating to development

• lead and coordinate responses to humanitarian and disaster crises

• represent Australia in international development fora.

Governance in 2011–12

The Director General, AusAID’s chief executive, holds overall responsibility for the agency’s

performance and its fi nancial and staff management. The Director General reports to the

Minister for Foreign Affairs.

The Director General chairs the AusAID Executive Committee, AusAID’s peak governance

body. Reporting to the Executive Committee are two key executive sub-committees chaired

by Deputy Directors General: the Strategic Programming Committee, which assesses and

approves major investment decisions, and the Strategic Reform Committee, which oversees the

implementation of corporate and program reform initiatives aligned with the implementation of

the government’s aid policy—An effective aid program for Australia. A range of other subsidiary

committees also operate and report to the Executive Committee, including a Security

Committee and an Information and Communication Technology Steering Committee.

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The AusAID Executive Committee at 30 June 2012

Front row (left to right): James Batley, Deputy Director General—Country Programs Group; Ewen McDonald, Deputy

Director General—Humanitarian and International Group; Peter Baxter, Director General; Gary Dunn, Deputy Director

General—Chief Operating Offi cer

Back row (left to right): Paul Wood, First Assistant Director General—Chief Financial Offi cer; Laurie Dunn, First Assistant

Director General—Program Effectiveness and Performance Division; Jenny Da Rin, Assistant Director General—Education

and Health Branch; Blair Exell, First Assistant Director General—Corporate Enabling Division


Agency structure in 2011–12

On 5 March 2012, AusAID established a new organisational structure, including three groups

headed by Deputy Director General (SES Band 3) level offi cers, each reporting to the Director

General. This change represented the culmination of a series of structural reforms designed

to strengthen AusAID’s management capacity and position the agency to implement the

Government’s aid policy.

The Country Programs Group encompasses three divisions: Pacifi c, East Asia, and Africa

and Community Programs. This change strengthened our ability to manage core country

and regional aid programs and supports an expanded engagement with the community and

business sectors.

The Humanitarian and International Group has four divisions: South and West Asia,

Humanitarian and Stabilisation, International Programs and Partnerships, and Policy

and Sector. This new group responds to the Government’s increased support to

multilateral initiatives and responds with increased speed and support to international

humanitarian emergencies.

With responsibility for the Corporate Group, the Chief Operating Offi cer leads AusAID’s

corporate policy and reform agenda. The Corporate Group oversees the agency’s program

performance, corporate, information services and fi nance functions. The Corporate Group

includes three divisions: Program Effectiveness and Performance, Corporate Enabling, and

Government Finance and Information Services.

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Figure 1: Organisational structure at 30 June 2012

Offi ce of the D

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Hum

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en

era

lEw

en McD

onald

Corporate Group

Ch

ief O

pe

ratin

g O

ffi cer

Deputy D

irector General

Gary D

unn

Pacifi c Division

First AssistantD

irector General

Rob Tranter

PNG

& Solom

onIslands B

ranchAssistant

Director G

eneralCaitlin W

ilson

Pacifi c Bilateral

Branch

AssistantD

irector General

Sue Connell

Program Q

uality &

Effectiveness Branch

AssistantD

irector General

Bill Costello

Port Moresby

Minister

Stuart Schaefer

Minister-Counsellor

TBC

Chief of Operations

Michelle Low

e

Pacifi c –SuvaM

inister-CounsellorJohn D

avidson

Honiara

Minister-Counsellor

Jane Lake

PostsPort Vila

ApiaN

uku’alofaN

auruTaraw

a

East Asia Division

First AssistantD

irector General

Rod Brazier

Indonesia &East Tim

or Branch

A/g Assistant D

irector General

Joanne Choe

Mekong,

Philippines, Burm

a &

Regional Branch

Assistant D

irector General

Chris Elstoft

Asia Strategies and Partnerships B

ranchAssistant

Director G

eneralAndrew

Cumpston

JakartaM

inister Jacqui de Lacy

Minister-Counsellor

Chief of Operations

Mat Kim

berley

Mekong &

Regional M

inister-CounsellorM

ichael Wilson

Dili

Minister-CounsellorVincent Ashcroft

Manila

Minister-Counsellor

Octavia B

orthwick

PostsB

angkokPhnom

PenhVientianeRangoonB

eijingH

anoi

Africa & Com

munity

Programs D

ivisionFirst Assistant

Director G

eneralM

argaret McKinnon

Africa Branch

AssistantD

irector General

Lisa Rauter

Scholarships &

Volunteers Branch

AssistantD

irector General

Therese Mills

NG

Os &

B

usiness Branch

AssistantD

irector General

Gary Pow

ell

PretoriaM

inister-CounsellorJam

ie Isbister

PostsN

airobiH

arareAccra

Addis Ababa

South & W

est Asia D


Director G

eneralScott D

awson

South Asia Branch

AssistantD

irector General

Paul Nichols

Afghanistan &Pakistan B

ranchAssistant

Director G

eneralM

ichaela Brow

ning

Middle East, N

orth Africa, Latin Am

erica &

Caribbean Branch

A/g AssistantD

irector General

Sam B

eever

Kabul

Minister-Counsellor

Paul Lehman

PostsIslam

abadD

hakaTarin Kow

tKandahar Colom

bo D

elhi Kathm

andu Santiago

Port of SpainB

aghdad Cairo

Ramallah

Hum

anitarian &

Stabilisation Division

First Assistant D

irector General

Catherine Walker

Hum

anitarian Preparedness &

Response B

ranch Assistant

Director G

eneralAlan M

arch

Fragility &Confl ict B

ranchAssistant

Director G

eneralAli G

illies

AustralianCivilian Corps

Assistant D

irector General

Cheryl Johnson

PostsRom

eG

eneva

International Programs

& Partnerships D

ivision First Assistant

Director G

eneralClare W

alsh

Multilateral Policy &

Partnerships B

ranchAssistant

Director G

eneralPaul W

ojciechowski

Multilateral Program

s &

Effectiveness Branch

AssistantD

irector General

Paul Griffi ths

Climate Change &

Environm

ent Branch

AssistantD

irector General

Jean-Bernard Carrasco

PostsParis

Policy &

Sector Division

First AssistantD

irector General

James G

illing

Developm

ent &G

ender Policy Branch

AssistantD

irector General

Rebecca Bryant

Education &H

ealth Branch

AssistantD

irector General

Jenny Da Rin

Food Security, Infrastructure, M

ining &

Trade Branch

A/g AssistantD

irector General

Bob Q

uiggin

Governance &

Social D

evelopment B

ranchAssistant

Director G

eneralLayton Pike

Principal Sector Specialist G

ender Equality

Susan Ferguson

Principal Sector Specialist H

ealthB

enedict David

Principal Sector Specialist Education

Kaye Schofi eld

Principal Sector Specialist R

ural D

evelopment

Alwyn Chilver

PrincipalSector Specialist

Infrastructure TB

C

Principal Sector Specialist G

overnance&

Social Developm

entTB

C

Program Effectiveness

& Perform

ance Division

First AssistantD

irector General

Laurie Dunn

Strategy & Portfolio

Planning Branch

AssistantD

irector General

Angela Corcoran

Agreements &

Valuefor M

oney Branch

AssistantD

irector General

MaryEllen M

iller

Quality, Perform

ance &

Results Branch

AssistantD

irector General

Richard Sisson

Risk M

anagement &

Fraud Control B

ranchAssistant

Director G

eneralAlistair Sherw

in

AssistantD

irector General

Victoria Bergm

ann

CorporateEnabling D


Director G

eneralB

lair Exell

Effective Aid Im

plementation Team

Assistant

Director G

eneralN

atasha Smith

Workforce

Strategy, Deploym

ent&

Security Branch

AssistantD

irector General

Julianne Cowley

Hum

an ResourceB

ranchPrincipal D

irectorJennifer Jam

es

Comm

unications, M

inisterial &

Transparency Branch

AssistantD

irector General

Lisa Wright

Media U

nitD

irector Scott Kelleher

Governm

entFinance &

Information

Services Division

Chief Financial Offi cer

Paul Wood

Budget B

ranchAssistant

Director G

eneralPeter Versegi

Property & Financial

Managem

ent Branch

AssistantD

irector General

Ian Davies

Information

Services Branch

A/g AssistantD

irector General

Tim Spackm

an

Whole of

Governm

ent Branch

AssistantD

irector General

Elizabeth Wilde

Economics

Advisory Group

Chief Economist

Michael Carnahan

Offi ce of D

evelopment

EffectivenessAssistant

Director G

eneral D

ereck Rooken-Smith

Economics B

ranch Assistant

Director G

eneralN

athan Dal B

on

Audit Branch

AssistantD

irector General

Simon Kidm

an

Executive Unit

Director

Mark Tattersall

SECTION 1 A

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Outcomes and programs framework

AusAID’s outcomes and programs framework is shown in table 1. Appendix B provides the

resources summary for the agency’s outcomes.

The agency’s two outcomes are:

Outcome 1—To assist developing countries to reduce poverty and achieve sustainable development, in line with Australia’s national interest.

Outcome 2—Australia’s national interest advanced by implementing a partnership between Australia and Indonesia for reconstruction and development.

AusAID’s administered items and programs contribute to these outcomes.

Table 1: AusAID outcomes and programs framework 2011–12

AusAID

Total departmental appropriation $294.255 million

Total departmental expenses $287.471 million

Total administered appropriation $3861.482 million

Total administered expenses $4014.249 million

Outcome 1

To assist developing countries to reduce poverty and achieve sustainable development, in line

with Australia’s national interest

Departmental operating appropriation $274.727 million

Departmental capital appropriation $19.528 million

Departmental expenses $287.471 million

Administered operating appropriation $3811.371 million

Administered capital appropriation $50.112 million

Administered expenses $3977.145 million

Outcome 2

Australia’s national interest advanced by implementing a partnership between Australia and

Indonesia for reconstruction and development

Departmental operating appropriation Nil

Departmental expenses Nil

Administered operating appropriation Nil

Administered expenses $37.104 million

12

» Effectiveness against outcomes

» Papua New Guinea and Pacifi c

» East Asia

» Africa, South and Central Asia, Middle East and other

» Emergency, humanitarian and refugee programs

» Multilaterals, United Nations, Commonwealth and other international organisations

» Non-government organisation, volunteer and community programs

» Cross regional programs

» Program support

» East Asia (Australia–Indonesia Partnership for Reconstruction and Development)

» Financial results

2

SECTION 2 I REPORT ON PERFORMANCE

Above left: Valma Galuvao (left) and

Christina Parasyn (right) from AusAID

visit Moata’a Early Education Centre

in Samoa. AusAID is funding two

teacher’s aides at the centre under

the Inclusive Education Program.

Since 2010, this program has

helped more than 500 children with

disability access education in Samoa

Photo: Sally Sitou, AusAID

Above middle: Paul Lehman, head of

AusAID in Afghanistan, visits a centre

run by the Afghan Women’s Business

Council that provides food, training

and income-generating opportunities

to vulnerable women

Photo: Courtesy of Xian-Zhi Soon,

Department of Foreign Affairs

and Trade

Above right: AusAID staff members

Joel Tukan, Jeremy Stringer and

Rendy Djauhari visit one of the

villages in West Timor, Eastern

Indonesia, which has received

training, funded by AusAID, to

improve crop yields and food security

Photo: Josh Estey for AusAID

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Effectiveness against outcomes

Increasing effectiveness and demonstrating the results achieved by Australia’s aid are central

themes of the Government’s new aid policy, An effective aid program for Australia: making a real difference—delivering real results.

In implementing the Government’s new aid policy, AusAID has made a number of improvements

to increase the quality and effectiveness of Australia’s aid program. These include:

• implementing a three-tiered results framework across all government agencies involved in

delivering Australian aid. The framework measures the annual progress of the aid program

towards the projected results set out in the Comprehensive Aid Policy Framework to

2015–16, and also includes reporting on organisational effectiveness and effi ciency

• strengthening the systems we use to collect and compile data so we can accurately track

progress and identify emerging issues

• aligning reporting requirements with the results framework and making evaluation

requirements more fl exible so they can better support program management

• introducing a more rigorous approach to the design and quality assurance of aid activities

based on their value and level of risk.

The aid program also uses a range of other systems and processes to assess its performance

and quality against domestic and global standards. AusAID established an Independent

Evaluation Committee in May 2012 to provide expert evaluation advice and oversee the

assessments of the Offi ce of Development Effectiveness. In addition, the Australian National

Audit Offi ce and the Development Assistance Committee of the Organisation for Economic

Co-operation and Development both regularly review AusAID and the Australian aid program.

Both organisations have assessed AusAID’s performance management and monitoring systems

and determined that they are best practice among bilateral donors globally.

Overall achievement of outcomes

Outcome 1—To assist developing countries to reduce poverty and achieve sustainable development, in line with Australia’s national interest.

During 2011–12 the aid program has either met or exceeded the key performance indicators for

Outcome 1. Major development results have been achieved: hundreds of thousands of people

have been helped out of poverty through employment and assistance programs and tens of

thousands of children have been provided with relief from school fees for a better education.

There have been important improvements in the provision of health services for the poor

and Australian aid has contributed to life-saving emergency assistance for millions of people

affected by confl ict and disaster around the world. These results are reported in detail against

each program. The introduction of the new results framework and improved reporting will help

AusAID to more clearly identify and report the development results that have been achieved

with Australian aid in the future.

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Based on information from AusAID’s quality reporting system and independent evaluations,

the aid program has exceeded the targets set for project quality and achievement of strategy

objectives. AusAID assesses the quality of projects annually in a quality at implementation

process, rating them against a six-point scale. During 2011–12, 87 per cent of the 483

activities assessed in the quality at implementation process were rated satisfactory or higher

on the effectiveness criterion.

Satisfactory Less than satisfactory

6 Very high quality; needs ongoing

management and monitoring only.

3 Less than adequate quality; needs work to

improve in core areas.

5 Good quality; needs minor work to improve in

some areas.

2 Poor quality; needs major work to improve.

4 Adequate quality; needs some work

to improve.

1 Very poor quality; needs major overhaul.

The AusAID Portfolio Budget Statement 2011–12 set a key performance indicator of ‘strategies

in place for 100 per cent of country, regional and thematic programs’ as a basis for this annual

report. Program strategies defi ne Australia’s contribution to development outcomes and how

Australia will deliver on its aid commitments. They ensure clarity around how we defi ne this

outcome, what actions we take and how we can determine our progress towards achieving it.

The agency did not achieve this target for all country and regional programs in 2011–12, as the

Independent Review of Aid Effectiveness and subsequent release of the Effective Aid policy

in July 2011 delayed some program strategy development, affecting a small proportion of the

program portfolio. It is anticipated that all strategies will be fi nalised and published on the

AusAID website by 31 December 2012.

During the year AusAID has focused on aligning programs with the Government’s new aid

priorities and updating program strategies to serve the Effective Aid policy’s objectives. By

the end of 2012 the top 20 country programs will have updated strategies aligned with the aid

policy, meeting the new target set by the Comprehensive Aid Policy Framework for strategy

coverage. This target will be the basis for future annual reporting.


In 2011–12, AusAID funded one activity under the Australia–Indonesia Partnership for

Reconstruction and Development, the Eastern Indonesia National Road Improvement Project,

which received a satisfactory quality rating. This activity concludes in June 2013.

SECTION 2 A

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Total Australian offi cial development assistance

Figure 2 shows total estimated Australian offi cial development assistance (ODA) in 2011–12

across major regions. The estimated sectoral breakdown of Australian ODA is shown in fi gure 3.

Appendix C provides a more detailed breakdown of Australia’s expenditure on overseas aid.

Figure 2: Estimated total Australian ODA by region 2011–12

Figure 3: Estimated total Australian ODA by strategic goal 2011 –12*

* Percentages shown based on provisional sector data for 2011–12. This data is subject to review and revision, which may change the percentages.

Papua New Guinea and Pacific 24%

East Asia 23%

South and West Asia 10%

Middle East and North Africa 3% Latin America and Caribbean 1%

Sub-Saharan Africa 7%

Global and other regions 32%

Humanitarian and disaster response 11%

Sustainable economic development 27%

Cross cutting 10%

Effective governance 19%

Promoting opportunities for all 17%

Saving lives 16%

SECTION 2 A

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2

Figu

re 4

: Dis

trib

utio

n of

Aus

tral

ian

aid

in 2

011–

12 BH

UTAN

Un

de

r $

5m

*

Ove

r $

5m

*

Ove

r $

20

m*

Ove

r $

100

m*

* Fi

gu

re r

ela

tes

to t

ota

l OD

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rom

all

ag

en

cie

s a

nd

pro

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ms

an

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oe

s

no

t in

clu

de

Au

sAID

’s r

un

nin

g c

ost

s

or

un

all

oca

ted

em

erg

en

cy f

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ds.

* D

ep

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n h

um

an

ita

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ds.

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rib

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an

SECTION 2 A

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Summary of performance against key performance indicators

Outcome 1—to assist developing countries to reduce poverty and achieve sustainable development, in line with Australia’s national interest

Program 1.1 ODA—Papua New Guinea and Pacifi c

Objective: to assist developing countries in Papua New Guinea and the Pacifi c region to reduce

poverty and achieve sustainable development

Key performance indicators Results 2011–12

Signifi cant development results and signifi cant

activity outputs Signifi cant development results and activity

outputs were achieved, as highlighted on pages 35

to 68

At least 75 per cent of activities receive a quality

rating of satisfactory or higher 88 per cent of the aggregated quality ratings

for Papua New Guinea and Pacifi c programs were

satisfactory or higher

At least 75 per cent of program strategy objectives

fully or partially achieved 90 per cent of program strategy objectives

were fully or partially achieved. Of this, 41 per cent

of program strategy objectives were fully achieved

and 49 per cent of program strategy objectives were

partially achieved

Strategies in place for 100 per cent of country,

regional and thematic programs 100 per cent of Papua New Guinea and Pacifi c

programs were covered by strategies. By dollar

value, 100 per cent of program allocations were

covered by strategies

90 per cent of activities are compliant with the

quality at implementation process 98 per cent of Papua New Guinea and Pacifi c

program activities were compliant with the quality at

implementation process

Program 1.2 ODA—East Asia

Objective: to assist developing countries in the East Asia region to reduce poverty and achieve

sustainable development




outputs were achieved, as highlighted on pages

70 to 103


rating of satisfactory or higher 80 per cent of the aggregated quality ratings for

East Asia programs were satisfactory or higher


fully or partially achieved 97 per cent of program strategy objectives were

fully or partially achieved. Of this, 42.3 per cent of

program strategy objectives were fully achieved and

54.4 per cent of program strategy objectives were

partially achieved

SECTION 2 A

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regional and thematic programs 88 per cent of East Asia programs were covered

by strategies. By dollar value, 90 per cent of program

allocations were covered by strategies*


quality at implementation process 98 per cent of East Asia program

activities were compliant with the quality at


* 88 per cent or eight out of nine programs. The China program is being phased out in line with government policy. The Mongolia program is new

and its program strategy is yet to be fi nalised.

Program 1.3 ODA—Africa, South and Central Asia, Middle East and other

Objective: to assist developing countries in Africa, South and Central Asia and the Middle East to

reduce poverty and achieve sustainable development




outputs were achieved, as highlighted on pages 105

to 136


rating of satisfactory or higher 93 per cent of the aggregated quality ratings for

Africa, South and Central Asia, Middle East and other

programs were satisfactory or higher



fully or partially achieved. Of this, 66.7 per cent of

program strategy objectives were fully achieved and

30.8 per cent of program strategy objectives were

partially achieved*


regional and thematic programs 64 per cent of Africa, South and Central Asia,

Middle East and other programs were covered by

strategies. By dollar value, 93 per cent of program

allocations were covered by strategies**

90 per cent of activities are compliant with the quality

at implementation process 96 per cent of Africa, South and Central

Asia, Middle East and other program



* The objective relating to the rights of women and marginalised groups was not applicable during the reporting period as it was defi ned in January

2012, and its programming under development at the end of 2011–12.

** 64 per cent, or nine out of 14 programs. The India program is being phased out in line with government policy. The Bhutan, Maldives, South and

West Asia regional, Middle East and North Africa, and Latin America program strategies are yet to be fi nalised.

Program 1.4 ODA—Emergency, humanitarian and refugee programs

Objective: to assist developing countries respond to emergencies and assist refugees


Signifi cant organisation outputs and signifi cant

humanitarian results Signifi cant organisation outputs and

humanitarian results were achieved, as highlighted

on pages 137 to 145

SECTION 2 A

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rating of satisfactory or higher 100 per cent of the aggregated quality ratings

for emergency, humanitarian and refugee programs

were satisfactory or higher



were fully or partially achieved


at implementation process Where applicable, 100 per cent of emergency,

humanitarian and refugee program activities were

compliant with the quality at implementation process

Programs 1.5 and 1.6 ODA—Multilaterals, United Nations, Commonwealth and other international organisations

Objective: to assist developing countries through contributions to multilaterals, the United

Nations, Commonwealth and other international organisations



development results Signifi cant organisation outputs and

development results were achieved, as highlighted

on pages 147 to 167

At least 75 per cent of organisations receive a quality

rating of satisfactory or higher 88 per cent of the quality ratings for

multilaterals, United Nations, Commonwealth and

other international organisations were satisfactory

or higher*



were fully or partially achieved


at implementation process 100 per cent of multilateral, United Nations,

Commonwealth and other international organisation


implementation process**

* These satisfaction ratings refer to core funding and global programs with multilateral partners. The satisfaction ratings of country program

co-fi nancing arrangements with multilaterals are assessed within specifi c country programs ratings.

** Note that in 2011–12 the existing quality at implementation reporting system was replaced by the more comprehensive Australian Multilateral

Assessment process that provided detailed assessments of 42 key multilateral partners.

Program 1.7 ODA—Non-government organisation, volunteer and community programs

Objective: to assist developing countries through contributions to non-government organisation,

volunteer and community programs



development results Signifi cant organisation outputs and

development results were achieved, as highlighted on

pages 169 to 180


rating of satisfactory or higher 100 per cent of the quality ratings for

non-government organisation, volunteer and

community programs were satisfactory or higher



fully or partially achieved

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quality at implementation process 100 per cent of non-government organisation,

volunteer and community program activities were


Program support—Outcome 1

Objective: to support the implementation and management of Australia’s international aid program


Ministerial and parliamentary satisfaction The Minister and Parliamentary Secretary

expressed satisfaction with the consistent and high

quality support and advice provided by AusAID

Implementation of the aid program’s performance

assessment and management policy,

including production of the Annual Review of

Development Effectiveness

AusAID continued to make progress in

implementing the performance management and

evaluation policy. There was 97 per cent compliance

with reporting at the implementation stage of the

activity cycle, and 100 per cent of annual performance

reports at the program level have been produced

The Independent Review of Aid Effectiveness

recommended that the Annual Review of Development

Effectiveness be discontinued and replaced with a new

whole-of-government reporting system

Outcome 2—Australia’s national interest advanced by implementing a partnership between Australia and Indonesia for reconstruction and development


Objective: to continue to assist Indonesia in reconstruction and development post the 2004 tsunami




outputs were achieved, as highlighted on page 221


rating of satisfactory or higher 100 per cent. There was one activity under the

Australia–Indonesia Partnership for Reconstruction

and Development and its quality rating was

satisfactory


fully or partially achieved Achievement of program strategy objectives are

reported and assessed within the Indonesia program

portfolio. On 20 March 2008, the Australia–Indonesia

Partnership for Reconstruction and Development

Secretaries’ Committee agreed that partnership funded

programs would be reported on within the Australia

Indonesia Partnership Country Strategy 2008–13*

90 per cent compliance with quality at

implementation process 100 per cent of Australia–Indonesia Partnership

for Reconstruction and Development activities were


Indonesia country strategy in place Australia Indonesia Partnership Country Strategy

2008–13 in place

* The Annual Program Performance Report for 2010 shows that 85.5 per cent of Australia Indonesia Partnership Country Strategy 2008–13

objectives were fully or partially achieved.

SECTION 2 A

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Millennium Development Goals and the Australian aid program

The Millennium Development Goals are a blueprint for reducing world poverty. The eight

goals were agreed in 2000 by 189 countries, including Australia. All United Nations member

countries, developed and developing alike, have made a collective commitment to meet the

goals and targets set out in the declaration by 2015.

For each of the Millennium Development Goals there are a number of target indicators to

measure progress towards achieving them. The central goal is to halve the proportion of people

living in extreme poverty on less than US$1.25 a day by 2015, relative to 1990 levels. All of the

goals are interdependent and progress in one can have a substantial impact on the others.

During 2011–12, there has been continued progress towards achieving the Millennium

Development Goals, despite weak global economic conditions. The target to halve the global

poverty rate has been met, and there has been notable progress in addressing access to safe

drinking water and primary education, particularly schooling for girls. There remains, however,

a number of goals that are not on track to be achieved by 2015, including targets to reduce

global hunger and maternal mortality.

Within Asia and the Pacifi c, where Australia’s aid program is primarily focused, progress varies

across the Millennium Development Goals and between countries. While rapid economic

growth in East Asia has helped to reduce poverty and accelerate progress on a number of the

goals, South Asia remains host to some of the highest proportions of people living in extreme

poverty and hunger. In the Pacifi c, progress is slow towards reducing poverty, achieving gender

equality, improving access to water and sanitation and addressing health problems such

as malnutrition, maternal mortality and malaria. Progress in the Asia-Pacifi c region is being

hampered by the fragility of some countries, particularly those affected by violent confl ict.

Australia’s commitment to the Millennium Development Goals is refl ected in the large increase

in offi cial aid spending, expected to reach 0.45 per cent of Australian gross national income, or

about $7.7 billion annually, by 2015–16. Australia’s aid program provides essential goods and

services to target poverty eradication and promote better health and education, infrastructure

and environmental outcomes. The aid program also helps develop local institutions and

facilitate policy dialogue to strengthen developing country leadership.

The impact of Australia’s support for the Millennium Development Goals is reported through

assessments of specifi c country programs. The Comprehensive Aid Policy Framework

provides the guiding policy for Australian aid to 2015–16 and focuses efforts on making real

and measurable progress towards achieving the goals by 2015. Australia will also be part

of the United Nations negotiations with other governments and civil society to advance the

development agenda beyond 2015.

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The Millennium Development Goals

Eradicate extreme poverty and hunger • Halve, between 1990 and 2015, the proportion of people whose income is less than US$1 a day.

• Achieve full and productive employment and decent work for all, including women and

young people.

• Halve, between 1990 and 2015, the proportion of people who suffer from hunger.

Achieve universal primary education • Ensure that by 2015, children everywhere, boys and girls alike, will be able to complete a full

course of primary schooling.

Promote gender equality and empower women • Eliminate gender disparity in primary and secondary education, preferably by 2005, and in all

levels of education, no later than 2015.

Reduce child mortality• Reduce by two-thirds, between 1990 and 2015, the under fi ve mortality rate.

Improve maternal health • Reduce by three-quarters, between 1990 and 2015, the maternal mortality ratio.

• Achieve universal access to reproductive health.

Combat HIV and AIDS, malaria and other diseases • Have halted by 2015 and begun to reverse the spread of HIV/AIDS.

• Achieve by 2010 universal access to treatment for HIV/AIDS for all those who need it.

• Have halted by 2015 and begun to reverse the incidence of malaria and other major diseases.

Ensure environmental sustainability • Integrate the principles of sustainable development into country policies and programs and

reverse the loss of environmental resources.

• Reduce biodiversity loss, achieving by 2010 a signifi cant reduction in the rate of loss.

• Halve by 2015 the proportion of people without sustainable access to safe drinking water and

basic sanitation.

• Achieve by 2020 a signifi cant improvement in the lives of at least 100 million slum dwellers.

Develop a global partnership for development • Address the special needs of least developed countries, landlocked countries and small island

developing states.

• Develop further an open, rule-based, predictable, non-discriminatory trading and

fi nancial system.

• Deal comprehensively with developing countries’ debt.

• In cooperation with pharmaceutical companies, provide access to affordable essential drugs

in developing countries.

• In cooperation with the private sector, make available the benefi ts of new technologies,

especially information and communications.

Further information on the Millennium Development Goals can be found at www.ausaid.gov.au/aidissues/mdg

1

2

3

5

7

4

6

8

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Millennium Development Goal 1: Eradicating extreme poverty and hunger

The target of halving extreme poverty has been achieved well before the 2015 deadline. The

proportion of people living on less than US$1.25 a day, the internationally agreed benchmark

for extreme poverty, fell from 43.1 per cent in 1990 to 22.2 per cent in 2008 and has continued

to fall since then. Notwithstanding this progress, around one billion people will still be living

below US$1.25 a day in 2015. In 2011 international food prices spiked for the second time in

three years, igniting concerns about a repeat of the 2008 food price crisis and its consequences

for the poor. Food security remains a critical issue for the future, as families without enough

food will sacrifi ce other important basic needs such as health and education.

Shared and sustained economic growth remains the most effective long-term solution to

reducing poverty and ensuring food security. Australia assists partner countries to achieve

economic growth through programs that focus on key drivers of growth, such as rural

development, infrastructure, access to fi nance and social protection to improve resilience.

Australia’s investment in food security and rural development in 2011–12 was an estimated

$385 million, or eight per cent of overseas development assistance. In November 2011 AusAID

released the education-based strategy, Sustainable economic development: improving food security, which sets out Australia’s plan to increase agricultural productivity, improve the

incomes of rural people and support the creation of social protection networks so communities

can resist and overcome economic shocks.

Australia has committed $100 million to the Global Agriculture and Food Security Program. This

program will lead to long-term food security, agricultural productivity and increased incomes for

an estimated seven million poor people in low income countries. It allows donors to coordinate,

rather than duplicate, aid efforts in countries that exhibit both need and readiness to use

funds well. Australia was selected as the new chair of the Global Agriculture and Food Security

Program Steering Committee and will work to improve the responsiveness of the program,

encourage quality proposals and attract more donors.

Australia’s support for infrastructure programs across East Asia and the Pacifi c helps to

stimulate private sector development and increase incomes, particularly for small-scale

agricultural producers. In East Timor, Australian assistance helps to rehabilitate and maintain

the country’s rural road network. Rehabilitation works in particular bring roads to communities

that have previously been cut off from transport services, allowing access to markets to buy

and sell goods. As a result of these works, there has been a direct impact on employment with

109 000 jobs created, presenting the opportunity for many workers to earn a cash income for

the fi rst time. Residents have also reported that their children are more easily able to attend

school and their families have better access to health clinics. The improvements in education

and health will enable the new generation to increase their incomes and opportunities, once

again reducing poverty.

Increasing access to fi nancial services, including for savings and deposits, credit, payments,

remittances and insurance, is an important way to alleviate poverty. In Cambodia, Australia

helped almost 200 000 people gain access to microinsurance and mobile phone payment

services that allow customers to transfer, save and withdraw money using a mobile phone.

This has allowed members of poor Cambodian rural households to seek more profi table

employment elsewhere in the country and to safely send income to their families.

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Millennium Development Goal 2: Achieving universal primary education

Globally, a decade of effort has meant millions more children are now enrolled in primary

school. For instance, the number of children not attending school has halved in South and

Central Asia. Globally, however, there are still 61 million children missing out on the chance to

go to primary school, including 20 million in the Asia-Pacifi c region. It is also estimated that

200 million children globally cannot read or write when they leave primary school,1 signalling

the need to focus not just on getting children into school but also on the quality of teaching

and learning.

Australia is committed to fi nding solutions so that children everywhere can attend school

to gain the basic skills necessary to participate in society and employment. Education is

the fl agship sector of the Australian aid program, with programs in 21 countries, including

Indonesia, Papua New Guinea, the Philippines, Pacifi c Island countries, Afghanistan, East

Timor, Myanmar, Laos and Bangladesh.

Australia’s investment in education in 2011–12 was an estimated $782.3 million, or 16 per cent

of overseas development assistance. In November, AusAID released the education thematic

strategy, Promoting opportunities for all: education, which guides Australia’s investments in

education through the aid program and commits us to removing barriers to help all children

access schooling and to improve learning.

To support more children attend school and improve the quality of their education, in 2011–12

Australian aid helped more than one million girls and boys go to school with over 2200

classrooms built or upgraded and more than one million students provided with fi nancial and

nutritional support. Australia also supported the training of around 110 000 teachers and

640 000 school offi cials, and provided nearly three million textbooks contributing to more

children obtaining a better quality education.

Australia is also continuing to support partner governments to strengthen their own education

systems through improved governance and service delivery. In Papua New Guinea, we are

working to improve the government’s education management information system to provide

more reliable and timely education data for policy makers, planners, schools and donors to

enable evidence-based decisions that will improve the quality of teaching and learning.

Australia’s partnerships in education are an important component of our work. The Global

Partnership for Education is a priority commitment of $270 million (2011–15) which focuses

on the most vulnerable children in the poorest countries. This partnership between bilateral

donors, multilateral organisations, developing partner governments and civil society helps

deliver a good quality education to all girls and boys by supporting sustainable, national

education plans, training teachers, building classrooms and providing textbooks.

1 Early reading: igniting education for all, Research Triangle Institute, 2010.

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Figure 5: Estimated total Australian ODA on education 2011–12*


Millennium Development Goal 3: Promoting gender equality and empowering women

There has been some advancement towards meeting Millennium Development Goal 3—promoting

gender equality and empowering women, although progress is uneven across regions and there

are still some areas of marked inequality. In developing regions, 96 girls were enrolled in primary

and secondary school for every 100 boys in 2009. This is an improvement since 1999, when the

ratios were 91 for primary school and 88 for high school. In 1995, women held less than 12 per cent

of seats in single or lower houses of parliament worldwide. By January 2011, this had increased to

19 per cent, which is an all time high, but falls well short of parity. Women’s leadership in the Pacifi c

in particular remains low with women comprising only fi ve per cent of parliamentarians in the

region. Australia is supporting women’s participation in the electoral process in Papua New Guinea

by training women candidates in campaign planning and logistics, delivered through the Australian

National University’s Centre for Democratic Institutions. Three women were elected to Papua New

Guinea’s Parliament in the 2012 elections.

In 2011–12 Australia further strengthened its commitment to remaining a strong advocate and

practical supporter of gender equality and women’s empowerment. An effective aid program for Australia recognises gender equality as a critical cross cutting theme across its aid program

and that providing opportunities for women and men, including through education, access to

services and in decision-making, supports economic growth and helps to reduce poverty.

In November 2011, AusAID released Promoting opportunities for all: gender equality and women’s empowerment thematic strategy, which will guide and inform Australia’s investment

in improving gender equality. In line with this strategy, AusAID will organise its work on gender

equality and women’s empowerment around four pillars.

Development scholarships 38%

Pre-secondary education 13%

Multi-level activities

and education governance 39%

Secondary-level education 4%

Post-secondary education 6%

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1. Advancing equal access to gender-responsive health and education services.

2. Increasing women’s voice in decision-making, leadership and peacebuilding.

3. Empowering women economically and improving their livelihood security.

4. Ending violence against women and girls at home, in their communities and in disaster and

confl ict situations.

Australia supported development of the World Bank’s 2012 World development report: gender equality and development. The report demonstrated that gender equality matters because it

is smart economics and enhances productivity. The report found that development has closed

some gender gaps in many countries, but that disparities remain. For example, amongst

disadvantaged populations in a number of developing countries primary and secondary

school enrolments for girls remain much lower than for boys. The report also highlighted the

importance of policies that focus on persistent gender gaps. Women still have unequal access

to economic opportunities and are more likely than men to work as unpaid labourers or in

the informal sector. AusAID is supporting women’s economic empowerment through direct

employment in AusAID-funded programs. AusAID support for road maintenance has generated

at least 80 000 days of employment for women in Solomon Islands and almost 10 000 days of

employment for women in Vanuatu.

There are large gaps between women and men in their use and access to new and emerging

technology. Women in many developing countries do not have the same access to mobile

phones as men, yet mobile technology can provide practical and important benefi ts to women.

For example, banking using mobile phones provides a safer way for women to save and do

business and is being used in other innovative ways to provide services to women. AusAID is

working with USAID, the GSMA Foundation and Visa International in a three year partnership to

increase the access of poor women to mobile phones. This will allow poor women to gain better

access to fi nancial services, education and health care via mobile phones.

Violence against women and the fear of violence are serious human rights violations. It causes

trauma to women, their families and communities. Violence against women can undermine,

and even reverse, hard-won development gains and remains at intolerable levels in many

countries. It creates major fi nancial costs for countries, with increased spending required for

health care, social services, policing and the justice system. The 2011–12 Budget provided

$96.4 million over four years to combat violence against women in developing countries, with

a particular focus on Asia and the Pacifi c. In 2011–12, Australia helped almost 15 000 women

survivors of violence access critical services such as emergency shelters, counselling and

legal advice. This support was provided through organisations such as the Fiji Women’s Crisis

Centre, the Vanuatu Women’s Centre and the Solomon Islands Family Support Centre. These

centres also play a key role in prevention activities and supporting women’s access to justice.

Millennium Development Goals 4 and 5: Reducing child mortality and improving maternal health

Saving the lives of poor women and children by improving their access to quality maternal and

child health services (for example, skilled birth attendants and midwives) is a key development

objective of Australia’s aid program.

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Child deaths remain unacceptably high across low income countries. In 2010, 7.6 million

children died before their fi fth birthday—almost 99 per cent of these children were from

developing countries.

AusAID funds a wide range of measures to reduce child deaths, including neonatal and

postnatal care, immunisation coverage, prevention and treatment of common childhood

illnesses and improved nutrition. In 2011, our support to the GAVI Alliance helped vaccinate

1.5 million children against diseases such as hepatitis B, yellow fever, meningitis and pneumonia.

In Nepal, immunisation coverage for children aged less than 12 months increased to 96 per

cent in 2011, compared to 82 per cent in 2009–10. Through a health sector wide approach,

AusAID contributed to 11 357 children being immunised against diphtheria, pertussis and

tetanus in 2011. While Nepal is on track to achieve its target of reducing under fi ve and infant

deaths, neonatal deaths remain stagnant at 33 deaths per 1000 live births.

There continues to be progress in reducing deaths from complications during pregnancy and

childbirth. Reductions in maternal mortality rates have been seen across many of AusAID’s

priority countries over the past two decades. In Afghanistan, there were 1300 maternal deaths

for every 100 000 live births in 1990. By 2010 this fi gure was 460—a 65 per cent reduction.

Over the same period, Bangladesh and Cambodia each achieved reductions of 70 per cent.

These numbers are still too high. In 2010, 287 000 women died globally from pregnancy and

childbirth-related complications—800 every day.

Good quality, accessible health services are vital to reduce maternal death rates. This means

the presence of a skilled birth attendant (for example a trained midwife, nurse or doctor) during

delivery. It also means having the right supplies, such as drugs to stop bleeding after delivery,

and emergency obstetric services such as basic operating theatres for serious cases. Ante and

postnatal services are also important to protect the health of mothers and their babies.

Australia is helping the world’s poorest and most vulnerable women to access maternal health

care. In 2011–12, we continued to focus support on the Asia-Pacifi c region, which bears around

40 per cent of the global maternal mortality burden.

Across Papua New Guinea, there are only 152 practicing midwives for 220 000 births each year.

AusAID is helping improve the quality of maternal health services by providing eight clinical

educators for midwifery schools. These helped 49 midwifery students to graduate in 2011,

compared to none in 2010. In 2011, AusAID also distributed essential drugs, such as medicine

to treat complications in pregnancy and labour, to 95 per cent of functioning health facilities

across Papua New Guinea, 706 health centres and 2101 aid posts.

AusAID works closely with the United Kingdom Department for International Development

(DFID) to support the implementation of Pakistan’s maternal, neonatal and child health

program. The program targets rural areas and trained almost 9000 midwives in 2011. The

combined efforts of AusAID, DFID and the Pakistani Government have dramatically increased

the use of maternal health services in rural areas—skilled birth attendance increased by nearly

31 per cent between 2006–07 and 2010–11.

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Millennium Development Goal 6: Combating HIV/AIDS, malaria and other diseases

More strategic investments in HIV, malaria and other disease programs are having a positive

impact. The rate of new HIV infections appears to have stabilised in many regions and more

people are receiving life-saving treatment. In the Asia-Pacifi c, the HIV epidemic is stabilising,

new infections are declining and AIDS deaths are levelling off. In South and South-East Asia,

estimated new HIV infections in 2010 (270 000) were 40 per cent less than at the epidemic’s

peak in 1996. Prevalence still remains the highest among people who inject drugs, men who

have sex with men, and sex workers and their clients.

While the burden of tuberculosis (TB) is slowly declining worldwide, the emergence of a drug

resistant strain of the disease poses a serious threat to control, particularly when patients are

also infected with HIV. The Australian Government has committed $8 million over four years,

2011–12 to 2014–15, to support the Papua New Guinea Government to address TB in Western

Province, which borders Australia. This package of support will provide high quality, reliable

treatment for people in Western Province and is expected to reduce the risk of spreading the

disease, including multi-drug resistant TB across the Australian border. Funding has provided a

purpose built boat for mobile health clinics and patient transport and will help build a TB ward

at Daru Hospital, due for completion at the end of 2012.

In Myanmar, Australia has supported an HIV and TB initiative that includes screening HIV

positive patients for TB and, if diagnosed, providing patients with treatment and support for both

diseases. With Australian funding, 9014 TB patients were tested for HIV in 2011, up from 7035 in

2010. In 2011, Australian-funded activities in Myanmar contributed to more than 130 000 new TB

patients registering for treatment and more than 9000 community-based referrals of suspected

TB cases to health facilities. In addition, Australian support ensured that 47 patients were

successfully treated for multi-drug resistant TB, which requires treatment for two years.

In Solomon Islands and Vanuatu the Australian aid program is working to control and

progressively eliminate malaria. Solomon Islands has experienced a national reduction in cases

from 199 per 1000 people in 2003 to 46 per 1000 people today. In Vanuatu, Australian aid has

helped reduce malaria cases by more than 80 per cent across the country, from around 74

cases per 1000 people in 2003 to fewer than 26 cases per 1000 people today.

Malaria remains a concern in our region. In 2011–12 resistance to antimalarial medicines, such

as artemisinin, continued to emerge in South-East Asia. If resistance spreads to other large

geographical areas such as Africa, the health consequences could be dire as no alternative

antimalarial medicines are currently available. During the year AusAID partnered with the World

Health Organization and other development partners to lead a joint strategic assessment of

response efforts to artemisinin resistance. This will inform an intensifi ed response strategy to

this emerging global public health issue in 2012–13.

Polio is a debilitating disease that continues to strike the world’s most vulnerable. At the 2011

Commonwealth Heads of Government Meeting, the Prime Minister announced a new Australian

contribution of $50 million over four years to support the Global Polio Eradication Initiative.

Australian funding is supporting polio surveillance, monitoring, supplementary immunisation

campaigns and outbreak responses. A major milestone was reached in February 2012 with the

World Health Organization removing India from the polio endemic list, as no polio cases had

been reported for one year.

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Figure 6: Estimated total Australian ODA on health 2011–12*


Millennium Development Goal 7: Ensuring environmental sustainability

Central to achieving Millennium Development Goal 7 is the target of integrating the principles

of sustainable development into country policies and programs, and reversing the loss of

environmental resources. Yet working out how to achieve sustainable development is our

greatest challenge and greatest opportunity. Achieving sustainable development means

balancing the three main elements of development—economic, social and environmental—and

the needs and rights of all. Projected population growth and consumption patterns indicate

that the world will need at least 50 per cent more food, 45 per cent more energy and 30 per

cent more water by 2030.

In 2011–12 Australia supported partners to integrate sustainability into country policies

and programs, addressing areas such as climate change, food security, forest conservation

and natural resource management. In October 2011 Australia announced the Mining for

Development Initiative, $127 million over four years to 2014–15, to assist developing countries

gain the maximum benefi t from their natural resources in a socially, environmentally and

economically sustainable way. Other initiatives include $25 million over four years from

2010–13 to improve energy access in the Pacifi c, guided by the Framework for Action on Energy

Security in the Pacifi c, and the Australian–Mekong Water Resources Program which is providing

$16 million from 2009–13 to the Mekong River Commission to improve capacity, measures and

procedures for effective management of water resources.

Australia supports a number of initiatives that are aimed at reducing the negative impacts

of climate change and other environmental factors on people in developing countries. This

included $78 million in 2011–12 for the International Climate Change Adaptation Initiative to

help 23 developing country partners reduce their vulnerability to climate change. In Vietnam,

Australia’s support has improved the resilience of coastal environments to climate change

through rehabilitation of over 40 hectares of mangroves, and increased the biodiversity of

wetlands with improved water management policies. Australia has also helped Kiribati build

seawalls to protect the main road and plant over 37 000 mangrove seedlings to help manage

the impacts of coastal erosion and sea level rise.

Health including infectious diseases 52%

Water and sanitation 25%

HIV/AIDS 12%

Maternal and child health 11%

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Australia is also helping partner countries to reduce emissions from deforestation and

forest degradation through the International Forest Carbon Initiative, which included

$45 million in 2011–12. As part of the initiative a demonstration project in Indonesia has planted

1.2 million seedlings in 35 community-based nurseries and has set up agreements with local

communities to provide incentive payments for environmental activities.

In March 2012 the World Health Organization and United Nations Children’s Fund Joint

Monitoring Programme for Water Supply and Sanitation announced that the Millennium

Development Goal safe drinking water target was met in 2010, fi ve years ahead of the 2015

goal. Further investment is still needed to meet the sanitation target. Australia has committed

up to $870 million over four years from 2011–12 to improve access to safe water and basic

sanitation, and to improve hygiene practices across the Asia-Pacifi c and Africa. In Indonesia,

Australian aid helped increase access to safe water and basic sanitation for more than 410 000

people over 2010 and 2011.

Millennium Development Goal 8: Developing a global partnership for development

Australia’s approach to development recognises the importance of regional and global

initiatives to promote strong and equitable economic growth, reduce poverty and enhance

international cooperation towards the Millennium Development Goals.

Australia was an active participant in international efforts to forge a new global partnership on

development cooperation in the lead-up to, and following, the Fourth High Level Forum on Aid

Effectiveness held in Busan, South Korea in November 2011. The forum took stock of progress

in implementing aid effectiveness principles since 2005 and identifi ed actions to further

improve the quality, transparency and effectiveness of development cooperation. Participants

of the forum committed to establish the new Global Partnership for Effective Development

Cooperation which will support the implementation of the forum’s commitments and engage

the international community in dialogue on development effectiveness.

Australia has also taken a leading role in improving donor partnerships with fragile and

confl ict-affected countries, which represent 53 per cent of Australia’s bilateral and regional

development assistance spending in 2011–12. This refl ects the high priority these countries

have in the aid program. As the founder of the Friends of the g7+ (a small group of fragile

and confl ict-affected countries led by East Timor), Australia supported g7+ engagement in

policy fora around the world. One of these, the International Dialogue on Peacebuilding and

Statebuilding, brings donors and the g7+ together to fi nd new and innovative ways to deal with

state fragility. This work culminated at the Fourth High Level Forum on Aid Effectiveness with the

launch of the New Deal for Engagement in Fragile States, which aims to change the way national

and international actors work in situations of confl ict and fragility to rebuild institutions, and

provide security and opportunities for citizens. Australia played a lead role in presenting the deal

at the forum, where it was endorsed by 35 countries. In 2012 Australia, with Afghanistan, agreed

to co-chair the International Dialogue Working Group on implementing the deal.

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In 2011–12, Australia delivered on its commitment to advocate for least developed countries.

As host of the 2011 Commonwealth Heads of Government Meeting, Australia prioritised issues

confronting these countries, such as food security, climate change and remittances. Strong

Australian advocacy also enabled attendees at the 2011 G20 Leaders Summit in Cannes to gain

a better understanding of the challenges confronting these countries. In 2011–12, funding for

least developed countries accounted for around one third of Australia’s offi cial development

assistance. Australia is providing development assistance to 45 least developed countries

and is also supporting recent United Nations efforts to improve opportunities for countries

graduating from least developed country status.

Australia has played a lead role in the Group of Twenty (G20) development agenda and

strongly advocated for a greater focus on the needs of least developed countries, as well as

small and fragile states. During the year Australia led work on a number of G20 development

outcomes, including working in partnership with a number of middle income G20 countries.

At the June 2012 G20 Leaders Summit in Los Cabos, Mexico, the Australian Prime Minister

joined counterparts from the United Kingdom and Canada and the President of the World

Bank to launch the $100 million AgResults initiative. This initiative will support innovative

partnerships with the private sector to improve food security and agricultural productivity in

developing countries. At the November 2011 Leaders’ Summit in Cannes, Australia led efforts to

develop a G20 target to reduce global average remittance costs to fi ve per cent by 2014, which

could provide additional fi nance of up to $15 billion annually for recipient populations. Other

Australian G20 development priorities included expanding access to fi nancial services for the

poor, encouraging green growth and strengthening social protection in developing countries.

Australia maintains its level of trade enabling support, which was an estimated $663 million

in 2011–12, or an estimated 13.6 per cent of Australia’s offi cial development assistance.

Australia also continues to be a strong advocate for more open trade, increasing its

contribution to the World Trade Organization’s Global Trust Fund to help developing countries

effectively participate in the multilateral trading system, which best assures their rights and

obligations in a transparent and equitable manner.

Australia continues to provide least developed countries duty free and quota free access for

their exports to Australia. Since 2003, there has been growth in least developed countries’

exports to Australia of seven per cent a year. Market access alone however, is not suffi cient.

Least developed countries suffer from major supply-side or capacity constraints. To help

ease these, Australia is funding the Enhanced Integrated Framework, a multi-donor program

established by the World Trade Organization. The framework undertakes comprehensive

diagnostics assessments of the trade needs of least developed countries, helps them

undertake trade-related reforms and develops their capacity to trade.

As developing countries increasingly participate in preferential trading agreements, Australia

has assisted developing country partners to improve their ability to negotiate effectively and

to optimise the benefi ts from such agreements. It is important that these trade agreements

underpin improvements in economic integration and drive economic growth. Australia

continues to engage in the regional Trans-Pacifi c Partnership trade negotiations to help

establish an effective cooperation and capacity building framework to benefi t developing

country partners.

33

Fourth High Level Forum on Aid Effectiveness

The Fourth High Level Forum on Aid

Effectiveness was held in Busan in South

Korea from 29 November to 1 December 2011

and attended by more than 3000 delegates.

Australia’s delegation was led by then Minister

for Foreign Affairs, Kevin Rudd. The forum

built on commitments made at previous aid

effectiveness meetings in Paris (2005) and

Accra (2008).

The key outcome was endorsement by

all participants, including the emerging

economies (China, India and Brazil), of

common principles for effective development

cooperation. These principles include

ownership of development priorities by

developing countries, a focus on results,

inclusive development partnerships, and

transparency and accountability. Participants

also agreed to establish a new Global

Partnership for Effective Development

Cooperation to support the implementation of

the forum’s commitments, review progress and

promote accountability.

The forum had a strong focus on strengthening

aid to fragile and confl ict-affected states

and included agreement on a new global

direction for engagement with fragile states.

The agreement, known as the New Deal for

Engagement in Fragile States, clarifi es the

priorities in fragile states (legitimate politics,

justice, security, economic foundations and

revenues and services) and commits donors

to support country-led transitions out of

fragility. Australia was one of 35 countries that

endorsed the agreement.

Australia has already met, or is on track

to meet, key Busan commitments by the

specifi ed deadlines through our aid program.

Australia will be an active participant in the

new global partnership and will continue to

work with all development partners to improve

the quality, transparency and effectiveness of

our aid.

Above: The Fourth High Level Forum on Aid Effectiveness brought together political leaders, aid organisations and

representatives of civil society and the private sector from 160 countries. Discussions focused on global efforts to make

aid more effective and to reduce poverty

Photo: Courtesy of YEO, Seung-jin

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Program 1.1 ODA—Papua New Guinea and Pacifi c

Summary of performance

Objective: to assist developing countries in Papua New Guinea and the Pacifi c region to reduce

poverty and achieve sustainable development

Key performance indicators

Results 2009–10 Results 2010–11 Results 2011–12

Signifi cant

development results

and signifi cant

activity outputs

Signifi cant

development results

and activity outputs

were achieved

Signifi cant

development results and

activity outputs were

achieved, as reported by

individual programs

Signifi cant



achieved, as highlighted

on pages 35 to 68

At least 75 per cent

of activities receive

a quality rating of


82 per cent of the

aggregated quality

ratings for Papua

New Guinea and

Pacifi c programs were


90 per cent of the

aggregated quality

ratings for Papua

New Guinea and



88 per cent of the

aggregated quality

ratings for Papua

New Guinea and




of program strategy

objectives fully or

partially achieved

93 per cent of

program strategy

objectives were fully or

partially achieved. Of

this total, 31 per cent

of program strategy

objectives were fully

achieved and 62 per cent

were partially achieved

82 per cent of

program strategy




of program strategy


achieved and 54 per cent

were partially achieved

90 per cent of

program strategy


or partially achieved.

Of this, 41 per cent

of program strategy


achieved and 49 per

cent of program strategy

objectives were partially

achieved

Strategies in place for

100 per cent of country,

regional and thematic

programs*

92 per cent of Papua

New Guinea and Pacifi c

programs were covered

by strategies. By dollar

value, 98 per cent of

program allocations were


100 per cent of

Papua New Guinea and


covered by strategies.

By dollar value, 100

per cent of program

allocations were covered

by strategies

90 per cent of

activities are compliant

with the quality at

implementation

process*

94 per cent of Papua

New Guinea and Pacifi c

program activities were

compliant with the quality

at implementation process

98 per cent of

Papua New Guinea

and Pacifi c program

activities were compliant

with the quality at


* This indicator was introduced in 2010–11 and was not reported against in 2009–10.

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* Amount does not include humanitarian assistance during 2011–12.

Papua New Guinea and the Pacifi c

In 2011–12, AusAID country and regional program aid to Papua New Guinea and the Pacifi c

totalled $926.8 million. Other assistance through AusAID’s global programs and through other

government agencies brought Australia’s total offi cial development assistance (ODA) to an

estimated $1155.9 million.

The Pacifi c is central to Australia’s international development objectives. Approximately one

quarter of Australian aid goes to the Pacifi c and we provide around half of all aid received in the

region. Australia’s aid policy, An effective aid program for Australia, commits Australia to taking

the lead in tackling development challenges in the Pacifi c.

The challenges facing Pacifi c nations are complex and diverse. They include geographic

isolation, small and often dispersed populations, small economies that limit potential for

growth and economic opportunities, rapid population growth, a lack of critical infrastructure,

unstable governments, the impact of climate change and a vulnerability to natural disasters.

Progress towards meeting the Millennium Development Goals varies across the region. The

weakest performance is in Melanesia, which includes the most populous Pacifi c nations of

Papua New Guinea, Solomon Islands, Vanuatu and Fiji. The small Micronesian nations also

have diffi culty in maintaining the slight gains they have made. More progress has been made in

the Polynesian countries, including Cook Islands, Niue, Samoa and Tonga, which have recorded

gains in eradicating extreme hunger and poverty, achieving universal primary education,

promoting gender equality and improving maternal health.

Under $5m*

Over $5m*

Over $20m*

Over $100m*

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Australia’s aid program in the Pacifi c is based on principles outlined in the:

• Port Moresby Declaration (2008), which sets out our core principles for working with the

countries and people of the region—mutual respect, mutual responsibility, a focus on

results and working together to achieve the Millennium Development Goals in the Pacifi c

• Partnerships for Development, which Australia has signed with 11 Pacifi c countries, and

which determine how we will work with Pacifi c governments and their people to boost

development and make a real difference to their lives

• Cairns Compact on Strengthening Development Coordination (2009), which aims to

strengthen countries’ leadership of their own development agenda and encourage

development partners to work more effectively together.

Working closely with partner governments and a range of development partners, Australia has

been able to make a real difference to the lives of Pacifi c Islanders in 2011–12.

We have been saving lives:

• 164 755 children have been vaccinated against measles

• 22 647 children have been vaccinated against diptheria, tetanus and pertussis, including

more than 15 000 in Papua New Guinea

• 7870 people have been provided with access to clean water

• 16 715 additional births have been attended by a skilled birth attendant.

We have been promoting opportunities for all:

• 1 591 970 textbooks have been provided to students

• 603 859 students have been provided with fi nancial or nutritional support

• 200 534 more children have been enrolled in school, including 92 359 girls

• 773 students from the Australia–Pacifi c Technical College graduated with Australian

standard skills

• 498 Australia Awards were granted to Pacifi c Islanders to commence study in Australia,

including 387 long-term and 111 short-term awards.

We have been encouraging sustainable economic development:

• 2807 kilometres of road have been constructed or maintained

• 2700 women and men were given access to agricultural technologies.

We have been promoting effective governance:

• 9028 instances of training were provided to public servants

• 4626 instances of training were provided to police and other law and order offi cials

• 67 civil society organisations were supported to track the provision of services.

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Figure 7: Estimated total Australian ODA to Papua New Guinea and the Pacifi c by country 2011–12

Papua New Guinea 43%

Solomon Islands 22%

Regional and other Pacific 11%

Vanuatu 6%

Samoa 4%

Nauru 2%

North Pacific* 1%

Tuvalu 1%

Fiji 4%

Tonga 3%

Kiribati 3%

Niue and Tokelau 0%

Cook Islands 0%

* Includes the Federated States of Micronesia, Palau and the Republic of the Marshall Islands.

Ending violence against women

The Pacifi c has some of the highest rates of violence against women in the world. Studies

from Solomon Islands, Kiribati and Vanuatu show that two out of three Pacifi c women have

experienced domestic violence or sexual assault.

In 2011–12, Australia’s support for ending violence against women included:

• new funding of $25 million over four years to support national policies and action plans

and increase the provision of counselling, legal services and emergency accommodation for

survivors of violence

• support for women’s crisis centres in the region, including in Solomon Islands, Fiji and

Vanuatu to help deliver critical services

• continuing funding of $6.4 million for a fi ve year initiative, begun in 2009, supporting the

United Nations Women Pacifi c Facility Fund to End Violence Against Women.

Key achievements on ending violence against women in 2011–12 included:

• the Vanuatu Women’s Centre community awareness activities, which reached more than

5000 women and more than 4200 men from 136 communities and four provinces

• the Fiji Women’s Crisis Centre, which provided counselling services to 3741 clients in 2011,

of which 1682 were new clients (up from 1593 new clients in 2010)

• 284 women accessing the Solomon Islands Women’s Crisis Centre

• supporting the passing and implementation of the Vanuatu Family Protection Act, which

gives better protection to women survivors of violence

• the governments of Kiribati and Solomon Islands adopting national policies and action

plans to address violence against women.

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Disability-inclusive development

In 2011–12, Australia continued to play a leading role in disability-inclusive development in the

Pacifi c. AusAID’s Development for all: towards a disability-inclusive Australian aid program 2009–14 strategy aims to enhance the lives of and opportunities for people with disability.

Central to the success of this strategy is the involvement and ownership of people with

disability in addressing the issues that affect their lives.

Key achievements in 2011–12 included:

• enabling the Samoa Inclusive Education Demonstration Program to help 331 children with

disability to access education (up from 134 in 2009). The outreach program has reached 70

schools where there are children with disability

• continuing support to the Pacifi c Disability Forum to build the capacity of disability

organisations to advocate at national, regional and international levels.

Six Pacifi c Island Forum countries became signatories to the United Nations Convention on

Rights of Persons with Disabilities. Seven Pacifi c countries passed national legislation specifi c

to people with disability.

Addressing climate change

People in Pacifi c Island countries are among the most vulnerable to climate change. Australian

support to the Pacifi c is targeted at improving the region’s understanding of climate change

science and providing support for governments and communities to adapt. The impacts of

climate change, such as extreme weather events, including high-intensity storms, hot periods,

sea level rise, and associated increased levels of inundation and storm surges, are expected to

continue increasing over time.

Key achievements for 2011 included:

• upgrading and protecting roads and bridges vulnerable to fl oods and storm surges in

Solomon Islands and Vanuatu to ensure people have access to markets and essential

services, including hospitals and schools. Up to 40 000 people in Vanuatu and more than

29 000 people in Solomon Islands have benefi ted from these improvements

• monitoring water reserves and building seawalls to protect infrastructure in Kiribati, such

as causeways and the airport runway for the 52 000 residents of South Tarawa

• support through non-government organisations for community-level adaptation activities is

improving local food security and addressing other climate priorities in the Marshall Islands,

Papua New Guinea, Solomon Islands and Vanuatu. For example, around 30 000 villagers have

benefi ted from activities to improve the resilience of their agricultural systems.

Another signifi cant achievement for 2011 was the release by the Australian Government of the

fi rst rigorous, peer-reviewed scientifi c projections for long-term climate change in the Pacifi c

which identifi ed:

• temperatures throughout the region are projected to increase by up to 1°C by 2030, and up

to 3°C by 2090 for high greenhouse gas emissions scenarios

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• large increases in the incidence of extremely hot days and warm nights are expected

• rainfall and cyclone projections vary throughout the region, with expected increases in the

proportions of more intense storms and number of heavy and extreme rain days

• ocean acidifi cation is expected to increase, impacting on healthy coral growth, reef

ecosystems and other marine-based resources

• sea level is projected to continue to rise and exacerbate inundation, storm surge, erosion

and other coastal hazards, impacting on vital infrastructure, settlements and facilities that

support the livelihood of island communities. A sea level rise projection of 80 centimetres

by 2100 is considered plausible

• it is likely that climate change impacts such as coastal erosion, reduced levels of fresh

water, changing distribution of fi sh stocks and crop failures will also have serious impact on

populations throughout the region.

These projections are now being used extensively by Pacifi c Island governments, development

partners and multilateral organisations to inform national adaptation and development planning.

Papua New Guinea

Key statistics

Progress towards the Millennium Development Goals2

1 2 3 54 6 7

✘ ✘ ✘ ✘ ✘ ✘ ✘

Population 7 million

Gross national income per capita US$1300

Human Development Index rank 153 of 187

Australian ODA as a % of total ODA

78.5% (2008) 70.4% (2009) 66.3% (2010)

In 2011–12, AusAID country program aid to Papua New Guinea totalled $441.9 million. Other

assistance through AusAID’s regional and global programs and through other government

agencies brought Australia’s total offi cial development assistance (ODA) to an estimated

$501.6 million. Australia is the largest aid donor to Papua New Guinea.

Despite the growth in Papua New Guinea’s economy, the country still faces many development

challenges. Diffi culties in reaching rural locations and weak governance means many people

still lack access to basic services such as education, transport and primary health care.

2 Progress towards the 2015 Millennium Development Goal targets is indicated by a tick (already achieved or on-track), a cross (slow, regressing

or no progress), or a dash (insuffi cient data to assess).

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Papua New Guinea is unlikely to meet any of the Millennium Development Goals by 2015. As

Australia’s nearest neighbour, and with a shared border through the Torres Strait, improving the

lives of people and promoting stability in Papua New Guinea are central to Australia’s interests.

On 21 February 2012, then Papua New Guinea Minister for National Planning and Monitoring,

the Hon Sam Basil, and AusAID Director General Peter Baxter, signed the Joint statement on zero tolerance to fraud in Australia’s aid program to Papua New Guinea. The statement

committed both governments to ensuring that the aid program is “transparently programmed,

managed and effectively delivered for the benefi t of every citizen in Papua New Guinea”.

Australian aid in Papua New Guinea is guided by priorities identifi ed in the Australia–Papua

New Guinea Partnership for Development and is having an impact on the lives of Papua New

Guineans. The partnership identifi ed four priority areas where Australia has particular strengths

and where our impact is likely to be greatest. These are:

• education, including higher education

• health and HIV/AIDS

• law and justice

• transport infrastructure.

Papua New Guinea’s education system faces a number of challenges and we have prioritised

it as a fl agship sector. Challenges include poor access to schools, low student retention rates

and issues of education quality. It is often hard for children to go to school, particularly in rural

areas, because of the cost of school fees, insuffi cient classrooms and cultural barriers.

Australia and Papua New Guinea are working together to address these challenges through

the Papua New Guinea Education Program, including the National Education Plan 2005–14

and the Universal Basic Education Plan 2010–19. This includes a commitment to increasing

Papua New Guinea’s basic education net enrolment rate from 53 per cent in 2007, to 73.4 per

cent by 2015. Papua New Guinea Government data indicates this target has already been met.

Australia is also supporting the Papua New Guinea Department of Education to improve class

sizes, student performance and management capacity at all levels of the education system,

and to increase the percentage of school students who are female. AusAID also funds advisers

to improve the administrative and fi nancial management of higher education institutions

and agencies. Advisers mentor staff, helping them to improve their management functions.

Other support to help improve teaching and learning includes providing visiting and volunteer

lecturers, providing learning resources such as computers and laboratory equipment, and

funding analytical papers on improving quality.

Papua New Guinea faces serious health challenges. We have jointly agreed to increase the

percentage of babies delivered under the supervision of skilled staff, immunise more children,

reduce the spread of HIV/AIDS, and increase the availability of medical supplies. Australia is

committed to providing long-term support to the Papua New Guinea Government to detect and

treat TB. An initial $8.5 million was provided to address TB in Western Province over four years.

This is providing the building blocks for Papua New Guinea to provide high quality, reliable TB

treatment for people in the region, including specialist staff, hospital equipment and medicines.

This will be complemented by broader support to improve primary health services in Western

Province, such as the supply of essential drugs and training health workers. AusAID is also a

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major donor to the Global Fund which funds Papua New Guinea’s national TB program across

14 provinces.

With over 85 per cent of Papua New Guinea’s population living in rural and remote areas, service

delivery is expensive and logistically challenging. Good transport infrastructure is essential for

development in this diverse geographical environment. Australia is focusing its support on the

transport sector, and on the maintenance and rehabilitation of 16 national priority roads that form

the backbone of the network through which the majority of goods and services are delivered.

This assistance includes direct funding assistance for road maintenance, building the Papua New

Guinea Government’s capacity to manage and deliver transport infrastructure, and support to

ensure that maritime and aviation transport systems are safe and secure.

Support for democratic governance has continued in 2011–12 through administrative assistance

to the Papua New Guinea Electoral Commission for the 2012 general elections. AusAID

deployed 23 Australian Civilian Corps specialists to help the commission deliver credible

elections. Initiatives to strengthen democratic systems and economic and public sector reform

at national, provincial and local levels are essential to improve service delivery. This requires

appropriate allocation of funds by government to service delivery priorities. It requires an

effective and effi cient public service that has the right structure, systems and processes,

and people to manage public resources in an accountable and cost-effective way. AusAID is

providing assistance to support the Government of Papua New Guinea in these important areas

through initiatives that pair Australian and Papua New Guinea government agencies to share

public policy and technical experience and support.

Improving the law and order situation in Papua New Guinea is essential to laying the

foundations for socio-economic growth and establishing investor confi dence. Deterioration of

law and order impacts on quality of life, hinders development, erodes investor confi dence and

disrupts delivery of government services and business. Consistent with the Australia–Papua

New Guinea Partnership for Development, we are supporting Government of Papua New

Guinea-led programs aimed at achieving a just, safe and secure society for all. Australia’s

assistance is helping improve policing services, government legal services, expand courts

and legal aid services, strengthen village courts and juvenile justice, address corruption, and

address family and sexual violence. The Papua New Guinea Government has developed an

ambitious reform agenda to improve law and justice outcomes for its people.

AusAID also supports governance in Papua New Guinea by improving fi nancial management

and human resource capabilities in the public sector, and supports climate change and

disaster management.

Working closely with the Papua New Guinea Government and a range of development partners,

Australia has been able to make a real difference to the lives of Papua New Guineans in 2011–12.


• procuring and delivering 16 060 boxes of essential medical supplies to 2101 aid posts and

706 health centres and funding the procurement of US$24 million of additional medical

supply kits to be distributed in 2012–13

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• improving TB management in Western Province by providing a fully operational interim

isolation ward, a year’s supply of multi-drug resistant TB drugs, commencing training of

community health workers and community treatment support volunteers, providing a

purpose-built sea ambulance including a boat driver, and a replacement X-ray unit and new

GeneXpert machine in Daru Hospital

• increasing the number of HIV testing sites from 266 to 315, with more than a third of the

national total supported by Australia. These sites tested 132 198 people for HIV in 2011

• increasing the number of adults and children receiving life-saving antiretroviral treatment in

2011, from 8522 in 2010 to 10 494 in 2011

• supporting the procurement and distribution of more than 25 million condoms (up from

18 million in 2010) through the Papua New Guinea Business Coalition on HIV/AIDS

• supporting the Papua New Guinea health workforce through in-service management

training for 318 rural health facility managers—168 men and 150 women—in all

22 provinces

• improving training which led to 49 midwives graduating in 2011–12.


• procuring and distributing 1 629 330 textbooks to 3541 primary and 204 secondary schools

• providing school subsidy payments to 5454 schools which enabled 535 439 elementary

school students to receive free education during 2011

• constructing 100 classrooms, 50 teacher houses and 50 ablution blocks

• supporting 220 Australia Award recipients from Papua New Guinea to commence study in

Australia, including 162 long-term and 58 short-term awards. An additional 93 commenced

study in Papua New Guinea

• assisting 200 people with disability to enrol to vote at an accessible location in

Port Moresby.


• helping more than 140 000 borrowers and 340 000 savers in Papua New Guinea learn about

savings and fi nance, opening bank accounts and taking out loans

• re-establishing the pyrethrum industry (natural pesticide) in the highlands of Papua New

Guinea, providing a valuable income source to more than 8500 smallholder farmers in Enga

Province, most of who are women

• supporting the maintenance of 2152 kilometres of national roads and highways, including

a key section of the Highlands Highway from the industrial centre of Lae to Goroka, and a

coastal trunk road on Bougainville.

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Figure 8: Estimated total Australian ODA to Papua New Guinea by strategic goal 2011–12*

Sustainable economic development 17%

Cross cutting 8%



Saving lives 24%




• providing more than 1900 instances of public administration training to public servants

• assisting preparations for the Papua New Guinea elections and delivering face-to-face

voter education and awareness messages to approximately 500 000 people through civil

society organisations

• supporting the appointment of 120 women as village court magistrates bringing the

national total to 700, up from 10 in 2004

• supporting frontline police endeavours in 2011, including new family and sexual violence

units, taking the total number of units to eight which resulted in more than 4423 victims

seeking police support

• teaching ex-combatants in Bougainville skills to help them fi nd work and integrate back

into society

• assisting the Papua New Guinea Government to design and legislate for a Sovereign Wealth

Fund which will improve management of future resource revenues, including from the

Papua New Guinea Liquefi ed Natural Gas project

• improving maritime and aviation safety and security so it is in line with international

standards.

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We have been responding to and preparing for humanitarian emergencies and disasters:

• providing a public awareness campaign to 26 000 school children and adults in at risk

communities on preparing and responding to volcanic eruptions

• providing humanitarian life-saving assistance, such as access to clean water and basic

sanitation to 11 000 people in fl ood affected communities, including women and children

and those living with disability

• providing assistance for the landslide in the Southern Highlands in January 2012

• providing emergency relief items to survivors of the MV Rabaul Queen ferry disaster in

February 2012, in partnership with the Papua New Guinea Government and the Australian

Red Cross.

Australian and Papua New Guinea doctors perform plastic surgery on a boy in Port Moresby as part of an

AusAID-funded mission

Photo: Courtesy of Interplast

The female hand of justice

Helen Ilivitaro is a village magistrate in Papua

New Guinea and one of a growing number of

women to be appointed to such a position. She

comes from the village she works in and hears

cases in settings as informal as under trees, in

homes or in local meeting places.

Helen’s role is to resolve disputes, deal with

minor offences and help maintain peace. In

a country where more than 80 per cent of

people live outside urban areas, for many

a village magistrate may be the only way of

seeking justice.

In recent years, Australia has supported

efforts by the Government of Papua New

Guinea to increase the number of women

village magistrates to better refl ect the gender

balance of the population and address the

needs of women.

These efforts are paying off. In 2004 there were

just 10 women village magistrates in Papua

New Guinea. Today there are more than 700

and another 300 women have been appointed

as clerks and peace offi cers. This number

is still nowhere near the 7000 male village

magistrates, but the numbers are growing.

Women magistrates deal with all types of

disputes, including domestic violence. Levels

of domestic violence are high in Papua New

Guinea and cases often go unreported because

many women are afraid of the largely male

dominated justice system. With more women

as magistrates, victims are more likely to come

forward, which will increase the likelihood that

perpetrators will be called to account.

Magistrate Rhoda Geita from the Kila Kila

Village Court recalls a case where a man hit a

woman in the market for not getting his food.

“I made him switch places with her for a week

so he could learn what it was like for her

running her stall all day, looking after children,

cooking his food and so on. After three days he

came and said he now understood why I made

the order. I told him he had to fi nish the week

as that was his penalty. At the end he came

and apologised to his wife.”

Increasing the number of women village

magistrates is part of the $150 million Papua

New Guinea–Australia Law and Justice

Partnership funded by AusAID.

Above: Linda Rau from Kila Kila Village Court outside Port Moresby

Photo: Michael Wightman, AusAID 45

46

Treating tuberculosis in Western Province, Papua New Guinea

There has been good progress in the effort to

build the capacity of the provincial government

in Western Province, Papua New Guinea, to

diagnose and treat tuberculosis (TB) sufferers.

More than 90 TB sufferers in Western Province

had been accessing Queensland run TB clinics

in the Torres Strait because diagnosis and

treatment services at Daru Hospital were

run down.

In February 2012, AusAID announced an initial

$8 million package of support to help the

provincial government address the problem

and enable TB patients to be treated by Papua

New Guinea health services.

An AusAID-funded TB physician and program

coordinator are working at the hospital to

improve the disease’s management in Daru.

A new TB ward is being built which includes a

six bed multi-drug resistant isolation ward and

a 16 bed TB ward built and equipped to World

Health Organization standards. In the interim,

AusAID has funded the refurbishment of a

temporary TB ward to ensure that Papua New

Guinea patients transferring their treatment

back from Torres Strait clinics receive specialist

care and a cure close to home.

AusAID provided a purpose built sea

ambulance that commenced mobile outreach

clinics along the South Fly coast in May 2012,

a new X-ray unit and GeneXpert machine

that can provide an indication of multi-drug

resistant TB within two hours.

A communications centre has been established

at the hospital which will contribute to TB

management and enable patients to be

referred by radio and mobile phone.

AusAID purchased a year’s supply of TB drugs to

manage multi-drug resistant TB so that patients

handed over to Western Province from Torres

Strait clinics can complete their treatment.

Above: The new X-ray machine at Daru Hospital is able to take digital images and send them via email


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Solomon Islands

Key statistics


1 2 3 54 6 7

— ✘ ✘ ✔ ✔ ✘ ✘

Population 538 148




82.0% (2008) 81.3% (2009) 73.6% (2010)

In 2011–12, AusAID country program aid to Solomon Islands totalled $117.9 million. Other

assistance, provided separately through the Regional Assistance Mission to Solomon Islands

(RAMSI), other government agencies and through AusAID’s regional and global programs

brought Australia’s total offi cial development assistance (ODA) to an estimated $252.1 million.

Australia is the largest aid donor to Solomon Islands.

Solomon Islands is a small, politically and economically fragile country, with around 85 per cent

of people living in rural areas. Solomon Islands remains one of the poorest countries in the

Pacifi c. Estimates are that 23 per cent of the population lives below the basic needs poverty

line4 and youth unemployment is an enduring issue.

Since 2003, Australia has invested $2 billion through RAMSI to restore peace and security

following the civil confl ict known as the ‘Tensions’. Australia supports Solomon Islands

through a bilateral Partnership for Development, and through RAMSI. The partnership has four

priority outcomes:

• improve service delivery in health and education

• improve economic livelihoods

• improve economic infrastructure by increasing access to reliable transport, urban water,

telecommunication and energy services

• address economic and fi scal challenges by increasing the effectiveness of public

expenditure and helping to promote broad-based growth.

3 Progress towards the 2015 Millennium Development Goal targets is indicated by a tick (already achieved or on-track), a cross (slow, regressing or

no progress), or a dash (insuffi cient data to assess).

4 Solomon Islands 2010 economic report, Asian Development Bank.

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RAMSI has three development assistance pillars: law and justice, machinery of government,

and economic governance. These are guided by the Solomon Islands Government–RAMSI

Partnership Framework (2009–13).

Solomon Islands continues to make progress in economic management and reform with gross

domestic product growth estimated at more than 10 per cent in 2011. The government debt

rating has improved from high to moderate risk, and increased revenue is enabling increased

funding for service delivery.

AusAID staff handing over donated clothing, food and toys to the Christian Care Centre which runs the only women’s

refuge in Solomon Islands, providing a safe haven for women and children who are victims of domestic violence

Front row (left to right): AusAID staff member Lucy Kasimwane, Lanietta Leo and Sister Doreen Awaiasi from the

Christian Care Centre, and Jenny Piri and Moana Pelu from AusAID

Back row (left to right): Martin Oimisina and May Samason from AusAID

Photo: Lou Anderson, AusAID

Working closely with the Solomon Islands Government and a range of development partners,

Australia has been able to make a real difference to the lives of Solomon Islanders in 2011–12.


• reducing malaria cases from 199 per 1000 cases in 2003 to 77 in 2009 and to 46 in 2011

• improving access to clean water and sanitation for 23 600 people

• making an additional 4558 births safer with attendance by skilled health personnel.


• removing school fees as a barrier to more than 140 000 young Solomon Islanders getting

an education.

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• helping grow gross domestic product by an estimated 10 per cent, up from four per cent in

2010. Revenue collection also grew by approximately 20 per cent from 2010 due to improved

tax administration and compliance.


• enabling fi ve out of six correctional centres to meet United Nations standards and facilitating

better prospects for prisoner rehabilitation

• reducing the government debt rating from high to moderate risk through debt management

support. In 2011, debt sustainability was at 18 per cent of gross domestic product (below the

accepted benchmark of 30 per cent, and the 53 per cent level recorded in 2008)

• supporting the development of a national gender policy and the newly announced National

Taskforce on the Elimination of Violence Against Women. In addition, a Solomon Islands

Government–RAMSI Gender Action Plan was developed and a correctional services gender

audit was conducted.

Above: Principal of Betivatu Community School in Solomon Islands, Eddie Gideon, with students celebrating the new

water tanks. The students and staff now have clean water and better hygiene


Clean water, healthy students

The link between education and toilets

may not be immediately obvious, but the

children at Betivatu Community School in the

Guadalcanal Province of Solomon Islands

understand this connection better than most.

Until recently they had no running water,

toilets or places to wash their hands. When

nature called they had to leave the classroom

and go into the bushes and when they wanted

a drink of water they had to go to the nearest

river. “This meant they were always missing

classes,” says school principal, Eddie Gideon.

Through a partnership between AusAID, World

Vision and Solomon Islands, water tanks

and toilets are being installed in schools and

communities across the country, helping more

than 15 000 people every year.

The changes are immediate for the 450

students at Betivatu School. “I think the

children are healthier, we’ve seen less sickness

and things like skin disease have cleared up,”

says Eddie. “There’s also no smell, so the

school is a much better place now.”

The new facilities, which include drinking

water tanks and ablution blocks of fi ve toilets

for both male and female students and staff,

are matched with education and information

about personal hygiene.

“It is life in Solomon Islands that most

communities do not have water tanks or ready

access to clean water and toilets,” says Eddie.

“This is the same for my students. We know

that toilets are not common at home, but we

can still encourage the students to tell their

family about hygiene and how it helps keep

people healthy.

“It is widely known that communities that

have access to clean water and sanitation

facilities and that practice good hygiene are

able to reduce the risk of poor health and the

spread of disease,” says World Vision’s water,

hygiene and sanitation adviser in Honiara,

Bryce McGowan. “This has positive spin-offs

for attendance at school or work and is a really

important message to spread.”

50

51Above: The newly modernised Correctional Services of Solomon Islands is proving a popular career choice for Solomon

Islanders such as inspector Catherine Kere (left) and fi nance data offi cer, Martha Alabae (right)

Photo: Courtesy of Regional Assistance Mission to Solomon Islands

Solomon Islands corrections—a success story

Nine years ago, Solomon Islanders were not

able to count on the rule of law to protect

them. Key law and justice services were not

functioning, the courts were not sitting and

the country’s prisons were run down and

poorly staffed.

Today, this has changed, and the Correctional

Services of Solomon Islands, with Australian

assistance through the Regional Assistance

Mission to Solomon Islands, has become a

regional success story.

The service is now managing its own operations

and budget and in 2011–12 recruited 40 new

offi cers. Correctional centre compliance

with operational procedures improved from

63 per cent in 2009, to 89 per cent in 2012.

Five correctional centres now meet United

Nations minimum standards for the treatment

of prisoners.

Over the year, the service continued to improve

the quality of its offi cers by providing 783

training opportunities. Almost 80 per cent of

corrections staff now have a Certifi cate III in

Correctional Practice, and all training has been

delivered by qualifi ed Solomon Islanders, 28

per cent of who were women.

A positive approach to prisoner management

based on rehabilitation, rather than

punishment, is seeing outstanding results

only a few years after being implemented.

Rehabilitation programs such as literacy

classes, vocational skills training and

counselling are helping inmates address

their offending and make a fresh start when

reintegrated into their communities. Repeat

offending rates have remained steady at 10

per cent, compared with around 40 per cent

in Australia.

The Correctional Services of Solomon Islands

also continues to break barriers for women

in its workforce. In 2011, the service hosted

the First Annual Pacifi c Islands Regional

Correctional Women’s Conference to encourage

greater equality and women’s development, not

only in Solomon Islands, but across the region.

Senior Sergeant Catherine Kere, a correctional

service offi cer for more than 17 years, said the

conference gave her a new perspective on her

work and country. “It’s given me confi dence. It

has made me proud to be one of the countries

that are leading the Pacifi c. We are breaking

many gender barriers.”

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Vanuatu

Key statistics


1 2 3 54 6 7

— — ✘ ✔ — ✔ ✘

Population 245 786




28.8% (2008) 39.4% (2009) 50.8% (2010)

In 2011–12, AusAID country program aid to Vanuatu totalled $48.4 million. Other assistance

through AusAID’s regional and global programs and through other government agencies


Australia is the largest aid donor to Vanuatu, providing around 50 per cent of total ODA.

Vanuatu’s economy has grown for nine consecutive years, though in recent years the rate of

growth has slowed, primarily due to the global fi nancial crisis. Growth has been driven by

tourism, high commodity prices and major donor-funded construction projects, and has brought

increased economic opportunities largely in Port Vila. Many people are not formally employed

however, and lack access to basic services including quality education, health and roads.

Australian aid to Vanuatu is guided by the Australia–Vanuatu Partnership for Development.

Australia works with a range of partners to achieve the partnership’s objectives, including

the Vanuatu Government, the private sector (in both Vanuatu and internationally), civil

society organisations (including churches, chiefs and local and international non-government

organisations), and increasing numbers of Australian volunteers.

Under the partnership the Australian Government:

• supports increased access and quality of education for girls and boys, and equips them

with relevant skills and knowledge

• strengthens health services and accelerates progress towards health-related Millennium

Development Goals

• develops essential infrastructure to support economic growth and service delivery

• progresses reform on economic governance issues

• promotes effective legal institutions and improved police services.



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We also provide substantial support to build the capacity of key civil society organisations and

improve land administration.

While access to education in Vanuatu continued to improve in 2011–12—with net primary

enrolment at 88.5 per cent by the end of 2011—literacy levels remain a concern. Australia is

working with the Government of Vanuatu to improve the quality of education through teacher

training and on-the-job support, providing textbooks and reading books, and supporting an

updated syllabus for grades 1 to 6.

In the health sector, the partnership continued to make strong progress in eliminating malaria.

A malaria indicator survey in 2011 showed a drop in cases from 17 500 in 2003, to less than 6000

in 2011. Malaria prevalence in Tafea Province is less than one per cent, and national prevalence is

less than fi ve per cent of the total population. Australian aid helped improve donor coordination

and public health administration, including in health data, planning and budgeting. Immunisation

coverage was expanded and health worker training strengthened, although major gaps remain in

both areas. For example, only 52 per cent of children are vaccinated against measles by the age of

one, and Vanuatu continues to have a shortage of nurses to work in rural areas.

Progress in infrastructure, especially with roads, improved in 2011–12. Infrastructure targets were

mostly met through improved management and new approaches, such as using local contractors

for road works. Australian aid funded 128 kilometres of road improvements, which increased

access to schools, clinics and markets for up to 40 000 people on the outer islands of Malekula,

Ambae and Tanna. This provided 68 000 days of employment, including 10 000 days of work for

women. With Australian support through the Governance for Growth program, the Government

of Vanuatu’s treasury and fi nance functions performed strongly in 2011–12, with an improvement

in tax reforms leading to higher levels of compliance and increased government revenues.

Major business reforms in value-added tax and improved revenue collection helped the Vanuatu

Government meet its revenue targets by the end of 2011, after shortfalls in 2010.

Working closely with the Vanuatu Government and a range of development partners, Australia has

been able to make a real difference to the lives of ni-Vanuatu in 2011–12.


• reducing malaria cases from 17 500 in 2003 to fewer than 6000 in 2011. Malaria prevalence

in Tafea Province is now only 0.05 per cent of the population

• vaccinating 823 children against measles and 1076 children against diphtheria, tetanus and

pertussis (whooping cough).


• training 312 teachers, delivering 43 384 textbooks to primary schools, endorsing minimum

school standards, and developing a new national curriculum for kindergarten to grade 3,

leading to improved education quality for more than 40 000 primary school children

• awarding Australia Awards to 240 ni-Vanuatu students to study in Australia and the region,

more than 40 per cent of who were women.

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• distributing 20 000 solar lamps to families throughout Vanuatu, resulting in better lighting,

cost savings to families and free mobile phone charging using the lamps

• partnering with the National Bank of Vanuatu to provide real time banking services in

remote locations via solar-powered satellite communications. Indicators of success

included 7000 new rural accounts, a $5 million increase in rural deposits and more than

750 new microfi nance loans (worth more than $2 million) in 2011

• rehabilitating and reconstructing 128 kilometres of priority roads on three outer islands,

which generated 68 000 days of employment, and improved access to health centres,

schools and markets for up to 40 000 people.

Gail Waki (right) teaches tiling at the Vanuatu Institute of Technology in Port Vila, Vanuatu. She learnt her trade as an

Australia Awards recipient and went on to further her skills at the AusAID-supported Australia–Pacifi c Technical College

Photo: Courtesy of Peter Morris, Vanuatu Technical and Vocational Education and Training Sector Strengthening Program

55

Above: Microscopists from provincial medical facilities receive training under the supervision of the Chief Micrsoscopist

in Port Vila, Vanuatu

Photo: Paul McGinty Photography for AusAID

Eliminating malaria in Vanuatu and Solomon Islands

The Australian aid program is working with the

governments of Solomon Islands and Vanuatu

to control and progressively eliminate malaria

in these countries. Australia has contributed

more than $30 million to these efforts since

2007 and remains committed to working with

our partners to save lives and improve health.

The Vanuatu Ministry of Health, with the

support of partners, has achieved impressive

results over recent years, with more than an

80 per cent drop in the number of cases of

malaria across the country. The number of

malaria cases has dropped in the last decade

from around 74 cases per 1000 people in

2003 to fewer than 26 cases per 1000 people

today. Results in Solomon Islands are similarly

impressive, with a national reduction in cases

from 199 per 1000 people in 2003 to 46 per

1000 people today.

The Vanuatu Ministry of Health is working

to wipe out the disease completely from

the province of Tafea, where the prevalence

rate is now only 0.05 per cent of the

provincial population.

Dr Daniel Leavitt, a Canadian doctor with the

Victoria–Vanuatu Physician Project, recently

returned to Vanuatu, after a three year

absence. “I was so excited and amazed to

return to Tanna Island (in Tafea Province) and

not to be faced each day with patients sick

with malaria. I can’t believe it,” he said.

Dr Leavitt remarked that “in 2008 we were

routinely dealing with deaths in the children’s

ward. We are so appreciative of the efforts of

AusAID and other groups like the Rotarians

of Australia that allow us to keep working

on Tanna”.

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Fiji

Key statistics


1 2 3 54 6 7

✘ ✔ — ✔ ✔ — ✔

Population 860 632




36.8% (2008) 27.2% (2009) 28.0% (2010)

In 2011–12, AusAID country program aid to Fiji totalled $19.5 million. Other assistance through

AusAID’s regional and global programs and through other government agencies brought

Australia’s total offi cial development assistance (ODA) to an estimated $45.3 million. Australia

remains the largest bilateral aid donor to Fiji.

Since the 2006 coup, Fiji’s economy continues to be weak and vulnerable. There are increased

pockets of poverty in rural areas and families are struggling to meet the rising costs of

schooling and health services. Despite the diffi cult political situation, Australia remains

committed to supporting the welfare of the people of Fiji. In November 2011, the Australian

Government announced that its country program aid to Fiji would double to $36 million by

2013–14, providing increased assistance to health, education and community development.

Australian aid in 2011–12 continued to focus on programs that directly benefi ted the poor and

vulnerable. Australian aid to Fiji is:

• improving access to quality education for children in disadvantaged communities and

with disability

• strengthening primary health services related to improving maternal and child health

outcomes, preventing and managing diabetes and building up a strong network of

volunteer village health workers

• creating economic opportunities for the poor.



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During the year Fiji began preparations towards expected elections in 2014 with the

appointment of an independent constitutional commission. Australia supported the election

process by deploying elections specialists to the Fiji elections offi ce and assisted the

implementation of electronic voter registration. The $2.65 million package makes Australia the

largest donor to Fiji’s electoral process.

Heavy rain and severe fl ooding in Fiji in January and April 2012 caused major damage to essential

economic and service infrastructure, and AusAID responded quickly to support relief and recovery

efforts. More than $4 million has been committed to repair schools and distribute seedlings to

farmers and schools so they can regenerate stocks and support school feeding programs.

Working closely with the Fijian Government and a range of development partners, Australia has

been able to make a real difference to the lives of Fijians in 2011–12.


• improving health care with 18 per cent more nurses meeting basic service standards.


• screening 24 290 children in 115 schools for vision or hearing impairments. Of these, 2920

were referred to medical centres

• providing 93 visually impaired students with tailored teaching materials and

specialised equipment

• awarding 40 Australia Awards to provide education and training that will meet the future

needs of the country.


• providing counselling services for 3741 women affected by violence or abuse through the

Fiji Women’s Crisis Centre

• placing 60 Australian volunteers in organisations and communities in Fiji to share their

knowledge and enhance our engagement with civil society.


• implementing disaster preparedness and response training, which helped more than 100

communities escape damage from the January 2012 fl oods.

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Samoa

Key statistics


1 2 3 54 6 7

✔ ✔ ✔ ✘ ✔ ✘ ✔

Population 193 161




30.4% (2008) 25.0% (2009) 27.3% (2010)

In 2011–12, Australia’s country program aid to Samoa totalled $25 million. Other assistance


brought Australia’s total offi cial development assistance (ODA) to an estimated $42 million.

Australia is the largest aid donor to Samoa.

Samoa has largely recovered from the 2009 tsunami and the global fi nancial crisis. It continues

to be a reform-minded, stable democracy in the Pacifi c. This year, it became a member of the

World Trade Organization.

Samoa still faces major development challenges. It has a narrow economic base and is

dependent on remittances, tourism and foreign aid, making it especially vulnerable to external

economic shocks and natural disasters.

Samoa has made good progress towards the Millennium Development Goals but there are still

concerns with non-communicable diseases and education standards. Basic needs poverty is on

the rise—one in four Samoans struggles to meet their essential living expenses. Another area

of concern is the increasing incidence of chronic diseases. One in four Samoans suffers from

diabetes and 85 per cent of the population is overweight or obese. School dropout rates are

high and many Samoan children are at risk of not meeting literacy and numeracy standards.

The Australia–Samoa Partnership for Development, agreed in August 2008, is focused on

improving access to quality education and health services, improving governance, law and

justice, and helping Samoa adapt to the effects of climate change.

Working closely with the Samoan Government and a range of development partners, Australia

has been able to make a real difference to the lives of Samoans in 2011–12.



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• installing underground electrical cabling for the national hospital, which will reduce

disruption to the hospital’s power supply in the event of a natural disaster.


• increasing access to quality education for 40 000 Samoan children by allowing school fees

to be phased out at all 167 government-funded primary schools

• supporting more than 330 children with disability to attend school, with a further 129

children with disability gaining access to early intervention support.


• installing 978 prepaid home electricity meters under the Power Sector Expansion Program,

giving families greater control over their electricity spending and helping to reduce

household debt.


• supporting 57 civil society organisations with small grants and training to help vulnerable

groups in the community.

Tonga

Key statistics


1 2 3 54 6 7

— ✔ ✘ ✔ ✔ ✔ ✔

Population 104 500




47.3% (2008) 38.7% (2009) 32.9% (2010)

In 2011–12, AusAID country program aid to Tonga totalled $16.9 million. Other assistance



Australia is one of the largest aid donors to Tonga.



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Tonga’s new government entered a period of consolidation following the landmark transition

to the country’s fi rst democratically elected parliament in late 2010. During the year the

Tongan economy continued to struggle due to the negative impacts of a series of economic

shocks between 2006 and 2009 triggered by global economic conditions, civil unrest and

natural disasters. The global fi nancial crisis in particular led to a decline in remittances from

overseas Tongan workers and a contraction in tax revenue. Combined with a rapid build-up

in non-performing loans—and a consequent contraction in domestic credit—this situation

continues to limit Tonga’s growth potential.

Tonga is on track to meet most of the Millennium Development Goals but faces high rates of

non-communicable diseases such as diabetes. There are also concerns regarding the quality

of education.

AusAID’s country program is guided by the Australia–Tonga Partnership for Development,

signed in August 2009. The partnership focuses on creating a more effi cient and effective

public sector, improving health, building technical and vocational skills and developing

infrastructure to improve the lives of the Tongan people.

Working closely with the Tongan Government and a range of development partners, Australia

has been able to make a real difference to the lives of Tongans in 2011–12.


• upgrading three health centres to improve health facilities and services for around 2280

households. Five health centres also received new medical equipment to allow those

facilities to deliver enhanced medical services, particularly for the prevention and treatment

of non-communicable diseases such as diabetes and heart disease

• funding specialist medical positions to deliver vital medical services. A senior surgeon

conducted 205 surgeries, and an anaesthetist provided 520 procedures during the year,

while a rheumatic heart disease early detection program screened 1129 children. Since

2008, more than 14 000 children have been screened, and as result of this early detection

program, rheumatic heart disease has declined from 72 cases per 1000 people in 2008, to

37 per 1000 in 2011. The screening program identifi ed 28 patients (19 women and nine men)

who were provided open heart surgery through Operation Open Heart

• placing specialist nurses in fi ve health centres as part of a pilot scheme to help

communities prevent and control non-communicable diseases.


• registering 20 Tongan training organisations (out of 33 institutions in total) to provide

accredited courses

• providing certifi cate and assessor training to 69 technical, vocational and education

trainers as part of efforts to develop a new technical and vocational education and

training system.


• training more than 25 local private sector contracting and consulting companies on how to

bid for road maintenance contracts

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• improving safety and security standards at Fua’amotu International Airport. The facility is

now on the way to achieving full International Civil Aviation Organization compliance.


• encouraging Tonga to undertake necessary economic and fi scal reforms, including a

commitment to reducing debt. A $5 million grant funded health worker and teacher salaries

to ensure these services continued to be delivered despite Tonga’s economic diffi culties

• providing technical assistance to strengthen Tonga’s public fi nancial management system,

particularly in relation to the execution, transparency and credibility of the budget.

Technical assistance also strengthened revenue collection efforts and improved the quality

of expenditure of limited public funds by strengthening public procurement and improving

the management of civil service wages

• training 257 public servants to help improve their effectiveness and effi ciency.

MICROSTATES

Kiribati

Key statistics


1 2 3 54 6 7

✘ — — — — — ✘

Population 103 466




29.7% (2008) 40.5% (2009) 64.7% (2010)

In 2011–12, AusAID country program aid to Kiribati totalled $27.4 million. Other assistance



Australia is the the largest aid donor to Kiribati.

Kiribati has a narrow and fragile economic base and a small population spread across an

exclusive economic zone of 3.5 million square kilometres. In South Tarawa, where half of

Kiribati’s population lives, high population densities and the scarcity and pollution of ground



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water add to development challenges. There are limited opportunities for economic growth and

development, and the Kiribati Government relies heavily on aid. Kiribati is not on track to meet

any of the Millennium Development Goals.

The Australia–Kiribati Partnership for Development, signed on 27 January 2009, has three

priority outcomes:

• improve standards in basic education, in terms of both access and quality

• provide opportunities for people to develop their workforce skills in areas of industry

demand, both domestically and abroad

• strengthen economic management in support of mutually agreed economic reforms.

Australia also provides substantial assistance to improve infrastructure and water and sanitation,

and support development in the areas of climate change, health, disability and gender.

Working closely with the Kiribati Government and a range of development partners, Australia

has been able to make a real difference to the lives of e-Kiribati in 2011–12.


• increasing polio immunisation coverage from 74 per cent in 2008 to 95 per cent in 2011

• increasing the level of rainwater harvesting and substantially reducing leakages from the

South Tarawa pipeline to protect Kiribati’s scarce freshwater supplies.


• benefi ting 1079 school children by upgrading school facilities, including improved water

and sanitation facilities

• increasing youth participation at the Kiribati Institute of Technology with young people

comprising 70 per cent of the intake for full-time courses. This aims to address the youth

bulge in Kiribati.


• selling Kiribati’s fi rst public enterprise (Kiribati Supplies Company Ltd). The Kiribati

Government has identifi ed a further 11 enterprises for reform.

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Nauru

Key statistics


1 2 3 54 6 7

— ✘ ✔ ✘ — ✔ ✘

Population 10 254


Human Development Index rank unranked


87.6% (2008) 78.1% (2009) 49.0% (2010)

In 2011–12, AusAID country program aid to Nauru totalled $22.6 million. Other assistance



Australia is the largest aid donor to Nauru.

Most Nauruans live extremely modest lifestyles based on very low incomes. There are few

employment opportunities and unemployment is high. There are no banking or insurance

services in Nauru and only a limited private sector. Poor education standards exclude many

from employment in the public sector and the cost of living is high because of the reliance

on imported goods. The economy is constrained by high debt levels and there are only a few

revenue opportunities, mainly phosphate mining and fi sheries licensing.

Nauru is making mixed progress toward the Millennium Development Goals. Education outcomes

are improving but are still poor by international standards. Levels of non-communicable diseases

such as diabetes and cancer are among the highest in the world. Progress toward improving infant

mortality rates and maternal health care is slow. While the government has been making progress

in recent years with Australia’s help, Nauru is likely to remain dependent on donor assistance for

the foreseeable future.

The Australia–Nauru Partnership for Development, agreed in August 2009, is focused on

improving health care and education, strengthening public sector management, improving the

reliability of utilities services and building the private sector.

Working closely with the Nauruan Government and a range of development partners, Australia

has been able to make a real difference to the lives of Nauruans in 2011–12.


• improving infant mortality by almost 50 per cent to 24 per 1000 live births, down from 40

per 1000 live births in 2007



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• maintaining Nauru’s 95 per cent coverage rate for key vaccines such as tuberculosis,

diphtheria and measles.


• enrolling 2953 students in Nauru’s school, an increase of 467 from 2010–11.


• providing a fi sheries adviser to help increase fi sheries revenue from around $4 million in

2010–11 to more than $12 million.

Tuvalu

Key statistics


1 2 3 54 6 7

✘ ✔ ✘ ✔ ✔ — ✔

Population 9827


Human Development Index rank unranked


28.4% (2008) 30.2% (2009) 47.1% (2010)

In 2011–12, AusAID country program aid to Tuvalu totalled $7.5 million. Other assistance



Australia is one of the largest aid donors to Tuvalu.

Tuvalu is a small island state with few economic opportunities and high dependence on

development assistance. It is constrained by distance from economic markets and its small

size. Tuvalu is vulnerable to climate change and natural disasters and has achieved mixed

results against the Millennium Development Goals. It is off-track to meet the Millennium

Development Goal on eradicating extreme poverty and hunger, but is on-track to meet those for

universal primary education, reducing child mortality, and improving maternal health.

Australia’s assistance is vital to the delivery of basic services in Tuvalu. The Australia–Tuvalu

Partnership for Development, agreed in August 2009, is focused on improving Tuvalu’s

long-term economic prospects, helping the country increase its resilience to the impacts of

climate change and developing a skilled and educated workforce.



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In September 2011, Tuvalu declared a state of emergency due to water shortages. This was the

country’s second worst drought on record. Australia committed $1.4 million to respond to the

drought and to improve Tuvalu’s water security over the long-term by providing water tanks and

desalination plants.

Working closely with the Tuvalu Government and a range of development partners, Australia

has been able to make a real difference to the lives of Tuvaluans in 2011–12.


• providing 16 Australia Awards as well as 31 330 essential textbooks, teaching materials

and school supplies valued at $410 000 for all primary schools and early childhood centres,

including on outer islands.


• providing $1 million to support the United Nations Development Programme to implement

priority actions from Tuvalu’s National Adaptation Plan of Action for climate change

adaptation. Australia’s contribution will expand climate change adaptation projects to the

outer islands of Tuvalu, including securing fresh water supplies, protecting coastal areas,

rehabilitating soil and establishing new areas for food crops

• developing a single, multi-donor policy reform matrix to progress a medium-term economic

reform program linked to predictable aid transfers. Australia provided incentive funding to

the Tuvalu Government because it met agreed budget performance benchmarks for prudent

fi scal and economic management.

Aid to other Pacifi c Island nations

Cook Islands

In 2011–12, AusAID country program aid to Cook Islands totalled $1.9 million. Other assistance



Australia provides its aid to the Cook Islands through New Zealand’s aid program.

The Cook Islands is on track to meet the majority of Millennium Development Goals, although

the country’s development is challenged by its narrow economic base, limited natural

resources, fragile environment, shortage of skilled labour and relatively remote location.

Working closely with the Cook Islands Government and a range of development partners,

Australia has been able to make a real difference to the lives of Cook Islanders in 2011–12.


• improving water lagoon quality in Rarotonga through better waste management and

sanitation. New household water tanks and guttering were installed in the northern islands,

providing more than one million litres of additional drinking water storage.

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• strengthening disaster preparedness by building a new cyclone shelter in Manihiki Lagoon.

Support for the 2009 Cyclone Pat reconstruction plan helped rebuild and refurbish two

schools, including replacing essential school equipment such as computers, furniture and

curriculum resources.

Niue

In 2011–12, AusAID country program aid to Niue totalled $2.7 million. Other assistance through


Australia’s total ODA to an estimated $3 million.

Niue is on track to meet nearly all of the Millennium Development Goals by 2015. The country

still remains dependent on overseas development assistance to maintain its long-term

economic and social development. Australia redirected the bulk of its 2011–12 contribution

from the Niue International Trust Fund to redeveloping Niue’s primary school infrastructure as

part of a broader commitment to better education in the Pacifi c.

Tokelau

In 2011–12, AusAID country program aid to Tokelau totalled $600 000. Other assistance through


Australia’s total ODA to an estimated $900 000.

Tokelau is a non-self-governing territory of New Zealand, from which it sources substantial

budgetary support and fi nancial assistance. In June 2011, AusAID provided $500 000 to the

United Nations Development Programme to expand its Pacifi c Adaptation to Climate Change

program to include the delivery of activities in Tokelau.

North Pacifi c

In 2011–12, AusAID provided an estimated $12.8 million to the three countries of the North Pacifi c:

the Federated States of Micronesia, Republic of the Marshall Islands and the Republic of Palau.

This assistance focused on the priorities of the partnership for development with each country.

In the Federated States of Micronesia, Australia is supporting tax reform, environmental

management and aid coordination. In the Republic of the Marshall Islands, Australia’s

assistance focuses on energy effi ciency and access to safe water and sanitation. Partnership

priorities in Palau are health, education and improving budget planning.

AusAID’s modest assistance in the North Pacifi c focuses on building institutional capacity

in key sectors to help partner countries use their own resources most effectively (including

the substantial fi nancial support received through United States Compact funding). AusAID

has funded technical advisers and volunteers to work in each partnership priority sector and

provide strategic advice and capacity building support to partner governments.


been able to make a real difference to the lives of people in the North Pacifi c in 2011–12.

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• increasing access to water security for the people of Kwajalein Atoll in the Republic of the

Marshall Islands with 370 household water catchment tanks.


• providing core funding to the international non-government organisation, Cleared Ground

Demining, to help remove deadly unexploded ordnance from major tourist destinations

in Palau.


• successfully progressing the Federated States of Micronesia national tax reform agenda.

Pacifi c regional program

Bilateral partnerships are the foundation of AusAID’s programs to the Pacifi c. However, regional

approaches play an important role in supporting Pacifi c governments to meet their development

challenges, particularly around geographic isolation, small populations, markets that limit

economies of scale, and vulnerability to climate change and natural disasters. AusAID’s regional

program assists countries with these national constraints through supporting the shared

provision of goods and essential services and supplementing human and institutional capacity.

Through our regional program we complement bilateral efforts in line with the Pacifi c Plan and

promote effective coordination with other donors.

In 2011–12, the Pacifi c regional program totalled $186.3 million. The program is focused on:

• supporting regional organisations to deliver technical and policy support to their members

• ensuring governments have the information and capacity to make informed policy decisions

• supporting regional initiatives in a variety of sectors including fi sheries, climate change,

health, education, public sector reforms and governance.

Approximately $50.4 million of the Pacifi c regional program was delivered through Pacifi c

regional organisations such as the Pacifi c Islands Forum Secretariat and the Secretariat of the

Pacifi c Community in 2011–12. As well as supporting regional organisations, the Pacifi c regional

program supports activities that address common sectoral challenges such as skills development,

promoting stronger regional economic integration and fi nancial inclusion, dealing with the

challenges of environment and climate change, and improving health outcomes.

A total of 3734 students from 14 Pacifi c countries graduated from the Australia–Pacifi c Technical

College with Australian standard skills. Studies indicate that 92 per cent of graduates are

employed and 43 per cent have been promoted since graduating.

In addition to our work in Papua New Guinea, a total of 27 495 Pacifi c Islanders have been

provided counselling and testing for HIV and sexually transmissible infections through 40

counselling and testing sites in eight other countries.

With Australian support, the Secretariat of the Pacifi c Community delivered one of the most

comprehensive assessments ever completed of climate change vulnerability in the fi sheries sector.

This information is being used to support the development of key policies and sectoral priorities

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and support decision-making and priority setting by key regional organisations such as the South

Pacifi c Regional Environmental Program and the Forum Fisheries Agency. AusAID has also been

providing ongoing support for the South Pacifi c Sea Level and Climate Monitoring Project to gather

meteorological and oceans data across the Pacifi c.

Strengthening the governance of Pacifi c regional organisations is a high priority. External reviews

of the two largest regional organisations, the Secretariat of the Pacifi c Community and the Pacifi c

Island Forum Secretariat, began in 2011. The reviews examined a broad range of issues relating

to governance, management and core business. AusAID will draw on the result of the reviews

to promote greater investment in performance frameworks where necessary and link funding to

evidence of performance.

The Pacifi c Horticultural and Agricultural Market Access program, offi cially launched in fi ve

countries, is helping Pacifi c Island countries with market access and addressing challenges to help

increase export opportunities to valuable export markets. AusAID also supported Pacifi c countries

to participate in the Pacifi c Agreement on Closer Economic Relations Plus negotiations.

Ongoing support to the World Bank to undertake early grade literacy and numeracy assessments

across the Pacifi c will provide more effectively targeted programs. The joint hosting by the World

Bank and the Asian Development Bank of the Pacifi c Futures 2020 workshop brought together

more than 40 Pacifi c policy makers, academics, and donor staff to discuss actions to accelerate

economic growth and address poverty.

Graduates from the schools of tourism and hospitality at the Australia–Pacifi c Technical College receive their certifi cates

in Port Moresby, Papua New Guinea

Photo: Jacqueline Smart, AusAID

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Objective: to assist developing countries in the East Asia region to reduce poverty and achieve sustainable development



Signifi cant development

results and signifi cant

activity outputs

Signifi cant



achieved

Signifi cant




individual programs

Signifi cant




on pages 70 to 103



a quality rating of


81 per cent of the

aggregated quality

ratings for East

Asia programs were


83 per cent

of the aggregated

quality ratings for East

Asia programs were


80 per cent

of the aggregated

quality ratings for East

Asia programs were



of program strategy

objectives fully or

partially achieved

90 per cent of

program strategy




of program strategy


achieved and 47 per

cent were partially

achieved

86 per cent of

program strategy




of program strategy


achieved and 50 per

cent were partially

achieved

97 per cent of

program strategy


or partially achieved.

Of this, 42.3 per cent

of program strategy


achieved and 54.4

per cent of program

strategy objectives were

partially achieved




programs*

89 per cent of East

Asia programs were


By dollar value, 98

per cent of program


by strategies

88 per cent of East

Asia programs were


By dollar value, 90

per cent of program


by strategies**

90 per cent of


with the quality at

implementation process*

98 per cent of East

Asia program activities

were compliant

with the quality at


98 per cent of East

Asia program activities

were compliant

with the quality at



** 88 per cent or eight out of nine programs. The China program is being phased out in line with government policy. The Mongolia program is new and

its program strategy is yet to be fi nalised.

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2 BHUTAN


East Asia

East Asia is the largest recipient of Australian aid and a region of primary national interest for

Australia, with Indonesia being the biggest bilateral program in the aid budget. In 2011–12,

AusAID country and regional program aid to East Asia totalled $915.6 million. Other assistance

through AusAID’s global programs and through other government agencies brought Australia’s

total offi cial development assistance (ODA) to an estimated $1205.8 million.

Over the next four years, Australia will become the largest bilateral grant donor to East Asia.

Australia has a very important stake in East Asia’s broader economic and political future.

Australia also has strong interests in working with East Asian countries to manage regional

transboundary challenges such as human traffi cking, emerging infectious diseases and water

resource management.

Although it has slowed from its post-crisis peaks, the World Bank notes that economic growth

in East Asia remains strong at 8.2 per cent in 2011 and is projected to be 7.6 per cent in 2012.12

Poverty also continues to fall with the number of people living on less than US$2 a day

expected to decrease in 2012 by 24 million to 513 million, roughly half the number of people

living in poverty in 2002. Despite this impressive economic growth, development progress

in East Asia has been uneven between and within countries. More than 300 million people

in East Asia live in extreme poverty on less than US$1.25 a day.13 In Indonesia, half of the

population, or around 120 million people, still live on less than US$2 a day. The proportion of

the population living in absolute poverty is between one quarter and one third in Cambodia,

Laos, Myanmar and East Timor.

12 The World Bank East Asia and Pacifi c Economic Update 2012: volume 1, May.

13 The World Bank, PovcalNet, viewed 26 April 2012.

Under $5m*

Over $5m*

Over $20m*

Over $100m*

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been able to make a real difference to the lives of people in East Asia in 2011–12.


• 720 400 people were provided with increased access to safe water

• 297 900 additional people were provided with increased access to basic sanitation

• 136 100 additional births were attended by a skilled birth attendant.


• 111 500 students were provided with fi nancial or nutritional support

• 640 000 school offi cials were trained.


• 1010 kilometres of roads were constructed, rehabilitated or maintained

• 70 900 poor women and men gained access to new or enhanced agricultural technologies

• 21 300 poor women and men gained increased access to fi nancial services to support

their livelihoods.


• 25 300 instances of training were provided to public servants

• 4300 instances of training were provided to police and other law and order offi cials.


• 465 800 vulnerable women, men, girls and boys were provided with life-saving assistance

in humanitarian situations.

Figure 9: Estimated total Australian ODA to East Asia by country 2011–12

Indonesia 42%

Vietnam 12%

Philippines 11%

East Timor 9%

Cambodia 8%

East Asia regional 7%

Myanmar 4%

China 2%

Mongolia 1%

Laos 4%

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Indonesia

Key statistics


1 2 3 54 6 7

✔ ✔ ✔ ✔ ✘ ✘ ✘

Population 240.8 million




9.5% (2008) 10.5% (2009) 11.5% (2010)

In 2011–12, AusAID country program aid to Indonesia, including the Australia–Indonesia

Partnership for Reconstruction and Development, totalled $440.8 million. Other assistance



Australia is the largest bilateral grant aid donor to Indonesia.

Australia has a strong and effective development partnership with Indonesia. The country is

Australia’s largest neighbour and helping it to address poverty is in Australia’s national interest.

Australia’s contribution to development in Indonesia increases economic prosperity and

strengthens democracy, providing greater stability in our region.

In 2011–12, Australian aid to Indonesia focused on economic growth, education and

scholarships, health, climate change and environmental sustainability, equitable development

and governance. Australia continues to work closely with Indonesia’s reformist, democratic and

modernising government.

Indonesia’s economy grew rapidly in 2011, with real gross domestic product growth of 6.5

per cent driven by strong growth in investment and services. While Indonesia has had recent

success in achieving economic growth, more work needs to be done to increase opportunities

for the poor. There are still 120 million Indonesians living on less than US$2 a day. Maternal

mortality rates are 30 times higher than in Australia, and an Indonesian child under fi ve is

seven times more likely to die than an Australian child. Half the population does not have

access to safe water, and one-third lacks adequate sanitation.

Australia is helping the Indonesian Government to better use its resources to help the

poor. In November 2011, Prime Minister Julia Gillard MP visited Indonesia and announced a

$112 million initiative to bolster food security and improve the livelihoods of one million

poor Indonesian farmers.



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The education program remains the fl agship of the aid partnership. In 2011–12 the Australian

and Indonesian governments began the fi ve year Australia–Indonesia Education Partnership,

which will construct around 2000 junior secondary schools (creating up to 300 000 new

places), establish a national training system for education offi cials, and help around 1500

Islamic schools to meet minimum national standards. This partnership will also contribute to

Australia’s promotion of equitable development in Indonesia by ensuring, for example, that

female school principals access training opportunities and that all new schools constructed

include ramps and toilets that are accessible to children with disability.

Indonesia’s health indicators remain poor and Indonesia is off track on Millennium

Development Goal 5 (improve maternal health) and Millennium Development Goal 6 (combat

HIV/AIDS, malaria, and other diseases). In 2011–12, Australia continued to target maternal and

neonatal health in Eastern Indonesia, HIV and emerging infectious diseases, and designed

a new program to help Indonesia improve health fi nancing systems and address workforce

issues to deliver better primary health care to the poor.

Australia is helping Indonesia to improve political stability, accountability and government

effectiveness. We have supported a wide range of ministries to implement bureaucratic reform,

including organisational development and training for Indonesian public servants. Australia is

also helping Indonesia achieve increased transparency in its election system, including training

electoral offi cials and improving community electoral monitoring in targeted districts.

The fi ve year $50 million Australia–Indonesia Partnership for Justice began in 2011. This

builds on 10 years of AusAID assistance in the law and justice sector to improve transparency

and accountability across the system. It includes support to Indonesia’s courts to publish

decisions online, programs to increase access to justice for women and people with disability,

improvements to judicial dispute resolution mechanisms, and support to strengthen legal aid.

Australia is providing assistance to Indonesia’s National Program for Community Empowerment

to improve the lives of the poor in around 64 000 rural villages every year. Under the program,

communities can submit proposals for a suite of small-scale activities. These include building

and repairing village infrastructure such as roads, bridges and water supplies, establishing

revolving funds and microcredit groups, especially for women, and supporting health and

education activities.

Australia is also helping Indonesia to improve infrastructure, which is a key constraint to

economic development and community access to vital services. The Eastern Indonesia National

Road Improvement Project has built up to 400 kilometres of national roads improving access

to health and education services for poor people in rural areas. We are increasing the number

of poor households in Indonesia with access to water facilities by boosting local government

investment in utilities. The water hibah (which means ‘grant’ in Indonesian) program uses

an innovative output-based approach through which between 35 and 45 per cent of the

connection cost is provided to local governments, but only after independent verifi cation that

connections have functioned for three months.

Indonesia is one of the most disaster-prone countries in the world. Natural disasters have a

particularly devastating effect on the poor, who have to rebuild their lives with few resources.

Australia helps Indonesia prepare for and respond to natural disasters, particularly disaster

risk reduction. The Australia–Indonesia Facility for Disaster Reduction helps communities build

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resilience and capacity, and in 2011–12 completed a new earthquake modelling tool which

enables rapid estimates of the number of people potentially affected in a disaster.

Working closely with the Indonesian Government and a range of development partners,

Australia has been able to make a real difference to the lives of Indonesians in 2011–12.


• training more than 5000 health workers and volunteers to support childbirth

• renovating 24 public birthing wards in East Nusa Tenggara, one of Indonesia’s poorest

provinces.


• providing school management training to about 600 000 school offi cials including about

240 000 female offi cials

• awarding 637 Australia Awards

• funding 162 volunteers working in health, education, agriculture, forestry, government and

civil society.


• supporting Indonesia’s National Program for Community Empowerment—the country’s

largest community-driven poverty reduction program that helps villagers in rural locations

benefi t from improved socio-economic and local governance conditions. It helped:

» 50 000 children to receive vaccinations

» skilled midwives or doctors attend 23 300 additional births

» 25 500 children receive scholarships to attend school (22 000 received assistance to

buy school uniforms and 18 500 were helped to buy textbooks)

• planting more than 1.2 million seedlings that were raised in community nurseries

in Kalimantan

• establishing one of the largest and most rigorous tropical peat monitoring systems in the

world—a critical part of estimating greenhouse gas emissions from peat.


• supporting legislative reform to increase the monetary threshold for a serious crime from

three cents to around $300 resulting in fewer people (including children) being imprisoned

for minor crimes

• improving women’s access to justice in the formal legal system by supporting mobile

courtrooms and helping the poor get vital documents like birth certifi cates

• using the Australia–Indonesia Partnership for Electoral Support to improve the way

elections are run, including by:

» providing training for up to 624 elections offi cials for the standardised management

of elections

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» supporting the preparation and dissemination of elections information

» supporting technical assistance for key elections preparation stages.


• assisting around 46 000 Indonesians to recover from two natural disasters which occurred

in late 2010, including assisting communities in the Mentawai Islands to rebuild homes,

improve their health and develop emergency plans to prepare for any future disasters

• establishing a real time earthquake impact estimation system which enables rapid

estimates of the number of people potentially affected in a disaster.

Figure 10: Estimated total Australian ODA to Indonesia by strategic goal 2011–12*



Sustainable economic

development 28%

Saving lives 21%


Cross cutting 7%


76

Above: Wasiah is so pleased her son Supiandi can go to school. With an education, she hopes he will have an easier

life than she has had

Photo: Clare Price, AusAID

New school places for disadvantaged children in rural Indonesia

Supiandi is 13-years-old and lives with his

45-year-old mother Wasiah and older sister in

a small village on the outskirts of Kopang in

Central Lombok. Supiandi’s father died when

Supiandi was just a few months old.

Supiandi’s family is poor. Supiandi’s mother,

Wasiah, weaves baskets in the corner of their

one room house and earns around $3 for each

basket. Most of the money she earns goes

towards buying school uniforms for her children.

The family relies on community support for

day-to-day necessities including food.

Supiandi enjoys going to school. His local junior

secondary school (grades 7 to 9) is SMP Kopang

6. Supiandi lives close to school and walks there

every day with his classmates. His favourite

subjects are art and English. When asked about

his future aspirations, Supiandi replies shyly,

“I want to go to high school too, I want to fi nish

school and make my mother happy”.

For many years, Kopang did not have a junior

secondary school and students were required

to travel 40 kilometres to the closest school,

an impossible feat for most families.

“I’m so happy Supiandi and his sister can go to

school,” says Wasiah. “I want my children to

have the same opportunities as other children.

If SMP Kopang 6 had not been built, I could

not have sent my children to school because

the cost of transport is too expensive,”

says Wasiah.

A push from the local Kopang community and a

district government submission to the Ministry

of Education and Culture in Jakarta resulted

in AusAID funding construction of the school.

Kopang residents formed a school construction

committee, and with training and oversight

from qualifi ed AusAID-funded engineers,

built the school using locally sourced labour

and materials.

AusAID has funded more than 2000 junior

secondary schools and created around

330 000 new student places. By 2016, up to

2000 more junior secondary schools will be built

in remote areas of Indonesia. Schools are built

in areas with low enrolment rates, ensuring that

priority is given to areas with the most need.

Supiandi is one of 290 students at SMP

Kopang 6. Principal Muhamad Sayuti is

pleased that student numbers are rising

every year. “Growing student numbers allow

the school to offer a wider range of subjects,

including art and drama,” he says.

77

Midwives and traditional birth attendants partner to save lives

Tradition remains strong in a province where

more than 70 communities have their own

distinct language and customs.

Wae Bunka is a village located in the forested

hills of West Manggarai district, Flores. It is

one of 14 communities in East Nusa Tenggara

where the Australia–Indonesia Partnership

for Maternal and Neonatal Health is engaging

traditional birth attendants to help decrease

maternal and neonatal mortality.

“I’ve been helping women give birth in this

village and two other villages my whole

life,” says 65-year-old Magdalena Imput, a

traditional birth attendant in Wae Bunka.

“I cannot even count how many babies I’ve

delivered over the last 40-odd years.”

Village traditional birth attendants (dukun bayi) care for mothers through pregnancy to

birth. Attendants develop close emotional ties

with mothers in rural communities but lack the

skills of a professionally trained midwife.

In 2010, the Australia–Indonesia Partnership

for Maternal and Neonatal Health began

supporting the district government’s initiative

to create partnerships between trained

midwives and traditional birth attendants.

Midwife Rahayu Pakeng Veronika runs the

village health facility, or pustu, in Wae Bunka.

Rahayu and traditional birth attendant

Magdalena are convincing pregnant women in

nearby villages to attend the pustu or another

health centre rather than risk a home birth.

Rahayu encourages traditional birth attendants

to bring pregnant women to receive antenatal

care and help guide them through the delivery

while the midwife manages the birth.

A delicate balance was required to bring the

traditional birth attendants and midwives

together. According to Rahayu, many of the

traditional birth attendants are respected

fi gures in their communities being around

50 to 60-years-old.

“Traditional birth attendants have made an

agreement with the midwife and the village

that deliveries must be assisted by a midwife

in the pustu,” Magdalena said. “Now we

refer the mother to the midwife right away.”

For Magdalena, whose mother was also a

dukun bayi, that is a shift in tradition that can

save lives.

Above: Midwife Rahayu Pakeng Veronika (right), who runs the village health facility in Wae Bunka, with traditional birth

attendant Magdalena Imput (left)

Photo: Joni Trisongko for AusAID

78Above: Ibu Endanningsih is proud of her business and the stonework she makes


Carving economic growth from stone

AusAID is providing $215 million to support

Indonesia’s National Program for Community

Empowerment. The program improves

local-level development in Indonesia through

loans for communities. Women in Central Java

receive loans to establish and expand small

businesses, including manufacturing and selling

stonework. The businesses provide women and

their families with small but important incomes.

Java and a number of other islands in Indonesia

have a history of producing elaborate carved

stonework. Ibu Endanningsih and her husband

maintain a workshop in their home in Pasakan,

Central Java. They produce fi nely carved window

panes, door frames and decorative plaques,

materials in great demand in Central Java

and beyond.

It is not easy to start a stonework business, Ibu

Endan explains. “The problem is that you need

to maintain a large reserve of capital to purchase

raw materials. When we started, the lack of

capital severely limited our operations and meant

that we could only produce small, low value

items like ash trays and lamp frames.”

An important breakthrough came when Ibu

Endan joined a women’s savings and loans group

operated and funded by Indonesia’s National

Program for Community Empowerment. Ibu

Endan says loans are available to individuals

through small groups consisting of other women

who operate small businesses. “The group is

responsible for collecting loans from members.

By taking on the responsibility for administering

the loans ourselves we were helping keep costs

low. We have a monthly meeting to collect

repayments. The meetings also serve a social

purpose. The women tend to help and encourage

each other in their business activities. It’s an

important support network,” she says.

In the fi rst year Ibu Endan received a loan of

Rp1 million (approximated $109). “It’s not

a lot, but it was enough for us to be able to

invest in larger amounts of raw materials and

to produce items of higher quality and higher

value,” she says. After easily paying off her

fi rst loan, Ibu Endan applied for larger loans as

the business grew. “We now have a turnover of

more than Rp15 million a month ($1630). Our

business is going very well, but the program’s

loans were crucial in getting us over that initial

hump,” she says.

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Vietnam

Key statistics


1 2 3 54 6 7

✔ — — ✔ ✔ ✘ ✔





3.0% (2008) 1.7% (2009) 3.5% (2010)

In 2011–12, AusAID country program aid to Vietnam totalled $106 million. Other assistance



Australia is one of the largest aid donors to Vietnam.

Following two decades of strong economic growth and associated reforms, Vietnam has reached

lower middle income status. The government introduced a package of measures in early 2011 to

address macroeconomic instability, particularly high infl ation. This stabilised the economy but

also slowed economic growth to 5.9 per cent in 2011, compared to 6.8 per cent in 2010.

Vietnam continues to make good progress against most of the Millennium Development Goals

having already achieved fi ve targets and on track to meet a further two by 2015.

A number of major obstacles still confront Vietnam. Halting the spread of HIV/AIDS remains a

challenge and almost 40 per cent of the rural population still does not have access to adequate

sanitation. Vietnam is also one of the most vulnerable countries to the impacts of climate

change and natural disasters. Its coastal areas and Mekong Delta are particularly susceptible.

It is in these regions that livelihoods will be most affected by more erratic rainfall, higher

temperatures and more frequent extreme weather events.

Poor infrastructure, poorly skilled workers and institutional weaknesses remain key constraints

to maintaining strong growth. Vietnam’s Social and Economic Development Plan 2011–15

emphasises the need to address human resource capacity, infrastructure bottlenecks and

institutional reform to better support economic competitiveness and productivity. Australia’s

country strategy for Vietnam 2010–15 is consistent with these priorities.



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Australia’s aid program aims to strengthen Vietnam’s progress against the Millennium

Development Goals and help with its ongoing integration into the global economy. This

involves working closely with other donors to strengthen Vietnam’s own systems. Australia’s

strategic approach focuses on:

• strengthening human resources

• supporting economic integration and improving infrastructure, including by providing

better access to markets for the poor

• improving environmental sustainability, including through access to clean water and

sanitation, and responding to climate change.

Working closely with the Vietnamese Government and a range of development partners,

Australia has been able to make a real difference to the lives of Vietnamese in 2011–12.


• supporting Vietnam’s program to deliver water and sanitation services to rural

communities, providing an extra 2.3 million people with access to clean water and an extra

455 000 households with access to hygienic toilets, compared to 2010

• providing technical assistance to prepare for the government’s roll out of phase three of its

national target program for rural water supply and sanitation.


• making a major contribution to Vietnam’s future human resource base with 251 Australia

Awards for graduate study in Australia (60 per cent of these to women), 152 fellowships for

training and work attachments with Australian organisations, and 19 short course awards to

undertake training in public sector management.


• improving access to markets and essential services for people in poor communes across

the Mekong Delta by helping to build 96 kilometres of rural roads

• commencing detailed design of the Cao Lanh Bridge across the Mekong River, which will

ultimately serve up to 170 000 road users a day, providing transport access for residents in

the densely populated central Mekong Delta region.


• supporting the Vietnam Red Cross to help 42 000 people in the Mekong Delta who were

affected by the worst fl ooding in more than a decade.

81

Above: Silt trap fences in Kien Giang Province reduce erosion-causing wave energy by 60 per cent and prevent silt from

stifl ing mangrove growth

Photo: Courtesy of the German Agency for International Development

Helping communities adapt to climate change in Vietnam

Kien Giang Province in the Mekong Delta is

highly vulnerable to climate change.

The province has more than 200 kilometres

of coastline and 85 per cent of its land is less

than one metre above sea level. Sea levels

have already risen 20 centimetres, and are

predicted to rise by one metre by the end of

the century. Almost 40 million people live

along Vietnam’s 3200 kilometre coastline

and many depend on the environment for

their livelihoods.

Australia, in partnership with Germany, is

working with Vietnam to help communities

in Kien Giang adapt to climate change and

improve management of coastal environments.

Strategies include building fences to prevent

erosion, rehabilitating coastal forests,

promoting new mangrove planting techniques

and improving dyke management. Australia is

contributing $23 million to the Climate Change

and Coastal Ecosystem Program from 2011 to

2016, part of which is included in Australia’s

$599 million commitment to climate change

action in developing countries.

Key development achievements in

2011–12 included:

• planting more than fi ve hectares of

coastline-protecting mangroves and

installing 650 metres of fences to improve

their growth

• introducing sustainable livelihood

activities for coastal communities such as

growing salt tolerant crops

• increasing community awareness of

climate change impacts from three to

77 per cent

• establishing a teaching program for

primary schools on climate change,

biodiversity and waste management which

has been incorporated into the provincial

school curricula.

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Philippines

Key statistics


1 2 3 54 6 7

✘ ✘ ✔ ✘ ✘ ✔ ✔





8.1% (2008) 8.0% (2009) 7.3% (2010)

In 2011–12, AusAID country program aid to the Philippines totalled $103.7 million. Other



$129.4 million. Australia is the largest bilateral grant aid donor to the Philippines.

Economic growth in the Philippines slowed to 3.7 per cent in 2011, just half of the record

growth in 2010 of 7.6 per cent. The Philippine Government’s budget for 2012 refl ected the

priority it placed on improving transparency, generating employment and reducing poverty.

The Philippines climbed fi ve places in the Transparency Corruption Perception Index for 2011

and improved 10 places in the 2011 Global Competitiveness Index. The challenges to reducing

poverty in the Philippines still remain very real with 42 million Filipinos living on less than US$2

a day. The Philippines will struggle to achieve its Millennium Development Goal targets for

education and maternal health.

In 2011 the Philippines experienced the highest number of natural disasters in the world.

Poverty reduction efforts took a hit from devastating fl oods caused by Tropical Storm Washi

in December 2011. More than 600 000 people were affected, 1427 killed and 357 000 left

homeless. Australia responded swiftly to this humanitarian disaster with temporary shelters,

latrines and essential items for thousands of affected families.



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Australia’s new Philippines country strategy (2012–17) aligned closely with President Aquino’s

reform agenda to address poverty and corruption. The strategy sharpened Australia’s efforts in

those areas where we have a strong track record of results:

• improving education

• improving local government capacity to deliver basic services

• reducing vulnerabilities from climate change and confl ict

• supporting transparency and accountability in government.

Australian aid in the Philippines promotes opportunities for all by giving more children access

to school through classroom construction programs. Australia helps schools to increase

student completion rates and improve student outcomes in English, maths and science. Local

governments receive support to improve their transparency and accountability so they can

provide better services, particularly the maintenance of local roads. With poverty highest in the

confl ict areas of Mindanao, Australia is building conditions for peace and security by providing

education and other opportunities to youth affected by armed confl ict.

Working closely with the Philippine Government and a range of development partners,

Australia has been able to make a real difference to the lives of Filipinos in 2011–12.


• supporting 222 schools in Mindanao to introduce a standard kindergarten curriculum

enriched with Islamic values, reaching 6000 students in public schools

• supporting 25 schools and three Madaris in confl ict areas of Mindanao to introduce peace

education modules, together with training for more than 700 teachers

• reducing student absences due to health problems through health programs in 30 schools

• supporting 120 Filipino scholars including 73 women to study in Australia.


• completing 15 road rehabilitation projects, benefi ting at least 51 000 people and lowering

transportation costs between 30 and 40 per cent.


• reducing the risk of corruption in the Department of Public Works and Highways by

introducing an electronic accounting system.


• completing hazard maps for 14 provinces, contributing to better planning for

future disasters

• providing emergency packs, including mosquito nets, sleeping mats, hygiene and kitchen

sets, to 5000 families, and water and sanitation facilities for 1000 families affected by

Tropical Storm Washi.

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East Timor

Key statistics


1 2 3 54 6 7

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27.7% (2008) 28.7% (2009) 42.6% (2010)

In 2011–12, AusAID country program aid to East Timor totalled $59.4 million. Other


agencies—particularly the Australian Federal Police—brought Australia’s total offi cial

development assistance (ODA) to an estimated $107.8 million. Australia is the largest aid donor

to East Timor.

In May 2012, East Timor celebrated its 10th anniversary of independence. Also in 2011–12 the

government released its 30 year strategic development plan, peaceful presidential elections were

held, and planning commenced for the withdrawal of the United Nations peacekeeping mission.

While these developments signal increasing national capacity in state building and security,

East Timor remains one of the world’s poorest countries. Forty-fi ve per cent of East Timorese

children under fi ve are underweight for their age, and the maternal mortality rate, estimated

to be between 408 and 706 deaths per 100 000 live births, remains one of the highest in Asia.

Overall, 41 per cent of East Timorese live below the national poverty line of US$0.88 a day.

The most important progress made by East Timor against the Millennium Development Goals is

in the area of child mortality. This has fallen by 67 per cent, from 169 deaths per 1000 live births

in 1990, to 55 in 2010—the biggest reduction in the world for that period. Most of the other

goals, particularly eradicating extreme hunger and poverty, and improving maternal health, are

unlikely to be reached by 2015.

In November 2011, Australia and East Timor signed a new partnership agreement for

development based on East Timor’s own strategic development plan and Australia’s enhanced

focus on achieving results. This agreement was also a direct recognition of East Timor’s

leadership in the g7+ group, a group of fragile and confl ict-affected countries, in developing

the New Deal for Engagement in Fragile States. The deal commits donors to support strong

country-owned plans for reducing fragility and increasing state-building, including using



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the recipient country’s own systems. East Timor’s Minister of Finance welcomed Australia’s

pioneering commitment to the deal in East Timor and has called on other donors to follow.

Australia and East Timor’s shared objectives through our new partnership agreement are:

• saving lives by increasing access to quality health services and to safe water and sanitation

• promoting opportunities for all by increasing access to quality education

• promoting sustainable economic growth by improving food security and agricultural

productivity, and developing infrastructure, particularly rural roads, and water and

sanitation systems

• promoting effective governance by strengthening public sector administration and governance

to ensure the public sector is able to provide quality services to the Timorese people.

Working closely with the East Timorese Government and a range of development partners,

Australia has been able to make a real difference to the lives of East Timorese in 2011–12.


• immunising 500 000 vulnerable children against measles across all districts in East Timor

during the Ministry of Health’s national measles campaign in 2011

• providing more than 60 000 people with access to safe water and 45 000 people with

access to improved sanitation facilities since 2008.


• helping enrol almost 30 000 more children into primary schools across East Timor, an

increase of 17 per cent since 2008

• providing microfi nance services to around 5000 clients, almost all of these women,

since 2008

• supporting 94 volunteers, including 29 Australian Youth Ambassadors for Development, to

work in East Timor in areas such as health, education, disability and gender equality

• funding 76 Australia Awards for East Timorese to study, mostly in Australia.


• increasing job opportunities for rural communities by engaging 31 500 workers (28 per

cent of who were women and 44 per cent youth) to work on our rural roads program. This

meant an average earning of US$281 per person, a substantial amount for the rural poor. It

provided cash for housing materials, starting a business, school needs and food.


• supporting the Ministry of Finance to improve its systems for government spending so that

more than 90 per cent of East Timor’s budget was spent in 2010, compared with only 49 per

cent in 2006–07.

86Above: Julia Martins do Ceo attends the mobile health clinic with her baby Carla

Photo: Arlindo Soares, AusAID

Saving lives—mobile health clinics bring health care to remote villages

Julia Martins do Ceo is relatively new to

motherhood. She has two small children, one

still a baby. Antonia Ilda da Costa has eight

living children. She delivered them at home with

only her husband with her. Her fi rst baby, a boy,

died in infancy. He became ill and Antonia and

her husband could not get him to a doctor or

a hospital.

Julia and Antonia live in Hatolia Leten village,

about a four hour drive from Dili. Most of the

families in the village are very poor and have

no means of transport. In the past, this lack

of accessibility has made it almost impossible

for children to receive medical treatment when

they become ill, or for mothers to receive care

during or after pregnancy. But now the Ministry

of Health, with Australia’s assistance, is bringing

medical care to the people of Hatolia Leten and

other villages in the form of mobile clinics.

Every month, small teams of health workers

wind their way in small vans through mountains

and dense jungle to remote rural villages. When

they arrive, they set up clinics that provide

treatment of common diseases, immunisation

and growth monitoring for children, antenatal

care, advice on family planning, and information

on nutrition and hygiene.

East Timor has made some progress in

improving maternal and child health in the past

decade. More women are receiving antenatal

care, more children are being immunised, and

the mortality rate for children under fi ve has

improved dramatically. The children in East

Timor’s rural areas still remain among the most

malnourished in the world and the maternal

mortality rate is still very high, estimated at

between 408 and 706 deaths per 100 000 live

births. This is more than double the average for

the Asia-Pacifi c.

Australia’s support for the 475 mobile health

clinics that make their way around East

Timorese villages is about increasing access

to quality health services. If the number of

women and men who come to the clinics is

anything to go by, the clinics are doing their job.

As the village chief of Hatolia Leten, Faustino

do Menino Jesus puts it, “we’re happy to have

the mobile clinic. It’s very helpful. We can get

medicine for malaria and malnutrition and

other things”.

87

Supporting training and job opportunities in East Timor

In the small coastal village of Kamalehoru

near Dili, a group of 14 men and women have

started a small dried fi sh business and, so far,

it looks promising. Early every morning, the

men go out in their boat to catch fi sh. When

they return, they keep some fi sh aside to sell

fresh and then hand the remainder over to the

women for washing and cleaning. Once the fi sh

are gutted, the women coat them with salt and

lay them out in a plastic drying shed on the

beach for two days. When the fi sh are dried,

they are put into plastic bags ready for sale. A

bag of fi ve medium sized fi sh will fetch about

US$3. Smaller fi sh will attract about US$1.

This business looks straightforward. But it

may not have found its feet without support

from the Youth Employment Promotion

Program, which is jointly funded by Australia

and East Timor and managed in partnership

with the International Labour Organization.

The program provides training, short-term

job opportunities and career counselling to

help young men and women improve their

employment prospects.

“There are no industries in most parts of East

Timor so we need to explore opportunities for

self-employment,” says Fernando Encarnacao

from the International Labour Organization.

“We go to remote areas and survey the local

resources. We help people identify what they

could do to create jobs and how they might

use microfi nance to help them.”

Since 2008, the Youth Employment Promotion

Program has helped around 5000 men and

women to take part in different types of skills

development, increasing their chances of

fi nding work.

“In the case of the dried fi sh in Kamalehoru,

we organised for a company to give fi ve days

training on how to prepare the fi sh for drying

and how to build the drying shed. The business

works well for the women because they can

take turns preparing the fi sh and also look

after their children. The hygiene lessons they

learned during training has a spillover effect at

home, and if the group needs extra money to

make any repairs to their boat or their drying

shed they can apply for a microfi nance loan.

They’ve made enough to be able to make the

repayments,” says Fernando.

Above: Checking the size of the fi sh before the drying process begins

Photo: Joao Vas for AusAID

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Cambodia

Key statistics


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6.5% (2008) 7.6% (2009) 7.0% (2010)

In 2011–12, AusAID country program aid to Cambodia totalled $59.2 million. Other assistance



Australia is one of the largest bilateral aid donors to Cambodia.

Cambodia’s improving stability and strong economic performance led to rising average living

standards in 2011–12. Gross domestic product grew by 5.9 per cent. Despite this growth

Cambodia remains a least developed country and 25 per cent of the population still lives

in poverty, 90 per cent in rural areas. Development challenges include poor infrastructure,

ineffi cient agriculture, corruption and institutional weakness. There are also transboundary

challenges in health, water management, HIV/AIDS, human traffi cking and regional trade.

Australia’s aid program targets practical service delivery as well as strengthening the capacity

of weak government systems and bureaucracy, and is successfully working with provincial level

administrations, especially in the health, and law and justice sectors.

Between 2005 and 2010 Cambodia halved its maternal mortality from 472 to 206 deaths per

100 000 births, and infant mortality from 95 to 45 deaths per 1000 births. Foreign Minister

Senator Bob Carr visited Cambodia in April 2012 and has pledged continued Australian support

to help Cambodia reduce these further.

The focus of the Australian aid program to Cambodia is on:

• reducing rural poverty through agricultural development

• improving health services, particularly for the poor, women and children

• upgrading infrastructure, including road, rail and energy infrastructure

• promoting access to justice and improving community safety.



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Australia’s aid is delivered in partnership with other donors in the health sector and multilateral

banks in the infrastructure sector. We work with civil society organisations and non-government

organisations including the Red Cross, World Vision, CARE, Oxfam and Save the Children.

Working closely with the Cambodian Government and a range of development partners,

Australia has been able to make a real difference to the lives of Cambodians in 2011–12.


• enabling more than 70 per cent of births to be attended by a trained health professional,

and more than 54 per cent of women to give birth in a health facility

• assisting 72 per cent of people living in poverty to access free health services through

incentives provided to hospitals and clinics to treat the poor (health equity funds)

• halving the number of women who die in childbirth or pregnancy since 2005 from 472

to 206 per 100 000 live births. During the same period, the under fi ve mortality rate has

decreased from 83 deaths per 1000 live births to 54 deaths.


• reducing rural poverty by constructing 10 irrigation schemes for dry season farming,

servicing more than 11 000 hectares of rice fi elds, enabling over 6500 farmers to cultivate

dry season crops and earn additional incomes

• clearing 5000 square metres of land of mines and unexploded remnants of war, benefi ting

more than 40 000 people

• rehabilitating more than 110 kilometres of the national rail network.


• providing disaster relief and assisting economic recovery by contributing $2 million in

emergency assistance for food, shelter, water and sanitation, and health care, and

$5 million towards the rehabilitation of essential roads and infrastructure.

90Above (left to right): Foreign Minister Senator Bob Carr, Mrs Pen Khimny, Vice Chief of Midwifery Department, Technical

School for Medical Care and Mr Mam BunHeng, Cambodian Minister for Health, visit the Cambodian Midwife Project at

the Khmer–Russian Friendship Hospital in Phnom Penh

Photo: Nick Sells for AusAID

Improving maternal and child health in Cambodia

Australia is supporting the health sector

in Cambodia, providing $46.6 million from

March 2007 to June 2012 targeted at maternal

and child health and improving access to

quality health care for poor and vulnerable

Cambodians.

In just fi ve years, from 2005 to 2010, the

maternal mortality rate has halved and the

proportion of births attended by trained health

care workers has risen from around 40 per

cent in 2006 to 70 per cent in 2011.

While Cambodia has made impressive

progress in reducing its maternal and child

deaths, there is still more to be done in

saving newborn lives. Australia’s support to

the health system will help the Cambodian

Government improve health care service

quality and access.

Through a midwifery education project,

Australian volunteers have contributed to

these gains in maternal and child health.

Seven Australian volunteer midwives are

working alongside local midwives in hospitals

and health centres.

The volunteers mentor and coach Cambodian

midwife educators to enhance the training

curriculum. They also work with hospital

human resource departments to ensure

midwives are assigned to appropriate wards

so they can practise their skills and provide a

higher level of care.

The volunteer program began in 2009

and AusAID works in partnership with

Australian Volunteers International, through

the Australian Volunteers for International

Development program.

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Laos

Key statistics


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8.6% (2008) 8.0% (2009) 10.0% (2010)

In 2011–12, AusAID country program aid to Laos totalled $31.5 million. Other assistance



Australia is one of the largest aid donors to Laos.

Laos remains one of the poorest countries in South-East Asia. An estimated 34 per cent of the

population lives below the international poverty line of US$1.25 a day.

The Lao economy continues to experience strong growth, estimated at eight per cent in 2011.

The booming resources sector is a signifi cant driver of this although there is evidence the

non-resources sector is growing in importance.

Strong growth continues to reduce national poverty levels, although progress is uneven with

remote upland areas and ethnic minorities continuing to experience disproportionate poverty.

Health and education indicators are poor, although improving as government services,

particularly in basic education, continue to reach more people. Major government revenue

growth from the resources sector is underpinning this improvement. That said, on current

trends Laos will only meet one Millennium Development Goal—reducing child mortality by

two-thirds by 2015.

Strengthening economic and resources sector governance remains a crucial challenge. Laos

ranks as one of the hardest places to do business and has fallen further on the World Bank’s

Ease of Doing Business list to 165 (out of 183 economies). Stronger performance in this area

is essential to the government’s ambitions to broaden the country’s economic base. The

hydropower and mining sectors are an important source of economic growth and government

revenue, but they also present signifi cant social and environmental challenges. Laos has

embarked on a program of reforming legislation and institutions responsible for resources

sector governance, but much work remains to be done in this area.



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Australia’s objectives in Laos for 2011–12 were:

• improving the quality of and access to basic education, and strengthening education

sector management

• supporting broad-based growth through trade and investment reforms

• reducing poverty in rural areas by providing rural infrastructure and strengthened

community resilience.

Working closely with the Lao Government and a range of development partners, Australia has

been able to make a real difference to the lives of Lao people in 2011–12.


• increasing the ratio of girls to boys enrolled in primary school—from 85 girls for every 100

boys in 2009–10 to 92 girls for every 100 boys in 2011–12—in the districts where Australia

provides education assistance

• building classrooms in 197 primary and pre-primary schools

• providing teaching and learning toolkits to more than 3500 primary school teachers in the

most educationally disadvantaged districts

• providing school management and leadership training to 1033 primary school principals

and head teachers.


• supporting the clearance of unexploded ordnance from 2938 hectares of contaminated

land, benefi ting more than 460 000 people

• supporting expanded access to the national electricity grid reaching an additional 16 160

households, 562 of which are female headed and 309 of which comprise a household

member with disability

• supporting rural agricultural productivity and income generation activities which have

benefi ted 1200 poor households

• improving regulatory transparency for businesses through an electronic trade portal.

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Myanmar

Key statistics


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— ✘ — ✘ ✘ ✔ ✔

Population 55 million




9.0% (2008) 5.1% (2009) 11.6% (2010)

In 2011–12, AusAID country program aid to Myanmar totalled $47 million. Other assistance



Australia is one of the largest bilateral aid donors to Myanmar.

Myanmar is among the poorest countries in Asia with an estimated quarter of its 55 million

people living in poverty. The operating environment in Myanmar remains challenging due to

ongoing ethnic confl icts, vulnerability to natural disasters and low government capacity. While

reliable data on Myanmar is diffi cult to obtain, public investment in both education and health

is the lowest in the world, at less than one per cent of gross domestic product a year. Myanmar

is off track to achieve key Millennium Development Goal targets.

Australia is helping Myanmar address the needs of its people who are living in poverty. In

recognition of the immense development challenges faced by Myanmar’s people, Australia’s

aid program is focused on service delivery for the poorest communities in the country. We have

major programs in education, health and livelihoods, and also provide assistance to Myanmar

refugees in Thailand and displaced people inside Myanmar.

Myanmar is undergoing historic reform with better prospects for real change now than at any

time in the last 50 years. In 2011–12 Myanmar’s democratic reforms continued with the release

of hundreds of political prisoners and democratic national by-elections on 1 April. Australia will

work with the Myanmar Government to identify aid priorities and build its capacity to deliver

essential services. As democratic reforms continue, Australia will pursue a formal relationship

on development cooperation.



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Working closely with non-government organisations and United Nations agencies, Australia

has been able to make a real difference to the lives of Myanmar’s people in 2011–12.


• targeting maternal and child mortality by providing vaccines against diphtheria, pertussis

and tetanus to 21 565 children under one, against measles to a further 20 989 children, and

against tetanus toxoid for 23 941 pregnant women

• helping reduce the impact of infectious diseases and HIV/AIDS by distributing 3.3 million

needles to injecting drug users and providing antiretroviral drugs to 19 000 people,

diagnosing 14 000 tuberculosis patients under 15 years of age, treating 18 000 new

tuberculosis cases detected through sputum examinations, testing 4600 tuberculosis

patients for HIV, treating 229 000 malaria patients and distributing 174 000 long-lasting

insecticidal bed nets.


• improving access to education by providing more than 66 000 children with early childhood

care and education, and a further 170 000 children with essential learning packages

(including textbooks).


• increasing access to food and incomes by providing support such as agricultural training

and access to microfi nance for up to two million poor and vulnerable people living in rural

areas, including the Irrawaddy Delta.

To build the capacity of people and institutions, Australia has also doubled the number of

long-term Australia Awards for postgraduate students in Myanmar from 10 placements in 2011

to 20 placements in 2012.

Foreign Minister Senator Bob Carr visited Myanmar from 5 to 8 June. He met President Thein

Sein and opposition leader Aung San Suu Kyi and announced that Australia would increase

assistance to Myanmar by 31 per cent to $63.8 million in 2012–13. Senator Carr also announced

a four year $80 million education package to lift primary school attendance and increase

Australia Awards.

95

Helping children receive an education in Myanmar

In June 2011, Foreign Minister Senator Bob Carr

announced a new Australian education package

for Myanmar that will give millions of children

the opportunity to fi nish primary school.

The current generation of children may become

the fi rst in Myanmar’s history with a lower

level of education than their parents and

grandparents. Less than half of the country’s

fi ve million children complete the full fi ve

grades of primary school and only 57 per cent

of teachers are properly qualifi ed.

“This program supports the basic rights of

the poorest children in the country—the

right to education, the right to learn in a safe

environment and the right to clean water and

sanitation,” Senator Carr said.

Australia will work with partners to:

• provide essential school supplies

including textbooks to 1.1 million children,

train 20 500 teachers and support at

least 85 000 children to access early

childhood education

• improve enrolment and education in

monastic and community schools in some

of the most poor and remote areas of the

country through work including teacher

training and providing water and sanitation

facilities to stop children getting sick

• provide take-home meals for 1.3 million

children who enter school and stay there for

a whole year.

Australia will support Myanmar to undertake

an education sector review to guide future

investments by the Myanmar Government and

donors. Australia will also help drive sustainable

development by increasing Australia Awards

for emerging leaders to study at Australia’s

world-class universities in fi elds important to

Myanmar’s development, such as education

and health.

Above: Foreign Minister Senator Bob Carr and AusAID staff visit school children at the Australian-supported Thit Kyar Kone

Primary School, near Kungyangon Township in the Irrawaddy Delta in June 2012

Photo: Christopher Davy for AusAID

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Mekong Water Resources Program

In 2011–12, AusAID provided $9.4 million to improve water resource management in the

Mekong region.

The water resources of the Mekong River and its tributaries underpin the livelihoods of around

70 million people in the region, providing a source of food, transport and hydropower. Threats

from rapid development and climate change however could undermine food security and

regional stability. AusAID’s Mekong Water Resources Program works with partner governments

and civil society organisations to foster greater understanding of the resource. The program

also looks at transboundary issues and the relationship between competing demands for water

use, including hydropower, irrigation, fl ood control and fi sheries, to help governments make

well-informed decisions about how they manage this important natural resource.

Australia’s development objectives for the Mekong Water Resources Program in 2011–12 were:

• strengthening water resource management institutions and institutional relationships

• improving the availability of reliable water resources knowledge

• supporting water resources development decision-making processes.

During 2011–12, Mekong River Commission member countries—Thailand, Laos, Cambodia and

Vietnam—continued to discuss the proposed construction of a hydropower dam on the Mekong

River in Laos, at Xayaburi. If built, it would be the fi rst dam on the mainstream of the lower Mekong

River. Australia continues to provide support to the Mekong River Commission to help it manage

transparent, well-informed and inclusive decision-making processes on the future of the river.

Australia is one of the largest supporters of the Mekong River Commission.

Key development achievements in 2011–12 included:

Promoting opportunities for all:

• providing learning and collaboration opportunities for 21 Cambodian offi cials and

professionals from across government and academia at a six week intensive integrated

water resources management course in Australia.

Encouraging sustainable economic development:

• supporting the Mekong Basin Challenge Program on Water and Food, led by the

Consultative Group on International Agricultural Research to:

» encourage 160 professionals from across the region to discuss issues around food and

energy production and water resources management through the fi rst Mekong Forum

on Water, Food and Energy in Cambodia in December

» mobilise 21 fellows from across the region to undertake research for development in

hydropower decision-making processes and how they can be improved

• starting to implement local climate change adaptation projects in Thailand, Laos, Cambodia

and Vietnam under the Mekong River Commission’s Climate Change Adaptation Initiative

• using CSIRO research from the Exploring Mekong Region Futures initiative to examine the

relationship between energy, food and water, and inform infrastructure investment decisions.

Promoting effective governance:

• building capacity in the Mekong River Commission Secretariat and government ministries in

member countries by providing 1078 instances of professional training to civil servants.

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China

Key statistics


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Population 1.34 billion




1.1% (2008) 1.0% (2009) 1.3% (2010)

In 2011–12, AusAID’s country program aid to China totalled $13.9 million. Other assistance



Australia is a small but strategic aid donor to China, supporting better health and HIV outcomes,

deepening cooperation on water management and promoting effective governance and human

rights. Australia’s commitment to phase out bilateral aid will be met by 2013–14.

China’s gross domestic product per capita is much higher than any other major recipient of

Australian aid. In 2011, the Australian Government announced that it would phase out bilateral

aid to China while continuing to work on issues of regional and global importance. Australia

will shift from supporting China’s national development to working collaboratively with China

to tackle regional and global development challenges.

In 2011–12 AusAID focused on providing assistance through regional and international

programs to refl ect China’s stage of development and policies towards external aid. We worked

together in areas including climate change, creating balanced and sustainable economic

growth, supporting health systems, and promoting human rights.

Working closely with the Chinese Government and a range of development partners, Australia

has been able to make a real difference to the lives of Chinese in 2011–12.


• reducing HIV transmission by delivering education and prevention activities to 8940

injecting drug users in Yunnan and Guangxi Provinces, and distributing 1.2 million needles

and syringes and 150 000 condoms between July and December 2011

• piloting training for 532 community health workers on new service protocols in 15

provinces. This was later expanded to about 30 000 health professionals working at

community health centres.



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• awarding 34 Australia Awards for study at Australian institutions in 2012, 17 of which were

for women. The Australia Awards help foster positive links with Australia.


• supporting the inclusion of national anti-domestic violence legislation in China’s fi ve year

legislation plan through long-term support for anti-violence regulation development in 25

provincial, regional and municipal governments

• training offi cials from the Ministry of Human Resources and Social Security and its

state insurance administration on improving the design and regulation of China’s social

security system.

Mongolia

Key statistics


1 2 3 54 6 7

✔ ✔ ✔ ✔ ✔ ✔ ✘





0.7% (2008) 2.5% (2009) 2.0% (2010)

In 2011–12, AusAID country program aid to Mongolia totalled $6.5 million. Other assistance



Australia is one of the largest bilateral aid donors to Mongolia.

Mongolia is undergoing rapid economic and social transformation. It has one of the fastest

growing economies in Asia, mainly as a result of major foreign investment in its mining

industry. Mongolia is on track to reach most Millennium Development Goal targets by 2015, and

its mid-term development plans focus on the country’s substantial infrastructure and service

needs to sustain the mining sector over the coming decade.

Despite rapid growth and its major mineral deposits, Mongolia still faces serious development

challenges. Its resource driven development is presenting a number of economic and

governance challenges as well as causing environmental degradation. Social and economic



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benefi ts associated with the mining boom have not been evenly distributed among the

population. This inequality is refl ected in low levels of access to water, sanitation, and

education and an estimated 35 per cent of the population living below the poverty line.

Australian assistance, although modest in size, grew by around 40 per cent in 2011–12. The

program focused on human resource development through Australia Awards, strengthening

transparency and environmental safeguards around mining, and improving access to basic

services for vulnerable groups.

Working closely with the Mongolian Government and a range of development partners,

Australia has been able to make a real difference to the lives of Mongolians in 2011–12.


• supporting the United Nations Children’s Fund to improve access to water and sanitation in

12 schools and 12 kindergartens in Khuvsgul Province.


• building capacity in the public and private sectors through Australia Awards, which now

provide 38 masters-level scholarships a year. Alumni include three cabinet ministers

• placing 40 volunteer Australian Youth Ambassadors for Development in Mongolia to pass

on skills in areas as diverse as disability support, social protection, natural resources

management, sustainable development, communications, business development, human

rights and youth development.


• supporting the United Nations Development Programme to develop a methodology to

conduct a cost-benefi t analysis of mine sites to support policy-making for the growing

Mongolian mining sector

• funding the translation and distribution of fi ve Australian best practice manuals in the areas

of sustainable mining.


• funding the Australian Red Cross to support communities in Mongolia to build on their

capacities and resilience through risk reduction and disaster preparedness initiatives.

East Asia regional programs

In 2011–12, AusAID’s East Asia regional programs totalled $47.1 million.

Development outcomes in the East Asia region remain uneven with widespread disparity

in incomes, education and access to basic services. The global fi nancial crisis and natural

disasters of 2011 lowered incomes and living standards and highlighted the vulnerability of the

poor in the region.

While increased regional economic integration has delivered growth and new income-generating

opportunities for many, it also raises some new, and often complex, development issues

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that stretch across borders. Some of these transboundary issues require regional program

responses which take advantage of the roles and capabilities of key regional organisations and

extend beyond (and complement) our bilateral programs.

For example, the increased opportunity to migrate for work has bought new opportunities for

people previously excluded from the gains of development. The growing number of traffi cked

persons and high instance of exploitative labour conditions in the region highlight the need for

specifi c regional responses to these and other potentially negative consequences of greater

integration and increased economic activity.

The Australian aid program works through and with key East Asia regional organisations to

develop and implement regional programs in East Asia. The program’s objectives in 2011–12

were to:

• improve the capacity of regional organisations to address agreed priority

development challenges

• promote and manage economic integration

• address priority transboundary issues.

The Association of Southeast Asian Nations (ASEAN) and the Asia-Pacifi c Economic

Cooperation (APEC) forum are strong voices in the region and key partners in our regional

work. In addressing human security challenges, we work with various United Nations agencies,

including the International Labour Organization, and our national government counterparts.

Encouraging sustainable economic development through economic programs

In 2011–12, AusAID provided $16.5 million to support regional economic integration.

Our economic integration activities are helping to narrow the development gap between

ASEAN member states by reducing economic barriers that exist in the region. Over the past

year, AusAID has helped to reform progress in the areas of services, customs, rules of origin

and investment regulations to promote trade.

Our programs focus on working with regional organisations to help them achieve their

economic integration goals. We are supporting ASEAN’s goal of creating an economic

community by 2015 and helping APEC to achieve the Bogor Goals of free and open trade and

investment by 2020.

During the year we continued to support the ASEAN–Australia Development Cooperation

Program Phase II to implement key reforms and build vital skills in human resources,

management, fi nance, law and project management, and to advance economic integration.

Australia is leading support for structural reform in the APEC region to help developing

economies become more productive and competitive. In 2011, all APEC economies submitted

structural reform plans and are now identifying the capacity building required to implement key

structural reform priorities.

Australia provided $3.5 million in 2011–12 to the APEC Public Sector Linkages Program to

tackle bottlenecks affecting supply chains, quarantine accreditation and cross-border funds

management, combat money laundering and terrorist fi nancing and improve supply chain risk

management and performance.

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• bringing together more than 1000 ASEAN–Australia–New Zealand Free Trade Agreement

offi cials to promote economic cooperation through eight national consultation workshops

in the region

• successfully completing 19 activities in the areas of services, intellectual property, customs,

rules of origin, investment, competition, sanitary and phytosanitary measures, outreach

and advocacy to support the ASEAN–Australia–New Zealand Free Trade Agreement

Economic Cooperation Support Program

• working with the ASEAN Secretariat to undertake 38 activities on corporate development,

services, investment, agriculture, monitoring and evaluation, logistics, narrowing the

development gap and consumer protection

• assisting ASEAN to implement its 2011–15 tourism strategic plan to help workers in the

sector move more freely around the region for employment.

Promoting effective governance to deliver better regional human security

As the East Asia region experiences rapid urbanisation and the resulting increased demands for

labour, new threats to human security have emerged. In 2011–12, AusAID provided more than

$7 million through East Asia regional programming to address these transboundary challenges

to human security, including human traffi cking, labour exploitation and the sexual exploitation

of children in tourism.

Australia has worked to combat human traffi cking in East Asia over the last eight years

primarily through two consecutive projects working in the criminal justice sector. The

most recent Asia Regional Traffi cking in Persons project has improved the prosecution and

convictions of human traffi cking cases. Between October 2011 and March 2012, investigators

and police who had been trained by the project were involved in identifying and rescuing at

least 53 victims of traffi cking across the region.

As migrant workers cross borders to take up jobs in informal or poorly regulated labour

markets, they are often at risk of exploitation. Through the Tripartite Action to Protect Migrant

Workers from Labour Exploitation (TRIANGLE) project, AusAID supports the International

Labour Organization to promote legal and safe migration in the Greater Mekong sub-region.

Over its lifespan (2010–15), TRIANGLE will protect an estimated 15 000 migrant workers from

exploitation by providing legal assistance and education on labour rights, and by improving

national labour standards.

Weak child protection networks across the region leave children vulnerable to exploitation and

abuse. Through Project Childhood, AusAID is working with World Vision, the United Nations

Offi ce on Drugs and Crime and INTERPOL to protect children from exploitation.

In partnership with the United States, Australia supports the MTV End Exploitation and

Traffi cking campaign to raise awareness and educate youth and other vulnerable populations

in Cambodia, Myanmar, the Philippines and Vietnam about the dangers of human traffi cking.

The campaign reaches out to youth through on-air community service announcements,

advertising and documentaries, online information and social media engagement, concerts,

youth forums and road shows.

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• conducting training on effective identifi cation, management, and prosecution of human

traffi cking cases for 733 police, judges and prosecutors (21 per cent women) across

six countries

• delivering training or counselling on safe migration and rights at work to more than 1826

migrants in Thailand, Cambodia, Laos, Vietnam, and Malaysia

• supporting 16 civil society organisations across four countries to deliver services to

migrant workers

• training 870 youth advocates in Thailand, Cambodia, Vietnam and the Philippines to deliver

anti-traffi cking messages in their own communities

• helping implement the ASEAN Declaration on the Promotion and Protection of the Rights of

Migrant Workers

• assessing national child protection legislation in four countries to strengthen compliance

with international conventions.

Saving lives through regional health programs

In 2011–12, AusAID provided more than $10.9 million to regional programs addressing

transboundary health threats. Australia has built a strong reputation in regional HIV/AIDS and

emerging infectious diseases prevention and control in the region. The increased movement

of people, animals and animal products resulting from rapid economic development also

increases the risk that infectious diseases will spread and that new pandemic diseases will

develop that pose a direct threat to human life. The HIV/AIDS epidemic continues to be a

concern, with about 358 000 people in Asia newly infected with HIV each year.23

Australia is one among very few donors working on HIV harm reduction for people who inject

drugs in Myanmar, Cambodia, China, Laos, and Vietnam. Harm reduction focuses on keeping

people who inject drugs alive, preventing serious damage to their lives, and reducing the risk

of spread of HIV to other people. Through the HIV/AIDS Asia Regional Program, Australia

has helped governments to develop policy that supports public health approaches to HIV

harm reduction. The program continues to focus on building local capacities by supporting

governments to deliver better HIV harm reduction services to people most at risk of being

infected with HIV through injecting drug use.

Under the Stop Transboundary Animal Diseases and Zoonoses Initiative implemented by the

World Organisation for Animal Health, the Australian aid program pioneered assistance to

South-East Asian countries to improve national veterinary services policies and disease control

activities based on international animal health standards.

23 UNAIDS report on the global AIDS epidemic 2010, Joint United Nations Programme on HIV/AIDS.

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• providing services and information to more than 34 500 people who inject drugs in the

Greater Mekong sub-region to prevent the spread of HIV/AIDS

• distributing more than 2.4 million condoms, 1.3 million sterile water vials and 6.3 million

needles and syringes for HIV harm reduction, including in targeted sites along the Greater

Mekong sub-region borders

• conducting 482 training events on effective governance of HIV education and treatment

activities for more than 7000 police and other law and order offi cials across fi ve countries

• conducting national veterinary sector evaluations across six countries in South-East Asia,

with the Philippines and Vietnam developing their national veterinary services plans in line

with global standards

• building effi ciencies to our ongoing investments by establishing a partnership with USAID

to prevent emerging infectious diseases in communities across the Mekong.

Khmer HIV/AIDS NGO Alliance peer educator counselling about the dangers of HIV/AIDS harm through injecting drug

use. Khana is one of the largest local non-government organisations in Cambodia and is supported through the AusAID

HIV/AIDS Asia Regional Program

Photo: AusAID HIV/AIDS Asia Regional Program

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2

Program 1.3 ODA—Africa, South and Central Asia, Middle East and other


Objective: to assist developing countries in Africa, South and Central Asia and the Middle East to reduce poverty and achieve sustainable development





activity outputs

Signifi cant

development results

and activity outputs

were achieved

Signifi cant




individual programs

Signifi cant




on pages 105 to 136

At least 75 per cent of

activities receive a quality

rating of satisfactory

or higher

83 per cent of the

aggregated quality

ratings for Africa, South

and Central Asia, Middle

East and other programs

were satisfactory

or higher

90 per cent of the

aggregated quality

ratings for Africa, South

and Central Asia, Middle

East and other programs

were satisfactory

or higher

93 per cent of the

aggregated quality ratings

for Africa, South and

Central Asia, Middle East

and other programs were



of program strategy

objectives fully or

partially achieved

100 per cent of

program strategy


partially achieved, 36 per

cent were fully achieved

and 64 per cent were

partially achieved

100 per cent of

program strategy


partially achieved, 42 per

cent were fully achieved

and 58 per cent were

partially achieved

98 per cent of

program strategy


partially achieved. Of this,

66.7 per cent of program


fully achieved and 30.8

per cent of program


partially achieved*




programs**

58 per cent of Africa,

South and Central Asia,

Middle East and other













covered by strategies***

90 per cent of activities

are compliant with the

quality at implementation

process**





compliant with the


process





compliant with the


process

* The objective relating to the rights of women and marginalised groups was not applicable during the reporting period as it was defi ned in January

2012, and its programming under development at the end of 2011–12.

** This indicator was introduced in 2010–11 and was not reported against in 2009–10.

*** 64 per cent, or nine out of 14 programs. The India program is being phased out in line with government policy. The Bhutan, Maldives, South and

West Asia regional, Middle East and North Africa, and Latin America program strategies are yet to be fi nalised.

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BHUTA


Sub-Saharan Africa

In 2011–12, AusAID’s country and regional program aid to Sub-Saharan Africa totalled an

estimated $204.9 million. Other assistance through AusAID’s global programs and through

other government agencies brought Australia’s total offi cial development assistance (ODA)

to an estimated $389 million, including more than $172 million in humanitarian assistance.

In addition to bilateral aid fl ows, a further estimated $203.6 million was provided to Africa

through Australia’s contribution to multilateral organisations.

While African countries have made progress towards the Millennium Development Goals, many

challenges remain:

• 33 of the world’s 48 least developed countries are in Sub-Saharan Africa

• 47 per cent of the population lives in absolute poverty on less than US$1.25 a day

• Sub-Saharan Africa has the highest birth rate among adolescents (122 births per 1000

women) with little change since 1990.

Africa is home to some of the most intractable and complex humanitarian situations—both

chronic and sudden—in the world. In 2011, the Horn of Africa experienced one of the most

severe food crises in recent memory. By August 2011, an estimated 13 million people were in

need of urgent humanitarian assistance, with fi ve regions in Somalia declared famine zones.

Later, during the fi rst half of 2012, the Sahel region of West Africa saw an escalating food

and nutrition crisis, which by May 2012 had placed more than 18 million people across eight

countries at risk of starving, with more than one million children suffering malnutrition. AusAID

contributed $112.2 million24 to the Horn of Africa crisis and $30 million to the Sahel region, and

will continue to be responsive to humanitarian needs in Africa.

24 This does not include $30 million in longer-term food security activities in the Horn of Africa.

Over $100m

for region*

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Australia’s aid to Africa supports efforts to achieve the Millennium Development Goals in

sectors where Australia has experience and expertise and is best able to make a difference.

Our assistance to Sub-Saharan Africa is focused on food and agriculture, water and sanitation,

maternal and child health, and helping build Africa’s human resource capacity. We are

supporting efforts by African governments to improve governance and transparency in the

mining sector. In 2011–12, we provided assistance to all 49 Sub-Saharan African countries.

Figure 11: Estimated total Australian ODA to Sub-Saharan Africa by country 2011–12

Sub-Saharan regional 17%

Kenya 9%

Ethiopia 7%

Other Sub-Saharan countries 15%

Somalia 16%

Zimbabwe 13%South Sudan 7%

Mozambique 4%

Niger 3%

Ghana 2%

Malawi 2%

Uganda 2%

Tanzania 2%

To maximise our impact, we are careful to align our development efforts with African priorities. We

also work in partnership with other donors and multilateral institutions. A total of 75 per cent of

the program is delivered through partners with experience and an active presence in Africa.


been able to make a real difference to the lives of Africans in 2011–12.


• providing 849 000 people (including more than 427 000 women) with access to basic

sanitation and more than one million people (including 526 000 women) with access to

safe water

• facilitating 7000 safe deliveries and antenatal care for 10 000 women and mentoring

150 students at health training institutes through a contribution to the United Nations

Population Fund in South Sudan

• working with Tanzania and USAID to provide a year’s worth of contraception to around

624 660 women.


• providing 465 Africans from 36 countries with Australia Awards, including 238 masters and

PhD students.


• increasing access to seeds and fertiliser for 44 000 people in Zimbabwe through private

sector partnerships

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• training 119 offi cials from 19 African countries on mining governance, safety, infrastructure

planning, environmental impacts, and mining and community relations

• training 120 senior African personnel on dry-land farming, post-harvest management,

livestock and water management

• enabling 13 multi-year research projects to commence in 15 West, Central and East Africa

countries. The projects focus on improving agricultural farming systems, human nutrition,

and animal health and are being undertaken in partnership with AusAID, CSIRO and more

than 30 research institutes and farming organisations.

Humanitarian assistance

In 2011–12, Australia provided $171 million in humanitarian assistance to Sub-Saharan Africa,

the majority of which was used to respond to crises in the Horn of Africa, the Sahel region of

West Africa, South Sudan and Sudan.

Australia was one of the top fi ve country donors to the Horn of Africa crisis in 2011, providing

almost $112.2 million in humanitarian assistance. Our support helped reduce the number of

people needing life-saving assistance from 13 million in August 2011 to 10 million in January

2012. Australian support helped humanitarian partners:

• provide food assistance to 7.9 million people in the region (World Food Programme)

• restore crop production for 4500 households or 27 000 people in Somalia (United Nations

Food and Agriculture Organization)

• register and provide assistance to 686 000 refugees, 66 per cent of who were children, in

camps in Kenya and Ethiopia (United Nations High Commissioner for Refugees)

• treat 370 000 malnourished children, immunise one million children against measles and

help 420 000 children (42 per cent girls) to continue primary education in Somalia (United

Nations Children’s Fund)

• provide more than one million people with food rations and 600 000 people with the means

to produce their own food, by providing seeds, fertiliser, tools and other agricultural inputs

(International Committee of the Red Cross).

Food security

Despite recent economic growth in many parts of Africa, more than one in four people are

undernourished and severely affected by poverty and hunger. Food security remains one of the

region’s greatest challenges. In 2011–12, AusAID invested in agricultural research to help poor

farmers and in social safety nets to provide access to food in times of hardship. Agricultural

development and improved food security are fundamental to Africa’s ability to eradicate

extreme poverty and hunger, the fi rst Millennium Development Goal.

AusAID continued to work in partnership with CSIRO and the Australian Centre for International

Agricultural Research, leveraging Australia’s world class expertise in agricultural research

and dry-land farming and to help meet Africa’s food security challenges. Under a $28 million

four year partnership, CSIRO is helping to implement 13 multi-year research projects across

15 African countries to improve agricultural farming systems, human nutrition, and animal

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health. For example, during the year this work developed control options to help reduce the

contamination of maize by the deadly fungal toxin afl atoxin, directly benefi ting the 11 million

smallholder farmers who grow this staple crop in Tanzania and Kenya. Through the CSIRO

partnership, more effective vaccines are also being developed for two major livestock diseases,

which affect the livelihoods of Africa’s poorest farmers.

In 2011–12, AusAID provided $8 million to support the United Kingdom-led Hunger Safety

Net Programme in Kenya to deliver cash transfers to 900 000 people by 2015 who suffer

from chronic food shortages in the districts of Mandera, Wajir, Marsabit and Turkana in

Northern Kenya.

Australia also funded the Africa Enterprise Challenge Fund Research in Business to stimulate

private sector innovation and commercialisation of agricultural technologies to benefi t poor

farmers across all of Africa.

Mining for development

The launch of the $127 million, four year Mining for Development Initiative by Prime Minister

Julia Gillard MP at the Commonwealth Heads of Government Meeting in Perth in October 2011

provided an important boost to AusAID’s support for mining-related activities in Africa.

In 2011–12, AusAID spent approximately $17.5 million on mining-related assistance to 46 African

countries. Our support has positioned Australia among the top two or three bilateral donors to the

continent’s resources sector with a growing reputation for building the capacity of governments to

manage their resource endowments for the benefi t of current and future populations.

Our country-specifi c assistance has concentrated on building the skills and knowledge of

African offi cials. During the year, 130 African offi cials undertook long and short course training

programs on mining governance which were run in Australia and Africa. Another 203 African

offi cials and parliamentarians participated in study tours to learn how Australia and other

African countries’ regulate and manage their resources.

Australian-funded technical assistance has improved mining governance in a number of African

countries. This has included a new Natural Resource Tax Unit established within the Liberian Ministry

of Finance, and in the provincial government of Mozambique’s resource-rich Tete Province.

We have also provided signifi cant contributions to well-performing regional and multilateral

organisations operating in Africa, including the Extractive Industries Transparency Initiative, the

World Bank (Extractive Industries Technical Advisory Facility), the International Monetary Fund

(African Regional Technical Assistance Centre and Trust Fund for Managing Natural Resource

Wealth) and the African Union (African Minerals Development Centre).

The experience gained from the early phase of this work in Africa has helped AusAID identify

the most productive areas for future assistance. We will increasingly focus on those countries

where a sizeable resource base combined with strong partner government commitment

demonstrate that Australian support is likely to make a meaningful difference to sustainable

development and poverty reduction. Australia’s new International Mining for Development

Centre will play an increasing role in AusAID’s mining work in Africa.

109

AusAID–WaterAid partnership helps local community access safe water

For 14 years, people from Chilemba village

in central Malawi have had to walk many

kilometres in search of water. The deterioration

of the Mwansambo rural piped water system

meant their local water point had dried.

“We would spend many hours fetching water

because of long queues as there were many

other villages experiencing similar problems,”

says 31-year-old Agnes Kanyamula, a mother

of four. “So we could not do other household

chores and getting enough water for daily

needs was even a challenge.

“The women from villages where we would

draw our water from ridiculed us for failing to

maintain our water sources. We felt as though

our dignity had been taken.”

Through the Australia Africa Community

Engagement Scheme, AusAID funds WaterAid

to rehabilitate and expand the piped water

system. WaterAid is doing this by training

local people to repair and maintain their water

systems, not only improving access to safe

water but also helping to restore the dignity of

Chilemba residents.

Between September and December 2011,

29 taps were repaired in Chilemba and

surrounding villages. WaterAid and its

partners have worked with the community to

establish a maintenance fund and water point

managerial committees.

Loveness Sande says that the repair of the

piped water system has also improved overall

wellbeing in the homes. “We now spend more

time with our husbands and children and this

has brought so much joy to our families.”

Above: Agnes Kanyamula collecting water from a newly installed tap in Chilemba, Malawi

Photo: Courtesy of WaterAid

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BHUTAN


South and Central Asia

South and Central Asia has had rapid economic growth averaging six per cent a year over

the last two decades. This has resulted in fundamental changes in the region, creating more

opportunities for employment, trade and investment and reducing the number of absolute

poor. This sustained growth presents the region’s best hope for achieving the Millennium

Development Goals as poverty remains a central challenge for the region, home to almost

half the world’s absolute poor, 500 million people, who live on less than US$1.25 a day. With

this growth however, disparities in terms of economic benefi ts and access to social services

within and between countries are widening. Large numbers of people are being left behind,

particularly vulnerable groups who have suffered historic disadvantage, including women,

children, ethnic minorities and people with disability. Within these groups health, education,

gender equality and nutrition indicators are dire.

Political processes, state legitimacy and the rule of law remain fragile in a number of countries

in South and Central Asia. Confl ict, insurgencies and civil strife are chronic challenges that hit

the poor and vulnerable hardest. South and Central Asia is also one of the least integrated

regions in the world, as measured by low intra-regional trade levels. More regional cooperation

is needed to accelerate economic growth, reduce poverty and economic disparity and raise

productivity. Integration across the region can link lagging areas with those of prosperity

and enable countries to address transboundary challenges such as climate change and river

basins management.

Under $5m*

Over $5m*

Over $20m*

Over $100m*

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South and Central Asia is emerging as a priority region for Australian development assistance,

with Afghanistan the fourth largest Australian aid recipient in 2011–12. Total offi cial

development assistance to the region is projected to increase to $725 million in 2015–16. Over

the last fi ve years, our aid to the region has increased by more than 50 per cent. Australian

aid in 2011–12 targeted poverty reduction and inclusive growth by helping countries improve

access to basic education and health services, strengthen economic management and

governance, provide humanitarian assistance, and respond effectively to climate change.

Australia has also supported regional integration and cooperation, building more responsive

institutions and helping countries to meet the infrastructure gaps for transport, energy and

water supply and sanitation.

Figure 12: Estimated total Australian ODA to South and Central Asia by country 2011–12

Afghanistan 38%

Pakistan 18%

Bangladesh 18%

Sri Lanka 10%

Nepal 6%

India 4%

South and Central regional 2%

Bhutan 2%

Maldives 1%

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Afghanistan

Key statistics


1 2 3 54 6 7

✘ ✔ ✘ ✘ ✔ ✘ ✘





3.0% (2008) 1.7% (2009) 1.5% (2010)

In 2011–12, AusAID country program aid to Afghanistan totalled $163 million. Other assistance



Australia is one of the largest bilateral aid donors to Afghanistan.

Afghanistan remains one of the poorest countries in the world. Thirty years of confl ict and

instability have crippled the country’s human, physical and institutional infrastructure and

impeded development. Life expectancy is 48 years and maternal mortality is one of the highest

worldwide. Insecurity remains a primary challenge to development progress.

The Australian aid program in Afghanistan is helping the government to deliver basic services

and provide economic opportunities to its people. The program includes a special focus on

Uruzgan Province, one of the poorest regions in Afghanistan.

In 2011–12, our support focused on four key areas:

• improving basic service delivery in health and education

• supporting rural development and livelihoods

• improving governance and the effectiveness of the Afghan Government

• supporting vulnerable populations.

Despite many challenges, Australian aid is making a difference. Australia has helped Afghanistan

stay on track to achieve, or partially achieve, Millennium Development Goal 2—universal

education, and Millennium Development Goal 5—a 50 per cent reduction in maternal mortality

by 2020.

Working closely with the Afghan Government and a range of development partners, Australia

has been able to make a real difference to the lives of Afghanis in 2011–12.



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• achieving a longer life expectancy for Afghan women and increasing the number of babies

surviving past the age of fi ve. In 2010, one in 10 children died before the age of fi ve,

compared to one in fi ve in 2006

• enabling around 80 per cent of pregnant women in the province to receive at least one

antenatal visit

• increasing access to basic health care services—around 85 per cent of the population lives

in districts which now have providers to deliver a basic package of health services.


• increasing school enrolments from around one million in 2001 to almost eight million today,

of which 39 per cent are girls

• building 205 schools, including 29 girls schools, in Uruzgan Province in 2011, up from 34

in 2006.


• rehabilitating more than 10 000 kilometres of rural roads, which has provided thousands of

local jobs, and upgrading 200 kilometres of roads and bridges in Uruzgan Province.

Improving the lives of Afghan women and girls

Afghanistan previously had the worst maternal mortality rate in the world and among the worst

child mortality rates. Save the Children’s annual State of the world’s mothers report shows that

progress in Afghanistan is largely the result of sustained donor investments from countries like

Australia that have led to marked improvements in maternal, newborn and child health.

A longer life expectancy for women in Afghanistan and more babies surviving past the age of

fi ve are some of the benefi ts achieved through Australian contributions to national programs to

improve basic health services and our work in Uruzgan Province. This work builds local service

capacity through activities such as Save the Children’s Australian-funded Children of Uruzgan

project. In Uruzgan, 80 per cent of pregnant women now receive at least one antenatal visit.

Mothers now have a higher chance of benefi ting from skilled birth attendants, minimising risks

to them and their newborns, and their children are more likely to complete primary education.26

AusAID Development Adviser Jeremy Guthrie (left), and Department of Foreign Affairs and Trade Political Adviser Kali

Graham (right) conduct a shura with local Afghan tribal leaders in West Dorafshan, Uruzgan Province

Photo: Cass Morgan, AusAID

26 State of the world’s mothers 2012 report, Save the Children Australia.

114Above: Basnura, 23, is looking forward to training more midwives in Uruzgan Province, Afghanistan

Photo: Courtesy of Save the Children

Creating a future for mothers and newborns in Uruzgan

“I can save the lives of babies and mothers,”

said Basnura, 23, a midwife in Uruzgan

Province, Afghanistan. “We had major

problems in the village with women dying

during childbirth and little babies dying too.

I saw women bleeding to death because

nobody knew what would stop the bleeding

after they gave birth. I saw little babies dying

because people didn’t know what to feed them

when there is no mother’s milk.”

Uruzgan Province is one of the poorest and

most insecure in Afghanistan. Every year

around 300 mothers and more than 3000

children under the age of fi ve die. Nine out

of 10 women give birth at home without any

skilled support. Eight out of 10 children do not

go to school.

“I came to Uruzgan to work in the midwifery

school one month ago,” Basnura said.

“I am looking forward to helping more women

become midwives. They will face many

problems. I will be there to support them.”

The Save the Children midwifery school in

the provincial capital of Uruzgan is part of the

four year AusAID-funded Children of Uruzgan

project, which is being delivered by Save the

Children Australia to improve the health and

education of 300 000 people, particularly

women and girls.

115Above: An Afghan man stands in front of a World Food Programme food distribution site with a portion of his family’s ration

Photo: Courtesy of the World Food Programme

Fighting hunger in Northern Afghanistan

In 2011–12, Australia partnered with the

World Food Programme to provide

US$2.2 million for emergency drought relief

for poor families in rural Afghanistan. The

previous year, Afghanistan experienced one of

its worst droughts in 10 years. The impact was

most acutely felt in Jawzjan Province, where

subsistence agriculture remains the most

important source of food.

Gorban is a farmer who lives in the village of

Shahrarak Bazar in Jawzjan Province with his

wife and fi ve children. He remembers that last

year’s harvest lasted only two months. “I tried

to fi nd work as a labourer but because so many

others were in a similar position, I rarely found

work which paid. I ended up borrowing money

from a rich neighbour to feed my family.”

For farmers like Gorban, a three month ration

of wheat provided by World Food Programme

meant his family could stave off hunger until

the next harvest in June. The impact of food

assistance is immediate, “tonight my wife will

bake good tandoor bread,” said Gorban.

Gorban and his family are among more

than one million people in 10 provinces

across Afghanistan who were supported by

emergency food assistance from December

2011 to April 2012. To ensure assistance

reached the most vulnerable, the program

worked through local community development

councils made up of leaders representing their

community’s needs.

AusAID’s support of the World Food

Programme aligns with Australia’s aid

policy commitment to make greater use of

multilateral partners with proven track records.

In 2012, the Australian Multilateral Assessment

ranked the program as one of the most

effective recipients of Australian aid funding.

AusAID’s support for food relief through the

World Food Programme is pooled with other

donors including Japan, United Kingdom and

Canada to reach more people in need.

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Pakistan

Key statistics


1 2 3 54 6 7

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2.0% (2008) 1.4% (2009) 3.1% (2010)

In 2011–12, AusAID’s country program aid to Pakistan totalled $78.9 million. Other



$95.3 million. Australia is a medium sized donor to Pakistan and our assistance is helping

improve the delivery of the health, education and rural development sectors in some of

Pakistan’s poorest regions.

Pakistan’s development challenges are considerable and were exacerbated by the 2008

global fi nancial crisis and severe fl ooding in 2010 and 2011. Progress towards achieving the

Millennium Development Goals remains slow, particularly the goals on extreme hunger and

poverty, primary education, and maternal and child health. Poverty levels remain high in

Pakistan and the country’s stability is important for regional security.

Australia works with Pakistan to achieve a stable, secure, democratic country through

broad-based social and economic development and poverty reduction in line with the

Millennium Development Goals. The Australia–Pakistan Partnership for Development, signed

in October 2011, guides Australia’s aid program and sets out the responsibilities of both

countries. Australia and Pakistan have agreed to direct our efforts to the provinces and sectors

most in need. As a result of this agreement, the aid program focuses on three primary sectors:

• saving lives (health)

• promoting opportunities for all (education)

• sustainable economic development (agriculture and rural development).

Australia also supports governance and provides humanitarian assistance when required.

There are a number of challenges involved in designing, delivering and monitoring Australia’s

aid program in Pakistan. For example, following changes to Pakistan’s constitution in 2008,

responsibility for the delivery of key services, like health and education, passed from the



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federal to the provincial level of government in mid-2011, and the implications for the delivery

of these programs are still evolving. The precarious security situation is also a challenge and

limits the ability of Australian Government offi cials to directly monitor aid programs. AusAID

continues to adjust its programs, as well as our monitoring and evaluation, and security

measures to respond appropriately to the security and fi duciary risk environment.

Working closely with the Pakistani Government and a range of development partners, Australia

has been able to make a real difference to the lives of Pakistanis in 2011–12.


• helping train 8966 community midwives in rural areas, of which 2969 are now working. The

deployment of these midwives has contributed to an increase in skilled birth attendance

in rural areas by 30.7 per cent between 2006–07 and 2010–11, compared to a 4.6 per cent

increase in urban areas over the same period

• supporting the national nutrition survey, released in September 2011, which highlighted the

scale of malnutrition in Pakistan and the areas of greatest need, and provides a valuable

tool for future investment in maternal and child nutrition

• helping prevent avoidable blindness by funding refractive error and other eye condition

screening for more than 39 000 children in Sindh, Khyber Pakhtunkhwa and Balochistan,

and funding more than 20 000 cataract surgeries.


• assisting Pakistani communities to address immediate education needs by training 500

teachers in various disciplines including disability-inclusive education in Gilgit Baltistan

• supporting a further 50 Pakistani students to study in Australia under AusAID’s

Australia Awards. This includes eight students undertaking postgraduate studies in the

agriculture sector.


• providing agricultural assistance through the Australian Centre for International Agricultural

Research that improved farming practices and increased farmers’ incomes in mango, citrus

and dairy production in Punjab and Sindh

• supporting more than 300 community infrastructure activities in Khyber Pakhtunkhwa to

repair roads, bridges and water and sanitation systems damaged in the 2010 fl oods

• providing livelihood support to communities affected by fl oods and law enforcement

activities, benefi ting more than 500 000 people.


• helping establish 444 social services committees in Khyber Pakhtunkhwa Province. The

committees ensure the community’s involvement in managing education, health and water

services and have resulted in a 50 per cent increase in student enrolment and a 148 per

cent increase in patients consulting health facilities

• supporting the Australia–Pakistan Law and Access to Justice Dialogue between prominent

Australian and Pakistani legal practitioners and judges.

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• providing health, water and sanitation assistance to more than 167 000 people, and shelter

for up to 12 000 people, following monsoonal fl oods in Sindh

• helping distribute 70 metric tonnes of sunfl ower seeds to 35 000 poor and vulnerable

farming households so they could restore their livelihoods following the 2011 fl oods.

A young Pakistani girl has her eyes tested at an AusAID-funded Fred Hollows Foundation clinic

Photo: Courtesy of Sam Phelps, The Fred Hollows Foundation

Australia–Pakistan Partnership for Development

Australia’s former Foreign Minister and Pakistan’s Minister for Foreign Affairs strengthened

cooperation between the two countries by signing the Australia–Pakistan Partnership for

Development on 28 October 2011.

The partnership sets out the principles, mutual commitments and priorities for development

cooperation between Australia and Pakistan. Under the partnership, Australia will support

Pakistan in reducing poverty and achieving the Millennium Development Goals. In return

Pakistan will allocate resources for development to improve donor coordination and pursue

sustainable and broad-based economic growth.

The partnership lays the foundation for ongoing engagement between Australia and Pakistan

on aid and development. It establishes an annual dialogue between senior offi cials from both

countries to review progress against the jointly agreed commitments.

The fi rst annual partnership dialogue was held in Islamabad on 28 March 2012. At the meeting

the focus of Australia’s ongoing aid program was agreed: education, health, agriculture and

rural development with an emphasis on two provinces, Balochistan and Khyber Pakhtunkhwa.

Discussions also centred on Pakistan’s commitment to development and reform.

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Bangladesh

Key statistics


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1.6% (2008) 2.8% (2009) 2.4% (2010)

In 2011–12, AusAID’s country program aid to Bangladesh totalled $69.6 million. Other



$94.9 million. Australia is a medium sized aid donor to Bangladesh and our work in education,

health and employment is making an important contribution to poverty reduction.

Despite the global economic crisis, Bangladesh has recorded solid economic growth of around

six per cent over the last fi ve years. Bangladesh is on track to achieve several of its Millennium

Development Goals including those related to poverty, primary school enrolment, maternal and

child mortality and rates of childhood immunisation.

While these gains are impressive, they are being made from a very low development base.

Disparities in service delivery between regions mean people in remote and marginalised

communities often do not access basic health and education programs. One third of children

enrolled do not complete school, around 21 000 mothers die every year from childbirth-related

causes and more than 40 per cent of children under fi ve years are undernourished. The country

is also particularly vulnerable to the impacts of seasonal weather patterns and climate change.

The Bangladesh Government released a new fi ve year plan in 2011 to respond to these

and other social and economic challenges. Consistent with this new plan, Australia’s aid to

Bangladesh focuses on:

• saving lives through expanded support to health programs targeting women and children’s

health and nutrition, and access to safe water and sanitation

• supporting opportunities for all by increasing support for good quality universal primary

and pre-primary education in rural and urban areas. This is reaching ethnic minorities and

children with disability



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• helping to create sustainable economic development by increasing assistance for extreme

poverty reduction, particularly targeting female headed households

• helping Bangladesh to respond to the impacts of climate change and natural disasters.

Australia continued increasing its aid to Bangladesh during the year and delivered assistance

through strong partnerships with Bangladesh ministries, effective local non-government

organisations, United Nations agencies and multilateral organisations. These partnerships

focus on achieving effective and sustainable development results for the extreme poor.

Working closely with the Bangladesh Government and a range of development partners,

Australia has been able to make a real difference to the lives of Bangladeshis in 2011–12.


• supporting 230 000 women in selected districts to receive medical care for

pregnancy-related complications, a 33 per cent increase since 2008

• helping provide quality medical care to 17 000 newborn children with infectious diseases,

and more than 410 000 with diarrhoea between 2008 and 2011

• helping more than 440 000 people receive improved access to safe drinking water or basic

sanitation between 2010 and 2011.


• assisting more than 800 000 children to receive an education, many of who had previously

dropped out of school or had never been enrolled

• providing 65 new Australia Awards to Bangladeshi students to study tertiary degrees

in Australia.


• providing 96 000 extremely poor families with cash grants, productive assets and

enterprise training to improve their chance of earning a living.


• training and deploying 6500 volunteers to help communities prepare for the destructive

impacts of cyclones.

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Sri Lanka

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2.2% (2008) 4.4% (2009) 5.8% (2010)

In 2011–12, AusAID’s country program aid to Sri Lanka totalled $37.7 million. Other assistance

through AusAID’s regional and global programs and through other government agencies,

including the Department of Immigration and Citizenship and the Australian Customs and

Border Protection Service, brought Australia’s total offi cial development assistance (ODA) to

an estimated $54.4 million. Australia is a medium sized aid donor to Sri Lanka and our work is

making an important contribution to more inclusive growth and improved service delivery.

Despite Sri Lanka’s middle income status and good prospects to achieve all the Millennium

Development Goals, it remains a post-confl ict nation with inequitable economic and social

development. Positive national indicators mask a grim reality for many. Deep poverty persists in

lagging regions, especially those recovering from the 26 year civil confl ict which ended in 2009.

About 30 per cent of the population survives on less than US$2 a day. With about 45 per cent

of Sri Lanka’s economic activity concentrated in Colombo and the Western Province, ensuring

more broad economic growth is a priority. Education outcomes are varied, with many children

from poor communities lacking access to quality education. Nutrition is also a serious problem

with 20 per cent of children under fi ve showing stunted growth due to malnutrition.

As the humanitarian situation in Sri Lanka has improved, Australia has shifted focus from

support in confl ict-affected areas to long-term development assistance. A new country strategy

for Australian aid to Sri Lanka (2012–16) was approved in April. The two primary objectives of

the Sri Lanka program are:

• rebuilding post-confl ict communities in the north and east and helping lagging regions

throughout the nation

• supporting Sri Lanka’s policies and programs to promote inclusive growth and improve

service delivery at a national and sub-national level.



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Australian aid to Sri Lanka focuses on the following major themes:

• sustainable broad-based economic development with a focus on infrastructure, private

sector development and livelihoods

• health, including water supply, hygiene and sanitation

• education, including primary, secondary and vocational.

Effective governance is a cross cutting theme for all aid in Sri Lanka. To ensure effectiveness and

value for money, Australian aid to Sri Lanka continues to be delivered primarily through trusted

partners such as the World Bank, and in support of the Sri Lankan Government’s development

plans. Our delivery partners have comprehensive risk management systems to monitor funding.

AusAID offi cers in Sri Lanka also undertake regular fi eld visits to monitor our aid.

Working closely with the Sri Lankan Government and a range of development partners,

Australia has been able to make a real difference to the lives of Sri Lankans in 2011–12.


• providing 150 schools with national standard water and sanitation facilities, and

hygiene education.


• increasing knowledge and skills of 27 000 low performing children in confl ict-affected areas

through an accelerated learning program

• increasing the knowledge of education administrators, principals, teachers and communities

in selected regions so they adopt a more participatory and inclusive approach to education.

This child-friendly schools approach encourages social cohesion and has been accepted by

the Ministry of Education to be mainstreamed into the national education system.


• improving local government performance, through better revenue collection and

establishing public redress systems to inform local authorities about public satisfaction

with service delivery

• infl uencing policies related to housing reconstruction programs in confl ict-affected areas

through an owner-driven model, which has been acknowledged as best practice by the Sri

Lankan Government and other agencies.


• repairing or rebuilding around 4000 permanent houses in Northern Sri Lanka

• clearing an additional 4.6 square kilometres of land of mines in Northern Sri Lanka and

continuing to provide mine risk education.

123

Uniting communities in Sri Lanka

With assistance from Australia, school children

from different ethnic groups in Sri Lanka are

building friendships through sports, arts and

cultural activities, often for the fi rst time.

Funded by AusAID through the Australian

Community Rehabilitation Program and

implemented by the United Nations

Development Programme, the Communities for

Progress initiative works in a number of schools

throughout the country delivering exercises to

promote social interaction.

Communities for Progress builds links between

Sri Lankans recovering from the 26 year civil

confl ict, which ended in 2009. During the

confl ict, people from different ethnic groups

had little or no opportunity to meet each other.

The program helps school children, parents

and teachers from Sinhalese, Tamil and Muslim

communities come together to build mutual

understanding and respect.

“Sport is one of the tools which can bring

people from many different ethnic groups

together,” says Wuria Karadaghy from the

United Nations Development Programme.

“Many people from different parts of Sri Lanka

come together and laugh with each other. They

pass a strong message to their colleagues at the

school level and community level—the message

of peace.”

“I fi rst met my friend Sashikaran at the

Mannanmpitiya Tamil School,” says Tharindu,

a Sinhalese student from Southern Sri Lanka.

“When I participated in the program, I made lots

of friends there.” Sashikaran mirrors his friend

Tharindu’s sentiments. “We really wanted to talk

to our Sinhala friends and fi nally we were able

to,” he says.

Parents and teachers are enthusiastic about

the potential for the program. “We believed

that Tamil people were our enemies … but the

moment we walked into the school, we were

struck by a great sadness,” says Tharindu’s

mother Margaret Rose. “We asked ourselves,

are these the children we’d sidelined?”

Building on the potential of Communities for

Progress, the United Nations Development

Programme is advocating for the inclusion of the

program in the national education curriculum.

Above: Children from North-Eastern Sri Lanka participating in team building exercises

Photo: Courtesy of the United Nations Development Programme

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Nepal

Key statistics


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0.7% (2008) 1.1% (2009) 2.5% (2010)

In 2011–12, AusAID’s country program aid to Nepal totalled $15.7 million. Other assistance



Australia is a smaller sized aid donor to Nepal but our work in education and health is helping

to improve access to basic services for poor people.

Nepal is a least developed, landlocked, post-confl ict country. It is the poorest country in South

Asia and among the poorest in the world with around a half of its 30 million people living in

poverty. As an emerging democracy that is drafting a new constitution and moving towards

federalism, it has struggled with stability and governance. The introduction of democracy in

the early 1990s ushered in some human and social development gains, but there has been

only modest economic growth and investment over the last 30 years. In 2011, gross domestic

product growth was an estimated 3.75 per cent.

Traditional, discriminatory social structures were major drivers of the 10 years of confl ict

and contributors to extreme poverty in Nepal. The comprehensive peace agreement and

the principles for a new constitution identify the need to end patterns of exclusion built

on a complex interconnection of caste, ethnicity, and geographic isolation. Key issues of

constitutional reform and political process were still unresolved at the peace agreement’s

deadline of May 2012, and the country will now hold elections before fi nalising its constitution.

Despite its challenges, Nepal is on target to meet many of the Millennium Development Goals.

This refl ects a strong, concerted effort by public administrators and development partners to

deliver health and education services nationally. However, these gains are still vulnerable to

external shocks and ongoing political uncertainty.



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Key priorities for the Nepal program are:

• improving access to health services, especially for women and children

• improving access to quality primary education, especially for girls and

disadvantaged children

• improving access to water and sanitation services and hygiene education

• supporting enterprise development to contribute to peace building through

employment creation.

AusAID works through formal long-term agreements with government, other development

partners and non-government organisations to help Nepal implement its declared policy of

providing better basic services.

Working closely with the Nepalese Government and a range of development partners, Australia

has been able to make a real difference to the lives of the Nepalese in 2011–12.


• contributing to a reduction in under fi ve mortality to 54 deaths per 1000 live births

• providing safe drinking water and basic sanitation facilities to 31 400 individuals from poor

and marginalised communities.


• contributing to improved access to primary education by supporting 50 000 more children

to attend school

• awarding 24 Australia Awards. Ten of these were to women and seven were to recipients

from traditionally marginalised groups. Scholars will start their post graduate studies in

Australia in 2012.


• helping increase the net income of 1030 individuals from extremely poor and

marginalised groups.

Other South Asian nations

In 2011–12, AusAID’s country program aid to India, the Maldives and Bhutan totalled

$11.2 million. Other assistance through AusAID’s regional and global programs and through

other government agencies brought Australia’s total offi cial development assistance (ODA) to

an estimated $41 million. Australia is a medium sized aid donor to the Maldives and Bhutan

and targets human resource development, with a focus on access to tertiary education,

primarily through Australia Awards.

Australia is a smaller sized aid donor to India and is providing technical support for climate

change, water and energy which have been identifi ed as priorities in the Australia–India

Strategic Partnership, agreed between prime ministers in 2009. Our assistance has also helped

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India enhance the delivery of basic services, particularly water, sanitation and health. During

the year, Australia began phasing out its bilateral aid program to India as outlined in the new

Australian aid policy, An effective aid program for Australia. Australia will continue to provide

ODA to India through global and regional programs.

The Maldives has attained South Asia’s highest Human Development Index global rating of

109 out of 187 countries and is rated as an upper middle income country by the World Bank. In

2011 its development progress was undermined due to global economic impacts and domestic

political tensions. Bhutan has graduated to middle income country status with strengthened

democratic processes and enhanced transparency and accountability.


been able to make a real difference to the lives of people in South Asia in 2011–12.


• increasing the number of HIV/AIDS counselling centres in North-East India from 219 to 421

in partnership with the Joint United Nations Programme on HIV/AIDS.


• increasing enrolment in 80 schools in Bhutan by 2.4 per cent through partnership with the

World Food Programme’s school feeding initiative

• expanding the Australia Awards to provide 42 scholarships in the Maldives and 45 in Bhutan.


• increasing climate resilience through wetland conservation and coral reef monitoring in

the Maldives.


• supporting six Indian Government departments to implement action plans in renewable

energy and water resource management.


• improving water and sanitation facilities for more than 3890 children in schools in Eastern

Bhutan as part of ongoing post-earthquake reconstruction.

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South Asia regional program

In 2011–12 AusAID’s South Asia regional program totalled $42 million. Other assistance through

AusAID’s global programs and through other government agencies brought Australia’s total

offi cial development assistance (ODA) to an estimated $55 million.

Australia is a smaller sized aid donor to the South Asia region but our work on common

regional and transboundary issues, including climate change, is achieving improvements

in water resource management, infrastructure and regional connectivity, adaptation to

climate change, service delivery, access to water and sanitation, nutrition, and maternal

health outcomes. The regional program also continues to strengthen our major partnerships,

particularly with the World Bank and the Asian Development Bank.

Climate change is a threat to economic growth and development in South Asia, particularly its

effects on the major river basins—the Indus and Ganges-Brahmaputra-Meghna. Cross-border

cooperation on river management will help to develop long-term solutions and increase the

resilience of the hundreds of millions of poor people who rely on these rivers for their livelihoods.

South Asia is the least integrated region in the world, with very low rates of intra-regional trade

and poor infrastructure connectivity. Improved regional cooperation and economic integration

can be a powerful enabler for economic growth, particularly in assisting the lagging sub-regions

of South Asia. Strengthened regional organisations, including the South Asia Association for

Regional Cooperation, are necessary for improving regional cooperation and stability.

Regional knowledge sharing and policy dialogue on common development challenges, such

as governance, health and nutrition and water and sanitation, supports joint problem-solving

among multilateral institutions, regional organisations, non-government organisations and

public sector cohorts.


Saving lives:

• reducing maternal and child deaths by improving access for 1.8 million people to sexual

reproductive and maternal health education and services.

Encouraging sustainable economic development:

• completing the Strategic Basin Assessment of the Ganges, which provides

recommendations on the key issues of climate change adaptation, infrastructure

development, fl ood control and groundwater use which affect up to 600 million people

• working with the World Bank to support two major cross-regional energy agreements

between India and Bangladesh and India and Nepal.

Promoting effective governance:

• improving local governance and service delivery, through technical assistance and policy

reform support delivered in partnership with the multilateral development banks. For

example, AusAID’s funding has supported food and nutrition programs in Sri Lanka and

local governance reforms in Nepal.

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*Amount does not include humanitarian assistance during 2011–12.

Middle East and North Africa

In 2011–12, AusAID’s country and regional program aid to the Middle East and North Africa

(including the Palestinian Territories, Iraq, Egypt, Tunisia, Libya, Yemen, Syria, Lebanon,

Morocco, Algeria and Jordan) totalled $97.7 million. Other assistance through AusAID’s

global programs and through other government agencies brought Australia’s total offi cial

development assistance (ODA) to an estimated $114.1 million.

While the situation varies from country to country, the 2012 Arab Human Development Report

sets out a number of common challenges for the region. These include access to education and

knowledge, good governance, empowerment of women, and the guarantee of human security

for all.

Progress against the Millennium Development Goals across the region has been slow,

particularly in areas affected by confl ict such as Iraq, Syria, the Palestinian Territories and

Yemen. Ongoing unrest, deteriorating global economic conditions and rising world food prices

continued to have a major impact. The Arab region continues to be characterised by sharp

disparities between the different sub-regions, particularly between the high income countries

of the Gulf Cooperation Council and the Arab Least Developed Countries. These disparities are

not only large in terms of level of development but also in terms of progress made towards

achieving the Millennium Development Goals. Despite this, some advances have been made,

including considerable gains in health and education.

Over $20m*

Over $20m

for region*

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Figure 13: Estimated total Australian ODA to the Middle East and North Africa by country 2011–12

Palestinian Territories 42%

Iraq 26%

Syria 9%

Egypt 7%

Yemen 3%

Other countries:

Middle East and North Africa 2%

Libya 9%

Regional 2%

Middle East and North Africa regional response

Australia delivered assistance across the Middle East and North Africa region to address the

urgent needs that arose following the Arab Spring pro-democracy revolutions, with a particular

emphasis on strengthening international humanitarian efforts and promoting food security.

Throughout 2011–12, AusAID continued to help alleviate ongoing and emerging humanitarian

crises in Libya, Syria and Yemen following the Arab Spring. Australia was the third largest

humanitarian donor to Libya, providing an estimated $11.1 million in humanitarian assistance

in 2011–12.

During the year, Australia’s assistance to Egypt and Tunisia supported important change

towards more inclusive democratic governance. Support focused on priorities identifi ed by the

interim authorities to encourage stability and social cohesion, including food security through

agricultural research, building electoral capacity, and supporting income generation through

employment with a focus on young people and women.


been able to make a real difference to the lives of people in the Middle East and North Africa

in 2011–12.


• supporting 3701 young people in Egypt to fi nd sustainable employment through the

German Agency for International Cooperation

• fi nalising a fi ve year program of research with the Australian Centre for International

Agricultural Research which is designed to improve food security and livelihoods for

smallholders in the dry-land regions of North Africa including Egypt, Algeria, Morocco,

Tunisia and Libya.

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• delivering vital fi rst aid, food and medical supplies through the Offi ce of the United

Nations High Commissioner for Refugees, United Nations Offi ce for the Coordination of

Humanitarian Affairs, World Food Programme and other non-government organisations to

Syrians affected by violence within Syria and elsewhere in the region

• providing emergency food assistance and support for agricultural activities for up to

250 000 internally displaced people in Northern Yemen

• providing food and essential items to around 45 000 people in Libya through

non-government organisations

• providing urgently needed medical supplies to hospitals throughout Libya.

Palestinian Territories

Key statistics


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1.3% (2008) 1.1% (2009) 1.5% (2010)

In 2011–12, AusAID country program aid to the Palestinian Territories totalled $38.6 million.

Other assistance through AusAID’s regional and global programs and through other

government agencies brought Australia’s total offi cial development assistance (ODA) to an

estimated $48.5 million. Australia is among the top 10 aid donors to the Palestinian Territories.

The majority of Australia’s aid is delivered to the Palestinian Territories through partnerships

with the international community. Initiatives are principally to promote peace and stability and

strengthen capacity to deliver services.



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Australia is providing development assistance to the Palestinian Territories because

Palestinians face poverty and disadvantage prolonged by confl ict:

• nearly a quarter of people in the Palestinian Territories are undernourished

(around 870 000 of a total population of 4.1 million)

• 40 per cent of Gaza’s 1.6 million people live in poverty and three-quarters depend on aid

for survival

• more than a quarter of Gaza’s workforce is unemployed.

Working closely with a range of development partners, Australia has been able to make a real

difference to the lives of Palestinians in 2011–12.


• working with the United Nations Children’s Fund to improve water and sanitation facilities

in 105 schools (40 000 children).


• helping more than 7500 Palestinian refugees attend school in the West Bank, Gaza,

Lebanon, Syria and Jordan, with girls making up half of all enrolments (out of 500 000

children in total)

• providing 300 refugees with disability and rehabilitation services each year.


• working with Australian non-government organisations to help 3266 farmers rehabilitate

their farmland.


• signing a $120 million fi ve year partnership arrangement to support improved governance

and basic service delivery through the Palestinian Authority.


• signing a $90 million fi ve year partnership agreement with the United Nations Relief and

Works Agency to provide essential services to fi ve million Palestinian refugees in Jordan,

Lebanon, Syria, the Gaza Strip and the West Bank.

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Iraq

Key statistics


1 2 3 54 6 7

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3.3% (2008) 1.9% (2009) 2.4% (2010)

In 2011–12, AusAID country program aid to Iraq totalled $27.3 million. Other assistance through



is a smaller sized aid donor to Iraq but our assistance to strengthen agricultural research is

increasing agriculture productivity and improving food security.

Australia provides aid to Iraq to improve the lives of its people and to help rebuild after

decades of war and dictatorship. Iraq is increasingly taking the lead in managing its own

development and Australia is committed to assisting Iraq in its transition. During the year,

Australia’s assistance focused on building Iraqi capacity in the agricultural sector, improving

public sector management and strengthening service delivery in education and emergency

medicine. Australia’s aid will decrease over time as Iraq builds the capacity and resources to

manage its own development.

Working closely with the Iraqi Government and a range of development partners, Australia has

been able to make a real difference to the lives of Iraqis in 2011–12.


• improving the lives of 100 000 primary school children by working with the United

Nations Children’s Fund to upgrade water and sanitation infrastructure in 200 schools in

vulnerable communities

• improving access to education and learning opportunities for marginalised children by

constructing learning spaces in 30 schools and training 430 teachers to improve the quality

of education, directly benefi ting more than 8000 students



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• providing vocational education and training to 1400 female headed households in vulnerable

Iraqi communities to help them access stable incomes and livelihood opportunities.


• helping to ensure long-term food security by building a better understanding of the causes

of salinity and producing a framework to reduce and mitigate its impacts

• supporting productivity increases of mixed crop-livestock systems in both rain-fed and

irrigated areas by developing best practices for small ruminant production

• partnering with the Mines Advisory Group to clear and release more than 1.2 million square

metres of land from unexploded ordinance.


• training more than 200 public servants in public sector management.

Latin America

PARAGUAY

BOLIVIA


In 2011–12, AusAID regional program aid to Latin America totalled $15.7 million. Other

assistance through AusAID’s global programs and through other government agencies


Australia is a smaller sized aid donor to Latin America but our work in the region is helping to

improve food security in areas affected by natural disasters, improve incomes and employment

opportunities and build governance capacity.

There are high levels of poverty and income inequality in many areas across Latin America

with poverty rates in some countries up to 32 per cent. The region is also vulnerable to natural

disasters and climate variations which hinder poverty reduction efforts. In December 2010, the

Australian Government announced it would provide $100 million to Latin America over four

years (2010–11 to 2013–14) targeting poor countries.

Over $20m

for region*

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In 2011–12 AusAID’s development assistance to Latin America focused on building:

• sustainable economic development including food security and incomes, employment and

enterprise opportunities

• governance through scholarships and public sector development programs

• humanitarian and disaster responsiveness.

Australia strengthened its relationships with multilateral institutions and emerging donors in

the region during the year. Building on a new partnership established in 2010–11, a suite of

microenterprise projects was developed in partnership with the Inter-American Development

Bank to help people increase their incomes and develop their small businesses. Australia

and Brazil advanced a joint commitment to work together on development in Haiti and made

a further commitment to work together in East Timor and Africa, taking advantage of each

countries’ expertise in these areas. AusAID has also partnered with the Chilean Agency for

International Cooperation and the German Agency for International Cooperation to strengthen

delivery of basic services in Paraguay.


been able to make a real difference to the lives of Latin Americans in 2011–12.


• awarding 80 out of 250 long-term scholarships and 71 short-term fellowships through the

Australia Awards.


• training more than 50 000 women microentrepreneurs in fi nancial literacy and business

development in Peru

• supporting fi ve fi nancial inclusion projects designed for Colombia, Nicaragua and Paraguay.


• reconstructing 32 kindergartens destroyed by Chile’s 2010 earthquake and tsunami

• prepositioning 6200 metric tonnes of food donated by Brazil to respond to food insecurity

and natural disasters in El Salvador, Guatemala, Honduras and Nicaragua

• providing extended relief for 26 500 people following severe and constant fl ooding in El

Salvador, Guatemala, Honduras and Nicaragua in October 2011.

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Caribbean

In 2011–12, AusAID regional program aid to the Caribbean totalled $12.9 million. Other

assistance through AusAID’s global programs and through other government agencies brought


is a smaller sized aid donor to the Caribbean but our work in the region is helping to reduce the

impacts of climate change, disasters and economic challenges.

In the Caribbean 36 per cent of the population, or 13 million people, are classed as poor. In

Haiti, one of the world’s poorest countries, 77 per cent of the population lives on less than

US$2 a day, of which 61 per cent lives in absolute poverty on less than US$1.25 a day.

The small open economies of the Caribbean are vulnerable to external shocks and natural

disasters, high unemployment, high debt and weak institutions, and many are facing fi scal and

debt distress. Youth disengagement and its links to crime is a major development challenge.

Over the last three decades, the Caribbean has suffered losses estimated at US$3.4 billion

from natural disasters associated with extreme weather events. This is likely to become worse

as the impacts of climate change become more pronounced. Australia has continued to work

with the Caribbean Community (CARICOM) to address such issues.

The aid program’s $60 million development assistance package for the period 2010–14 focuses

on the sustainable economic development of the region and has three key priorities:

• climate change and disaster risk reduction

• economic resilience

• people-to-people and institutional linkages.

Strengthening regional institutions such as the Caribbean Community Climate Change

Centre and the Caribbean Disaster Emergency Management Agency was a major part of

Australia’s aid program during the year. Activities designed to strengthen the resilience of

Caribbean economies were supported through the Caribbean Regional Technical Assistance

Over $5m

for region*

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Centre, the International Finance Corporation and the Youth Upliftment Through Employment

program. People-to-people and institutional linkages were enriched through direct

government-to-government activities and through activities delivered by partners such as

Australian and Caribbean universities, the Trinidad and Tobago Alliance for Sport and Physical

Education, the United Nations Human Settlement Program, and the Great Barrier Reef Marine

Park Authority.


been able to make a real difference to the lives of people in the Caribbean in 2011–12.


• working with other donors to provide the 4874 residents of Bequia with a desalination

plant that uses renewable energy to produce drinking water of better quality, improved

reliability and lower cost.


• helping 60 people undertake academic studies under the Australia Awards program, and

16 Caribbean offi cials to attend diplomatic training delivered by the Australian National

University and the University of the West Indies

• teaching regular exercise, healthy lifestyles, teamwork, and leadership skills to more than

18 000 children and adults including people with disability, through the Australian Sports

Outreach Program.


• completing risk atlases for fi ve countries (Antigua and Barbuda, Belize, Dominica, St Kitts

and Nevis, St Vincent and the Grenadines) which examine and provide options for adapting

to the impacts of climate change

• sharing experiences and expertise in coral reef management, particularly adapting to

the impacts of climate change, through a workshop attended by 38 offi cials from 13

Caribbean countries

• developing life and work skills for 505 Youth Upliftment Through Employment program

participants and helping 150 participants access internship and full-time employment

opportunities.

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Program 1.4 ODA—Emergency, humanitarian and refugee programs


Objective: to assist developing countries respond to emergencies and assist refugees



Signifi cant organisation

outputs and signifi cant

humanitarian results

Organisation’s

signifi cant outputs and


were achieved

Organisation’s

signifi cant outputs and


were achieved

Signifi cant

organisation outputs

and humanitarian

results were achieved,

as highlighted on pages

137 to 145



a quality rating of


100 per cent of

the aggregated quality

ratings for emergency,

humanitarian and

refugee programs were


100 per cent of



humanitarian and



100 per cent of



humanitarian and




of program strategy

objectives fully or

partially achieved

100 per cent of

program strategy


partially achieved

100 per cent of

program strategy


partially achieved

100 per cent of

program strategy


partially achieved

90 per cent of


with the quality at

implementation

process*

100 per cent

of emergency,

humanitarian and

refugee program


with the quality at


Where applicable,

100 per cent of

emergency, humanitarian

and refugee program


with the quality at



Responding to emergencies

Effective humanitarian action saves lives and helps people get back to leading productive

lives more quickly. The destructive effects of natural disasters and violent confl ict can set back

development progress by many years. Improving the response to crises helps our partner

countries to protect and restore development gains.

An effective aid program for Australia commits the Australian Government to increasing and

improving our humanitarian assistance and disaster preparedness. AusAID is responsible for

leading the Government’s response to humanitarian crises in developing countries and for

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supporting greater investment in preparedness and disaster risk reduction. To implement this

agenda, a new Humanitarian and Stabilisation Division was established in 2012. The division

will focus on helping countries in transition—whether from disaster, confl ict or fragility—to

recovery, stability and prosperity. It provides the aid program with the capacity to rapidly

deploy specialist expertise for humanitarian preparedness and response activities and through

the Australian Civilian Corps. It also focuses the agency on improving the effectiveness of

development and civil-military efforts in countries affected by fragility and confl ict.

In 2011–12, Australia provided approximately 11 per cent of offi cial development assistance,

an estimated $492.4 million, for emergency, humanitarian and refugee programs. The crises

in the Horn of Africa and the Sahel region have placed enormous pressure on the international

humanitarian system, including on humanitarian funding. Australia provided a total of

$112.2 million to the Horn of Africa crisis in 2011, one of the largest humanitarian funding

commitments of recent years. As well as providing life-saving assistance through international

partners and Australian non-government organisations, these resources have been directed to

recovery activities and improving the resilience of communities to cope with cyclical drought

and food insecurity.

In addition to the Horn of Africa and the Sahel, AusAID responded to some 30 humanitarian

emergencies in Asia, the Pacifi c, Africa and the Middle East, providing more than $227 million

for fl oods, disease outbreaks, droughts, earthquakes and civil unrest. An estimated 14 million

people were provided with life-saving assistance with these resources.

In the Asia-Pacifi c, AusAID assisted affected communities with funding to partners, delivering

relief supplies and deploying humanitarian experts in:

• Fiji • Thailand

• Marshall Islands • Papua New Guinea

• Tuvalu • Philippines

• Indonesia • North Korea

• Laos • Vietnam.

• Cambodia

We also supported the response to emergencies and protracted crises further from our

region in:

• Turkey • Central African Republic

• Syria • Sudan

• Libya • the Sahel

• Afghanistan • Nicaragua

• Pakistan • El Salvador

• Yemen • Honduras

• South Sudan • Guatemala

• Somalia • Colombia

• Ethiopia • Chile.

• Democratic Republic of Congo

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• providing $13.5 million to the Horn of Africa crisis through the Australian Government’s

Dollar for Dollar initiative. The government matched funds raised by 20 Australian

non-government organisations to help save hundreds of thousands of people in Kenya,

Somalia and Ethiopia by providing clean water, nutritious food supplements, sanitation and

vaccinations. This initiative contributed to the $112.2 million Australia provided to the Horn

of Africa crisis in 2011

• deploying Australian humanitarian experts into overseas disaster zones to support ongoing

disaster preparedness. This included four members of the AusAID rapid response team

and 85 RedR Australia deployees in 105 missions. RedR registered members worked with

United Nations humanitarian agencies in more than 26 developing countries. Through the

Australian Red Cross Delegates Program, Australia supported a further 163 global Red

Cross humanitarian missions

• responding effectively to the regional fl ooding that affected Cambodia, Laos, Thailand,

the Philippines and Vietnam from August to November. AusAID provided $4.5 million to

our partners, including the Vietnamese and Cambodian Red Cross and the World Food

Programme, for food, shelter and hygiene education. Funding was also provided to

non-government organisations such as Care Australia, World Vision Australia, Oxfam

Australia and ActionAid for food assistance and livelihood recovery, and Save the Children

Australia for child protection, household kits, food, sanitation and school repairs

• providing emergency assistance packages to people affected by confl ict in Syria, severe

food shortages in the Sahel region and fl ooding in Pakistan

• deploying 35 Australian Civilian Corps specialists to assist with stabilisation, recovery and

development planning to seven countries.

140

Australia’s response to the Fiji fl oods

In just two days in January 2012, more than

400 millimetres of rain fell over Western

Fiji causing the Nadi and Ba Rivers to burst

their banks, triggering widespread fl ooding.

The fl oods swept away houses, farms and

infrastructure. More than 3400 people were

displaced from their homes, 13 people died

and more than 319 000 people were affected

by food insecurity, disease outbreaks and crop

damage. With vast tracts of agricultural land

and many roads and bridges damaged, the

people of Fiji faced a long road to recovery.

This recovery was threatened two months later

when another tropical depression inundated

the same area. The fl oods in March and April

killed four people. Forty-three houses were

completely destroyed and more than 15 000

people were again displaced from their homes.

Damage to agriculture, critical infrastructure,

schools and businesses was estimated at

more than $40 million.

AusAID provided $4.14 million to help the

people of Fiji with immediate life-saving

assistance and to rebuild their community.

These relief efforts reached more than 70 000

people across Western and Central Fiji and

built on existing programs to better prepare

communities and humanitarian partners to

respond to natural disasters. AusAID-funded

prepositioned supplies were vital in delivering

immediate relief.

AusAID supported its partners including the

World Health Organization, Australian and Fiji

Red Cross Societies, United Nations Children’s

Fund and civil society organisations to deliver

clean water, tarpaulins, essential medicines,

clothes and health programs to affected

people. AusAID also supported partners to

repair schools, provide school kits and help

families pay school fees to get children back

into classrooms. To ensure a swift and early

recovery, AusAID supported rehabilitation of

damaged schools, crops and cash-for-work

programs to protect the livelihoods of the most

vulnerable people.

Australia remains the largest aid donor to Fiji

and will continue to focus on reducing the

impact of disasters and other risks.

Above: Vital Australian supplies being prepared for transportation to Fiji

Photo: Courtesy of HK Logistics

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Building resilience to natural disasters in developing countries

Australia is committed to reducing the burden of disasters on developing countries and is

a leading donor on disaster risk reduction. Investing in disaster risk reduction saves lives,

livelihoods and property. It safeguards development gains, poverty reduction efforts and

progress towards the Millennium Development Goals. Australia’s commitment is set out in its

policy Investing in a safer future: a disaster risk reduction policy for the Australian aid program.

In 2011–12, Australia advocated for increased political commitment to, and investment in,

disaster risk reduction. Australia’s aid expenditure on disaster risk reduction has grown

considerably in recent years, with more than $100 million spent in 2011–12 on risk reduction

activities across Africa, Latin America and the Caribbean, Asia and the Pacifi c.


• working with Indonesia through the Australia–Indonesia Facility for Disaster Reduction to

establish a real time, earthquake impact estimation system that enables rapid estimates of

the number of people potentially affected in a disaster

• supporting Indonesia’s largest faith-based organisation, Nahdlatul Ulama, to work with

local parliamentarians, politicians and community leaders in eight districts to develop local

disaster management laws benefi ting almost nine million people

• conducting an aerial survey of metro Manila to generate state-of-the-art disaster and

climate change risk maps. Natural hazard maps are also being developed for 27 provinces

across the Philippines

• partnering with the Asian Development Bank to improve school construction in the

Kathmandu Valley by making school buildings more resilient to earthquakes

• partnering with the United Nations Children’s Fund to reconstruct 13 community primary

schools in fi ve earthquake-affected districts and to deliver training in emergency disaster

preparedness and risk reduction to school principals and teachers in all 20 districts

of Bhutan

• helping create the Model act for the facilitation and regulation of international disaster relief and initial recovery assistance, a tool to help governments prepare for disasters. The

pilot version was adopted by the 31st Conference of the International Conference of Red

Cross and Red Crescent in late 2011

• including disaster risk reduction as an Australian Government priority for the United

Nations Conference on Sustainable Development (Rio+20). As co-chair of the Friends

of Disaster Risk Reduction group at the United Nations in New York, Australia is at the

forefront of efforts to recognise the importance of reducing disaster risks to the future

sustainable development agenda

• helping shape future policy through Australian representation on the United Nations

Advisory Group to formulate a new international framework for disaster risk reduction.

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Working with our partners

AusAID maintains a range of strategic partnership agreements and stand-by arrangements with

the United Nations and international organisations, whole-of-government, non-government

organisations and commercial partners to respond quickly and effectively to crises. In 2011–12,

AusAID reviewed its strategic partnership agreements with the Offi ce for the Coordination

of Humanitarian Affairs and the World Food Programme. AusAID also sought new multi-year

agreements with the International Committee of the Red Cross and the United Nations High

Commission for Refugees. In 2011–12, AusAID provided $104 million in core payments to United

Nations agencies and the International Committee of the Red Cross for humanitarian activities.

The International Committee of the Red Cross

Australia works through the International Committee of the Red Cross to protect and help

populations affected by armed confl ict and other violent situations. AusAID provided

$40 million in 2011–12, including a core contribution of $20 million, which was an increase of

$2 million from our previous contribution. In 2011 Australia was the international committee’s

eighth largest donor, supporting it to provide life-saving assistance to some 1.5 million people.

Key development achievements 2011–12 included:

• supporting the international committee to work with the Libyan Red Crescent to provide

life-saving food assistance to 246 877 people, as well as clean water and emergency shelter

for 893 570 people

• helping the international committee improve conditions in prisons in the Philippines,

including by monitoring the health and access to medical care of nearly 47 000 detainees

• enabling the international committee to provide counselling services and assistance to

survivors of sexual and gender-based violence in 44 counselling centres in the Democratic

Republic of Congo, which is often the only support available for the survivors of these crimes.

The United Nations High Commissioner for Refugees

AusAID provided an estimated $39.6 million to the United Nations High Commissioner for

Refugees in 2011–12 to assist displaced people and refugees. This included $18 million in core

funding, an increase of $2 million from the previous year. Funding helped to provide clean

water, health services, food, infrastructure, shelter, education and protection to displaced

populations and surrounding host communities in Ethiopia, Djibouti, Kenya, the Philippines

and Iraq. In 2011, Australia was the organisation’s ninth largest donor.


• providing $15 million in the Horn of Africa to help to distribute emergency assistance

packages with relief items such as jerry cans, buckets, pots, plates and other utensils to

allow people to prepare and store water and food safely, as well as high-energy biscuits,

oral re-hydration salts and water purifi cation tablets. In Somalia, emergency assistance

packages were distributed to more than 280 000 people

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• providing $9 million to fund shelter, protection and emergency assistance to displaced

people in Libya and Tunisia, and to support communities hosting more than one million

displaced Libyans.

The United Nations Offi ce for the Coordination of Humanitarian Affairs

The United Nations Offi ce for the Coordination of Humanitarian Affairs is a key humanitarian

partner for Australia’s aid program. In 2011, it coordinated humanitarian relief for more than

56 million people, nearly double the number three years ago. AusAID contributed $8 million in

core funding during the year, making it the sixth largest donor.

The offi ce plays a central role in the international humanitarian system by helping to ensure

that humanitarian action is accountable, streamlined and coordinated so that lives are saved

and people in urgent need are assisted. It also has an important role in advocating the needs of

people affected by humanitarian crises.

AusAID is a member of the United Nations Offi ce for the Coordination of Humanitarian Affairs

Donor Support Group and provides credible international leadership and high level strategic

policy guidance on the effectiveness and coordination of international humanitarian action.

Two of the fi ve strategic goals of Australia’s aid program are refl ected in our engagement with

the offi ce—saving lives, and more effective preparedness and responses to disasters and crises.

World Food Programme

Australia continued its strong partnership with the World Food Programme in 2011–12,

providing it with $163.3 million to support emergency and preparedness work. With our

support, and that of other donors, World Food Programme was able to reach almost 100 million

people across 75 countries who were in critical need of food in 2011. Of these, 64 per cent were

children, and 51.7 per cent were women.

In 2011–12, World Food Programme was able to reduce delivery times for food by an average

56 days in the Horn of Africa and West Africa through use of its innovative Forward Purchase

Facility. The facility enables World Food Programme to procure food at cost-effective

opportunities, and in developing countries, where possible.

During 2011–12, Australian support:

• provided $57 million to help World Food Programme reach more than 9.5 million

drought-affected people with direct food assistance in the Horn of Africa

• helped mitigate and respond to the looming crisis in the Sahel region, which threatened

up to 18 million people across nine countries. Australia provided $15 million to the World

Food Programme, enabling it to provide life-saving food assistance to almost 120 000

men, women and children across the region, as well as preposition food stocks to provide

ongoing support through the worst of the lean season

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• delivered more than 10 000 metric tonnes of wheat for monsoon fl ood-affected populations

in Pakistan, including Sindh Province

• provided 34.5 metric tonnes of high energy biscuits to 11 500 households affected by fl oods

in Satkhira, Southern Bangladesh, serving as a vital source of food and nutrition for the

severely vulnerable people hit by the fl ooding

• enabled the continuation of school feeding programs in Bangladesh, Bhutan, Cambodia,

Laos, Myanmar, Kenya and Nicaragua to provide nutritious meals to more than half a million

school children, assisting to improve child health and school retention

• provided $2.9 million through World Food Programme’s Readiness Initiative to develop

pilot technology and deliver in-country simulation exercises to enhance capacity to respond

effectively to humanitarian emergencies. Five disaster response simulation exercises were

conducted in Senegal, Indonesia, Malaysia, the Philippines and Afghanistan, training more

than 500 national disaster managers.

Strengthening our policy engagements

Launch of the Humanitarian Action Policy

AusAID launched its new Humanitarian Action Policy in New York on 16 December 2011. The

policy provides a strategic framework to guide Australia’s humanitarian action and supports

the fundamental purpose of Australia’s aid program: to help people overcome poverty. It

addresses two of the aid program’s fi ve strategic goals—saving lives and better preparedness

for, and response to, disasters and humanitarian crises. The policy was developed following

a rigorous examination of the changing context in which humanitarian action is delivered and

broad consultation with international, whole-of-government and Australian non-government

organisation partners.

Highlighted in the policy is Australia’s commitment to saving lives, alleviating suffering, and

maintaining human dignity during and in the aftermath of confl ict, natural disasters and other

humanitarian crises. It acknowledges that host governments are in the best position to lead

on humanitarian response, but that Australia is ready to deliver fast, fl exible, effective and

accountable humanitarian action when it is needed. The policy provides detail both on how

Australia responds, and how Australia works with the international community to support

improved humanitarian action. The policy defi nes effective and appropriate humanitarian

action as action which:

• meets the needs of and is accountable to affected populations

• supports partner governments and local capacities, including with disaster preparedness

• protects the safety, dignity and rights of affected populations

• ensures our support is timely and coordinated

• integrates recovery as part of humanitarian action to support longer-term development.

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Improving international humanitarian response

The Central Emergency Response Fund

The Central Emergency Response Fund is a vital part of Australia’s commitment to improving

international humanitarian actions. The fund was set up by the United Nations General

Assembly in 2005 to provide more timely, predictable and equitable responses to humanitarian

crises. It releases funds quickly to United Nations front line agencies when disasters strike.

More than US$418 million was allocated from the fund in 2011 to respond to humanitarian

crises in 45 countries, benefi ting 29 million people. Somalia was the largest recipient, receiving

more than US$53 million. The Horn of Africa region (Somali, Ethiopia, Kenya and Djibouti)

received US$128 million or 30 per cent of the total allocations.

The fund also allocates funds to emergency responses which are underfunded. These are

often protracted humanitarian crises. In 2011, US$144 million was allocated to United Nations

agencies across 20 countries and territories, benefi ting about 35 million people.

Australia is one of few donors to provide the Central Emergency Response Fund with multi-year

funding certainty. Australia increased its annual contribution to the fund from $14 million to $16

million in 2011–12, and in 2011 was ranked as the fund’s eighth largest donor.

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Programs 1.5 and 1.6 ODA—Multilaterals, United Nations, Commonwealth and other international organisations


Objective: to assist developing countries through contributions to multilaterals, the United

Nations, Commonwealth and other international organisations





development results

Signifi cant

organisation outputs and

development results were

achieved

Signifi cant



achieved

Signifi cant




on pages 147 to 167


organisations receive

a quality rating of


100 per cent of the

quality ratings for United

Nations, Commonwealth

and other international

organisations

and multilateral

replenishments were


92 per cent of the

quality ratings for United



organisations

and multilateral

replenishments were


88 per cent of

the quality ratings for

multilaterals, the United



organisations were

satisfactory or higher*


of program strategy

objectives fully or

partially achieved

100 per cent

of program strategy


partially achieved

100 per cent

of program strategy


partially achieved

100 per cent

of program strategy


partially achieved




process**

100 per cent of

multilateral organisation


with the quality at


100 per cent of

multilateral, United



organisation activities

were compliant with the


process***

* These satisfaction ratings refer to core funding and global programs with multilateral partners. The satisfaction ratings of country program

co-fi nancing arrangements with multilaterals are assessed within specifi c country programs ratings.


*** Note that in 2011–12 the existing quality at implementation reporting system was replaced by the more comprehensive Australian Multilateral

Assessment process that provided detailed assessments of 42 key multilateral partners.

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Multilateral development organisations

Multilateral development organisations play a critical role in Australia’s aid program, helping us

meet our aid priorities across the globe.

Multilateral development organisations add value by:

• producing data, policy and analytical work that helps to inform the work of Australia and

other bilateral donors

• helping to coordinate development efforts at a country level and on major international

policy issues

• mobilising experience and expertise from around the world

• delivering programs on a scale beyond the capacity of Australia and other bilateral donors

• operating in countries where Australia does not have a large presence or in sectors where

bilateral assistance is not possible.

Australia’s enhanced engagement with multilateral development organisations builds on a fi rm

base. Australia has strong existing relationships with many multilateral organisations and has

signed partnership frameworks with 13 organisations that outline shared goals for the effi cient

use of Australian funds and track the results of our funding. These 13 organisations are:

• World Bank

• Asian Development Bank

• United Nations Offi ce for the Coordination of Humanitarian Affairs

• United Nations Population Fund

• Joint United Nations Programme on HIV/AIDS

• World Food Programme

• United Nations International Strategy for Disaster Reduction

• World Health Organization

• International Labour Organization

• United Nations Children’s Fund

• United Nations Development Programme

• United Nations Entity for Gender Equality and the Empowerment of Women

• Inter-American Development Bank.

Australian Multilateral Assessment

Australia’s aid policy, An effective aid program for Australia, commits the Government to

increasing core funding for multilateral development organisations as a share of total aid

spending and links this to effectiveness and relevance by introducing a multilateral rating

system. The Australian Multilateral Assessment was undertaken to establish an evidence base

for these decisions and was completed and published in March 2012.

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The fi ndings of the assessment provide the basis from which Australia will strengthen its policy

and funding engagement with multilateral organisations over the next four years and ensure

it is getting value for money and results from this growing engagement. The assessment

found that most of Australia’s multilateral partners are effective and relevant to Australia’s aid

objectives. Of the 42 multilateral organisations assessed, 37 were rated satisfactory or above,

with fi ve weak on one or more criteria.

The assessment fi ndings helped guide decisions on core funding to Australia’s multilateral

partners in 2012–13. Priority for additional funding was given to organisations ranked with a

‘high degree of confi dence’ or ‘reasonably high degree of confi dence’ in the assessment. There

are also other considerations that infl uence future funding for our multilateral partners and

these include:

• existing funding agreements and levels, and the balance of Australia’s effort compared to

other donors

• the organisation’s need for additional funding and capacity to use it effectively

• the prospects of reform efforts leading to improved effectiveness.

Australian Multilateral Assessment ratings of multilateral organisations

The Australian Multilateral Assessment examined 42 key partners. The assessment

involved research and engagement with stakeholders to gather comprehensive evidence on

effectiveness of multilateral organisations and their relevance to Australia’s interests. It rated

organisations according to seven components, grouped into two categories—results and

relevance, and organisational behaviour. Organisations were then assigned to one of four

tiers according to the degree of confi dence that increases in core funding will deliver tangible

development benefi ts in line with Australia’s development objectives, and that the investment

will represent good value for money.

The assessment found that most of Australia’s largest multilateral partners were effective. In

the case of 13 organisations, Australia could have a high degree of confi dence that increases

in funding for core operations represented good value for money. Organisations in the

highest category included the Asian Development Bank, GAVI Alliance, Global Partnership for

Education, International Committee of the Red Cross, United Nations High Commissioner for

Refugees, the World Bank and the World Food Programme.

In the case of a further 16 organisations, the assessment found that the Australian Government

could have a reasonably high degree of confi dence that increases in core funding represented

value for money. Organisations in this category included the Joint United Nations Programme

on HIV/AIDS, United Nations Children’s Fund, United Nations Development Programme, United

Nations Offi ce for the Coordination of Humanitarian Affairs, United Nations Population Fund

and the World Health Organization.

The assessment recommended that decisions on whether to increase core funding for a further

eight organisations should be made on a case-by-case basis. Most of the organisations in

this category were undergoing major reform efforts, and further analysis on the prospects of

reform leading to improvements in effectiveness will be needed. Organisations in this category

included the Consultative Group on International Agricultural Research, the Global Fund to

Fight AIDS, Tuberculosis and Malaria, and the International Labour Organization.

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The assessment found fi ve organisations—the Commonwealth Secretariat Development

Programmes, the Food and Agriculture Organization, the United Nations Educational, Scientifi c

and Cultural Organization, the United Nations Human Settlements Programme and the United

Nations Mine Action Service—were weak in at least one area. The assessment recommended

further analysis and discussion before Australia provided any additional core funding to

these organisations.

The effectiveness of multilateral development organisations will be tracked more closely

through a new annual multilateral scorecard. This will inform future policy and funding

decisions, be published in September each year, and report on:

• the results achieved from Australia’s multilateral funding

• changes to the effectiveness of multilateral development organisations, using the

assessment fi ndings as a baseline

• the effectiveness of Australia’s engagement with multilateral development organisations

(reporting against organisational engagement strategies where they exist).

Multilateral engagement strategy

AusAID will use the Australian Multilateral Assessment fi ndings to develop a multilateral

engagement strategy for the aid program. The strategy will be fi nalised and released publicly

later in 2012. Individual organisational engagement strategies will also be drafted for

Australia’s most important multilateral development partners, outlining Australia’s highest

policy priorities and how these will be pursued.

AusAID will also introduce a formal performance management system to address the

performance of those multilateral development organisations with identifi ed weaknesses, with

future core funding contingent on improvements in performance.

Working with other donors to enhance multilateral effectiveness

Australia works with other donors through the governing boards of multilateral development

organisations to ensure a strong focus by each on improving the effectiveness of programs.

This includes ensuring close attention by management to development results in the design,

monitoring and reporting of activities, and adequate oversight by internal and independent

evaluation bodies. The World Bank, Asian Development Bank and most United Nations

agencies have taken specifi c measures to strengthen their focus on development results over

the past year.

Australia also worked closely with other donors to advance multilateral effectiveness

through the 16-member Multilateral Organisation Performance Assessment Network and

the Organisation for Economic Co-operation and Development’s Development Assistance

Committee. Australia joined the Multilateral Organisation Performance Assessment Network in

January 2009 and has been an active member. In 2011, Australia led the network’s institutional

assessment for the World Bank and co-led the network’s Philippines survey.

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Multilateral development banks and replenishments

Australia’s aid policy, An effective aid program for Australia, commits to increasing funding

to multilateral development organisations. The Australian Multilateral Assessment in 2011,

which assessed the effectiveness of Australia’s key multilateral partners, rated the multilateral

development banks highly. This confi rmed their status as effi cient and effective development

partners for Australia and provided AusAID with a high degree of confi dence to increase their

funding in 2011–12.

World Bank Group

The World Bank Group is one of Australia’s key global partners. In 2011–12, Australia

provided an estimated $678.2 million to the World Bank Group, including $492.9 million in

joint activities at country, sector and global levels. The bank, with 188 member countries,

has extensive expertise, knowledge and analytical capabilities and commands substantial

resources. It also has the convening power to bring together donors, governments, other

multilaterals organisations, civil society and the private sector.

In September 2011, Australia and the World Bank Group signed a partnership framework to

take its already strong relationship with AusAID to a more strategic level. Areas of priority

include strengthening our strong partnership in East Asia and the Pacifi c, greater cooperation

in South Asia including in Sri Lanka, Afghanistan, Pakistan and Africa, and a greater focus on

fragile states and gender equality.

Working with the World Bank on joint activities extends the reach, quality and impact of

Australia’s aid program. For example, in 2011, joint support to the Philippines Government’s

fl agship social protection program helped guide the rapid expansion of the social protection

program from one million to 2.3 million poor households. Australia’s additional assistance

to the World Bank’s water and sanitation program in Indonesia led to an estimated 135 000

people benefi ting from improved water supply, and 50 000 people benefi ting from improved

sanitation across 150 villages.

A joint World Bank–AusAID rural development program in Solomon Islands, which began

in 2009, has provided more than 11 000 farmers with advice and training on improved

agricultural and livestock practices, and more than 40 rural businesses with subsidised loan

arrangements and training. This support, along with nearly 400 small infrastructure projects,

has strengthened the rural economy in Solomon Islands and helped farmers better provide for

their families.

A telecommunications project in Solomon Islands has also seen major results, helping promote

business and economic opportunities and better connect people to families, schools and

health services. Since 2009, the number of mobile phone subscribers has grown by nearly fi ve

times and geographical coverage has increased from 20 per cent of the country in 2010 to 67

per cent by the end of 2011. Increased services have also seen a decrease in the price of calls,

now down 40 per cent from their original price.

By working closely with the International Finance Corporation, the private sector arm of the

World Bank Group, Australia has helped support private sector development across the Pacifi c,

East Timor, the Philippines and Indonesia. In East Timor, the International Finance Corporation

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with Australian support has helped the government introduce clearer and simpler procedures

for local business owners to set up and run their operations. Previously they had to wait 103

days to register their companies. By January 2012, this had been reduced to just fi ve working

days. More local business means more economic opportunities and jobs in a country that is

growing rapidly.

International Development Association

The International Development Association, part of the World Bank Group, supports the world’s

poorest 81 countries through provision of concessional loans for development purposes. In

2011–12, Australia provided $185.3 million to the association, which helped it recruit or train

nearly one million teachers, provide basic health services to 18 million people, immunise 86

million children and provide antenatal care to 15 million pregnant women. It has also supported

the construction or rehabilitation of 32 000 kilometres of roads around the world.

For example, International Development Association programs in Ethiopia enabled local

Ethiopian governments to hire 100 000 more primary school teachers nationwide. The primary

school enrolment rate in Ethiopia increased from 68.5 per cent in 2005 to 87.9 per cent in 2010.

Increased enrolment in school has in turn increased the child immunisation rate from 70 per

cent in 2005 to 82 per cent in 2010.33

Asian Development Bank

The Asian Development Bank is a key development partner for Australia in the Asia-Pacifi c

region, providing an important source of analytical work, policy advice and program delivery

expertise. The bank has 67 member countries, including 48 from the Asia-Pacifi c region,

and helps its developing member countries improve their living conditions and quality of life

through concessional loans for development purposes. To achieve this, the bank supports

three complementary development agendas: inclusive economic growth, environmentally

sustainable growth and regional integration.

The Asian Development Fund within the Asian Development Bank provides grants and highly

concessional loans to the bank’s poorest member countries. In 2011–12, Australia’s core

contribution to the fund was $83.1 million.

In April 2012, Australia pledged an initial contribution of $514.8 million (nine per cent of overall

donor contributions) to the 10th replenishment of the Asian Development Fund for the period

2013–16. Australia also pledged to contribute up to $114.4 million (two per cent of overall

donor contributions), which is conditional on the bank progressing a range of management and

operational reforms.

This commitment is a considerable increase on previous contributions, with Australia now the

second largest donor to the Asian Development Fund behind Japan and overtaking the United

States. It is a refl ection of Australia’s increasing confi dence in the bank’s ability to deliver

tangible development benefi ts in line with Australia’s development objectives and that provide

value for money.

33 Information courtesy of the International Development Association.

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Between 2008 and 2011, our core contributions to the Asian Development Fund have helped

the bank:

• build or upgrade 28 400 classrooms and train 331 600 teachers, benefi ting 4.715 million

students

• build or upgrade 42 314 kilometres of road, benefi ting 135.4 million people

• install or upgrade 11 800 kilometres of water supply pipes, helping 1.97 million new

households to receive water.

In 2011–12, our core contributions included US$15 million to the Solomon Islands Road

Improvement Project, which helped reconstruct 72.5 kilometres of roads and rehabilitate 25

bridges after two typhoons had a devastating impact on the Makira Province.

Australia also funded joint projects with the bank at country, sector and regional levels

providing an estimated $83.8 million in 2011–12, mainly targeting infrastructure, health,

education and private sector development in the greater Mekong sub-region and the Pacifi c.

Examples of these joint projects include:

• $5 million to the Cambodia Emergency Flood Rehabilitation Project (2011–15) to help the

government restore key infrastructure that had suffered substantial damage in widespread

fl ooding in late 2011. The project will focus on restoring national and provincial roads, rural

roads and irrigation and fl ood control infrastructure

• a further $8 million (in addition to $13.5 million in 2010–11) to the Philippines as part of

a World Bank and Asian Development Bank initiative to strengthen public and private

partnerships. Australia’s support helped the Philippines to prepare, package and manage

these partnerships to increase private sector investment in infrastructure. By 2017 AusAID

aims to have supported the competitive tendering of at least eight related projects to

improve access for one million Filipinos to new or improved public services and facilitate

$700 million in new infrastructure investment in the Philippines.

African Development Bank

The Australian Government will pursue its planned membership of the African Development

Bank by 2014–15, signalling our commitment as a long-term development partner in

recognition of the organisation’s extensive reform agenda. The African Development Bank

works in areas that are critical to encouraging sustainable growth and reducing poverty in

Africa. There is a strong correlation between the bank’s and AusAID’s aid objectives in Africa,

including a focus on water and sanitation, progressing health-related Millennium Development

Goals and improving food security.

International Fund for Agricultural Development

The Australian Government has announced its intention to re-join the United Nations

International Fund for Agricultural Development in 2014–15. The fund is well regarded for its

work in addressing rural poverty and hunger and offers partnerships in regions where Australia

wishes to build its aid program, such as Africa.

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Inter-American Development Bank

The Australian Government partners with the Inter-American Development Bank to the value

of $12 million for a trust fund to fi nance innovative poverty reduction projects in Latin America

and to fund a fi nancial inclusion project to train 100 000 women in fi nancial literacy and

business development skills in Peru. To date fi ve projects have been approved in Colombia, El

Salvador, Nicaragua and Paraguay and, at March 2012, more than 50 000 women had received

training in fi nancial literacy and business development skills in Peru, exceeding delivery

milestones by three months.

Heavily Indebted Poor Countries Initiative and Multilateral Debt Relief Initiative

The Heavily Indebted Poor Countries Initiative provides multilateral and bilateral debt relief

to the world’s poorest and most heavily indebted countries that have shown a commitment to

reform. As part of Australia’s 2011–12 payment to the International Development Association,

$12.5 million was allocated to this initiative. At December 2011, 32 out of 39 potentially eligible

countries had received debt relief under the initiative.

The Multilateral Debt Relief Initiative cancels 100 per cent of debt owed by eligible poor

countries to major international fi nancial institutions, including the International Development

Association, the International Monetary Fund, and the African Development Fund. At April

2012, 32 eligible countries had received debt relief under the initiative. Australia has paid its

obligation up to 2019.

The Organisation for Economic Co-operation and Development’s Development Assistance Committee

In 2011–12, Australia played an active role in the Development Assistance Committee’s

efforts to shape the Organisation for Economic Co-operation and Development’s new

strategy on development, which aims to ensure the different areas of the organisation work

more effectively together to advance development objectives. The strategy was endorsed

by ministers at the Organisation for Economic Co-operation and Development Ministerial

Council meeting in May. Australia continued to emphasise the value and importance of the

Development Assistance Committee’s work on peer reviews and statistics, and lobbied for

these areas to remain a priority. Australia remained an active contributor to the analytical work

of the committee, particularly in the areas of aid effectiveness and the development challenges

facing confl ict-affected and fragile states. Australia engaged closely with the Working Party on

Aid Effectiveness in preparing for and following-up commitments made at the Fourth High Level

Forum on Aid Effectiveness in November 2011.

G20

Development is central to the Group of Twenty’s (G20) core focus of achieving strong,

sustainable and balanced economic growth. G20 Leaders’ Summits in November 2011 and June

2012 have made progress implementing existing development commitments under the G20

Multi-Year Action Plan on Development. By focusing on its comparative advantage in driving

greater political momentum and coordinated action to promote growth and poverty reduction,

the G20 is successfully driving reform and resolving systemic challenges to development.

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Throughout 2011–12 Australia demonstrated its leadership by advancing key priorities within

the G20 development agenda. Australia was instrumental in securing leaders’ endorsement at

the 2011 Cannes Summit for a target to reduce the average global cost of sending remittances

to fi ve per cent by 2014. The World Bank estimates that achieving this target will represent an

additional $15 billion a year for recipients in poor countries. Australia has contributed $3.5 million

to a new World Bank trust fund that will provide help to Commonwealth developing countries to

implement new remittance policies.

With Indonesia and Italy, Australia continues to lead work to improve social safety nets in

developing countries. This delivers on 2011’s G20 commitments to establish a social protection

knowledge sharing platform and an inter-agency board to improve policy coordination among

international organisations and donors on social protection.

In 2012, Australia took leadership roles in the G20 work on food security, green growth and

increasing access to fi nancial services for the poor. Addressing global food security and

driving agricultural productivity are of central development importance. Australia has also

taken a lead role in developing the G20 AgResults initiative with Canada, the United Kingdom,

United States and the Bill and Melinda Gates Foundation. This initiative, to which Australia will

contribute $20 million over three years, will provide incentives to spur private sector innovation

in agricultural productivity. Australia, with Mexico and South Africa, has led the adoption of

the fi rst G20 Basic Set of Financial Inclusion Indicators, which will help policymakers track the

impact of fi nancial inclusion policies at the country level.

In 2012, Australia also fulfi lled its commitment from the Commonwealth Heads of Government

Meeting in October 2011 to support an annual Commonwealth–G20 outreach meeting on

development. This meeting represents an important opportunity for G20 members, including

Australia, to engage with non-G20 members, particularly low income countries, and to ensure

the G20 development agenda remains relevant and responsive to their development priorities.

Partnering with other donors to enhance development effectiveness

In accordance with Australia’s aid policy, AusAID increased its focus on cooperation and

coordination with other major donors in 2011–12 to deliver more effi cient programs, shape the

international development agenda and generate more innovative approaches to helping people

overcome poverty.

Key partnership achievements for 2011–12 included:

• strengthening cooperation with the United Kingdom Department for International

Development with joint programs worth approximately $1 billion, delivering education and

health services in South Asia and improving rural development, food security and water

and sanitation in Africa

• strengthening cooperation with USAID, which involved programs worth approximately

$820 million in 2011–12. These focused on maternal and child health programs in Tanzania,

water connections in Indonesia, core services in Afghanistan, global child literacy and

improved access for women to fi nancial, health and other services via mobile phones

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• entering into a strategic partnership with the Canadian International Development Agency

to improve food security, help developing countries harness their natural resources for

national benefi t, improve the effectiveness of multilateral organisations and cooperate in

international fora

• strengthening a partnership with the German Federal Ministry for Economic Cooperation

and Development on programs worth approximately $145 million to target youth training

and employment, improve social services in Egypt and Central and South America and

water and sanitation programs in Southern Africa

• strengthening joint cooperation with the European Union on programs worth approximately

$950 million to deliver economic development, infrastructure improvements and education

programs in the Pacifi c and South-East Asia. Our relationship deepened in 2011–12 with

the announcement that Australia would be the fi rst country outside Europe to engage in

delegated cooperation arrangements with the European Commission.

• signing a Joint Australia–France Statement of Strategic Partnership in January between

AusAID, CSIRO, and France’s development agency and national research organisation,

CIRAD. The partnership will support agricultural and climate research to advance food

security in Africa

• signing a memorandum of understanding with the Japan International Cooperation Agency

in December, which has increased information sharing and led to proposals to enhance

practical cooperation in the Pacifi c

• strengthening cooperation with South Korea through annual high level consultations under

a memorandum of understanding on development cooperation

• strengthening cooperation with Brazil through high level consultations under a

memorandum of understanding on development cooperation.

United Nations agencies

United Nations agencies are key partners for AusAID. They extend the geographic reach and

impact of the aid program, help deliver activities where AusAID does not have specialist

expertise, complement the delivery of bilateral programs, ensure coordinated international

responses to humanitarian crises and emergency situations, and use their legitimacy and

convening power to lead international development initiatives such as the Millennium

Development Goals.

AusAID’s core contributions to United Nations development and humanitarian agencies in

2011–12 totalled approximately $211 million. Other assistance through AusAID’s country,

regional and global programs brought total offi cial development assistance delivered by

AusAID through United Nations agencies to approximately $634 million. This funding helped

improve the lives of people living in poverty through better access to safe water and sanitation

facilities, primary education and maternal and child health services.

The Australian Multilateral Assessment concluded that Australia can have a high or reasonably

high degree of confi dence that increases in core funding to United Nations agencies such as

the United Nations High Commissioner for Refugees, United Nations Children’s Fund, United

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Nations Development Programme, World Health Organization and the United Nations Offi ce for

the Coordination of Humanitarian Affairs represent good value for money.

Refl ecting this positive assessment, the government announced in the 2012–13 Budget that

an additional $154.3 million in core contributions would be provided over four years to expand

Australia’s engagement with six United Nations agencies:






• United Nations Entity for Gender Equality and the Empowerment of Women (UN Women).

This funding will help achieve the aid program’s targets of more than 8.5 million people having

increased access to safe water, more than one million additional births being attended by a

skilled birth attendant, and 20 million girls and boys obtaining better quality education by

training 190 000 teachers and 300 000 school offi cials and providing 12 million textbooks.

United Nations agency funding

The United Nations Development Programme is a central player in the United Nations

development system, playing a key role in driving the achievement of the Millennium

Development Goals. AusAID provided an estimated $86.9 million to the program during the

year, including $23.3 million core funding under the AusAID–United Nations Development

Programme Partnership Framework. This funding, in conjunction with that of other donors,

helped the organisation support elections in 58 countries, promote law reform initiatives in

20 countries, enable 16 countries to adopt advocacy tools on security to complement other

confl ict prevention instruments, and assist 85 countries to integrate environmental issues into

national planning.

Australia’s support of the United Nations Children’s Fund is refl ected in a partnership

framework from 2008 to 2015, through which $34.1 million was provided in 2011–12 as

core funding. Overall, AusAID provided an estimated $97.6 million in 2011–12 to the United

Nations Children’s Fund. This support, and that of other donors, enabled the United Nations

Children’s Fund to respond to 292 humanitarian situations in 80 countries, vaccinate 10 million

children against measles, enable 71 countries to develop and implement national policies on

early childhood development and school readiness, assist an estimated 1.8 million severely

malnourished children aged from six months to fi ve years through feeding programs, and help

more than 11 600 children formerly associated with armed forces or groups to reintegrate into

their families and communities.

Australia is a strong supporter of UN Women, a United Nations entity established in 2011

to promote gender equality and the empowerment of women and girls. In 2012, Australia

provided core funding of $9.5 million, making us the organisation’s fi fth largest donor.

UN Women is a key partner for AusAID in delivering on our own priorities to promote women’s

leadership, support women’s economic empowerment and end violence against women. For

example, since 2011, UN Women has supported electoral reform in 14 countries. In Kenya, it

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supported advocacy for the adoption of a gender-sensitive election law and a political parties

bill. It also trained and supported female candidates to conduct campaigns for public offi ce in

23 countries. In 18 of these, more women are now in offi ce.

In 2011–12, UN Women supported policy and legal reforms, a new national action plan and

improved service delivery standards to eliminate violence against women in 36 countries

and regions. At the organisation’s urging, 145 companies have signed the UN Women/United

Nations Global Compact Women’s Empowerment Principles committing them to take

action to ensure women have equal opportunities in employment and leadership within

their organisations.

UN Women is also playing a leading role in improving the work of the United Nations in promoting

gender equality. In 2011–12, UN Women supported the development of a United Nations

System Wide Action Plan for gender equality and women’s empowerment, which provides an

accountability framework for gender-related work across United Nations agencies. It has also

worked with other agencies to deliver gender markers to track spending on gender equality.

International Women’s Day 2011 Honiara, Solomon Islands

Left to right: Jean Lele (YWCA kindergarten teacher), Jocelyn Lai (YWCA Board member), Alice Kale (YWCA General

Secretary) and Pauline Soaki (previous YWCA Board member and AusAID gender and health program manager)

Photo: Jeremy Miler, AusAID

In 2011–12, Australia provided the United Nations Peacebuilding Fund with $4 million

in funding. Its activities align closely with Australia’s interests in peacekeeping and

peacebuilding. The fund is currently supporting 193 projects in 22 countries, the majority in

Africa. These projects include supporting national peace dialogues, promoting community

reconciliation, strengthening the rule of law, reforming the security sector, supporting

disarmament, demobilisation and reintegration, providing economic stimulus for community

businesses and addressing youth unemployment.

AusAID is providing $2 million between 2011–12 and 2012–13 to the United Nations

Development Programme’s Bureau for Crisis Prevention and Recovery. The bureau provides

technical assistance to program country offi ces to formulate projects and provides seed

funding to initiate them.

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In 2011–12, AusAID contributed $1 million to the United Nations Department of Political Affairs

as part of a three year partnership valued at $4 million. The department’s focus on preventative

diplomacy supports the prevention of violent confl ict, one of the key aims of AusAID’s

Framework for working in fragile and confl ict-affected states. Funding helped the department

support a resumption of Middle East peace talks, broker a political path toward stability in

Somalia, foster dialogue and reconciliation in Guinea Bissau and the Central African Republic,

encourage agreements between communities in Iraq, soothe tensions in Lebanon and facilitate

accords on sharing scarce resources in Central Asia.

Core contributions were made to the following United Nations development and

humanitarian organisations:



• United Nations Development Programme Bureau for Crisis Prevention and Recovery




• United Nations Offi ce for the Coordination of Humanitarian Affairs

• Offi ce of the United Nations High Commissioner for Refugees

• United Nations Offi ce on Drugs and Crime

• United Nations Relief and Works Agency for Palestine Refugees in the Near East

• UN Women

• World Food Programme.

Australia’s contribution to school feeding

Australia provides an annual contribution

of $10 million to school feeding operations

administered by the United Nations World

Food Programme. Over the past two years

alone, this contribution to school feeding

programs has supported over half a million

school children.

Meals may be in the form of breakfast,

mid-morning nutritional snacks, lunch or a

combination of meals. In some cases, take

home rations may also be provided where food

is sent home to the families of children who

attend school.

School feeding programs have a number of

benefi ts, including improving the nutritional

status of children so that they can concentrate

and learn. At the same time, programs

encourage families to send their children,

particularly girls, to school. In this way,

school feeding can play an important role in

supporting health, educational and gender

equality outcomes for children most in need

around the world.

Australia’s contribution to school feeding

programs is part of the four year Strategic

Partnership Agreement jointly signed by

Australia and the World Food Programme

in 2009. Under this agreement, Australia

supported school feeding operations in seven

countries—Nicaragua, Kenya, Bangladesh,

Bhutan, Cambodia, Laos and Myanmar.

Above: School children leaving school at the end of the day in Sekong, Laos

Photo: Jim Holmes for AusAID 159

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Commonwealth organisations

Comprising 54 member countries, the Commonwealth’s role is to promote democracy, good

governance, human rights and the rule of law in member countries.

In 2011–12, AusAID contributed $10.98 million to the core activities of the Commonwealth

Fund for Technical Cooperation, the Commonwealth Youth Programme, the Commonwealth

Foundation and the Commonwealth of Learning. This funding supported economic

development and environmentally sustainable development programs in Commonwealth

developing countries, election support and the promotion and protection of human rights.

AusAID also continued to support the Commonwealth small states offi ces in New York and

Geneva to facilitate the representation of small states at the United Nations.

Development initiatives announced by Australia at the 2011 Commonwealth Heads of Government

Meeting in Perth included food security, mining for development, polio eradication and

democracy. Australia fulfi lled its commitment at the 2011 Commonwealth Heads of Government

Meeting to re-join the Commonwealth of Learning. This organisation focuses on developing and

sharing open learning and distance education knowledge, and resources and technologies to

help developing countries access quality education and training. In addition, Australia joined the

United Kingdom in supporting the establishment of the Queen Elizabeth Diamond Jubilee Trust,

created to celebrate Queen Elizabeth’s 60 year contribution to the Commonwealth.

International education programs

Australia works with effective multilateral, bilateral, non-government and civil society

organisations whose work is aligned with the priorities of Australia’s education aid program,

and that deliver value for money. Australia is supporting the critical work of the Global

Partnership for Education to help get 25 million more children in the world’s poorest countries

into school by 2015. In November 2011, Australia committed $270 million to the Global

Partnership for Education from 2011–15.

The Australian Multilateral Assessment found the Global Partnership for Education to be one of

our strongest multilateral partners. The assessment highlighted the partnership’s impressive

results against its strategic objectives and close alignment with Australia’s goals. Since 2002,

the partnership has helped 19.3 million more children enrol in school (54 per cent girls),

provided jobs for 300 000 new teachers, built 30 000 new classrooms, and distributed more

than 200 million textbooks to primary schools. Australia is one of the partnership’s top four

donors and as a member of the board of directors in 2011–12, led strategic reforms to improve

its effectiveness.

Improving literacy is a key component of AusAID’s education program. In many countries,

an unacceptably high number of children remain illiterate after several years of schooling.

Educating children is about more than just getting them into schools. Ensuring improved

literacy will require some innovative solutions. In 2011, Australia became a founding partner,

along with USAID and World Vision, to establish the All Children Reading program—a global

grant funding initiative to attract innovative proposals that use new methods and technologies

to improve literacy in the early grades of primary school. Grants are open to the private sector,

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non-government organisations, civil society and academic institutions from around the world.

Australia is contributing $5 million over two years from 2011–13. The fi rst funding round in 2012

attracted more than 450 applications.

Australia recognises that a strengthened civil society is important for achieving sustainable

development. Australian aid is contributing to the work of civil society organisations through

the Civil Society Education Fund, an initiative of the Global Campaign for Education.

The fund is a global community boosting the knowledge, skills and infl uential capacity of

national civil society organisations to advocate for quality education for all. In 2011, Australia

committed $5 million for 2011–13 to strengthen education focused civil society networks in 45

low income countries around the world.

International health programs

Multilateral health agencies, such as the World Health Organization, and global fi nancing

mechanisms, such as the Global Fund to Fight AIDS, Tuberculosis and Malaria and the GAVI

Alliance, play a critical role in supporting better health services for poor people in partner

countries. These organisations provide technical guidance and complement our bilateral

programs by funding commodities and services that Australia does not directly provide. In

2011–12, AusAID continued to invest in multilateral health agencies and global funds to expand

the reach and impact of our programs.

The recent Australian Multilateral Assessment found that all global health agencies were

delivering tangible benefi ts in line with Australia’s development objectives. The GAVI Alliance,

for example, was one of the highest performing multilateral agencies, rating very strongly in

terms of delivering results and transparency and accountability.

Immunisation not only saves lives but promotes health, allowing children to fully benefi t from

opportunities such as education. The GAVI Alliance is a key partner for Australia in accelerating

achievement of the health Millennium Development Goals and meeting Australia’s strategic

objective of saving lives. Australia provided $60 million to the GAVI Alliance in 2011–12 as

part of our commitment of $200 million from 2011–13. Australia is also providing $250 million

between 2010 and 2030 to the GAVI Alliance’s International Finance Facility for Immunisation

to support better health outcomes by building the capacity of health systems to deliver

immunisation services, including $4.85 million in 2011–12.

We have continued to support the World Health Organization, the lead agency for setting

the global standards for health and providing technical guidance to partner governments. In

2011–12, AusAID provided $23 million in core funding to the World Health Organization, as well

as additional funding to support country and regional priorities and specifi c issues such as

maternal and child health, and non-communicable diseases.

Adding to the burden of infectious diseases in low income countries is the increasing

proportion of premature non-communicable disease-related deaths such as stroke,

diabetes and heart disease. In 2011–12, AusAID continued to support and encourage partner

governments to implement prevention interventions. This is particularly important in Pacifi c

Island countries where the burden of non-communicable diseases is high. AusAID is also

supporting global efforts to increase disease prevention and control. At the United Nations

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High-Level Meeting in September 2011, Australia announced a new commitment of $4 million

in 2011–12 for the World Health Organization to help implement the action plan for the Global

strategy for the prevention and control of non-communicable diseases.

As part of our commitment to improving maternal and child health, Australia joined the Board

of the Partnership for Maternal, Neonatal and Child Health in October 2011. The partnership

is a global alliance of more than 400 organisations and advocates for support to reduce child

mortality and improve maternal health. Australia provided $2 million during the year to support

this important work.

Australia is continuing to invest in family planning as a proven, highly cost-effective strategy

for reducing maternal deaths. In 2011–12, we provided $14 million in core funding to the United

Nations Population Fund to support its work to reduce maternal deaths and promote access to

contraception to ensure that every pregnancy is wanted.

AusAID also continued to support the International Planned Parenthood Federation, an

organisation which works to ensure young people have access to reproductive health

information and care, and provided core funding of $5.5 million in 2011–12, including $4 million

to support activities in South Asia and $1.7 million to support activities in the Pacifi c.

Australia is committed to supporting the Joint United Nations Programme on HIV/AIDS,

providing $9 million in 2011–12. Our support is helping advocate for increased HIV/AIDS

fi nancing and is achieving impressive results. New HIV infections fell 21 per cent between

1997 and 2010. In the Asia-Pacifi c region, the number of people receiving antiretroviral therapy

almost tripled from 280 000 in 2006 to 739 000 in 2009.

The Global Fund to Fight AIDS, Tuberculosis and Malaria provides about two-thirds of

international funding to fi ght tuberculosis and malaria and about one-fi fth of international

funding for HIV/AIDS. In 2011–12 Australia provided $10 million to the fund and between 2011

and 2013 our total support will be $210 million. This will help treat 71 000 people with HIV

with antiretroviral drugs, 63 000 people for tuberculosis, and distribute more than 1.7 million

insecticide treated bed nets to help prevent malaria.

Globally the World Health Organization estimates there are 285 million people who are

visually impaired, 39 million of who are blind and 246 million with low vision. Australia

supports countries to strengthen health systems and develop and implement eye health plans.

Through the Avoidable Blindness Initiative, programs in Asia and the Pacifi c have achieved

impressive results. In 2011, more than 15 000 pairs of eye glasses were distributed, 300 000

vision screenings were undertaken and more than 17 000 sight restoring surgeries took

place. Important work in this area had a lasting impact on individuals, their families and the

broader community.

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Climate change and the environment

Australia’s aid program is designed to help people overcome poverty and Australia’s climate

change and environment assistance supports that purpose. In 2011–12, AusAID climate change

and environment assistance totalled $231 million.

Climate change and environmental degradation are major challenges to sustainable

development, with the majority of people living in developing countries being dependent on

the natural environment for their food, water, income and livelihoods. As a result, they are

more vulnerable to environmental changes, such as declining water quality, over exploitation

of international fi sheries and projected increases in frequency and severity of droughts, fl oods

and other climate-related natural disasters.

Through the aid program, we are continuing to focus assistance on those least able to adapt

to climate change, including the most vulnerable in least developed countries and small

island developing states. This also includes the most vulnerable people within countries, such

as women who account for up to 70 per cent of people living in poverty globally. AusAID is

leading the way on engaging at the international level to respond to urgent regional and global

environmental challenges and support multilateral organisations to meet their obligations

under multilateral environmental agreements.

Australia’s contribution to international climate change action

Australia has committed $599 million to help developing countries address climate

change over 2010 to 2013. In 2011–12, Australia made progress implementing its fast start

commitments, with $544 million or 90 per cent allocated to countries, regions and multilateral

initiatives and around $380 million or close to two-thirds of total funding disbursed. With

activities underway, results are being felt on the ground.

During 2011, Australia played a leadership role in the design of the new Green Climate Fund and

as co-vice chair of the transitional committee. The fund has the potential to make an important

contribution to international development and climate change efforts.

Australia is also supporting the adoption of clean technologies through a multi-year

contribution of $100 million to the global Clean Technology Fund. Projects under the fund

are expected to double the installed capacity of concentrated solar power worldwide, almost

double geothermal capacity in Indonesia and reduce emissions in the Philippines by up to

six million tonnes of carbon dioxide equivalent through sustainable and scalable solar and

rapid transport programs.

Australia contributed $5 million to the Global Green Growth Institute in 2011–12. The institute

is directly supporting developing countries to develop and implement green growth strategies

and policies, allowing them to achieve sustainable economic growth and development. It also

operates as a knowledge hub for green growth analysis and best practices on which developing

countries can draw when planning and implementing low-carbon development. The Minister for

Foreign Affairs, Senator Bob Carr, sits on the institute’s board of directors.

Australia is also providing $15 million from 2011–13 in bilateral funding to developing countries,

including Indonesia, Vietnam and South Africa. This will be used for low-carbon development

planning and capacity-building, including for robust and transparent measuring, reporting

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and verifi cation of greenhouse gases. This will help countries reduce their emissions while

also supporting their development needs. It can facilitate access for developing countries to

carbon markets and sources of climate fi nance, thereby enhancing economic development and

alleviating poverty.

Adapting to climate change

In 2011–12, Australia allocated $78 million to help the poorest and most vulnerable countries

build their resilience to the unavoidable impacts of climate change. Partner countries have

clearly conveyed their demand for climate change adaptation assistance as climate change has

the potential to increase poverty, undermine livelihoods and contribute to declining population

health. This is part of Australia’s International Climate Change Adaptation Initiative, which

provides $328.2 million over fi ve years from 2008 to 2013.

Our focus is on our neighbours in the Asia-Pacifi c region, however we also work in

vulnerable countries in the Caribbean, South Asia and Africa where we are able to provide

specialised support.


• upgrading transport infrastructure in Solomon Islands and Vanuatu to reduce the risk from

extreme weather events and coastal erosion

• improving coastal community resilience in Kiribati by building seawalls to protect public

infrastructure and planting mangroves to reduce erosion

• building poor people’s resilience to climate-related disasters by mangrove planting,

supporting alternative livelihoods and improving dyke construction in the Mekong Delta

of Vietnam.

AusAID is engaged at various levels and provides support to non-government organisations in

the Philippines, Vietnam, East Timor and the Pacifi c for community-based adaptation activities

in sustainable agriculture techniques, land and water conservation management, disaster

risk reduction and livelihood diversifi cation. We also provide multilateral support for the Least

Developed Countries Fund, which is increasing the capacity of least developed countries to

prepare and implement national adaptation programs of action.

Australia’s approach to helping partner countries become more resilient to their changing

climates is already yielding results.


• releasing 15 country-specifi c profi les of future climate projections at the United Nations

Framework Convention on Climate Change COP17 in Durban. These are informing country

planning for climate change adaptation, for example Fiji’s National Climate Change Policy,

which was released in March 2012

• recruiting, training and equipping around 6500 volunteers to respond to the threats

of major cyclones through Australia’s support to the United Nations Development

Programme’s Comprehensive Disaster Management Program in Bangladesh

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• ensuring 4874 residents of Bequia, St Vincent and the Grenadines benefi t from a

saltwater reverse osmosis system that uses renewable energy to produce high quality and

cost-effective potable water.

Reducing emissions from deforestation and forest degradation

Global deforestation of around 13 million hectares a year has been identifi ed as the cause

of approximately 15 per cent of the world’s greenhouse gas emissions. Australia is playing

a leading role in supporting programs aimed at Reducing Emissions from Deforestation and

Forest Degradation (REDD+) in developing countries through the fi ve year, $273 million

International Forest Carbon Initiative, of which $45 million was spent in 2011–12.

In 2011–12 Australia entered a $20 million partnership with Germany, the Netherlands and

Norway to support the Energising Development Programme, set up to tackle deforestation

and development challenges in 18 countries in Africa, Latin America and Asia. The program will

target a key driver of deforestation—wood for fuel—which will produce additional benefi ts

including improved health outcomes.

Australia has also developed a three year $10 million partnership with the Centre for International

Forestry Research, a non-profi t global facility that produces research to promote informed and

equitable decision-making about the use and management of forests in less developed countries.

The partnership supports REDD+ research, dissemination of lessons learned and outreach work

to infl uence policy development and support international REDD+ efforts.

Australia contributed $12.7 million to the World Bank-administered Forest Carbon Partnership

Facility in 2011–12. This fund supports REDD+ participant countries to prepare and establish

robust governance systems, consult with affected forest-dependent communities and develop

incentive payment mechanisms. The facility is working with 37 developing countries to produce

their national REDD+ plans that will help them access climate change fi nance and implement

activities to reduce emissions.

Australia continues to partner with Indonesia through the $100 million Indonesia–Australia

Forest Carbon Partnership. Although implementation has been slower than expected,

important progress was made across a range of areas in 2011–12:

• in Kalimantan, approximately 1.2 million seedlings of corner-stone species were planted.

These were raised in community nurseries and are providing an important income source

for poor communities in the area

• canal blocking has begun, which will re-wet peat to prevent fi res. The blocking of large

canals will soon commence and provide employment opportunities

• much of the environmental work is being delivered by local communities—so far $450 000

has been provided in incentive payments.

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Lessons learned from activities in Kalimantan are contributing to the global dialogue on REDD+,

including on topics such as:

• environmental and social safeguards

• monitoring, reporting and verifi cation of REDD+

• national REDD+ frameworks

• ways to determine forest and emissions reference levels.

International environment programs and organisations

Australia’s aid program is helping partner countries to improve their environmental

management and move to sustainable development through a range of multilateral initiatives.

In 2011–12, more than $3.1 million was provided to the 2012–14 replenishment of the Montreal

Protocol Multilateral Fund as part of Australia’s ongoing commitment to assisting developing

countries to phase out the use of ozone depleting substances. AusAID also provided $1 million

to the United Nations Trust Fund to support Pacifi c Island and other developing countries to

participate in the 2012 United Nations Conference on Sustainable Development (Rio+20). Their

participation will be crucial in securing agreements that will directly benefi t the poor.

Global Environment Facility

The Global Environment Facility is an independent multilateral fund that works through

multilateral development banks, United Nations agencies and civil society organisations to

help developing countries address environmental challenges. The facility funds practical

programs and shapes policy reform to tackle areas including climate change, biodiversity

loss, ozone depletion, contamination by persistent organic pollutants, degradation of land

and transboundary water systems. In 2011–12, AusAID provided $22.6 million to support the

facility’s activities.

Since its establishment in 1991, the facility has supported more than 2700 projects in more

than 165 countries. Key results have included:

• establishing more than 634 million hectares of protected areas

• implementing sustainable land management innovations in more than 100 million hectares

of production landscapes

• achieving an expected 1.7 billion tonne reduction in greenhouse gas emissions.

167

Protecting livelihoods in the Coral Triangle

Covering only 1.6 per cent of the world’s ocean,

the Coral Triangle contains 76 per cent of all

known coral species, 37 per cent of all coral reef

fi sh, the greatest extent of mangrove forests

in the world and spawning areas for tuna and

other commercial fi sh species. The health

and livelihoods of approximately 360 million

people in the region are currently sustained by

the biodiversity and ecosystems of the Coral

Triangle. It is a source of food, income and

protection from severe weather events. The

ongoing health of these ecosystems is critical

for the people of the region.

The Coral Triangle Initiative on Coral Reefs,

Fisheries and Food Security is a regional

development partnership between the

governments of Indonesia, Malaysia, Papua

New Guinea, the Philippines, Solomon Islands

and East Timor. Given Australia’s experience

and expertise in marine and coastal ecosystem

policy, planning and management, Australia

has committed to a phased multi-year program

of support that will evolve and respond as the

initiative grows.

The fi rst phase of support has focused on the

foundations and momentum for the initiative.

A regional plan of action sets goals for

collaboration amongst Coral Triangle countries

and is complemented by national plans of

action that promote domestic priorities.

Australian support has helped:

• Papua New Guinea strengthen its ability

to manage tropical marine resources and

advance approaches for locally-based

marine management

• Solomon Islands undertake marine surveys

on Tetepare Island and review options

to strengthen provincial government

support for community-based resource

management

• East Timor to map and assess coastal

marine habitats which poor coastal

communities depend on.

Coral Triangle countries have agreed to support

people-centred biodiversity conservation,

sustainable development, poverty reduction

and equitable benefi t sharing.

Above: Joyce Bay women with their mangrove seeds, grown as part of an Australian Government-funded activity to the

Papua New Guinea Centre for Locally Managed Areas

Photo: Courtesy of Papua New Guinea Centre for Locally Managed Areas

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Program 1.7 ODA—Non-government organisation, volunteer and community programs


Objective: to assist developing countries through contributions to non-government organisation, volunteer and community programs





development results

Signifi cant


and development

results were achieved

Signifi cant


and development

results were achieved

Signifi cant


and development

results were achieved,

as highlighted on pages

169 to 180



a quality rating of


100 per cent

of non-government

organisation, volunteer

and community

programs received

a quality rating of


100 per cent of

the quality ratings

for non-government


and community

programs were


100 per cent of

the quality ratings

for non-government


and community

programs were



of program strategy

objectives fully or

partially achieved

100 per cent of

program strategy


partially achieved

100 per cent of

program strategy


partially achieved

100 per cent of

program strategy


partially achieved

90 per cent of


with the quality at

implementation

process*

100 per cent

of non-government


and community program


with the quality at


100 per cent

of non-government


and community program


with the quality at



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Working with non-government organisations

Working with non-government organisations is one of the important ways AusAID maximises

the impact and reach of Australian aid. Non-government organisations have international and

local networks that help deliver long-term development programs and basic services to the

most vulnerable and marginalised. They are also often the fi rst to trial fl exible solutions to

alleviate poverty. By working with governments, councils, communities and families across the

globe, non-government organisations use AusAID support to improve the futures of the world’s

poorest people.

AusAID NGO Cooperation Program

The AusAID NGO Cooperation Program (ANCP) provides direct funding to Australian

non-government organisations accredited by AusAID. In 2011–12, AusAID’s assistance to

43 accredited Australian non-government organisations through ANCP totalled $98.1 million.

This funding allowed accredited non-government organisations to deliver over 600 projects in

more than 50 countries.

Through ANCP, AusAID supports programs working with the poor in diverse areas such as

water, hygiene and sanitation, health and nutrition, agricultural technology, improving living

environments in slums, child protection, disability and savings and fi nancial services.


• helping 350 000 people access new or refurbished water supply facilities and 60 000 to

access sanitation services

• helping 275 000 people benefi t from integrated community approaches to health and

wellbeing and training 2000 midwives and other community professionals

• helping more than 125 000 poor farmers in vulnerable and fragile contexts to obtain new

agricultural technology, support and training

• helping 35 000 children in poor and disadvantaged communities benefi t from additional

facilities and services and education policies

• enabling 10 000 people with disability to obtain medical consultations, treatment and

counselling, and supporting more than 25 disability organisations and committees to

advocate for the rights of people with disability

• benefi ting more than 10 000 poor and disadvantaged children, including those with

disability, with early childhood development and pre-primary school preparation including

support for more than 500 early childhood centres

• enabling 12 500 additional poor women and men to obtain fi nancial services and revolving

loans or savings accounts.

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AusAID NGO Cooperation Program partnerships

AusAID has partnership agreements with eight of the largest accredited Australian

non-government organisations including CARE Australia, Caritas Australia, Christian Blind

Mission Australia, ChildFund Australia, Oxfam Australia, Plan International Australia, TEAR

Australia and World Vision Australia.

In 2011–12 more than half of ANCP funding—around $63 million—was allocated to these

organisations. In 2012, a mid-term review was initiated with all eight partners to make further

improvements and to determine the impact of our partnership approach.

Partnership with the Australian Council for International Development

In 2011–12, AusAID continued its valuable partnership with the Australian Council for

International Development (ACFID), Australia’s representative peak body for more than 70

international development non-government organisations.

The partnership continues to harness the capacities of each organisation to work together and

facilitate higher quality engagement with the Australian non-government organisation sector.

During the year ACFID has been a key partner in developing the AusAID Civil Society Engagement

Framework, which sets out how Australia will work more effectively with civil society organisations

in Australia and overseas to increase the impact of aid for the world’s poorest.

AusAID agreed to provide a grant of $508 000 to ACFID over the next three years to help

strengthen monitoring of compliance with its code of conduct and support the ACFID–University

Linkages Network Conference.

171Above: Misheck proudly displays corn cobs he grew using conservation farming techniques

Photo: Courtesy of Ben Fraser, Act for Peace

A farmer’s story

A healthy dose of competition is one of

the motivating factors for maize growers in

Zimbabwe’s southern province of Masvingo.

Supported through the AusAID NGO

Cooperation Program, Act for Peace, and its

project partner, Christian Care, have introduced

conservation farming, a low cost and low

technology farming strategy, to local farmers.

“I am Misheck Chauke, and I farm in

Muckachana village. I attended the Mwenezi

farmer fi eld day with more than 300 other

farmers who are following the new conservation

farming methods that we learnt through

Christian Care. For many years, I had much

misfortune in trying to feed my family. I then

heard about conservation farming. It was a

mystery at fi rst, but it’s a much clearer picture

now. By the fi rst year I had much better crops. It

has all been proven through my harvest.

“I now sell some of my maize crop to pay school

fees and buy clothes. My goal is to get the right

equipment to dig a well so I can plant crops at

any time. I could then make my plot a training

centre so people could come and visit and

learn. The results show that we who are using

conservation farming are the best farmers in

Zimbabwe.

“We were just getting poorer because we were

without this knowledge, but now we are sharing

ideas. We work together with farmers, chiefs

and government extension workers—we are

one family now,” says Misheck.

172Above: In rural Ethiopia, Christian Blind Mission is working to integrate children with disability into mainstream schools

Photo: Courtesy of Christian Blind Mission Ethiopia

Working together to give more children access to school

Christian Blind Mission Australia has been

working with local partner Rehabilitation and

Prevention of Disability on a project based

in the Adama region of Ethiopia, which is

providing support for communities to include

people with disability in health, livelihood and

education initiatives. As part of the project’s

work in education, partnerships with eight

local schools have enabled children with

disability to be integrated into mainstream

schools. This has required teachers to be

trained in the basics of inclusive education so

they can help develop strategies to support

students with disability in the classroom.

One school has taken steps to modify the

physical environment to make sure it is more

accessible. Students have been provided with

devices such as mobility aids and special

seating to support day-to-day activities, and the

school has also adapted to create an inclusive

environment. This has included appropriate

toilet facilities, ramps and rails and has resulted

in better interaction between students with and

without disability in the playground.

Collaboration has been very positive and will

continue to build on the successes made so

far. The school is eager to continue promoting

inclusive education, as its aim is to ‘avail

inclusive education to most of the students in

the town’.

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Supporting greater non-government organisation effectiveness

Accreditation

The AusAID NGO Cooperation Program (ANCP) has a rigorous accreditation process which

assesses the governance and organisational structures, fi nancial systems and development

approaches of non-government organisations to ensure our funding partners are professional,

well-managed, and accountable. Currently 43 non-government organisations are accredited at

either base or full level and receive funding under ANCP.

An integral part of the accreditation process includes peer review of organisation review

reports by the Committee for Development Cooperation. The committee includes

representatives from Australian non-government organisations accredited by AusAID. It also

provides advice to AusAID on policy and procedures regarding accreditation and funding

streams to Australian non-government organisations, in particular ANCP.

During the year, AusAID received three new applications for accreditation and 18 applications

for re-accreditation. More than 1500 telephone calls and emails were received from

organisations around Australia seeking information about accreditation, admittance to the

overseas aid gift deduction scheme register, how to make donations to overseas aid efforts,

and how to establish an organisation to assist people overseas.

The AusAID NGO Cooperation Program monitoring, evaluation and learning framework

In 2011–12, AusAID worked with Australian non-government organisations to develop a

monitoring, evaluation and learning framework for ANCP to improve reporting on the results

and effectiveness of ANCP funded non-government organisations. The framework provides the

evidence base to determine the effectiveness. The framework does not replace the monitoring

and evaluation systems of ANCP non-government organisations themselves or of their overseas

partners. It was trialled in 2011–12 and will be reviewed at the end of 2012.

Overseas aid gift deduction scheme register

AusAID continued to assess applications for both accreditation and admittance to the overseas

aid gift deduction scheme register, which enables organisations to issue tax deductible

receipts for donations made to a public fund that has been established to receive donations for

overseas aid.

AusAID received more than 40 applications for admittance to the register and 12 public funds

were added to the register in 2011–12, bringing the total of public funds on the register to 208.

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Greater engagement with non-government organisations and the community

Civil Society Engagement Framework

The government works with a range of partners, including non-government organisations and civil

society organisations, to increase the impact of Australia’s aid. AusAID currently engages directly

with approximately 260 Australian, international and local civil society organisations, both as aid

donors and direct benefi ciaries.

In June 2012, AusAID released the Civil Society Engagement Framework, which outlined a shift

in the Australian Government’s engagement with civil society organisations. The framework

provides a sharper focus for AusAID and civil society organisations on effectiveness, results,

sustainability, risk reduction, effi ciency and value for money, diversity and innovation, and meets a

key commitment of Australia’s aid policy.

AusAID worked closely with the Australian Council for International Development in developing

the framework and considered feedback from non-government organisations when the

draft was released for public consultation. The framework took account of the fi ndings and

recommendations of Working beyond government, an evaluation report issued by AusAID’s

Offi ce of Development Effectiveness (ODE) in March 2012. ODE’s report considered international

good donor practice in engaging with civil society in developing countries and examined AusAID’s

experience in Papua New Guinea, Vanuatu and the Philippines.

The framework sets out 19 approaches and actions for how Australia will work with civil society

organisations to defi ne development priorities and identify solutions, respond to humanitarian

crises, deliver services to communities and build capacity in local systems. Immediate

actions include:

• developing an assessment methodology to guide decisions on increased funding to and

through civil society organisations, including measuring effi ciency and value for money

• developing an agency-wide civil society organisation monitoring and evaluation framework to

consistently track their results

• improving the accreditation process, including for small and medium non-government

organisations

• creating a civil society portal on the AusAID website to house key consultation and

procurement information and to support the roll out of the Transparency Charter.

The AusAID NGO Cooperation Program Innovations Fund

Since 2009, the ANCP Innovations Fund has supported Australian non-government organisations

to look at new and innovative ways to change the lives of the poor.

In 2011–12, the fund supported a diverse mix of development efforts showcasing international

best practice in Australian aid. This included projects that improved the quality of fi nancial

services to the poor in the Philippines, and new efforts to pilot agricultural practices to support

poor communities living in and around Tonle Sap Lake, Cambodia.

A project in Bangladesh piloted slum upgrade efforts to improve the living environments

for communities in the urban slums by improving housing and sanitation for families and

households. The lessons learned from this project have the potential to change the lives of the

poorest people in these regions.

175

Banking by boat in Solomon Islands

Dr Alice Pollard takes an eight hour overnight

boat trip from Honiara to Malaita Island in

Solomon Islands several times a year. She

boards a motorised canoe and for the next four

days she travels to 12 rural centres accessible

only by sea. There she provides deposit

and withdrawal services to the 600 women

members of the West Are’Are Rokotanikeni

Association. She also takes time in each village

to talk through any questions or concerns the

women may have.

Dr Pollard then deposits the savings at a bank

in Honiara. For many women, this savings

group and the income-generating activities

which go with it represent a new relationship

with money.

Dr Pollard is supported in her work by the

AusAID NGO Cooperation Program. The

fund was started in 2006 and now has more

than 400 000 Solomon Island Dollars in

accumulated savings. More than 66 000

Solomon Island Dollars has been withdrawn

for family education and health expenses.

Recognising the need to increase fi nancial

literacy for rural women, Alice and three

expatriate volunteers created two manuals,

Women and money, and Women and banking, which introduce principles of saving,

borrowing and banking in simple terms and

with clear illustrations. On 3 April 2012, the

International Women’s Development Agency’s

Patron, Her Excellency the Governor-General of

the Commonwealth of Australia, Ms Quentin

Bryce AC, launched the manuals at a ceremony

in Honiara.

For many women this savings group and the

income-generating activities which go with it

represent a new relationship with money. As

one woman told Alice, “I thought handling

money was for men only, or for people earning

fortnightly wages. Now I can touch it, feel it

and deal it”.

Above: Dr Alice Pollard with Governor-General, Ms Quentin Bryce AC at the launch of the fi nancial literacy manuals in

Honiara, Solomon Islands

Photo: Tom Perry for AusAID

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Engaging with Australian business

AusAID’s business engagement agenda delivers on the Government’s commitment in

Australia’s aid policy, An effective aid program for Australia, to strengthen linkages with the

Australian business community on aid and development issues. This is important as the private

sector is at the heart of economic growth and development, and Australian business and the

aid program operate in the same countries, regions and communities.

In 2011–12, AusAID established a Business Engagement Steering Committee with

representatives from peak business bodies, the non-government organisation and

philanthropic sectors, and relevant government agencies to help frame its activities with the

business sector and prepare for the inaugural Consultative Forum with Business scheduled for

August 2012. This forum will provide an opportunity for Australian business leaders and AusAID

to work together by sharing best practice approaches on development issues in developing

countries. It will also provide a platform for AusAID to launch its Private Sector Development

Strategy which outlines how the Australian aid program will support the development of the

private sector in partner countries.

In 2011–12 AusAID established a Business Engagement Unit to prepare for the forum, provide

a single point of entry for business into AusAID and to structure the approach for ongoing

engagement with the business community.

Australian Volunteers for International Development

In 2011–12, the Australian Government spent $63.1 million to support 1631 Australian

Volunteers for International Development (AVID), including 928 who began new assignments,

in 1110 organisations across 37 developing countries. Seven hundred volunteers were

Australian Youth Ambassadors for Development, aged between 18 and 30.

The AVID program, launched in May 2011, not only gives skilled Australians of all ages

opportunities to contribute to the Government’s overseas aid program by sharing their skills

and knowledge, but also facilitates cross-cultural understanding and builds lasting

people-to-people links between Australia and a range of countries. AVID volunteers contribute

to the development objectives of the Australian and partner governments by building capacity

of their host organisations which include local community organisations, non-government

organisations, government organisations, business, academic institutions and multilateral

organisations. Volunteers share their skills and experience in areas such as health, education,

agriculture, rural development, water and sanitation and community development. Since

the 1960s, the Government has supported more than 13 500 Australian volunteers in

developing countries.

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Figure 14: Regional distribution of Australian Volunteers for International Development in 2011–12

Asia 59%

Africa 10%

Other 3%

Pacific 28%

In 2011–12 AusAID worked closely with its three AVID core partners—Austraining International,

Australian Red Cross and Australian Volunteers International—to improve the management

of volunteers, including through consistency in allowances and enhanced security and

safety measures. A comprehensive volunteer code of conduct has also been developed

and implemented.

A new planning process for AVID volunteer assignments was also introduced during the year

which better aligns volunteer placements with the Australian Government’s aid strategies for

partner countries. The planning process has also identifi ed areas where long-term capacity

development plans for particular host organisations are needed. In 2011–12 AusAID and

its three AVID core partners commenced implementation of these plans using multiple

volunteer assignments.

178

Above: Australian Volunteer Nurse Educator Di Brown on a nursing round with patient Ed and nurses at Sanglah Hospital

in Denpasar, Bali, Indonesia

Photo: Courtesy of Di Brown, Australian Volunteers International

Helping hospitals partner for change

Australian Volunteer Nurse Educator, Di

Brown, worked in partnership with the

Director of Nursing at Bali’s largest hospital to

implement targeted professional development

programs and improve patient care and

clinical outcomes. This activity has supported

changes in hospital practices, including the

introduction of a system of double-checking in

the operating theatres, safer administration of

medicines, improved nursing documentation

and accountability and safer lifting practices

for patients.

With Australian Government funding through

the Public Sector Linkages Program, Di also

helped establish a sister relationship between

Sanglah Hospital and the Royal Darwin

Hospital. As a result, Sanglah staff now have

the opportunity to participate in placements of

up to two months in Darwin.

A pilot program was completed with 20

Sanglah medical staff in 2011, which Di says

was an overwhelming success. “The nurses

from Sanglah were able to see high quality

clinical practice in an accredited Australian

hospital. They worked closely with the clinical

nurse educators and came back with a clearer

understanding about what is needed to

improve patient care.

“The experience has seen staff introduce

a number of new processes including the

Australian Triage Scale, a process of patient

assessment used by hospital emergency

departments around the world.”

179Above: Fay Bushell (centre) and her colleagues at the Ministry of Health, Laos

Photo: Bart Verweij for AusAID

Feeding bodies and minds in Laos

Laos is in the early stages of rolling out a

national school meals program, which aims to

encourage children to stay in school.

“The purpose of this program is to increase the

enrolment rate for students in primary school,

reduce the drop-out rate and therefore improve

overall education outcomes,” says Fay, who is

taking a two year sabbatical from her job as

operations manager of food services for the

NSW Department of Corrective Services.

Fay provides advice and training to

government staff involved in the program, at

national, provincial and district levels. Her

advice helps to ensure that school meals

are nutritious, and that local produce and

ingredients are used wherever possible. This

means that local communities, as well as

school children, benefi t from the program.

“There’s an abundance of food available

at local markets but often that’s not what’s

offered in schools,” Fay says. “So now we’re

providing training to the people who do the

menu planning.”

In the early stages of her two year assignment,

Fay knows there is a long way to go before

the school meals program has an effect on

enrolment rates, and education improvements.

Nevertheless, she is confi dent that the

long-term benefi ts will be realised, and that

the experience has provided a wonderful

opportunity for her and her two young children

to live in another country and learn a new

language. “This assignment really interested

me and I have a passion for this work. Also, I

was born in Thailand and wanted to bring my

children back to experience the culture of this

region. In a way it feels like a return home.”

180Above: Mother and daughter volunteers Carol and Jo Brislane during their assignment in Munda, Solomon Islands


Mother and daughter volunteers leave their mark on Solomon Islands

The bond between a mother and daughter is a

lifelong one. Just ask Carol and Joanna Brislane,

the mother-daughter duo who completed

volunteer assignments in the same town in

Solomon Islands. Jo spent 18 months as a

management adviser for the YWCA in Munda,

Western Province. After her fi rst year, she

encouraged her mother Carol to apply for the

volunteer role as the nursing/human resources

offi cer at Helena Goldie Hospital in Munda.

“Everyone in Munda knew us as the white

aunties on the bikes because we rode

everywhere! It was very special to share our

volunteer experience together and we feel very

lucky,” says Carol.

In Jo’s role with the YWCA, she introduced

a women’s literacy program and sexual and

reproductive health education programs. She

also ran programs offering women practical

solutions to overcome barriers and tackle taboo

subjects. “We formed a young women’s drama

group and used performances at the market

and other gathering places to build awareness

on domestic violence. Seeing the group

perform was incredibly rewarding and I was

very proud of these young women taking tough

issues head on,” says Jo.

Carol said the Helena Goldie Hospital services

around 27 000 people in the area. “The nursing

staff are the front line providing primary health

care and delivering babies in basic conditions

and they do an amazing job with so little,” says

Carol. “They just get on and do their work and

manage because of their enduring faith in the

work they do.”

Training is Carol’s passion. “I loved mentoring

the nursing staff to give them confi dence to

perform their job well. They were keen to learn

more, even the training on basic computer skills

and using the internet were well attended.

“Since returning to Australia I have thought

a lot about this island paradise, where its

people manage perfectly well with so very little

because they know no other way, and wish that

I were back to lend a helping hand,” said Carol.

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Program 1 ODA—Cross regional programs34

Education

Australia’s investment in education in 2011–12 totalled an estimated $782.3 million, or

16 per cent of overseas development assistance.

Education is the fl agship sector of the Australian aid program, with bilateral programs in

21 countries and global programs that extend the reach and impact of Australia’s aid for

education. Our main bilateral partners are Indonesia, Papua New Guinea, the Philippines,

Pacifi c Island countries and Afghanistan. Australia is the fourth largest donor to the Global

Partnership for Education and the seventh largest government donor to the United Nations

Children’s Fund.

Key directions for Australia’s aid in the education sector are detailed in the education thematic

strategy, Promoting opportunities for all: education which was released in November 2011.

Australia’s investment focuses on three broad areas:

• improving access to school for all children and young people so they complete a basic education

• improving the quality of education so that all children and young people learn the basic

skills needed to lead productive lives

• assisting governments to deliver education services that provide a better quality education

for all.


• pledging $270 million for 2011–15 to the Global Partnership for Education. The Australian

Multilateral Assessment, released in 2012, found the partnership to be one of our strongest

multilateral partners

• contributing to an increase in school enrolments in Afghanistan from around one million in

2001 (virtually none of who were girls), to more than seven million in 2011, including more

than 2.5 million girls

• helping to increase primary school enrolment in East Timor by 17 per cent—almost 30 000

additional children from 2008 to 2011

• assisting the removal of school fees in Solomon Islands, helping more than 140 000

children get an education in 2011

• providing more safe and conducive learning environments in Kiribati, including upgrades to

water and sanitation facilities, benefi ting 1079 school children

• training 1066 school principals and 4606 teachers in Laos, improving the quality of teaching

and learning in primary schools in the 56 most educationally disadvantaged districts in 2011.

34 These are signifi cant thematic programs that cross geographic boundaries but are not described separately in the agency’s Portfolio Budget

Statements 2011–12, Budget related paper no. 1.9, Foreign Affairs and Trade portfolio.

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Health

In 2011–12, AusAID spent an estimated $578.3 million on health (not including spending

on water, sanitation and hygiene). This included support to improve the health systems of

countries in Asia, the Pacifi c, and Eastern Africa as well as global support through agencies

such as the World Health Organization, Joint United Nations Programme on HIV/AIDS and the

GAVI Alliance.

Good health is a fundamental human right and has been recognised in internationally agreed

goals. Four of the eight Millennium Development Goals relate to improving people’s health in

developing countries:

• Millennium Development Goal 1—Eradicate extreme poverty and hunger

• Millennium Development Goal 4—Reduce child mortality

• Millennium Development Goal 5—Improve maternal health

• Millennium Development Goal 6—Combat HIV/AIDS, malaria and other diseases.

Sustainable access to safe water and basic sanitation, combined with good hygiene

behaviours, also contribute to improved public health (Millennium Development Goal 7).

The world’s poorest and most vulnerable people bear the greatest burden of disease and

poor health. Infectious diseases (such as HIV, tuberculosis and malaria), complications

from pregnancy and childbirth, and poor nutrition are major causes of high death rates in low

income countries. Every year, around 287 000 women die during pregnancy or childbirth and

7.6 million children die before their fi fth birthday from largely preventable causes. In 2010,

1.8 million people died from HIV-related causes and 655 000 died from malaria, most of

who were children under fi ve. Non-communicable diseases (such as diabetes, cancer and

cardiovascular disease) caused an estimated 29 million deaths in low and middle income

countries in 2008.

Good health also helps to achieve other development goals, such as economic growth and

poverty reduction. Healthier adults are more able to work and children free of disease are

better able to learn at school and gain the skills needed to break out of poverty. Providing

affordable health care also helps to avoid the catastrophic ‘out-of-pocket’ fees that push

millions of people into poverty every year.

In 2011 AusAID released a new health thematic strategy, Saving lives: improving the health of the world’s poor, which outlines Australia’s strategic approach to development assistance

for health. The strategy guides the work of AusAID and other relevant Australian Government

agencies in the health sector. In line with the strategy, Australia’s health spending is guided

by the priorities of partner governments and, where possible, harmonised with the efforts of

other donors.

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• training and deploying around 10 000 community health workers and volunteers across

Bangladesh to provide basic services

• supporting improved maternal and child health in the Irrawaddy Delta of Myanmar in 2011,

helping ensure 9727 births were attended by skilled personnel, 21 565 children under one

were vaccinated against diphtheria, pertussis and tetanus and 20 989 against measles, and

23 941 pregnant women were vaccinated against tetanus

• helping to vaccinate 171 372 children against measles in Papua New Guinea in 2011

• supporting mobile health clinics in East Timor to reach 4740 pregnant women and 50 600

children under fi ve, including providing antenatal care, immunisation for children, family

planning support, treatment and prevention of common diseases and infections, and

information on nutrition and hygiene

• supporting the Government of Nauru to address obesity and the prevalence of

non-communicable diseases such as diabetes, including through an improved nutrition

program benefi ting around 1500 infant and primary school children

• continuing to support the Australia–Indonesia Partnership for Maternal and Neonatal

Health which helped to train more than 2374 health care workers and 1600 health

administrators, contributing to an additional 1250 newborn complications managed in

community health centres.

184 Above: With his sight restored, Din’s life has changed for the better

Photo: Courtesy of The Fred Hollows Foundation

Fighting avoidable blindness

In East Asia, Australia is working with

the World Health Organization and the

International Agency for the Prevention of

Blindness to strengthen planning, coordination

and health systems to deliver quality eye

services. Australia is also working with

non-government organisations such as the

Vision 2020 Australia Global Consortium to

help countries address vision impairment and

reach the poorest people.

Din, aged 14, is among thousands of

Cambodians who received sight-restoring

surgery in 2011 through the support of

Australia’s aid program. The youngest son of a

rice farmer, by the age of 10 Din had developed

cataracts in both eyes and was no longer able

to see further than a metre. As a result, he

could no longer get to school by himself and

he could not read the blackboard. Din stopped

attending school and his parents worried

about him.

His family could not afford to travel to Phnom

Penh for treatment. The Kampong Speu Eye

Unit, established in 2011 with support from

the Australian aid program, successfully

operated and restored Din’s sight. Din’s father

thanked the people of Australia for giving his

community access to quality eye care.

“I am so happy that Din has his sight back,”

he said. “It had been nearly two years since he

attended school.” With his vision restored, Din

is now one of the top students in his village.

Din is fortunate, as most visually impaired

children in developing countries do not

attend school.

In 2011–12, Australia provided $2.86 million to

the Vision 2020 Australia Global Consortium

to continue eye health programs in Cambodia,

East Timor and Vietnam, and an additional

$140 000 to support the avoidable blindness

coordination work of the World Health

Organization across the Western Pacifi c region.

Australia has committed $21.3 million to

tackling avoidable blindness in East Asia.

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Food security and rural development

In 2011–12, Australia increased spending on food security and rural development to

approximately $385 million or eight per cent of offi cial development assistance—an increase

from $326 million in 2010–11.

Australia’s growing investment is in line with our commitment to invest in sustainable economic

development, one of the fi ve core strategic goals of the aid program. Consistent with the

strategic goal, improving food security is one of the 10 individual development objectives,

which will focus on:

• lifting agricultural productivity by increasing investment in agricultural research

and development

• improving rural livelihoods by strengthening markets in developing countries and improving

market access

• building community resilience by supporting the establishment and improvement of social

protection programs.

Consistent with the Millennium Development Goals Australia’s commitment is critical for

three-quarters of the world’s poor who live in rural areas and rely on agriculture to survive.

Australian aid is investing in sustainable economic growth by providing people with the

opportunity to earn a living. Jobs increase people’s incomes with rising incomes improving

nutritional outcomes, enabling farmers to invest more in agriculture and stimulating off-farm

economic activity and employment. Our efforts are essential to help people overcome poverty,

as a one per cent increase in agricultural yields leads to between a 0.6 per cent and 1.2 per cent

reduction in the percentage of people living on less than US$1.25 a day.

Australian aid is achieving results against our commitment to generate sustainable economic

growth through improving global food security.


• supporting the Solomon Islands Ministry of Agriculture and Livestock to train farmers,

pruning gangs, processors and exporters in cocoa production, as well as to integrate pest

and disease management and quality improvement. As a result:

» about 2700 of the estimated 20 000 cocoa farming households in Solomon Islands are

applying integrated pest and disease management on their farms to around 1.48 million

cocoa trees, substantially increasing their yields

» 1345 tonnes of additional production can reasonably be attributed to the application

of integrated pest and disease management. This extra production is estimated to

have created around 800 more full-time equivalent jobs in the cocoa industry and

US$3.7 million in additional export earnings

• enabling 34 966 poor people, including 18 459 men and 16 507 women in eight countries

in the Pacifi c and South-East Asia, to increase their incomes through the Enterprise

Challenge Fund

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• supporting the Pacifi c Financial Inclusion Programme to help the poor use basic

fi nancial services. In Vanuatu, Tonga, Samoa and Fiji, there are now more than 370 000

subscribers to mobile phone banking services, and 155 000 more people with new bank

savings accounts

• supporting Indonesia’s National Community Development Program, improving nutrition and

education outcomes for nearly one million children

• helping the Philippines expand its conditional cash transfer program from a pilot of 10 000

households in 2008 to 2.3 million in 2011. By providing cash grants to poor benefi ciaries,

the program helps the children of poor households to access basic education

• increasing the proportion of land protected against soil erosion in Rwanda from 11 per cent

to 27 per cent of total treated project area under a Global Agriculture and Food Security

Program grant. Less than six months after the project began, net sales from agricultural

activities on targeted non-irrigated hillsides had risen to US$1925 a hectare from the

baseline of US$1000 a hectare. There is also evidence that the numbers of women and men

accessing formal fi nancial services have increased during that period, as well as the total

number of individuals trained in improved land husbandry methods.

Water, sanitation and hygiene

Improving public health by increasing access to safe water and sanitation is one of the

10 development objectives of the Australian aid program. Access to safe water and basic

sanitation, combined with good hygiene behaviours, underpins Australia’s ability to improve

public health and deliver economic benefi ts for people living in developing countries.

The world has recently met the Millennium Development Goal target of halving the number of

people without access to safe drinking water ahead of the 2015 timeframe. Many people still lack

access to safe drinking water and the world is unlikely to meet the Millennium Development Goal

sanitation target, as 2.5 billion people still lack access to adequate sanitation.

AusAID assistance in the water, sanitation and hygiene sector contributes to saving lives, one

of the aid program’s fi ve strategic goals, by:

• funding facilities to provide safe water and basic sanitation for everyone

• improving hygiene behaviour through education and promotion

• supporting policies and strategies that keep services operating sustainably with effective

governance and partnerships with multilateral agencies, civil society and business.

In 2011–12, AusAID’s funding for water, sanitation and hygiene programs totalled $167 million.

Programs were implemented through non-government organisations, partner governments and

multilateral organisations, including the World Bank and United Nations Children’s Fund, and

were delivered in Africa, East Asia, South Asia and the Pacifi c.

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Activities also continued in East Timor, Indonesia, Nepal, Solomon Islands, Vietnam and Malawi.


• providing 2.3 million people in Vietnam with clean water and 455 275 households

with latrines

• helping 62 827 rural people in Bangladesh access better water supplies and improving

access to latrines for 58 598 households (approximately 292 990 people). There were also

200 community latrines built during the year which benefi ted around 73 000 people

• providing access to safe water for more than 1.65 million people through chemical water

treatment facilities in 12 Zimbabwean towns

• supporting key multilateral development partners, including the World Bank’s Water and

Sanitation Program, which in 2011–12 provided technical assistance and capacity building

activities in 24 countries across Africa, East Asia, the Pacifi c, South Asia, Latin America and

the Caribbean.

Infrastructure

Improved infrastructure contributes to the Australian aid program’s strategic goal of delivering

sustainable economic development by reducing the cost of doing business for agricultural

producers and small enterprises, and by generating employment. Good quality infrastructure

also gives people better access to services such as health clinics and schools that can improve

economic productivity over the longer-term.

AusAID’s assistance focuses on three areas:

• helping to maintain infrastructure assets and provide new infrastructure where there is a

strong economic case for investment

• improving policy and governance by building partner capacity to develop infrastructure

policies and mobilise the funds required to effectively manage infrastructure assets

• delivering sustainable infrastructure and services by addressing crosscutting issues such

as governance, inclusiveness, corruption, social disruption, gender equality, safety, climate

change and the environment.

In 2011–12, AusAID’s supported partner countries to address critical infrastructure constraints

to economic growth primarily through the Economic Infrastructure Initiative ($454 million), the

Infrastructure for Growth Initiative ($505 million) and the Pacifi c Regional Infrastructure Facility

($127 million).

AusAID’s assistance to infrastructure has focused heavily on transport, with emerging programs

in energy, information and communications technology and urban development. Direct country

support to infrastructure activities during the year was primarily in South-East Asia and the

Pacifi c with small, but growing programs in South and Central Asia. Major infrastructure

programs are underway in Indonesia, Papua New Guinea, Vietnam and the Philippines.

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The infrastructure program is also delivered through partnerships with multilateral

development banks, including the World Bank and the Asian Development Bank. Australia’s

partnerships with these banks has enhanced the program by being able to move into new

sub-sectors, such as road safety, renewable energy and urban development, and into regions

including Africa and South Asia.


• maintaining or rehabilitating roads in Indonesia, the Philippines, East Timor, Laos, Papua

New Guinea, Vanuatu and Solomon Islands, including 2152 kilometres in Papua New

Guinea and 270 kilometres in Solomon Islands

• undertaking detailed design for the Cao Lanh Bridge, which when completed will improve

transport links for 170 000 road users living in the Mekong Delta region of Vietnam

• helping 22 800 people in Vanuatu access better electricity and telecommunications

systems which targeted 22 000 households, 180 schools and 220 health centres

• supporting the expansion of the Lighting Africa Initiative, which has provided almost

2.5 million people with cleaner, quality-certifi ed off-grid lighting products through

the World Bank’s Energy Sector Management Assistance Program and Public Private

Infrastructure Advisory Facility.

Mining

The Mining for Development Initiative was established in 2011–12 as part of the move to

AusAID’s new aid policy. The mining sector is an important contributor to economic growth in

many developing countries. In Papua New Guinea mining represents 34 per cent of government

revenues and 81 per cent of exports, in East Timor it is 98 per cent of revenues and 97 per cent

of exports, in Indonesia 29 per cent of revenues and 23 per cent of exports, and in Mongolia it

is 29 per cent of revenues and 59 per cent of exports. Mining’s contribution in these countries

and many like them will increase substantially in the next few years, remaining important for

the next two decades at a minimum. Between 2000 and 2008, offi cial development assistance

fl ows to Sub-Saharan Africa increased from $12 billion to $36 billion a year. In contrast the

value of natural resource rents rose from $39 billion to $240 billion.

The Australian Government recognises that an effective mining sector has considerable

potential to help reduce poverty and accelerate human development, by increasing

government and community revenues, generating employment and providing physical and

human infrastructure.

In 2011–12, Australia increased spending on mining to $18.9 million to help people overcome

poverty by supporting developing countries to translate their resource endowment into

sustainable development.

In October 2011, Prime Minister Julia Gillard MP launched the Australian Government’s $127

million Mining for Development Initiative (2011–15). The Prime Minister also launched the

International Mining for Development Centre hosted by the universities of Western Australia and

Queensland. In 2011–12 the centre has provided training to 195 people from developing countries.

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• building greater transparency and accountability by being the leading donor to the

multi-donor trust fund for the Extractive Industries Transparency Initiative. In 2011–12, 35

countries are implementing the initiative enabling 500 million people access to information

on US$500 billion of government revenues from the natural resource sector

• expanding engagement with multilaterals to work with the World Bank (Extractive

Industries Technical Advisory Facility) and the International Monetary Fund (Topical Trust

Fund on Managing Natural Resource Wealth) to support developing countries to establish

macroeconomic, regulatory, and contracting regimes that are more sustainable, thereby

reducing the risk of costly or politically diffi cult remediation at a later stage.

190

Women’s World Banking

About 2.7 billion adults in developing countries,

or 70 per cent of the adult population, are

excluded from fi nancial services, with women

being disproportionately affected. In response,

Australia has increased support to Women’s

World Banking, the only microfi nance network

with an explicit focus on women.

In 2010–11, the Australian aid program

contributed a two year $2.2 million grant to

facilitate innovative approaches to fi nancial

inclusion based on the needs of women.

Mobile banking, for example, has a high

potential for women because it is convenient,

low-cost and secure, helping overcome issues

faced by women around literacy, mobility and

capacity to control assets. Access to mobile

phones far outstrips that of bank branches

or any other infrastructure in the developing

world and can reach a large number of people

in remote and previously unreachable areas.

The ability of mobile services to capture

transaction history can also provide a basis for

more people accessing credit.

Through technical assistance programs, three

partner banks in Kenya, Colombia and Nigeria

are developing or piloting mobile based

fi nancial services to enable customers to

repay loans or access their savings accounts

via their mobile phones. Together they aim to

reach more than 26 000 customers with mobile

fi nancial services in 2012. As well, Women’s

World Banking is working with partner banks in

Kenya, Nigeria and India by offering up-to-date

account information and secure fi eld-based

transactions.

Women’s World Banking also recognises the

different fi nancial needs that arise at different

life stages. AusAID supports its work with

microfi nance institutions to design, market

and deliver savings products and fi nancial

education to girls and young women aged

seven to 24 in Mongolia, the Dominican

Republic and Ethiopia. Since the fi rst program

was launched in March 2009, there have

been 17 396 accounts opened and more than

25 522 girls have participated in fi nancial

education programs.

Above: Regina Kaziri, a satisfi ed client of Caisse Coopérative d’Epargne et de Crédit Mutuel Photo: Courtesy of Women’s World Banking

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Improving aid effectiveness in situations of confl ict and fragility

Fragility and confl ict are priority issues for Australia’s aid program.

Many of the world’s poorest and most vulnerable live in fragile and confl ict-affected

states—more than 1.5 billion people. Promoting development is much harder in these settings.

Poverty rates are 20 per cent higher in countries affected by violence, economic performance

is weak, there are high rates of criminal violence and transnational threats like drug and

arms traffi cking are more likely. No fragile or confl ict-affected state has yet achieved a single

Millennium Development Goal.

In 2011–12, more than 50 per cent of Australia’s bilateral and regional aid program—about

$1.77 billion—was delivered in countries that are categorised as fragile and confl ict-affected.

Of the top 10 recipients of Australian aid, seven are considered fragile.

Progress in fragile and confl ict-affected states is vital to achieving greater global stability and

improving the lives of the world’s poorest people. Development assistance alone cannot solve

the problems of violence and fragility, but it can play an important role in helping to develop

capable and accountable states.

AusAID supports international, regional and bilateral efforts to identify and address the

causes and consequences of violent confl ict and to strengthen state and community resilience.

Australia supports the International Dialogue on Peacebuilding and Statebuilding, an

important forum bringing together bilateral donors, multilaterals and fragile states to promote

the foundations for better development outcomes in fragile environments. From March 2012,

AusAID has played a leadership role in the dialogue by co-chairing with Afghanistan a working

group supporting country-level implementation of peacebuilding and statebuilding goals.

Australia also supports the Organisation for Economic Co-operation and Development’s

Development Assistance Committee International Network on Confl ict and Fragility, which

promotes effective donor engagement in fragile states and provides practical guidance on

peacebuilding, statebuilding and security.

AusAID maintains strong partnerships with a range of research and analytical organisations

like the International Crisis Group, the Asia Foundation and the Institute for State Effectiveness.

These partnerships provide AusAID and whole-of-government partners with contextual and

political economic analysis to improve the effectiveness of our aid in fragile states. In addition,

AusAID has a close working relationship with the World Bank’s fragility and confl ict team to

share experiences of innovative approaches to development in these complex environments.

In December 2011, AusAID released the policy document Framework for working in fragile and confl ict-affected states. It builds on AusAID’s experience in these countries, including our

experience in whole-of-government approaches, and is intended as a guide for AusAID staff on

both strategy and program options.

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• developing a common Pacifi c regional position on small arms and the United Nations Arms

Trade Treaty by co-hosting a workshop with the Pacifi c Islands Forum and Oxfam Australia

• training more than 330 AusAID and whole-of-government staff on how to work in situations

of confl ict and fragility, including case studies on the role women play in negotiating and

building peace. Staff trained included those being posted or deployed to Afghanistan,

Zimbabwe, Sri Lanka, Solomon Islands, the Philippines, Papua New Guinea and Pakistan

• strengthening the United Nations peacebuilding efforts with a contribution of $5 million in

core funding—$4 million to the Peacebuilding Fund for its peacebuilding initiatives in 22

countries, and $1 million to the Department of Political Affairs, whose activities in 2011–12

included missions to countries experiencing dramatic change as part of the Arab Spring

• protecting children in armed confl icts in Nepal, Iraq and Afghanistan through our support

for the United Nations Monitoring and Reporting Mechanism

• conducting research on military engagement in humanitarian action and current challenges

to civil–military coordination by supporting the Overseas Development Institute’s

Humanitarian Policy Group.

Australian Civilian Corps

AusAID leads the whole-of-government Australian Civilian Corps (ACC) initiative. The

ACC has greatly enhanced Australia’s capability to respond directly to the capacity gaps

that exist between an immediate humanitarian response and longer-term recovery and

development programs.

Figure 15: Role of the ACC in the emergency response, stabilisation and recovery environment

Australian Civilian CorpsStabilisation and recovery

EMERGENCY RESPONSE AND HUMANITARIAN

ASSISTANCE

STABILISATION AND RECOVERY

ACC DEPLOYED

LONG-TERM DEVELOPMENT ASSISTANCE

HA

ND

OV

ERPLA

NN

ING

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Members of this group of civilian specialists are deployed to countries experiencing or emerging

from natural disaster or confl ict to support stabilisation, recovery and development planning

activities. ACC specialists help crisis-affected countries to restore essential services, rebuild and

strengthen government institutions and re-establish economic and social stability.

In the past year, the ACC has become fully operational with legislation and regulations in place,

an expanding register and increased engagement with a broad range of countries. The register

of specialists has grown to more than 280 members who have been selected for their technical

expertise, high calibre and ability to work in challenging environments. They participate in a

competitive selection process and undergo rigorous training before being placed on the register.

AusAID’s expenditure on the initiative totalled $10.6 million, including staffi ng, administration

and corporate overheads.

Key development achievements for 2011–12 included:

• deploying the fi rst ACC specialist, who worked with the Interim Haiti Recovery Commission

• completing a three month deployment of two ACC specialists to South Sudan

• contributing support to a United Kingdom-led scoping mission to Libya to undertake a

needs assessment

• strengthening the capacity of the Papua New Guinea Electoral Commission by deploying

23 ACC specialists to Papua New Guinea to provide technical and logistical support in the

lead-up to the July 2012 general elections

• deploying six stabilisation advisers to support community-level needs in Uruzgan Province

in Afghanistan

• supporting the United Nations in Sierra Leone through the deployment of a

peacebuilding adviser

• deploying a specialist to Fiji to help assess requirements to support the 2014 elections

• providing advanced training to 23 ACC members in post-disaster recovery capability

• participating in the joint Australia–United States military exercise, Talisman Sabre. This

exercise tested Australia’s civilian response capability in a complex military environment

• supporting the Australian Command and Staff College stabilisation exercise,

Exercise Excalibur.

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Above: Papua New Guinea Electoral Commission workers show local candidate posters the Australian Civilian Corps

helped produce at a trial poll booth set up in Port Moresby

Photo: Courtesy of the Australian Defence Force

Helping Papua New Guinea deliver free and fair elections

The Australian Civilian Corps (ACC) can be

deployed at short notice to support a range

of aid activities. During 2012 at the request

of the Papua New Guinea Government, 23

ACC specialists were deployed to Papua New

Guinea to help the Papua New Guinea Electoral

Commission deliver credible elections.

Specialists worked with the Electoral

Commission to help it plan and manage the

election. This involved hands-on work, side by

side, with staff of the commission. Specialists

supported a range of duties from electoral

operations to training polling offi cials,

providing advisory support in human resource

management and helping to coordinate

information technology and transport

logistics. The team made a key contribution

to enhancing the procurement processes of

the electoral commission and also packed

envelopes and bundled election materials to

ensure that critical supplies got out the door

when required.

“We’re supporting the commission to train

about 20 000 electoral and polling offi cials

across Papua New Guinea,” says Craig

Hinchliffe, ACC team leader.

“Planning an election is a complex logistical

exercise. The bulk of our effort is weighted

towards supporting regional coordination,

administration and training functions.”

This support is part of AusAID’s long-term

focus on building effective national institutions

and strengthening electoral systems under the

Australia–Papua New Guinea Electoral Support

Program, and is part of Australia’s wider

election assistance to Papua New Guinea.

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Mine action

In 2011–12, AusAID contributed an estimated $21.52 million to mine action benefi ting 10

countries and a range of global mine action programs.

Landmines and other explosive remnants of war remain a serious challenge to sustainable

development in many of the world’s poorest countries. Australia has committed $100 million to

mine action from 2010 to 2014 to reduce the threat and socio-economic impact of landmines,

cluster munitions and other explosive remnants of war.

Australia’s support ensures that thousands of people no longer face the threat of death or

injury from these weapons, improves the quality of life of the victims of these weapons, and

enables contaminated land to be returned to productive uses.


• assisting Jordan to complete its mine clearance obligations and to become the fi rst country

in the Middle East to declare itself free of all known landmines

• assisting Guinea Bissau to complete its mine clearance obligations by 1 January

• launching a rapid response against explosive remnants of war threatening the Libyan and

international community following the 2011 civil uprising in Libya. Australia’s contribution

of $3.5 million for emergency mine clearance through the United Nations Mine Action

Service helped clear 126 126 explosive remnants of war including from 59 schools and 2624

houses. Australia’s contribution also provided risk education to more than 26 000 people

who were at risk from these dangerous items

• clearing more than 90 per cent of the 14 491 300 square metres of contaminated area

around Kisangani in the Democratic Republic of the Congo, and providing 5829 mine risk

education sessions to 353 844 people, including people living in the area

• providing community-based mine risk education to 119 896 people in South Sudan

• providing rehabilitation services and prostheses through 59 rehabilitation centres in 27

countries, benefi ting thousands of victims as well as other people with disability.

Effective governance

Effective governance is one of the fi ve strategic goals of the aid program and in 2011–12

Australia provided an estimated $670.3 million to support this.

Effective governance is the capable management of a country’s resources and affairs in a manner

that is accountable and responsive to the needs and interests of its citizens. Essential components

of effective governance include the rule of law, effectiveness of public sector management, and an

active civil society. Governance is also important for improving overall aid effectiveness.

AusAID’s Effective governance strategy outlines the three pillars of our work:

• better services through improved government effi ciency and effectiveness and more

accountable, open and responsive governments

• improved security and enhanced justice

• enhanced human rights.

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Delivering better services

Effective governance is essential to achieving the Millennium Development Goals and

underpins all the strategic goals of the aid program. Long-term improvements in delivering

health, education and other services require effective governance. This work underscores

stronger and more equitable economic growth, stability and security, efforts to tackle

corruption, and constructive engagement between communities and their government.

A strong public sector and sound public fi nancial management contributes to better service

delivery. For example, health workers cannot attend births in villages if funds do not fl ow from

provincial treasuries to pay for transport.

Improved security and enhanced justice

Our assistance under the security and justice pillar focuses on equitable and responsive

justice to ensure a sound environment for development—ending violence against women,

children and marginalised people, providing basic security and stability, and working with

criminal justice systems. Australian assistance in policing is the largest component in terms

of expenditure and is targeted at developing police forces so they are effective and locally

legitimate. Understanding context, securing local leadership and including a focus on the social

and political aspects of reform are central to our success.

Enhanced human rights

Enhanced human rights is important as it allows citizens, supported by a robust civil society,

to participate in local and national decision-making without fear of injury or discrimination,

and to have confi dence in their democratic institutions. Supporting demand for better and

more responsive services balances our work with government, including public fi nancial

management and public administration, for improved service delivery.

While programs in Africa, Afghanistan and elsewhere were supported during the year,

expenditure in 2011–12 was concentrated in the Asia-Pacifi c region.


Delivering better services by:

• increasing support to Transparency International to empower civil society, government

and private sector stakeholders to advocate for anti-corruption reforms, improve access to

justice and analyse the extent and causes of corruption. In May, AusAID and Transparency

International signed a partnership for funding of $11 million over four years to continue

support for work in the Asia-Pacifi c and to expand corruption fi ghting work in Africa and

Latin America

• helping developing countries to implement the United Nations Convention Against

Corruption by supporting the work of the United Nations Development Programme and the

United Nations Offi ce on Drugs and Crime. In June, AusAID agreed to provide additional

funding to both organisations to tackle corruption and strengthen governance. This funding

will support the ratifi cation, implementation and review of the United Nations Convention

Against Corruption across Asia, the Pacifi c, Africa, the Middle East and the Caribbean, and

help government and non-government parties to engage in international anti-corruption

processes and reforms

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• supporting new and emerging areas of governance, enhancing donor collaboration and

engaging strategically with like-minded development partners by supporting the World

Bank’s Governance Partnership Facility

• working with developing countries and fi nancial centres to prevent laundering of proceeds

of corruption, and facilitating the return of stolen assets through the joint World

Bank–United Nations Offi ce on Drugs and Crime Stolen Asset Recovery Initiative. Conservative

estimates indicate US$20 to $40 billion is stolen from developing countries each year.

Improving security and justice by:

• promoting greater transparency and accountability in Indonesia’s law and justice sector

by supporting online publication of court decisions. In 2007, virtually no court decisions

were published. At June 2012, Indonesians could access more than 244 000 court decisions

online, including more than 99 000 published since January 2012

• shaping local justice and governance research and policy reform by extending and

strengthening Australia’s partnership with Justice for the Poor, a World Bank research and

development program in Indonesia, East Timor, Vanuatu, Solomon Islands and Papua New

Guinea. In Solomon Islands, a trial community policing mechanism is improving access to

justice in rural communities

• supporting 16 local organisations in East Timor that are working to change attitudes and

behaviours about domestic violence, monitoring court cases and providing legal, medical,

counselling and other services—such as safe houses—for women affected by violence

• improving the effectiveness of aid programs in the Asia-Pacifi c, including supporting

women’s leadership and by implementing the fi ndings of the Developmental

Leadership Program.

Enhancing human rights by:

• strengthening democratic systems by supporting the Centre for Democratic Institutions

working in Indonesia, East Timor, Fiji, Papua New Guinea, Solomon Islands and Vanuatu.

This work included events, research and training activities focusing on political party

development and strengthening the parliamentary system. A highlight for the year

was support for Papua New Guinea’s women candidates training strategy delivered to

148 people including 74 women who intended to nominate as candidates at the 2012

national election, and their campaign managers. It focused on fundamentals of election

campaigning including fundraising and budget management, Papua New Guinea’s voting

system and candidate obligations, and the role of a member of parliament

• encouraging participation in democratic processes, strengthening the voice of civil society

and promoting human rights through continued support for the United Nations Democracy

Fund. To date, the fund has supported 387 projects, with 86 of these in the Asia-Pacifi c

region. This includes support for the International Women’s Development Agency to

increase political empowerment of women and women’s representation in parliament and

local government in Pacifi c countries

• helping plan for a national voter registration system in Indonesia to ensure people can

participate in democratic decision-making and are registered to vote in the lead-up to the

2014 national election.

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Sri Lankans commit to building a corruption free country by signing a petition organised by Transparency International’s

Sri Lanka Chapter. AusAID supports Transparency International’s efforts to help people overcome poverty by fi ghting

corruption in the Asia-Pacifi c, Africa and Latin America

Photo: Courtesy of Transparency International

Justice for the poor

AusAID supports the World Bank’s Justice for the Poor program in the East Asia-Pacifi c region

by supporting local justice and governance reform processes where multiple systems of

justice co-exist.

Justice for the Poor has helped improve access to justice in Indonesia through its support for

the enactment of legal aid law. The program partnered with the Indonesian Government and

key civil society organisations to help develop the National Strategy on Access to Justice.

At the government’s request, Justice for the Poor provided policy advice, including a major

policy paper, which informed the development of the legal aid bill and its enactment in 2011.

The program is now helping the Ministry of Law and Human Rights to develop appropriate

policies and processes for implementing legal aid law, which will play a critical role in helping

poor people in Indonesia obtain access to justice through legal representation.

Human rights

In 2011–12 the Australian Government provided $7.1 million through the Human Rights Fund for

activities and organisations that support and promote human rights around the world.

The Australian aid program advances human rights through engagement in global

programs and regional networks, and supports national human rights institutions and

non-government organisations.


• promoting and protecting human rights in countries across Asia, Africa, the Middle East,

Latin America, the Caribbean and the Pacifi c through the Human Rights Grants Scheme,

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which supported 41 projects worth $3.7 million. For example, one grant is empowering

women who are vulnerable to human traffi cking in West Kalimantan in Indonesia through

legal assistance and community education

• strengthening global and regional human rights advocacy efforts by providing $2.35 million

to support the United Nations Offi ce of the High Commissioner for Human Rights

• supporting civil society organisations with small, short-term grants for emergency and

advocacy initiatives by allocating $200 000 to the Lifeline Embattled NGOs Assistance

Fund. The fund provides civil society organisations with grants for medical expenses, legal

representation, prison visits, trial monitoring and temporary relocation

• promoting regional human rights networks and assisting national human rights institutions

in the Asia-Pacifi c by providing $700 000 to the Asia-Pacifi c Forum of National Human

Rights Institutions. Through the member-based group, national human rights institutions

are empowered to respond to community human rights issues, and develop support for

common policy positions across the wider Asia-Pacifi c region

• supporting promotion and protection of human rights in Commonwealth countries by

providing $150 000 to the Australian Human Rights Commission to help it in its role as chair

of the Commonwealth Forum of National Human Rights Institutions. Through the forum,

national human rights institutions share practices in monitoring, protecting and advocating

for human rights including the use of international, regional and national systems, as well

as identifying challenges.

In addition, Australia engages in bilateral dialogues on human rights with countries in the

region, including China and Vietnam. Alongside the dialogues, AusAID implements Human

Rights Technical Cooperation Programs. Through these programs in 2011–12, Australia provided

$900 000 for the Australia–China Human Rights Technical Cooperation Program, and $980 000

for the Australia–Vietnam Human Rights Technical Cooperation Program.


• addressing domestic violence in China by supporting a delegation from the All China

Women’s Federation and the National People’s Congress to examine Australian legislative

measures to combat domestic violence. The initiative also helped draft China’s fi rst national

domestic violence law

• supporting a workshop on legal aid and domestic violence in China for 94 offi cials, lawyers,

women’s federation and legal aid workers representing 20 provinces

• designing a new phase of the Human Rights Technical Cooperation Program in Vietnam,

incorporating recommendations of a 2010 independent review. This program contributes to

government awareness of human rights in criminal and civil procedures, and supports the

implementation of legislative reforms such as the Criminal Procedure Code and the Law on

Legal Aid

• improving access to justice for communities in six targeted provinces in Vietnam. AusAID

helped train 213 community legal advisers from local socio-political organisations on citizens’

legal rights relating to complaints, settlement of land disputes and local governance.

200Above: A community in Sumba, Indonesia discussing how best to use their block grant


Australia’s support for social protection in Indonesia

Australia has invested $272 million in social

protection programs in Indonesia.

While the country has made major gains in

tackling poverty, many people are still at risk.

Around 30 million people continue to live below

Indonesia’s offi cial poverty line and half of the

population, 120 million people, are vulnerable

and at risk of falling further into poverty.

The chronically poor often cannot afford

basic goods and services that can open up

pathways out of poverty. Australia is working

with Indonesia to boost its investment in social

protection to improve how the poor can access

safe, suffi cient and nutritious food, engage

in productive livelihoods, complete a basic

education and use essential health services.

Australia’s assistance will also support more

inclusive social protection programs helping

the elderly and people with disability gain

access to benefi ts.

One example of Australia’s support is

the innovative pilot National Program for

Community Empowerment Generasi, which

means ‘a healthy and bright generation’.

In 2011, Australia provided $10.2 million to the

program, which focused on some of Indonesia’s

least developed areas, such as East Nusa

Tenggara and West Nusa Tenggara. The program

applies the principles of community-driven

development, with communities deciding

how best to use block grant funds to reach 12

education and health targets. The program

takes the idea of performance incentives from

conditional cash transfer programs and applies

it in a way that allows communities to determine

how to improve the delivery of services and

remove barriers to accessing them.

Key development achievements in 2011–12

included:

• achieving a 10 per cent reduction in child

malnutrition from the control level

• enabling 70 500 additional births to be

attended by a skilled midwife or doctor

• providing 25 500 Indonesian children with

scholarships to attend school, and funding

for 22 000 students to buy school uniforms

and 18 500 to buy textbooks.

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Child protection

Child abuse has been recognised by AusAID as a pervasive social problem globally, with the

risk of abuse potentially elevated when overseas aid activities bring aid workers and volunteers

into regular contact with children.

AusAID has a zero tolerance policy with regard to child abuse. In line with this, AusAID

implements a Child Protection Policy to reduce risks of child abuse by those engaged in

Australian aid program activities and support non-government organisations and contractors to

improve their understanding and application of child protection policies.


• being recognised for our international and domestic leadership among other

Commonwealth departments, donors and multilateral organisations in the fi rst

independent review of the AusAID Child Protection Policy, which was initiated by AusAID

• initiating the fi rst ever multi-donor meeting in April to promote harmonised child protection

standards and supporting other international development donors to develop their child

protection policies

• setting a benchmark for the conduct of Australia’s aid delivery partners and their staff,

including through the inclusion of child protection clauses in all partnerships and

agreements with multilateral organisations

• forming the Australian Volunteers for International Development child protection working

group, comprised of core partner organisations, AusAID’s volunteer section and AusAID’s

child protection specialist. The group developed a comprehensive plan to address

program risks, designed a pilot project in Fiji to test the effectiveness of strengthened child

protection processes and facilitated funding for new child protection offi cers for each of the

three core partners

• increasing awareness and understanding of child protection policy obligations across

the agency. Targeted child protection training was undertaken in Canberra and at country

offi ces, and an eLearning package was developed for AusAID staff.

Disability and development

In 2011–12, AusAID’s funding for disability totalled an estimated $13.85 million. In addition

to this targeted support, many AusAID programs benefi t people with disability through

partnerships with non-government organisations, volunteer programs, mine action, regional

and multilateral partnerships, infrastructure, sports, human rights and humanitarian activities.

There are one billion people, 15 per cent of the world’s population, with disability. Across

the world, people with disability have poorer health, lower educational achievements, less

economic participation and higher rates of poverty and inequality than people without

disability. The Millennium Development Goals cannot be achieved unless development efforts

reach and benefi t people with disability.

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Enhancing the lives of people with disability is one of the 10 development objectives of

Australia’s aid policy. The aim is to ensure that people with disability are included in and

benefi t equally from Australia’s development assistance, and to support their participation in

economic, social and political life to reduce poverty, increase economic growth and enhance

democratic governance.

Australia’s assistance is focused on:

• supporting disability organisations to infl uence national decision-making processes

• supporting partner country efforts to become more disability inclusive

• partnering with United Nations agencies to increase their focus on people with disability

• improving evidence on the situation of people with disability in developing countries.

Australia is an international leader in this area and is infl uencing its partners and other donors.

We do this through events such as the Conference of States Parties to the Convention on the

Rights of Persons with Disabilities in September, where we showcased our practical work in

inclusive education. At the United Nations Permanent Forum on Indigenous Issues in May, we

highlighted the links between disability and Indigenous issues.


• providing the fi rst contribution of $2 million to the United Nations Partnership to Promote

the Rights of Persons with Disabilities. The partnership is helping countries put the rights

of people with disability into action through legislation, improving services for people with

disability and improving data and research

• providing decision-makers and service providers with the best available scientifi c

evidence on the situation of people with disability by providing $1.3 million to the World

Health Organization. This support helped launch the World report on disability 2011 in 33

countries, distribute 8000 copies of the Community-based rehabilitation guidelines, and

pilot a wheelchair training package in East Timor and Solomon Islands

• providing $1 million to the United Nations Children’s Fund to make education and child

protection systems more inclusive of children with disability, including through pilot

activities in Vietnam and Bhutan

• increasing the number and quality of rehabilitation services available from 59 centres in 27

countries with funding of $1 million to the International Committee of the Red Cross Special

Fund for the Disabled

• improving laws to protect the rights of people with disability in Cambodia by helping the

government progress its legislative framework and training 200 provincial civil servants on

the rights of people with disability

• helping people with disability register and vote in the Philippines by supporting research by

the Asia Foundation. The research found that only a small fraction of people with disability

were registered to vote, and a small fraction of these registered voters were actually able to

vote on the day. Nationwide campaigns and support programs have now been put in place

to help register people with disability for the fi rst time.

203

Australia and the Pacifi c Disability Forum

The Pacifi c Disability Forum represents

disability organisations in the Pacifi c and plays

an important role in improving the lives of

Pacifi c Islanders with disability. During the year

Australia supported the forum with $1.2 million.

In June 2012, a further $4.5 million in funding

was announced for the period 2012–16.

Australia’s support will help the forum continue

to promote the rights of people with disability

by working closely with governments, civil

society and development partners to establish

policies and actions that include people

with disability on an equal basis with others.

Importantly, the forum’s work to promote

the Convention on the Rights of Persons with

Disabilities is changing the way countries,

including Australia, are thinking about

effective aid.

In 2011–12, Australia’s support to the Pacifi c

Disability Forum enabled:

• 13 disability organisations raise awareness

about disability rights in Cook Islands, Fiji,

Federated States of Micronesia, Kiribati,

Palau, Papua New Guinea, Solomon

Islands, Samoa and Vanuatu

• people with disability help develop

national disability policies in Niue, Tuvalu,

Palau, Tonga and Kiribati

• 16 people with disability, including nine

women, undertake training to lead social

change in their countries

• 29 people with disability, including 14

women, to be trained in monitoring and

evaluation to track positive changes in the

lives of those with disability

• six young people from across the Pacifi c

to participate in an internship program to

equip young leaders with disability with

the skills to run a disability organisation

• a greater voice for people with disability

on regional issues such as climate change,

women’s rights, disaster risk reduction and

management, and inclusive education.

Above: Representatives from Pacifi c disability organisations gather in Nadi, Fiji in February 2012 for leadership training

funded through Australia’s Pacifi c Leadership Program

Photo: Courtesy of the Pacifi c Disability Forum

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Development research

In 2011–12, AusAID supported $133 million of development research, a 25.5 per cent increase

on last year. Research funding forms part of almost every program portfolio, with 65 per cent

of funding coming from country programs, 26 per cent from thematic groups, six per cent from

global programs and three per cent from the central research group.

The purpose of AusAID’s research program is to improve the quality and effectiveness of

Australian aid in developing countries. Practical research helps people overcome poverty

by informing where and how our own and our partners’ resources can most effectively and

effi ciently be deployed.

AusAID’s research strategy for 2012–16 will guide our next four years of research and builds

on the successes and lessons of our 2008–10 strategy. The new strategy aligns with the

Government’s response to the Independent Review of Aid Effectiveness, which supported

the continuation of a balanced approach to research funding, with support for Australian,

developing country and international research organisations. The strategy puts a strong

emphasis on higher levels of competitive funding, the practical use of research evidence, and

support to research partners who are advancing the goals of Australia’s aid program.

Our research investment can and does make a real difference to the lives of the world’s poor

both in the short and long-term. For example, AusAID-funded research:

• highlighted the dangers of and provided solutions to cassava toxicity in the context of

climate change in Mozambique

• is improving the collection and quality of vital data in the Asia-Pacifi c region to support

better future health interventions

• provided evidence to develop new tools to tackle illegal logging in Indonesia

• provided evidence to develop a novel sanitation system that was both cost-effective and

sustainable for Can Tho in Vietnam.

By working with research partners, AusAID has been able to build the capacity of partner

country researchers and research institutions to undertake and use research. We work with

developing country researchers in 19 per cent of our research projects. These include the

SMERU Research Institute in Indonesia, Papua New Guinea’s Institute for Medical Research,

the International Centre for Diarrhoeal Disease Research in Bangladesh, and Vanuatu’s Pacifi c

Institute for Public Policy.

AusAID also supports regional efforts to improve developing country research capacity,

including through the Global Development Network and the Partnership for Economic Policy.

Through their competitive processes, we supported 151 early and later career developing

country researchers.

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International Seminar Support Scheme

The International Seminar Support Scheme supported more than 700 people from developing

countries to participate in more than 90 international development-orientated conferences,

workshops and seminars during the year.

These meetings provided opportunities for learning and sharing experiences. Topics included

agriculture, climate change, communications, discrimination, disability, economics, education,

energy, environment, food security, gender equality, governance, health, human rights,

Indigenous issues, infrastructure, land planning, law and justice, maternal and child health,

mental health, microfi nance, peacebuilding, security, trade, water, women’s empowerment and

youth issues.

Australia Awards

Australia Awards bring scholarships, short courses and fellowships administered by AusAID and

the Department of Innovation, Industry, Science, Research and Tertiary Education together under

one readily identifi able Australian banner. They aim to promote knowledge, education links and

enduring ties between Australia and other countries.

AusAID administers the majority of Australia Awards—more than 85 per cent—through

scholarships, short courses and fellowships which help achieve development objectives across

a range of sectors in developing countries. Tertiary education is an important component of

any investment in education, and the Australia Awards are a key part of Australia’s education

support to developing countries. In 2011–12 they were a feature of nearly all bilateral aid programs

managed through more than 30 Australian diplomatic missions, and available in more than 118

eligible countries.

The Australian Government works closely with partner governments to ensure that Australia

Awards funded through the aid program are aligned with strategies that support the development

priorities of each country, including human resource capacity needs. Linking awards to the

priorities of partner governments has helped maximise their impact on sustainable development.

In 2011–12, the majority of AusAID’s Australia Awards were for Indonesia, Vietnam, Papua New

Guinea and the Philippines where they were part of Australian development strategies related to

trade, governance, tertiary sector development and human resource development.

During the year, funding for Australia Awards through the aid program was an estimated

$303 million, a 22 per cent increase over 2010–11. The number of awards increased from 2082

in 2010 to an estimated 3744 offered in 2011, and 4316 awards (2359 long-term and 1957

short-term) in 2012. By 2014, there will be around 6000 recipients studying, or undertaking

short-term research or professional development fellowships in Australia at some time during

the year, and half or more of the awardees will be women. There are now four times as many

Australia Awards provided each year to developing countries as were provided at the height of the

Colombo Plan.

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Table 2: Australia Awards funding from 2007–12

Financial year Cost

2007–08 $124.5 million

2008–09 $155.6 million

2009–10 $173.6 million

2010–11 $236.6 million

2011–12 $303 million1

1 Estimated fi gure.

AusAID commissioned a report during the year to assess the completion rates of students

commencing after 2004. It showed that 96 per cent of award recipients on long-term scholarships

successfully completed their studies. Students from three of the four countries with the highest

number of award recipients—Indonesia, the Philippines and Vietnam—achieved above 98 per

cent successful completions over this period.

To ensure that developing countries benefi t from the skills and knowledge acquired through

the investment in Australia Award recipients, awardees are required to return to their home

country after the completion of their studies. Currently 99 per cent of scholars do so.

The geographic reach of AusAID’s Australia Awards expanded in 2011–12 to include more

countries in Africa, Latin America, and the Caribbean. East Asia was offered 1078 long-term

scholarships for study in Australia, which is the largest number of any region. East Asia was also

offered the largest number of short-term awards, with 755 individuals scheduled to undertake

short course training or fellowships for study and professional development in Australia.

Table 3: Australia Awards by intake year and region from 2008–12

Region 2008 2009 2010 20111 20121

East Asia 1263 1175 1243 1897 1839

Sub-Saharan Africa 88 95 202 467 975

South and Central Asia 265 304 388 477 543

Pacifi c Island countries 355 401 349 423 498

Papua New Guinea 166 172 155 321 220

Latin America and Caribbean 0 0 11 94 174

Middle East and North Africa 1 122 4 83 42

Total 2138 2269 2352 3762 4291

1 At 30 June 2012.

Australian Leadership Awards

Acknowledging the role of leadership in

development, and with a view that the Australia

Awards will help build a new generation of

leaders with links to Australia, each year 200 of

the most outstanding applicants for long-term

AusAID Australia Awards receive a prestigious

Australian Leadership Award.

Supplementary to their academic scholarship,

AusAID provides an extensive Leadership for

Development Program for these awardees,

which includes additional leadership coaching

through conferences and internships as well as

networking opportunities with professionals

from similar fi elds.

During the year AusAID brought together

Australian Leadership Awardees from across

Australia for two events: an Australia Awards

reception at Old Parliament House in Canberra

on 12 April and a Leadership for Development

forum the following day.

The reception was hosted by the Chair of the

Australia Awards Board, Professor Geoff Gallop,

and was an opportunity for these future leaders

to network with board members, AusAID staff,

representatives from the diplomatic community

and non-government organisations, and the

Australian community.

The following day at the Leadership for

Development Forum, awardees discussed

development priorities and challenges specifi c

to their countries and regions, and their vision

for contributing to development through

leadership when they return home.

One awardee, Salma Akter Khyky from

Bangladesh, addressed the fi nal session

saying that the fi rst step in her leadership

journey had begun at the forum, particularly

the engagement with senior AusAID staff, and

that the experience had generated ideas on

her own goals for leading development in her

home country.

Long-term awardees from the Pacifi c can also

apply for a Prime Minister’s Pacifi c Australia

Award, which provides a short-term work

placement in Australia following their studies.

Allison Sudradjat Awards are available to

awardees from Papua New Guinea and Indonesia

and provide $25 000 towards additional

leadership or work placement activities.

Above: The 2011 Prime Minister’s Pacifi c Australia Award recipients meet Prime Minister Julia Gillard MP and the Minister

for Tertiary Education, Senator Chris Evans, at a reception at Parliament House in November

Photo: Courtesy of the Department of Industry, Innovation, Science, Research and Tertiary Education 207

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Australian Leadership Award Fellowships—research and professional development

One of the fast growing components of the Australia Awards is the Australian Leadership

Awards Fellowships, a competitive grants program established in 2006 to fund short-term

study, research and professional development activities hosted in Australia by Australian

organisations. It targets senior and mid-career professionals in eligible developing countries

who will be in a position to advance key regional development priorities and increase

institutional capacities. The fellowships also help to build partnerships and linkages between

Australian organisations and counterpart organisations in developing countries.

Total expenditure for the program during the year was $25.85 million, an increase from

$8.2 million in 2006–07. In 2011–12, 134 Australian organisations hosted more than 1400

individual fellows from developing countries—an increase from 47 Australian organisations

hosting 370 fellows in 2007.

In late 2011, 20 offi cials from Indonesia’s Ministry of National Development Planning, Ministry

of Public Works, and Regional River Basin Organisations completed a three week Australian

Leadership Awards Fellowship program delivered by the International Water Centre in Brisbane.

AusAID provided $236 000 to deliver the program, which aimed to provide the tools and

expertise for participants to implement integrated water resource management approaches

when designing and implementing new water and sanitation policies and programs

throughout Indonesia.

The program was tailored to the needs and interests of the Indonesian offi cials, focusing across

the biophysical, economic and social aspects of water management. They benefi ted from a

combination of academic studies, lectures, workshops, site visits, and presentations with

leading researchers from a range of top Australian universities. Their study was coupled with

expert-led study tours to a range of river basins, coastal areas and watersheds around Australia.

Monitoring and evaluation

In response to recommendations in the Australian National Audit Offi ce audit of our

management of tertiary training assistance, tabled in Parliament in 2011, AusAID is developing

an enhanced evaluation strategy. This will allow us to assess the contribution of Australia

Awards on reducing poverty, at both country and regional levels, as well as the impact of awards

on institutions, individuals and on fostering links with Australia.

The strategy introduces a methodology to analyse the program on a global scale. A consistent

methodology for tracer studies is also included to generate analysis of long-term scholarship

outcomes from alumni interviews which will be conducted three, six and nine years after

completion. It has been trialled in Fiji and results will be analysed and reported in 2012–13.

AusAID’s existing student surveys, which are undertaken annually, provide an important

evidence base from which to undertake further evaluation. In 2011–12 the surveys showed

that 73 per cent of students were very satisfi ed with the program and that 27 per cent were

moderately satisfi ed. This is broadly consistent with the results of previous surveys.

In 2011–12 research was also commissioned from the Australian Council for Educational

Research to track outcomes for Australia Awards recipients completing PhD and master’s

research degrees. The study found that the vast majority of scholars who studied in Australia

during 2002–08 agreed that they were now well placed in their home countries to drive reforms

and innovation which could directly contribute to sustainable development, and that obtaining a

research degree had had a substantial impact on their professional and personal lives.

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Program support—Outcome 1


Objective: to support the implementation and management of Australia’s international aid program



Ministerial and

parliamentary

satisfaction

The Minister

and parliamentary

secretaries expressed

satisfaction with the

high quality support

services provided

by AusAID and the

provision of timely and

accurate documents

All portfolio

ministers and

parliamentary

secretaries have

expressed satisfaction

at the services and

policy advice provided

by AusAID

The Minister and

Parliamentary Secretary

expressed satisfaction

with the consistent and

high quality support

and advice provided by

AusAID

Implementation of

the aid program’s

performance

assessment and

management policy,

including production

of the Annual Review

of Development

Effectiveness

AusAID continued

to make progress

in implementing

the performance

management and

evaluation policy.

There was 97 per

cent compliance

with reporting at

the implementation

stage of the activity

cycle and 81 per cent

compliance with annual

performance reports at

the program level

AusAID continued

to make progress

in implementing

the performance

management and

evaluation policy.

There was 94 per

cent compliance

with reporting at the

implementation stage

of the activity cycle, and

100 per cent of annual

performance reports at

the program level have

been produced

AusAID continued

to make progress

in implementing

the performance

management and

evaluation policy.

There was 97 per cent

compliance with reporting

at the implementation

stage of the activity

cycle, and 100 per cent

of annual performance

reports at the program

level have been produced

The 2009 Annual

Review of Development

Effectiveness was

produced in 2010

The Annual Review

of Development

Effectiveness was not

tabled in Parliament in

2010–11 following the

recommendations of

the Independent Review

of Aid Effectiveness

and the Government’s

response

The Independent

Review of Aid Effectiveness

recommended that

the Annual Review of

Development Effectiveness

be discontinued and

replaced with a new

whole of-government

reporting system

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Ministerial and parliamentary satisfaction

AusAID began 2011–12 serving the Minister for Foreign Affairs, Kevin Rudd, and the

Parliamentary Secretary for Pacifi c Island Affairs, Richard Marles. On 13 March 2011, Senator

Bob Carr was appointed Minister for Foreign Affairs with responsibility for Australia’s offi cial

development assistance program and Mr Marles had Parliamentary Secretary for Foreign

Affairs added to his responsibilities.

The Minister and Parliamentary Secretary expressed their appreciation for the work of

the agency and their satisfaction with the agency’s performance, noting that in a year of

expansion and change, AusAID had continued to work effectively and maintain consistent, high

quality advice.

Throughout 2011–12, AusAID provided its Minister and Parliamentary Secretary with high level

policy advice and administrative support across a broad range of international development

issues. This involved preparing 221 ministerial submissions, 723 responses to ministerial

correspondence, 34 event and meeting briefs and more than 140 question time briefs. AusAID

also prepared responses, or contributed to whole-of-portfolio responses, to 279 parliamentary

questions on notice and questions in writing. AusAID currently provides a departmental liaison

offi cer in the offi ce of the Minister for Foreign Affairs.

During the year AusAID continued to implement the parliamentary document management

system to streamline the management of correspondence between the agency and the offi ces

of the Minister and Parliamentary Secretary.

AusAID, in conjunction with the Department of Foreign Affairs and Trade, has supported the

offi cial overseas travel of our portfolio Ministers and Parliamentary Secretary across the world.

AusAID and enhanced whole-of-government engagement

In 2011–12, AusAID delivered $4.328 billion of Australian aid. This included an estimated

$204.1 million of aid funded by AusAID, but delivered through other Australian Government

departments and agencies. At the same time, other departments delivered an estimated

$535.8 million of offi cial development assistance (ODA) from their own resources. While

AusAID is the lead agency in delivering aid, more than 40 Australian Government agencies are

involved in the aid program, contributing a wide range of skills and expertise. For example, in

partnership with the Australian Federal Police, an estimated $203.8 million was used to deliver

programs supporting law and justice initiatives.

As the aid program continues to grow, other Australian Government agencies will continue to

play a key role in delivering aid funding. Recognising the importance of whole-of-government

partners, AusAID established a Whole of Government Branch in March 2012.

AusAID is working closely with partner agencies on a range of initiatives including:

• the Public Sector Linkages Program, which provides other Australian

Government departments with an opportunity to access ODA funding to undertake

government-to-government development initiatives. The program delivered approximately

110 activities worth $23.7 million across Asia and the Pacifi c in 2011–12. This program will

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transition to the Government Partnerships for Development program in 2012–13 and facilitate

$52.8 million for ODA activities for other Australian Government departments

• the Annual Review of Aid Effectiveness, which reports to the Australian Government and

the community on the performance of Australia’s aid program. The annual review is being

led by AusAID in close collaboration with other departments administering ODA and

will be published every year in October. Consistent with the Comprehensive Aid Policy

Framework, the annual review will present progress against the Millennium Development

Goals, the contribution of Australian aid, and operational and organisational effectiveness.

This will provide a picture of Australia’s aid achievements and identify how we continue to

collectively work together to help people overcome poverty

• high level meetings with representatives from partner agencies, including ongoing

Development Effectiveness Steering Committee meetings and a number of strategic

partnership agreement meetings with key partners, including the Australian Federal Police

and Australian Defence Force

• developing uniform standards across government for the delivery of ODA.

AusAID engages with other government departments through the Aid Transparency Working

Group to publish its aid program information on AusAID’s website. This will provide a complete

picture of all Australian ODA in one location.

Aligning strategy with Australia’s aid policy

AusAID continues to focus on the quality and effectiveness of its country and regional program

strategies, publishing program strategies for its top 20 programs by December 2011.

In 2011–12, the focus was on updating and fi nalising all program strategies to align with and

serve Australia’s aid policy, An effective aid program for Australia. Thirty of the agency’s 36

country and regional programs now have updated strategies and the remaining six programs

will fi nalise strategies in the second half of 2012.

The Comprehensive Aid Policy Framework and its results framework, released with the 2012–13

Budget, sets a new target of updated strategies for the top 20 country programs by the end

of 2012. Ranking of the top 20 programs is based on their projected value by 2015–16 under

the framework.

The alignment ensures all programs are framed by the Government’s strategic goals, policy

priorities and the aid allocation criteria set for the aid program. These priorities include an

emphasis on focusing aid investments in fewer sectors where Australia has the capacity to

make a real difference, and through fewer but larger programs. Program strategies defi ne

Australia’s contribution to development outcomes and how Australia will deliver on its aid

commitments, including through the use of a wider variety of partnerships and increased use

of partner systems where prudent and effective. Each strategy refl ects a whole-of-government

approach on the optimal use of Australian aid, clearly articulates the expected development

results and is based on thorough analysis. All program strategies are published on the AusAID

website, in line AusAID’s Transparency Charter for the aid program.

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Evaluating the effectiveness of Australia’s aid program

AusAID’s Offi ce of Development Effectiveness (ODE) is an operationally independent unit

that assesses the effectiveness and evaluates the impact of AusAID’s implementation of the

Australian aid program. ODE builds stronger evidence for more effective aid and draws its

evidence from three areas: in-depth evaluations and reviews of Australian aid, analysis of

AusAID performance systems, and collaborations with leading international think-tanks and

research organisations.

A major focus for ODE in 2011–12 was establishing the Independent Evaluation Committee,

a key commitment in Australia’s aid policy, An effective aid program for Australia. Foreign

Minister Senator Bob Carr appointed former Vice President of the World Bank, Jim Adams as

the committee’s chair. The committee will oversee ODE’s work in commissioning, managing and

publishing a program of high quality independent evaluations. It held its fi rst meeting in June

and reports to the whole-of-government Development Effectiveness Steering Committee.

ODE also developed an evaluation policy and a three year rolling evaluation work plan for

2012–15. They bring greater robustness and transparency to its selection of evaluation topics.


• publishing two reports on the quality of Australian aid, one based on an external analysis

by the Brookings Institution and the other on an internal assessment of the aid program’s

effectiveness. These reports confi rmed the fi nding of the 2011 Independent Review of Aid

Effectiveness that Australia is an effective performer and one of the best performing donors

focusing on fragile states

• completing and publishing three major evaluations on engaging with civil society in

developing countries, rural development assistance and Australian aid to the Philippines.

These evaluations contribute to our knowledge about what does and does not work in aid,

and why. The evaluations recognise strengths and weaknesses in specifi c areas of the aid

program and make clear suggestions for improvement

• producing targeted working notes for aid practitioners on topics such as mutual

accountability in the aid program, effective aid in fragile states, and partner systems, risk

and transparency.

• raising awareness of international best practice in development by strengthening

partnerships with leading think-tanks and research institutions. The Brookings Institution’s

research increasing development results has infl uenced internal AusAID guidance on

boosting aid programs

• supporting the BetterEvaluation initiative, a web-based platform providing information and

advice about good evaluation practice and methods benefi ting AusAID staff and evaluators

in our development partner countries

• continuing the podcast series ODE Talks, which featured eminent development policy

thinkers including Andrew Mason of the World Bank and Clare Short of the Extractive

Industries Transparency Initiative.

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Increasing awareness of development assistance

AusAID’s information, education and communication activities are designed to build greater

understanding of the Australian aid program and how it contributes to alleviating poverty.

Because the outcomes of the aid program are experienced outside of Australia, building

awareness of the program’s results and achievements remains a challenge for the agency and

the wider development sector.

During the year, communication efforts concentrated on improving media and community

engagement as well as improving the quality and quantity of information available on the AusAID

website. This was guided by the AusAID Transparency Charter launched in November 2011.

No advertising campaigns were undertaken during the year.

The Transparency Charter

The Transparency Charter commits AusAID to make it easier for people both in Australia and

overseas to fi nd out more about our aid program. The charter commits AusAID to:

• be transparent and open about Australia’s international development programs

• publish detailed information on our work including our policies, plans, processes, the

results of Australian aid activities and our evaluations

• publish this information in a timely fashion and in a format that is useful and accessible

• welcome public feedback to help us further improve the effectiveness, effi ciency and

transparency of the aid program and achieve better value for money.

To meet this commitment, AusAID has begun a program of:

• regularly updating information and data about our activities within more

comprehensive web pages

• fully participating in the International Aid Transparency Initiative that provides data for

comparison and critical analysis of aid program results

• publishing local language summaries of Australian aid programs in local media and on the

web pages for Australia’s major aid programs

• publishing annual targets for improvement of transparency in the aid program

• increasing the number of documents published in AusAID’s Information Publication Scheme.

Since the launch of the Transparency Charter more than 1500 new documents have been

published on the AusAID website for 13 country programs—East Timor, Fiji, Indonesia,

Mongolia, Myanmar, Nauru, Papua New Guinea, the Philippines, Solomon Islands, Sri Lanka,

Tonga, Vanuatu and Vietnam.

The remaining country, regional and thematic area web pages will be published throughout

2012–13 and will include geocoding and narratives in local languages.

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AusAID is committed to meeting the requirements of the Australian Government’s Information

Publication Scheme. At 30 June 2012, more than 6300 internal documents were assessed for

publication and more than 1200 were made available via the Information Publication Scheme

web page on the AusAID website.

Further information about the Transparency Charter is available at

www.ausaid.gov.au/transparency

International Aid Transparency Initiative

AusAID is a regular contributor to international initiatives to improve aid effectiveness such

as the International Aid Transparency Initiative, which aims to make information about aid

spending easier to access, use, understand and compare across countries.

AusAID is delivering on this commitment by progressively providing documents and aid data

to the initiative’s registry. In 2011–12 AusAID provided country level aid data for the previous

year for Cambodia, Kiribati, Mongolia, Nauru, the Philippines, Samoa, Solomon Islands, Tonga,

Vanuatu and Vietnam.

Although 29 donors are signatories to the International Aid Transparency Initiative, at May 2012

AusAID was one of only nine to have provided its data.

Online media

During 2011–12 we continued to improve the technology, accessibility and content of our

online services. On 1 May 2012 we launched a new look website using new technology and the

opportunities it affords to provide more timely, innovative and interactive information. Social

media channels such as Twitter and a blog have been used to provide information and enable

people to engage in discussion with the agency.

AusAID’s new website

The new AusAID website is more attractive, informative and user-friendly and allows the use

of social media and online knowledge sharing (Web 2.0) tools and features and supports

multimedia integration.

During the year approximately 1.6 million people visited the site, 18 per cent more than in

2010–11. They made more than 2.5 million visits—up nearly 24 per cent—and stayed longer on

average for each visit. Total page views were up nearly 40 per cent. After Australia, the largest

visitor numbers to the website were from Indonesia, United States, the Philippines, Pakistan

and Vietnam.

Even though most people continue to access our website using computers, more than 91 000

visitors also used mobile devices such as smart phones and tablets—a 24 per cent increase on

the previous year.

Online business is supported and users can apply online for scholarships, research grants

and employment opportunities. Information provided to the Australian business community

includes how to access current tender opportunities, advice on AusAID business and tender

processes and how to apply for a range of funding schemes available through AusAID.

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Pages related to AusAID’s Australia Awards were the most popular, followed by general

information about the aid program, country information, and AusAID recruitment.

AusAID responded to 2285 requests for information in 2011–12 through its online enquiry line.

In response to the commitments made in the Transparency Charter, at 30 June 2012 we had

redeveloped 13 country sites. The remaining sites, along with regional and thematic sites, will

be completed by the end of 2012.

The new country sites are instantly engaging with tables and charts presenting digestible

details. They clearly show why we give aid to a specifi c country, how we deliver that aid

and how much we spend. Downloadable documents are contained in formats that can be

manipulated and analysed and data is also published in useable formats.

Further development of the AusAID website over 2012–13 will include:

• geocoding maps to provide a snapshot of the programs being delivered in each country

and region

• translated versions of some aid program information to make it more accessible to

international audiences.

AusAID continues to work toward the requirements of the Australian Government’s National

Transition Strategy to improve the accessibility of government websites. The accessibility of

technical aspects of our website were improved during the redevelopment.

AusAID aims to comply with all Australian Government Information Management Offi ce

guidelines and World Wide Web Consortium (WC3) web content accessibility guidelines in

online communication.

Social media and multimedia

AusAID uses social media and multimedia tools to share information about the aid program to

a wider audience and encourage greater engagement.

In November 2011, the blog Engage—discussions about the Australian aid program was

launched to provide a space for sharing information about the aid program and encourage

engagement with the Australian and international community. Since it was launched, 29

posts have been published which attracted 45 comments. We encourage contributions from

development experts, researchers, civil society and AusAID staff.

Twitter continues to be an important channel for informing people about aid and development

issues. We use this channel to highlight key facts about the aid program, and to share

information in real time during and in the aftermath of natural disasters and other humanitarian

crises. The AusAID Twitter feed now has more than 5700 followers.

AusAID produces audio-visual materials to help tell the story of aid and development. In the

past year, 74 videos were published on our YouTube channel, which has had more than 75 000

views. We also publish a range of photographs on the AusAID Flickr account. At 30 June 2012

we had published more than 2200 photos, which had attracted more than 330 000 views.

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The fortnightly Insight enewsletter was introduced in December 2011 as an additional channel

to share the latest AusAID news. There are currently more than 1000 subscribers.

Information Publication Scheme

The Information Publication Scheme, introduced on 1 May 2011, is part of a whole-of-government

agenda to create a culture of public sector openness, transparency and engagement. Along with

AusAID’s Transparency Charter, it commits the agency to make documents available to partners,

stakeholders and the public on the website.

Agencies subject to the Freedom of Information Act 1982 are required to publish information

to the public as part of the Information Publication Scheme. This requirement is in Part II of the

Freedom of Information Act 1982 and has replaced the former requirement to publish a section

8 statement in an annual report. Each agency must display on its website a plan showing what

information it publishes in accordance with the Information Publication Scheme requirements.

At 30 June 2012, more than 1200 corporate and aid program documents were available on

AusAID’s website through the registry, with the overwhelming majority available via hyperlink.

Further information about the Information Publication Scheme is available at

www.ausaid.gov.au/ips

Media and communications

AusAID engages with Australian and international media representatives to tell the story

of the results we are achieving and the lives being changed by Australia’s international aid

program. In 2011–12 AusAID responded to more than 500 enquiries from journalists asking

questions or seeking information and expert comment about Australia’s involvement with aid

and development issues. This was an increase of around 25 per cent from the previous year.

Staff at our overseas Posts also worked with their local media to tell the story of the Australian

aid program.

AusAID published 112 news and information articles known as ‘hot topics’ on its website and 86

media releases and alerts were issued for government and departmental announcements and

events, and in response to emerging issues. We prepared 65 speeches for delivery by our Minister,

Parliamentary Secretary, other members of parliament and senior departmental offi cers.

Media and communications support was provided for a number of humanitarian responses

including the Fijian fl oods, the drought which saw the island nation of Tuvalu run out of

drinking water and the innovative Dollar for Dollar initiative with Australian non-government

organisations, which raised more than $13.5 million from the public for the Horn of Africa crisis.

AusAID matched these donations dollar for dollar to bring the combined total raised to more

than $27 million.

Other major events and initiatives involving public communication included major

announcements made at the Commonwealth Heads of Government Meeting in Perth to

increase Australian support for polio vaccination, increase funds for food security in Africa

and strengthen development cooperation with Pakistan, and the release of the Government’s

response to the Independent Review of Aid Effectiveness, An effective aid program for Australia.

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AusAID’s magazine Focus is published three times a year. It is a well-established publication

that shows the complexities of the aid program in a way that is easy to understand

and captures community interest in Australia’s efforts to reduce poverty and promote

sustainable development.

More than 35 000 copies of Focus are distributed through a subscription database of nearly

25 000 recipients, 80 per cent of who are from the community. Other recipients include

government departments, overseas embassies and high commissions, professionals such as

doctors and dentists, schools and universities, non-government organisations and businesses.

Further copies are distributed on request, for example, as one-off special orders for school

classes or through events arranged by AusAID. Visitors to AusAID’s website can view Focus

online and electronic subscribers are notifi ed when it is published.

Other publications produced during the year included policies, reports and brochures on

a wide range of development activities. All publications are listed on the website and are

available online as well as in hard copy. Further details of AusAID publications can be found at

appendix E.

AusAID sought to engage with the Australian community through various communication

activities during the year, some undertaken alone and some in partnership with non-government

organisations and community groups.

For example, AusAID:

• joined forces with World Vision and the International Women’s Development Agency

to present a series of 11 free, monthly after work forums about global poverty and

development. These were attended by more than 3000 people around Australia, a slight

increase on the previous year. Speakers included Tom Keneally AO, Dr Catherine Hamlin

AC, Gareth Evans AO QC, Graeme Innes AM and Noni Hazlehurst AO. Recordings of the

forums are also available on the One Just World website www.onejustworld.com.au and are

sometimes played on ABC television

• sponsored more than 350 United Nations Women’s International Women’s Day events

around Australia which reached an audience of around 35 000 people. The events had the

theme ‘empowering women through economic security’ and AusAID materials talking about

the importance of women’s economic security in developing countries were distributed to

all attendees

• co-funded and contributed a number of expert speakers to the World Bank’s Praxis

discussion series. The monthly panel discussion features specialists on a selected topic

relating to international development and is broadcast through channels including

YouTube, Pacifi c Island television stations, and ABC radio and television in Papua New

Guinea. Episodes are often replayed on ABC Radio National.

Global education

AusAID’s Global Education Program funds educators to work with teachers and student

teachers around Australia to develop greater awareness of international development issues,

focusing in particular on our neighbours in the Asia-Pacifi c and Indian Ocean regions.

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In 2011–12, the Global Education Program totalled $2.363 million. The program helped train

more than 28 000 primary, secondary and student teachers across Australia in poverty

reduction and development issues. The new Australian curriculum provides opportunities

for teachers to include these issues in their classrooms. The program works with education

faculties on 60 campuses of 36 Australian universities.

Curriculum materials were produced on a range of topics and more than 130 000 documents

were distributed, an increase of 40 000 over the previous year.

The program also funds the global education website www.globaleducation.edu.au which

supports teachers who are looking to include a global perspective in classrooms. Redeveloped

in 2011–12, the website takes advantage of new technology and refl ects new teaching and

learning styles. The site had more than 870 000 visits during the year, an increase of more than

100 000 from 2010–11. It includes:

• teaching and learning resources in line with the national curriculum, a professional learning

module, strategies and school case studies

• updated background information, statistics, case studies and country profi les

• searchable galleries of photos, videos, web links and templates

• a monthly newsletter

• regular updates on hot topics related to global issues

• a calendar of international days and global education events

• the capacity for users to comment and contribute to discussions with the global

education community.

Adviser reforms

Adviser stocktake

AusAID contracts advisers to support the implementation of the aid program. An adviser’s

assignment can range from providing short-term technical expertise to working closely with

counterparts for several years to build local skills in areas like health, education and food

security. Used appropriately, advisers are an effective and fl exible way to make an important

contribution to a country’s development.

Since early 2010, the Australian Government has instituted a series of reforms to strengthen its

use of advisers, including:

• the Joint Adviser Review carried out in 2010

• an Adviser Remuneration Framework covering all commercially engaged advisers

• a clear policy setting out the minimum standards for engaging advisers

• a system for regular monitoring and reporting on adviser use and remuneration.

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The latest adviser stocktake report released in March 2012 found that:

• the Adviser Remuneration Framework had driven a decrease in adviser remuneration with

the average daily fee for short-term international advisers falling by 41.1 per cent and the

average monthly remuneration package for a long-term adviser falling by 34.1 per cent

• total expenditure on adviser remuneration and support costs has decreased, both as a

dollar fi gure and as a percentage of the total aid budget.

Adviser stocktake reports are now published biannually. These consolidate analysis undertaken

by AusAID on the use and remuneration of advisers engaged across the aid program.

Adviser Remuneration Framework

As part of a broader suite of reforms under way to address the use and remuneration of

advisers in the aid program, AusAID developed a standardised framework, benchmarked

against the practices of other donors.

The framework was publicly released by the former Foreign Affairs Minister on 15 February

2011. It comprises a set of remuneration tables for short and long-term advisers, with fee rates

explicitly linked to the level and type of expertise required.

The framework only applies to commercially contracted advisers engaged by AusAID directly or

via a managing contractor, who provide advice on the strategic direction and implementation

of the aid program. It does not apply to advisers on employment contracts with AusAID or to

whole-of-government deployees. All of AusAID’s new designs, approaches to market, direct

engagements and contract extensions must now comply with the framework.

The framework promotes transparency of adviser remuneration and benefi ts, ensuring

consistency across AusAID activities and encouraging a more rigorous selection process with

a strong focus on performance. The initiative has already brought considerable advantages to

the aid program. Most important among these are the savings that are being reinvested in high

priority areas such as basic service delivery in health and education. AusAID has undertaken

a review of the fi rst 12 months of implementation and found no substantial evidence that the

framework has had a negative impact on the program’s ability to engage advisers.

More information about the Adviser Remuneration Framework and AusAID’s agreements,

grants and procurement policy can be found at www.ausaid.gov.au/business

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Program 2.1 ODA—East Asia(Australia–Indonesia Partnership for Reconstruction and Development)


Objective: to continue to assist Indonesia in reconstruction and development post the

2004 tsunami





activity outputs

Signifi cant



achieved

Signifi cant



achieved

Signifi cant




on page 221


activities receive a quality

rating of satisfactory or

higher

88 per cent of


ratings for the

Australia–Indonesia

Partnership for

Reconstruction and

Development were


66 per cent of the

aggregated quality

ratings for


Partnership for

Reconstruction and

Development (two of the

three activities) were rated


100 per cent.

There was one activity

under the


Partnership for

Reconstruction and

Development and its

quality rating was

satisfactory


of program strategy

objectives fully or

partially achieved

Achievement

of program strategy

objectives are reported

and assessed within

the Indonesia program

portfolio. On 20

March 2008, the


Partnership for

Reconstruction and

Development Secretaries’

Committee agreed that

partnership funded

programs would be

reported on within the

Australia Indonesia

Partnership Country

Strategy 2008–13

Achievement

of program strategy


and assessed within


portfolio. On 20 March

2008, the


Partnership for

Reconstruction and



partnership funded

programs would be


Australia Indonesia

Partnership Country

Strategy 2008–13

Achievement

of program strategy


and assessed within


portfolio. On 20 March

2008, the


Partnership for

Reconstruction and



partnership funded

programs would be


Australia Indonesia

Partnership Country

Strategy 2008–13*

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process**

100 per cent of


Partnership for

Reconstruction and

Development activities

were compliant

with the quality at


100 per cent of


Partnership for

Reconstruction and

Development activities

were compliant

with the quality at


Indonesia country

strategy in place*** Australia Indonesia

Partnership Country

Strategy 2008–13 in place

* The Annual Program Performance Report for 2010 shows that 85.5 per cent of Australia Indonesia Partnership Country Strategy 2008–13

objectives were fully or partially achieved.


*** This indicator was introduced in 2011–12 and was not reported against in 2009–10 and 2010–11.

The Australia–Indonesia Partnership for Reconstruction and Development was jointly agreed by

the governments of Australia and Indonesia following the 2004 Indian Ocean tsunami. The fi ve

year $1 billion agreement included $500 million in grants and $500 million in highly concessional

loans, which focus on large social, economic and reconstruction programs across Indonesia.

During 2011–12, partnership funding was spent on one infrastructure activity—the Eastern

Indonesia National Roads Improvement Program. This consists of a $300 million loan for 20

road reconstruction projects in nine provinces, resulting in 395 kilometres of improvements

to important national road corridors. After initial delays, the program’s delivery accelerated

in 2011–12 with three projects completed, 15 under construction and two packages

fi nalising procurement.

Through the program, Australia and Indonesia are working to construct high quality roads

that are safe, durable and provide a model for future work across the national road network.

An independent review of the program in 2011 found that the program road designs were of

high quality and would result in more durable roads with lower life cycle costs. The review

emphasised the need for ongoing monitoring of construction quality to ensure that the high

quality designs translate into more durable and longer lasting roads.

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Financial results

The Australian National Audit Offi ce was unqualifi ed in its opinion that AusAID’s 2011–12

fi nancial statements are fairly stated and presented.

Departmental fi nancial performance

AusAID’s departmental outcome for the year ended 30 June 2012 was within expectations, with

an operating loss of $0.018 million after depreciation. The residual loss is not material.

Table 4: AusAID’s departmental outcome for 2011–12

Departmental operating statement Actuals 2011–12 ($’000) Actuals 2010–11 ($’000)

Operating revenue Outcome 1 275 553 246 875

Operating revenue Outcome 2 5291

Operating expense Outcome 1 287 471 247 805

Operating expense Outcome 2 2418

Operating surplus/(defi cit) (11 918) 1943

Depreciation expenses 11 900 9604

Operating surplus/(defi cit) after depreciation

(18) 11 547

Cash reserves are refl ected in cash on hand at 30 June 2012 as well as the appropriation

receivable, totalling approximately $58.401 million.

Administered fi nancial performance

Total overall administered expenses in 2011–12 were $4.023 billion, with 99 per cent of the

agency’s regular appropriation for the aid program being expensed.

Table 5: AusAID’s total overall administered expenses for 2011–12

Administered expenses and liabilities Actuals 2011–12 ($’000) Actuals 2010–11 ($’000)

Outcome 1 3 977 145 4 196 594

Outcome 2 37 104 30 347

Total expenses 4 014 249 4 226 941

Total liabilities 1 455 184 1 602 061

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Outcome 1—To assist developing countries reduce poverty and achieve sustainable development, in line with Australia’s national interest.

Administered expenses were $3.977 billion (100 per cent of the annual budget). In 2011–12,

AusAID continued a package of initiatives under Outcome 1 in the areas of governance,

education, infrastructure, health, humanitarian emergencies, rural development and the

environment.

One of the main differences between administered expenses and cash fl ows (detailed in

section 4) arises from recognition of multi-year commitments to multilateral development

institutions. The total expense is recognised in the year the commitment agreement is signed.

The cash paid and liability is subsequently discharged over the following fi nancial years.


The total appropriation of $1 billion for the Australia–Indonesia Partnership for Reconstruction

and Development was received through the 2004–05 Portfolio Supplementary Additional

Estimates and was credited equally to two special accounts—one for grants and one for

loans. A total of $48.183 million of partnership loans were disbursed in 2011–12. A balance of

$120.5 million remains available in loan funding. Supplementary administrative costs for the

implementation and management of the partnership are funded through Bill 1 appropriations.

224

3 » Corporate governance

» External scrutiny

» Management of human resources

» Purchasing and assets

SECTION 3 I MANAGEMENT & ACCOUNTABILITY

Above: Director General, Peter Baxter signs the new AusAID Enterprise Agreement 2011–14 with staff involved in

the negotiations

Front row (left to right): Peter Baxter and Simon Buckley

Back row (left to right): Steve Hills, Sue Connell, Blair Exell, Rob Tranter, Amy Haddad and Julianne Cowley


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Corporate governance

Strategic planning framework

AusAID’s strategic planning framework is grounded in the Australian Government’s 2011 policy

statement An effective aid program for Australia. This policy, released on 6 July 2011, outlines

the strategic direction for the Australian aid program, and promotes increased transparency,

accountability and strengthened partnerships. It also has a greater focus on results and

delivering value for money.

The aid policy is underpinned by the Comprehensive Aid Policy Framework, released by the

Government on 8 May 2012. The framework includes a rolling four year, whole-of-government

budget strategy. It provides more detail on how, why and where Australian aid will be spent to

2015–16, including indicative regional and global program aid allocations. These allocations are

based on four criteria: poverty, national interest, capacity to make a difference and the scale

and effectiveness of our current program. The framework also sets out the results that will be

achieved with these investments and new standards for the effi cient and effective delivery of

Australian aid.

AusAID’s policies and systems are being systematically revised and updated to refl ect the new

aid policy. AusAID country and regional program strategies and their delivery plans are being

revised to refl ect the priorities and strategic goals of the new aid policy and the Comprehensive

Aid Policy Framework. Thematic strategies and performance assessment frameworks for

education, health, water and sanitation, gender equality, disability-inclusive development,

food security, economic development and effective governance have also been developed

to guide programs and delivery against the aid program’s strategic goals. The aid policy and

the framework are also informing 2012–13 divisional business plans, particularly in relation

to resource allocations, reporting results, workforce planning and the provision of enabling

services that support delivery of programs.

Corporate reform

Following the release on 6 July 2011, of the Independent Review of Aid Effectiveness, and the

Government’s policy statement in response—An effective aid program for Australia, AusAID

has experienced a year of unprecedented change. As part of implementing the new aid policy,

AusAID is putting in place structures, policies and management systems to effectively and

effi ciently manage a much larger aid program that delivers clear results.

AusAID undertook a major restructure in March 2012 to position the agency to deliver the

expanded aid program through to 2015–16. The new organisation structure is based on three

groups, including a new Corporate Group led by a Chief Operating Offi cer. These changes

strengthen our ability to manage the growth in our core country and regional programs,

expand our engagement with business and community sectors and enhance senior oversight

of AusAID’s corporate, information technology and fi nance functions. The restructure saw

the creation of a new Risk Management and Fraud Control Branch to lead reforms to further

enhance management of risk and fraud across the aid program. In addition, dedicated risk and

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fraud offi cers have been appointed in countries with the highest incidences of fraud, including

Papua New Guinea, Indonesia and the Philippines. The restructure also saw the creation of an

Economics Advisory Group to provide economic analysis across AusAID’s programs to enhance

their effectiveness and value for money. The group also has responsibility for improving the

analytical skills of economic policy offi cers across AusAID.

Phase one of AusAID’s Workforce Plan was launched in May 2011 and was implemented

throughout 2011–12. It includes steps to improve AusAID’s recruitment, development and

retention of staff. Phase one of the plan has improved staff retention, demonstrated by a

decrease in the agency separation rate to 6.5 per cent as of March 2012 (down from 10.1

per cent in 2010–11). Phase two of the plan will be fi nalised in the third quarter of 2012. It

focuses on enhancing leadership and management capability and building necessary in-house

specialist expertise, including sectoral and corporate capabilities.

AusAID’s Adviser Remuneration Framework, introduced in February 2011, continued to deliver

savings in 2011–12, with the average salaries and allowances for both long and short-term

advisers falling markedly. For example, during July to December 2011, the average daily fee for

short-term international advisers fell by 41.1 per cent compared to pre-framework rates, and the

average monthly remuneration package for a long-term international adviser was reduced by

34.1 per cent compared to pre-framework rates.35 Total expenditure on adviser remuneration and

support costs also decreased, both as a dollar fi gure and as a percentage of the total aid budget.

Corporate reforms in 2011–12 also included strengthening AusAID’s governance arrangements.

Two new governance committees were established during 2011–12 to better enable management

of the major corporate and programming changes required for implementing the aid policy.

The Strategic Reform Committee was established in August 2011 to direct and coordinate AusAID’s

reform initiatives, including those in response to the agreed recommendations of the Independent

Review of Aid Effectiveness. A related focus for the committee is systems, including workforce

planning, procurement and streamlining business processes. This included a recent review of

AusAID’s high level business processes and establishment of a framework to guide continued

business improvement and organisational change.

The Strategic Programming Committee was established in November 2011. It is central to a

new approach to corporate oversight of key investment decisions in AusAID. The committee

considers how AusAID initiates, designs and approves new programs, and identifi es effi cient

and streamlined processes depending on the relative risks and value of these programs. The

committee provides high level quality assurance for investment decisions.

Agency governance

The Strategic Reform Committee and the Strategic Programming Committee are part of

AusAID’s broader governance structure, led by the Director General and the Executive

Committee. The existing committee governance arrangements are currently being revised to

refl ect the organisational restructure in March 2012 and further strengthen the management

and strategic oversight of the expanded aid program.

35 AusAID Adviser Stocktake—report 2: 1 July–31 December 2011 (March 2012).

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Figure 16: AusAID committee structure at 30 June 2012

The Executive Committee is AusAID’s primary governance committee and is chaired by the

Director General.

The Audit Committee is independently chaired and assists the Director General and the

Executive Committee with legislative, corporate governance, risk management and fi nancial

responsibilities.

Other committees that support the governance structure include:

• Development Effectiveness Steering Committee—assists in coordinating

whole-of-government offi cial development assistance and advises the

government on major aid policy and aid budget proposals

• Independent Evaluation Committee—oversees the work of the Offi ce of Development

Effectiveness in commissioning, managing and publishing a program of high quality

independent evaluations

• Information and Communication Technology Steering Committee—reviews, promotes and

proposes activities that align information and communication technology systems, services

and investments with the needs of AusAID

• Security Committee—advises and supports the Director General and the Executive

Committee on issues related to the safety and security of AusAID staff around the world

• Research Steering Committee—provides high level guidance on the direction, quality and

impact of AusAID’s research strategy, investments and partnerships.

Executive Committee

The Executive Committee is AusAID’s senior governance and decision-making body. It acts as a

board of management for the agency, providing strategic direction and leadership and supporting

the Director General in his role as chief executive. The Executive Committee focuses primarily on

key strategic policy issues, major programming decisions and the management of the agency.

The committee’s current membership commenced with the organisational restructure in

March 2012.

Director General

Independent Evaluation Committee

Development Effectiveness Steering Committee

(Chair: Director General)

Executive Committee(Chair: Director General)

Audit Committee

Divisional Leadership Group

(Chair: FADG CED)

Strategic Programming Committee

(Chair: DDG CPG)

Strategic Reform Committee

(Chair: DDG HIG)

ICT Steering Committee(Chair: COO)

Security Committee (Chair: FADG CED)

Research Steering Committee

(Chair: DDG CPG)

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Its permanent members include the Director General, three Deputy Directors General, First

Assistant Director General, Corporate Enabling Division and the Chief Financial Offi cer. These

permanent members are joined by a First Assistant Director General and an Assistant Director

General, who hold rotational memberships on the Executive Committee on a six-monthly basis.

The independent chair of AusAID’s Audit Committee occasionally attends meetings of the

Executive Committee as an observer.

Peter Baxter, Director General

Peter Baxter was appointed Director General of AusAID in May 2010 and is the

chief executive of the agency. The areas of audit, economics and the Offi ce of

Development Effectiveness report directly to him.

James Batley PSM, Deputy Director General—Country Programs Group

As Deputy Director General of the Country Programs Group, Mr Batley’s

responsibilities include the agency’s Pacifi c, East Asia, Africa and community

programs.

Gary Dunn, Deputy Director General—Chief Operating Offi cer

Gary Dunn is the Chief Operating Offi cer and is responsible for the agency’s

corporate management, including the functions of program effectiveness and

performance, corporate enabling, and fi nance and information services.

Ewen McDonald, Deputy Director General—Humanitarian and International Group

As Deputy Director General of the Humanitarian and International Group,

Mr McDonald’s responsibilities include programs in South and West Asia,

humanitarian and disaster responses and international programs and

partnerships.

Paul Wood, First Assistant Director General—Chief Financial Offi cer

Paul Wood is AusAID’s Chief Financial Offi cer with responsibility for the

Government Finance and Information Services Division and the fi nancial

management of the aid program.

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Blair Exell, First Assistant Director General—Corporate Enabling Division

Blair Exell is the First Assistant Director General of the Corporate Enabling

Division and has responsibility for the areas of human resources, workforce

strategy and communications, including ministerial services, transparency

and media. Mr Exell was also responsible for the implementation of the

Effective Aid policy during 2011–12.

Laurie Dunn, First Assistant Director General—Program Effectiveness and Performance Division

Laurie Dunn is First Assistant Director General of the Program Effectiveness

and Performance Division. Mr Dunn is responsible for planning, agreements

and quality performance, and fraud and risk management.

Jenny Da Rin, Assistant Director General—Education and Health Branch

Jenny Da Rin is Assistant Director General for the Education and Health

Branch with responsibility for the agency’s education and health sector

policies and programs.

Development Effectiveness Steering Committee

The Development Effectiveness Steering Committee is responsible for providing high level,

strategic advice to the Australian Government on the aid program, including in relation to

offi cial development assistance strategy and budget proposals. Chaired by AusAID’s Director

General, the committee comprises deputy secretaries of the Department of the Prime Minister

and Cabinet, Treasury, Department of Finance and Deregulation, and the Department of Foreign

Affairs and Trade.

The committee has taken on the role of strengthening and supporting whole-of-government

coordination of the aid program. It focuses on three themes:

• whole-of-government coordination and coherence in all offi cial development assistance

eligible activities

• the Comprehensive Aid Policy Framework, including oversight of its implementation

• aid effectiveness.

In 2011–12 the committee continued to play a key role in shaping aid policy. In particular, it

oversaw implementation of the Comprehensive Aid Policy Framework, which encompasses

whole-of-government aid spending and enables more effective planning and implementation of

aid investments. The committee also provided high level strategic advice on the 2012–13 offi cial

development assistance budget, guided the development of country strategies and endorsed

the terms of reference of the Independent Evaluation Committee. It endorsed strategies and

reports that supported whole-of-government implementation of the aid program, including the

AusAID Transparency Charter and the Australian Multilateral Assessment.

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Independent Evaluation Committee

The newly established Independent Evaluation Committee oversees the work of the Offi ce

of Development Effectiveness and provides independent expert evaluation advice to the

Development Effectiveness Steering Committee. In particular the committee oversees the

work of the Offi ce of Development Effectiveness in planning, commissioning, managing and

disseminating a high quality independent evaluation program that assesses the effectiveness

and evaluates the impact of the Australian aid program.

In May 2012, Foreign Minister Senator Bob Carr announced the establishment of the

Independent Evaluation Committee and appointed Jim Adams, a former Vice President of

the World Bank, as the committee’s chair. In addition to the chair, the committee has two

external members (Professor Patricia Rogers and Dr Wendy Jarvie) and one senior AusAID

representative (Gary Dunn, Deputy Director General, Chief Operating Offi cer). Given the

committee’s whole-of-government mandate, a representative from the Department of Finance

and Deregulation attends meetings as an observer.

The committee held its fi rst meeting in June 2012 and will meet four times a year.

Aid coordination and advisory mechanisms

Internal audit

AusAID’s internal audit function focuses on improving the quality, accountability, effi ciency and

effectiveness of the functions and processes used to deliver the Australian aid program.

The agency develops and manages an internal audit program, which is designed to give

assurance that critical policies and procedures are complied with and to identify areas for

improvement in AusAID’s administrative and program functions and processes. The internal

audit program is delivered using a combination of internal resources and external providers.

To build greater transparency and accountability in the aid program, AusAID internal audit

reports have been published since 2011–12.

Audit Committee

Section 46 of the Financial Management and Accountability Act 1997 requires the Director

General to establish and maintain an Audit Committee with functions that include:

• assisting AusAID to comply with obligations under the Financial Management and

Accountability legislation

• providing a forum for communication between the Director General, senior managers and

AusAID’s internal and external auditors.

At 30 June 2012 the Audit Committee membership comprised:

• Mr Oliver Winder PSM, Chair and independent external member

• Mr James Batley PSM, Deputy Chair and AusAID Deputy Director General,

Country Programs Group

• Mr Len Early PSM, independent external member

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• Mr David Lawler, independent external member

• Ms Jenny Morison, independent external member

• Mr Murray Proctor, AusAID First Assistant Director General, Projects

• Ms Lisa Rauter, AusAID Assistant Director General, Africa Branch.

AusAID’s Chief Auditor, Chief Financial Offi cer, Assistant Director General of Agreements and

Value for Money Branch, and representatives of the Australian National Audit Offi ce attended

committee meetings as observers. During the year the committee met seven times, including a

special fi nancial statement meeting in August 2011.

In 2011–12, the committee ensured AusAID complied with its obligations under the

legislation by reviewing and where necessary, recommending improvements to management

systems and key business processes, the corporate governance framework and fi nancial

reporting processes.

The committee also provided a forum for both formal and informal communication between

key stakeholders, including the Director General, the Executive, senior managers, the Audit

Branch, other areas of AusAID with governance responsibilities and the Australian National

Audit Offi ce.

In addition to performing these two key functions, the committee also provided independent

assurance to the Director General on AusAID’s risk management arrangements, including fraud

control, controls framework, public accountability responsibilities and internal and external

audit activities.

In performing these roles and responsibilities, the committee contributed to strong audit and

governance arrangements for AusAID.

Risk management in AusAID

As part of the aid policy, An effective aid program for Australia, AusAID strengthened its focus

on risk management during the year. A new Risk Management Section was established in

June 2011 to help the agency identify and manage risk and raise the level of awareness of risk

management more broadly.

To enhance the identifi cation, monitoring and management of risk across the agency, a range

of risk policies and procedures have been developed including a new risk management

framework and policy and a new enterprise risk management plan and register.

Standardisation and integration of risk management practice across the agency is also being

achieved at the Post, branch, divisional and executive levels through:

• monthly reporting of emerging risks to the Executive

• bi-annual reporting of enterprise risk management risks to the Executive and

Audit Committee

• the inclusion of divisional risk registers as part of the business planning framework

• ongoing refi nement of Post risk and fraud management plans to better align with the risk

management framework and other risk plans at the enterprise, divisional and branch levels

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• provision of 28 risk management workshops and training sessions to AusAID staff. Posts

visited in the last year include Jakarta, Santiago, Manila, Dili, Port Moresby, Honiara, Phnom

Penh and Hanoi

• the creation of a dedicated risk and fraud position at the three largest Posts—Jakarta,

Port Moresby and Manila. It is expected that Honiara Post will also establish this position

in 2012–13

• establishment of a taskforce to develop a due diligence framework, which will be

completed and implemented in 2012–13

• ongoing provision of risk management advice to staff.

Fraud control

A range of activities were conducted in 2011–12 to improve the way AusAID identifi es, monitors

and manages fraud within the aid program, including establishing a dedicated Fraud Control

Section. The section completed the fraud risk assessment for AusAID’s 2012–14 Fraud Control

Plan in accordance with the Commonwealth Fraud Control Guidelines. The current plan

emphasises AusAID’s zero tolerance approach towards fraud and the requirement that all

cases of alleged, suspected and detected fraud be reported to the Director of the Fraud Control

Section. This responsibility extends to Australian Government partners, commercial contractors,

non-government organisations, other implementing partners and recipient governments.

Where fraud is alleged, suspected or detected, AusAID ensures that:

• the matter is investigated

• offenders are prosecuted wherever possible and appropriate

• the recovery of misappropriated funds or assets is pursued, as is the application of

appropriate penalties whenever possible.

Standardising and integrating fraud control management practice across the agency is being

achieved by:

• quarterly reporting of fraud control data to the AusAID Executive and Audit Committee

• annual reporting of fraud control survey results to the Australian Institute of Criminology

• the inclusion of fraud in risk registers as part of Post risk and fraud management plans

• ongoing refi nement of Post risk and fraud management plans

• refi nement of fraud control training in response to a fraud control survey conducted in

May 2012.

Fraud control awareness training is compulsory for all AusAID staff, both in Australia and

overseas. Fraud control training is included in all AusAID induction training for new staff and is

mandatory for staff before an overseas posting. In 2011–12, 14 fraud control training sessions

were conducted for staff in Canberra and 12 sessions and workshops were conducted for staff

overseas. AusAID also conducted 16 training sessions for delivery partners, such as local

non-government organisations and contractors. In total, AusAID trained 879 staff and partners,

more than double the number in 2010–11.

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Preventing fraud

AusAID manages thousands of aid activities across more than 70 countries, many of which

are inherently diffi cult environments to operate in. Key challenges include operating in

environments where:

• governance arrangements are often weak

• local law enforcement is under-resourced

• attitudes towards accountability and transparency are not as developed as those in

Australia. The top 10 recipients of Australia’s aid are all ranked in the bottom 50 per cent of

183 countries on Transparency International’s 2011 Corruption Perception Index.

In such operating environments, there is a much higher risk of fraud. For this reason AusAID

has implemented robust systems and procedures to manage the delivery of Australian aid and

works to reduce the risk of fraud by:

• having a comprehensive fraud control plan and fraud policy statement in place, together

with fraud control policies and guidelines, which are regularly reviewed and updated

• establishing risk and fraud management plans for all overseas Posts which are

updated annually

• designing aid programs to minimise the risks from fraud as much as possible

• implementing mandatory fraud control training for AusAID staff, both in Australia and

overseas. AusAID also provides training to contractors and other government and

non-government organisations funded under the Australian aid program on their

responsibilities for fraud control

• undertaking due diligence checks on contractors, non-government organisations and

others involved in the aid program. Aid programs are also designed to minimise the risks

from fraud

• ensuring non-government organisations, commercial contractors and tertiary institutions

comply with AusAID’s fi nancial, contractual and activity management requirements,

including fraud reporting and risk management. This is undertaken through an annual

internal audit program.

In February 2012, AusAID and the Papua New Guinea Government signed the Joint statement on zero tolerance to fraud in Australia’s aid program, cementing the commitment of both

parties to preventing fraud and to investigating and prosecuting fraud where it occurs.

In 2011–12, 124 cases of alleged, suspected or detected fraud were reported to AusAID. Of

these, 12 (9.5 per cent) were subsequently found not to have involved fraud or not to have

involved AusAID funds. It is likely that as other cases are further investigated, more will

be cleared.

AusAID estimates that the amount of potential loss involved in the 2011–12 cases is

approximately $1 395 366. Of this amount, $812 295 has been recovered or prevented, leaving

an estimated potential net loss to AusAID of $583 071.

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Ethics and values

During 2011–12 AusAID supported and promoted the ethics and values contained in the

Australian Public Service Values and Code of Conduct, which are set out in the Public Service Act 1999, and AusAID’s Enterprise Agreement 2011–14.

Our policies and processes support strong ethics and values in the workplace. This includes

encouraging a diverse workplace that is free from discrimination and harassment. Internal

policies provide guidance for staff including procedures for:

• confl ict of interest and SES declaration of personal interests

• offers of gifts, benefi ts, hospitality and sponsored travel

• AusAID’s code of conduct for overseas staff

• contracting

• eliminating workplace harassment and bullying.

AusAID continues to maintain a high ethical standard through induction courses for new staff,

training for staff and whole-of-government offi cials before overseas deployment, new online

training for all staff and a new individual performance management program. The focus of

training includes code of conduct issues, fraud awareness and compliance with AusAID’s Child

Protection Policy.

AusAID’s relationship with implementing partners is based around shared values and a

commitment to achieving the objectives of the aid program. Agreements and contracts

clearly defi ne the agency’s expectations for partners to meet the highest standards of ethical

behaviour. Agreements with contractors and other government agencies and non-government

organisations stipulate that contractors and whole-of-government staff working on AusAID

projects must conduct themselves in a manner consistent with the Public Service Act 1999, and

in accordance with the Australian Public Service Values and Code of Conduct.

AusAID mission and values

AusAID’s new mission and values statement, Our mission, our values, released in May

2012, recognises the agency’s need to continue to improve the way we work and create an

organisational culture that supports delivery of an effective aid program. The statement

reiterates the agency’s commitment to the Australian Public Service Values. It also outlines

fi ve values identifi ed and agreed by AusAID staff as being most important to the way we

conduct our business, both now and into the future: valuing people, teamwork, excellence,

accountability and integrity. Living these values will support us to achieve our purpose—to

help people overcome poverty.

AusAID’s values and business planning priorities are distilled down into individual performance

plans for all staff. These translate high level policies into work tasks, keeping all staff focused

on the same goals and accountable both individually and collectively, for the performance of

the aid program.

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External scrutiny

Judicial scrutiny

There were no judicial decisions or decisions of administrative tribunals in 2011–12 that had, or

may have, a signifi cant impact on the operations of the agency.

Ombudsman

The Commonwealth Ombudsman conducted no formal investigations of AusAID’s activities

during the year.

Offi ce of the Australian Information Commissioner

The Offi ce of the Australian Information Commissioner has undertaken three assessments on

decisions made by AusAID offi cials on freedom of information cases.

Parliamentary committees

In 2011–12, AusAID contributed to eight parliamentary committees with either written

submissions, appearances, or briefi ngs associated with parliamentary committee travel.

These included:

• Senate Foreign Affairs, Defence and Trade Committee—Senate Supplementary

Budget Estimates

• Senate Foreign Affairs, Defence and Trade Committee—Senate Additional Estimates

• Senate Foreign Affairs, Defence and Trade Committee—Senate Budget Estimates

• Joint Foreign Affairs, Defence and Trade Committee inquiry into Australia’s human rights

dialogues with China and Vietnam

• Joint Foreign Affairs, Defence and Trade Committee inquiry into Australia’s overseas

representation

• House Committee on Health and Ageing inquiry into regional health issues jointly affecting

Australia and the South Pacifi c

• Parliamentary Joint Committee on the Australian Commissioner for Law Enforcement

Integrity—integrity of overseas Commonwealth law enforcement operations

• House Committee on Health and Ageing inquiry into health issues across international

borders (roundtable discussion).

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Reports by the Auditor-General

AusAID was involved in the cross-portfolio performance review conducted by the

Australian National Audit Offi ce, Audit Report No. 21 2011–12, Administration of Grant Reporting Obligations.

Details of this report can be found on the Australian National Audit Offi ce website.

Management of human resources

Remuneration

AusAID staff are appointed under the Public Service Act 1999 and covered by employment

conditions set out in the AusAID Enterprise Agreement 2011–14. Remuneration for Senior

Executive Service (SES) staff is negotiated under common law agreements. The terms and

conditions of the Director General are determined by the Remuneration Tribunal.

Statistics on SES salaries in 2011–12 are in section 5, appendix D.

Performance pay

AusAID recognises effective performance management is an essential component of a

constructive workplace environment and is committed to a performance management

framework that is fair and equitable for all staff. The AusAID Enterprise Agreement 2011–14

also provides for payment of a two per cent bonus for all staff rated fully effective with service

of greater than 12 months at the top pay point of each classifi cation. AusAID SES offi cers are

covered by the same performance management framework as non-SES staff.

In accordance with the Australian Government Employment Bargaining Framework, AusAID

uses fl exibility agreements under the enterprise agreement to meet the genuine needs of

AusAID and staff. At 30 June 2012, 74 staff had fl exibility agreements.

The salary ranges and number of Australian Public Service (APS) staff by classifi cation level

covered by an enterprise or collective agreement, section 24(1) determinations, common law

agreements and Australian workplace agreements, is included in section 5, appendix D.

Enterprise agreement

All non-SES staff in AusAID are employed under the AusAID Enterprise Agreement 2011–14.

Providing common terms and conditions to AusAID’s non-SES workforce provides a framework

for transparent decision-making and consistency which directly supports AusAID’s values. The

enterprise agreement is a key mechanism for attracting and retaining the high performing staff

required to deliver Australia’s aid agenda.

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Bargaining for AusAID’s new enterprise agreement commenced in May 2011 to replace

the former agreement which nominally expired on 30 June 2011. A Notice of Employee

Representational Rights was issued to all staff in May 2011 and was followed by several months

of negotiations between the agency and staff representatives. Formal bargaining concluded in

October 2011. Following this, AusAID staff were invited to vote on the proposed agreement, and

98 per cent voted in its favour. After seeking approval from Fair Work Australia, the agreement

came into effect on 28 November 2011.

Staff consultations

AusAID’s consultative forum met on three occasions during the year to discuss operational

and workplace matters that impact AusAID staff. Established under the AusAID Enterprise

Agreement, the forum considers and develops ways to improve the quality of the work

environment and address matters of employment concern, including those arising from the

enterprise agreement.

The forum is made up of two staff representatives, two representatives of the Staff Delegates

Committee and one senior executive representative. It is chaired by Blair Exell, First Assistant

Director General, Corporate Enabling Division and secretariat support is provided by the

Human Resource Branch.

Workforce planning

Following the launch of the AusAID Workforce Plan—Phase One in 2011, the agency conducted

detailed divisional workforce planning exercises to align human resources with planning and

budgeting. Occupational groups were defi ned across the agency and a capability framework

was developed and used to map current capabilities and the agency’s workforce needs to

2015–16. Divisional business plans for 2012–13 take these mid-range planning exercises into

consideration for annual priority setting and budgeting.

Phase two of the workforce plan will be launched in early 2012–13 and will include divisional

workforce strategies and details of agency-wide reforms announced in phase one. Specialist

career streams were successfully piloted in 2011, and work is now underway to establish

career streams across the core sectors of the aid program. Integration of the overseas-based

workforce is also underway, with work level standards and opportunities for overseas-based

staff to transfer between Posts.

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A new performance management system was introduced in 2011 and includes a strong

emphasis on learning and development through on-the-job training and mentoring. An

upwards feedback system was trialled for the SES and will be expanded to Executive Level

(EL) 2 staff in 2012.

Recruitment

Recruitment was supported during the year through the fi rst phase of our workforce plan,

strengthening recruitment practices and improving job matching.

The Recruitment and Placements Unit conducted four generic recruitment rounds throughout

the year which promoted high achieving internal candidates and attracted new staff at the

APS 5 and 6, and EL 1 and 2 levels. In addition there was specifi c regional and sector-based

recruitment. This targeted recruitment strategy will ensure the agency continues to attract

specialist skills and knowledge.

The continued recruitment has led to a vacancy rate of 2.5 per cent, well below the target of 10

per cent as set out in the AusAID Workforce Plan—Phase One. Overall recruitment to AusAID

continues to be a highly competitive process with a large number of applicants seeking to work

within the agency’s diverse environment. In 2011–12, 462 new starters were recruited, including

388 ongoing and 74 non-ongoing staff.

The Recruitment and Placements Unit was awarded with an Australia Day Award for the expansion

of recruitment activities in AusAID, resulting in 290 new staff commencements in 2011.

Graduate program

AusAID’s graduate program continues to attract many high calibre applicants. The graduate

recruitment campaign in 2011 resulted in an intake of 40 graduates in February 2012 from a

total of 1403 applications. The graduates were recruited in three separate streams:

• policy and program

• corporate (human resources, information technology, fi nance and budget)

• sector (health, education, economics and infrastructure).

This year the graduate program was extended to two years. Graduates now have the

opportunity to complete four work rotations, including an overseas rotation in their second

year. Three former graduates are currently participating in an overseas rotation pilot, which will

be reviewed in July 2012.

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In 2011–12 AusAID received independent validation of the strength of our graduate program.

Each year university graduates are asked to name the organisation (public or private) they

most aspire to work for, irrespective of their degree or qualifi cations and regardless of where

they are currently employed. Graduates in this year’s survey mentioned more than 300 different

organisations, and AusAID was ranked in the top 10 of employers of choice.36

2012 AusAID graduates


36 The Australian Association of Graduate Employers 2012 graduate survey, High Fliers Research.

241Above (left to right): Zoe Kidd, Laura Salt and Kate Eversteyn from the Child Protection Unit

Photo: Lucy Wright, AusAID

Indigenous pathways to success

Laura Salt is a current graduate who was

recruited through the Australian Public Service

Commission’s Indigenous Pathways program.

Before starting the graduate program, she

spent six months working at the Australian

Institute of Health and Welfare as a

Reconciliation Action Plan support offi cer

and then worked in the Employee Policy

and Support Section at AusAID, helping

to deliver AusAID’s Reconciliation Action

Plan commitments.

Laura is committed to raising awareness of

Indigenous issues and increasing Indigenous

employment within government. She believes

the skills and lessons learnt from working

and living in Aboriginal and Torres Strait

Islander communities are invaluable to

AusAID, and that there are real opportunities

for sharing on a number of development

issues. There are also close links between

the Millennium Development Goals and the

Council of Australian Government’s closing

the gap targets. She plays an important role in

promoting these through her membership of

the AusAID Indigenous Employees Network.

Laura is currently completing her fi rst rotation

at AusAID in the Child Protection Unit where

her main task is to look for ways to continue to

strengthen current child protection systems.

She says she fi nds the work challenging, but

highly rewarding.

“One of AusAID’s greatest attributes is its

people,” she says. “AusAID has committed

staff and I’m so fortunate as both areas

I’ve worked in have the most brilliant and

dedicated minds—people who are true

leaders within their fi elds. They have all been

invaluable to learn from.”

Laura also says her experience working

for AusAID and the Australian Government

has been important for her own personal

development. She is looking forward to a long

and dynamic career at AusAID.

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Workplace diversity

AusAID staff come from a vast range of personal and professional backgrounds and bring

unique attributes and perspectives to the workplace. These differences can be used to achieve

our strategic goals and improve the effectiveness of the aid program.

At AusAID, managing diversity is particularly important because of the nature of the work and

the multicultural environment in which we operate. To deliver an effective aid program, we

need a diverse and fl exible workforce with a wide range of skills, experience and attributes.

AusAID has implemented a number of initiatives to enhance diversity in the workforce and

support the individual strengths and needs of staff. In 2011, AusAID released a Reconciliation

Action Plan 2011–12, an Indigenous Employment Strategy 2011–15 and a Disability Action Plan

2011–14. A new eLearning module, workplace diversity, was also introduced that is compulsory

for all staff.

AusAID’s action for reconciliation

AusAID launched its Reconciliation Action Plan and Indigenous Employment Strategy during

National Reconciliation Week in June 2012. The plan outlines our commitment to bridging the

gap between Aboriginal and Torres Strait Islander people and non-Indigenous Australians.

Progress has already been made on implementing its key initiatives including:

• continuing support for the Indigenous Employee Network

• nominating Ewen McDonald, Deputy Director General, Humanitarian and International

Group, as AusAID’s Indigenous Champion

• running cultural activities to promote and celebrate NAIDOC Week and National

Reconciliation Week

• developing standard words and protocols for acknowledgement and welcome to country for

important meetings, training days and public events.

AusAID’s Indigenous Employment Strategy 2011–15 focuses on improving the workplace

environment as well as attracting, recruiting, retaining and developing Indigenous staff. This will

help the agency reach its target of 2.7 per cent Indigenous staff by 2015.

In May 2012 AusAID announced a new four year partnership agreement between AusAID and

Indigenous Community Volunteers.

The partnership enables AusAID staff to undertake short-term assignments as volunteer

community development advisers in Indigenous communities in urban, rural and remote

settings in Australia. Each year, three AusAID staff at the APS 6 and EL 1 levels will be selected to

undertake a four week placement with an Indigenous community on a project identifi ed through

Indigenous Community Volunteers.

The partnership builds on a previous pilot agreement under which three AusAID staff were placed

with Aboriginal and Torres Strait Islander communities in Western Australia, the Northern Territory

and far North Queensland on short-term capacity building assignments. It encourages sharing of

successes and challenges in both domestic and international community development.

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AusAID Disability Action Plan 2011–14

AusAID’s Disability Action Plan 2011–14 was launched in December 2011 and demonstrates

the agency’s high level commitment to improving the accessibility of our workplace and

creating employment for people with disability. The plan contains a range of practical actions

to increase the recruitment and retention of people with disability and to provide a working

environment that is accessible for all.

The plan is based on three key pillars: recruitment and retention, learning and development

and corporate support. Since its launch, the agency has made progress in each of the areas.

A key priority for 2011–12 was to trial a range of different methods to increase the recruitment

of people with disability. Through targeted communication at tertiary institutions, we promoted

our graduate program to people with disability.

AusAID is also participating in a traineeship program for people with intellectual disability

along with the Department of Health and Ageing, the Department of Defence and the

Department of Families, Housing, Community Services and Indigenous Affairs. A trainee will be

commencing in AusAID in mid-2012.

An eLearning module on disability awareness is currently being developed that will be

completed by all staff. In May 2012, Vision Australia conducted a training session with AusAID

on working with people with low or no vision.

Numerous corporate changes are also underway to improve workplace accessibility and

increase the level of support and professional development opportunities for staff with

disability. In July 2011 Blair Exell, First Assistant Director General, Corporate Enabling Division,

was appointed the AusAID Disability Champion, responsible for promoting the plan, internally

and externally, and advocating for inclusive practices and processes across the agency.

AusAID is a gold member of the Australian Network on Disability, which is a valuable resource

that provides a forum for sharing knowledge and experiences related to accessibility issues,

cultural and organisational change and employment of people with disability.

Learning and development

AusAID is changing and growing, requiring an increase in the capacity of staff to meet our

business challenges and strategic priorities. AusAID management is committed to ensuring

that professional development remains a priority for all staff and a fundamental part of

AusAID’s culture.

The AusAID Learning and Development Strategy 2011–15 supports improved individual

performance and organisational capacity. It guides better learning through structured

skills development pathways that strengthen the agency’s capacity to effectively deliver an

expanding aid program.

In 2011–12 AusAID’s investment in learning and development increased by almost 30 per cent

from the previous year. To support this, a new learning management system, LearningConnect,

was launched in September 2011 to improve the management and reporting of all training

across the agency and to host online learning resources.

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There was increased in-house course delivery, including through AusAID’s eLearning programs,

on security awareness, work health and safety, and workplace diversity. Building eLearning

capability in thematic and safeguard areas has also included the development of programs for

child protection and gender equality and development.

Key achievements for 2011–12 included:

• increasing the number of training courses to 555, up from 501 the previous year, including

greater support for courses delivered by in-house expertise

• tripling training course participation to 11 472 training course places compared to 3520 in

the previous year. This large increase is in part due to improved data capture. Additionally

eLearning modules on core public service skills were completed by staff on 3620 occasions

• reviewing and redesigning induction and orientation programs for new SES, graduates,

overseas-based and Australian-based staff

• implementing a new internal coaching and mentoring program to recognise and harness

the knowledge and expertise of AusAID staff

• enhancing leadership and management abilities to meet the changing nature of the

agency’s work. Tailored strategic training programs have been implemented by the Centre

for Public Management for APS 5 to EL 1 staff, and by the Australian Graduate School of

Management for EL 2 to SES Band 1 staff

• reviewing pre-deployment training and developing a new, more rigorous deployment

learning pathway to ensure staff are prepared for overseas service.

Figure 17: Learning and development participation in 2011–12

Management and leadership 8%

Pre-deployment training 23.5%

Aid management skills 28%

ACC foundation training 4%

Overseas-based training 8%

Induction programs 8%

External training 6.5%

eLearning/online 1%

Graduate training program 10.5%

Other

training

36.5%

Public

sector

skills

63.5%

Study support 2.5%

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Overseas-based staff training

Throughout 2011–12 AusAID delivered fi ve induction programs that were specifi cally tailored for

new overseas-based staff members. In late 2011, overseas-based staff came to Canberra from

Accra, Port Vila, Islamabad, Harare, Port Moresby, Nairobi, Manila and Jakarta.

Training included an address by the Director General, Peter Baxter, who spoke of the important

role of overseas-based staff in making Australia’s aid program more effective. These staff provide

continuity and local knowledge as well as high quality, in-country technical advice and expertise

for developing and implementing programs.

The fi ve day induction program provides an opportunity for new overseas-based staff to gain an

understanding of AusAID and the strategic priorities. Key topics included an overview of AusAID,

overseas-based employment conditions, fi nancial management, and fraud control and risk

management training.

The week fi nished for participants with a guided tour of Parliament House.

Director General, Peter Baxter, with overseas-based staff in Canberra for the induction program

Left to right: Lyndel Toidalema, Astrid Kartika, Widya Setiabudi, Caroline McGann, Ire Olewale, Alice Oyaro, Evelyn

Daplas, Peter Baxter, Roselyn Kapungu, Catherine Mackson, Humaira Ibrahim, Fadzai Mukonoweshuro, May Garae,

Azzurra Chiarini, Mahvash Zafar, Elena Haines and Dimas Purnama

Photo: Lucy Horodny, AusAID

246

Above: The Deployment Training Unit’s Jacqueline de Rose-Ahern (right) assisting Daniel Kark (left) develop his

pre-deployment training plan prior to his posting to Harare, Zimbabwe


Preparedness for Post

AusAID deploys between 80 and 100 people

each year to 40 countries around the world.

Ensuring that they are well prepared for their

new role and living in a foreign context is a

critical duty of the agency. Following a review

in 2011, an enhanced deployment learning

pathway was developed to better prepare

staff to deliver aid programs in diffi cult and

sometimes dangerous locations. It ensures

staff are provided with the learning and

support they need to best prepare them for

living and working overseas.

Posted staff are strongly supported by security

protocols and location-specifi c security

awareness training, which provides best

practice personal security measures. These

measures are used by staff to reduce risks to

their safety. Those deploying to high threat

locations are provided with additional personal

protection training including practical, hands

on instruction to ensure that they understand

the risks and are better prepared to operate

effectively in diffi cult working environments.

Pre-deployment training programs are tailored

with each staff member to give individuals

greater control of their posting preparation

and allow them and their managers to

better schedule training while managing

their workloads.

The program provides a suite of Post-specifi c

training and briefi ngs developed for each

stage of the pre, during and post-deployment

lifecycle. This ensures that staff can adjust,

adapt and perform overseas and maintain

the professionalism and performance of the

aid program.

The design of this new program involved

extensive consultation and collaboration

with key AusAID stakeholders, including staff

at Posts, to ensure training is targeted to

specifi c needs.

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Organisational wellbeing and support

AusAID management and staff now have access to responsive and quality mental health advice

through an Organisational Wellbeing and Support Unit established in July 2011. The former

staff counsellor role was also renamed senior counsellor in July, established as a permanent

Executive Level 2 position, and now directs the unit with support from a family liaison offi cer.

The unit manages AusAID’s Employee Assistance Program, a contract that sees counselling

services provided in Australia and overseas to staff and family members. In recognition of the

diffi cult working environments of AusAID’s staff overseas, as well as an increased workforce,

the unit will continue to strengthen in 2012 with the appointment of a second psychologist.

Mission and services

AusAID provides high quality services and consultancy to all levels of staff on psychological

processes, mental health and staff and family welfare. The agency works to maintain the

mental health and wellbeing of staff by providing:

• counselling services for staff and their families both in Australia and overseas

• a program of Post visits to cover personal and broader organisational issues

• family liaison support to families posted overseas, or to those families who remain in

Australia when their AusAID family member is posted

• help for managers and staff dealing with critical incidents

• psychological assessments to help and support staff in high threat locations

• psychological advice for, and input into, agency strategies, policies and programs

• enhanced mental health literacy and awareness through training, fact sheets and seminars

• access to an external employee assistance program.

Work health and safety

In 2011–12 a work health and safety taskforce was established to ensure AusAID could respond

to the new Work Health and Safety Act 2011. This included briefi ng staff on the specifi c

obligations of an ‘offi cer’ and ‘worker’ under the Act, as well as assessing the implications of

the new legislation on AusAID operations, both in Australia and overseas.

The Health and Safety Committee met quarterly to ensure continued consultation between

management and workers on work health and safety matters. There are 10 designated work

groups in AusAID which align with AusAID’s 10 divisions. Each of these work groups has an

elected health and safety representative and some larger groups have a deputy health and

safety offi cer. Health and safety representatives will receive mandatory training on the use of

their powers under the new legislation in July 2012.

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Measures to address health, safety and welfare in the workplace in 2011–12 included:

• drafting, consulting and securing endorsement of a new work health and safety

management policy

• starting quarterly work health and safety reporting for staff using data from a more robust

incident reporting system

• reviewing processes to ensure compliance with the new legislation, with a particular focus

on risk management, deployment and contracting processes

• completing 380 ergonomic workstation assessments

• undertaking induction briefi ngs and ongoing training to raise work health and safety

awareness including through a new work health and safety eLearning module.

AusAID reported fi ve notifi able incidents to Comcare throughout the year, four of which

occurred overseas. Two of these incidents involved personal injuries and were investigated,

one in cooperation with the Department of Foreign Affairs and Trade.

AusAID’s Human Resource Branch manages staff welfare issues by providing confi dential

advice, maintaining an anti-bullying and harassment contact offi cers network and through

referrals, information and support.

AusAID is committed to the safety and security of our staff in Australia and overseas. The

agency’s overseas security risk management framework outlines the processes, systems,

standards and responsibilities to ensure AusAID meets its duty of care and security

responsibilities. AusAID closely monitors the security environment in the locations where its

staff operate and ensures all necessary protective security measures are in place to mitigate

the risks. Comprehensive security training, including specialised training for those deployed

to high threat locations, is also provided.

Live Well Work Well

AusAID continued the Live Well Work Well staff health and wellbeing program initiated

in 2010–11 and offered a range of initiatives that focus on different aspects of health

and wellbeing.

October 2011 was dedicated to Live Well Work Well initiatives, which included:

• seminars on sleep and stress, developing healthy relationships and mental

health awareness

• skin cancer checks for 200 staff

• men’s health run by Menslink

• exercise classes

• providing fruit and nutrition advice.

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AusAID’s Live Well Work Well program also:

• vaccinated 360 staff against infl uenza

• subsidised yoga and Pilates classes

• subsidised eyesight testing and contributed towards the costs of glasses and contact

lenses for screen-based work

• encouraged participation in the Ride to Work program.

AusAID achieves breastfeeding friendly workplace accreditation

AusAID has facilities and supporting policies to enable staff to feed or care for infants during

the course of their working day. Since December 2011, these facilities have been offi cially

accredited by the Australian Breastfeeding Association. AusAID worked with the association to

ensure that our carer’s room and fi rst aid rooms in our Canberra offi ces are appropriate spaces

with the right equipment for feeding and caring for infants. A new policy, Caring for infants at AusAID, has been developed in consultation with the association that outlines our commitment

to support staff who are breastfeeding or caring for young children.

Global Corporate Challenge

In May 2011 AusAID participated for the fi rst time in the Global Corporate Challenge, an

external health and wellbeing initiative developed specifi cally for the workplace. The challenge

is the world’s largest corporate health initiative and involves pedometer-based walking, where

staff engage in a virtual walk around the world for 16 weeks. In 2011–12, 266 AusAID staff

participated in the challenge—a total of 38 teams. Throughout the challenge, each participant

walked an average of 11 903 daily steps or 7.62 kilometres.

AusAID’s staff overseas joined in the challenge and six of the top 10 teams to complete the

challenge were from Posts. The winning team, Defying Boundaries, walked a total distance of

8955 kilometres—an outstanding achievement.

The impact of AusAID’s involvement in the Global Corporate Challenge was felt widely across

the agency. Sixty per cent of participants reported an improvement in their productivity and

40 per cent reported taking fewer sick days. Beyond productivity measures, 95 per cent of

participants also reported an improvement in their overall health and more than half the

participants reported a loss in weight.

Australia Day Achievement Awards

Australia Day Achievement Awards are presented to staff who have made a valuable

contribution to AusAID over the past year or number of years. The Director General presented

14 awards in 2011–12, including seven team awards and seven individual awards. This year

AusAID recognised individuals who contributed across the agency, including two

overseas-based staff who provided exceptional support to the Indonesia and Papua New

Guinea programs, and two individuals and one team for their outstanding policy and practical

support in the Africa programs.

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Grassroots Giving

AusAID staff contribute to the community in a number of ways. The agency’s workplace giving

program, Grassroots Giving, continues to expand with staff pledging fortnightly donations to

charitable organisations with deductible gift recipient status.

Last year, AusAID staff donated $2000 each fortnight. In 2011–12, the total fortnight donation

was $2206. Staff choose which organisations they wish to support and are able to read about

the difference the donations are making through a quarterly staff enewsletter. New staff are

invited to sign up to participate in the initiative.

Grassroots Giving was recognised in the 2011 Australian Charities Fund’s National Workplace

Giving Awards and AusAID Assistant Director General Julianne Cowley was presented with

an award in the Inspirational Leadership Category. These awards are run by the Australian

Charities Fund to grow awareness of workplace giving and celebrate the difference it makes

to the community. They recognise leadership, innovation, collaboration and best practice in

workplace giving by employer and community organisations.

Purchasing and assets

Purchasing

During 2011–12, in line with AusAID’s strategy of delivering fewer and more effi cient programs,

AusAID entered into 2148 new agreements. A decrease from 2763 (or 10.35 per cent) in

2010–11. These agreements include non-procurement agreements and procurement contracts.

This accounts for a committed value of $3.14 billion over the life of these agreements.

At 30 June 2012, AusAID was managing 3491 ongoing agreements totalling $10.34 billion.

Non-procurement agreements

During 2011–12, 934 non-procurement agreements were entered into. This includes agreements

with other Australian government departments, non-government organisations, multilateral

agencies and partner governments. This accounts for a committed value of $2.58 billion over

the life of these agreements.

Procurement contracts awarded and managed

During 2011–12, 1214 new procurement contracts were entered into. This accounts for a committed

value of $561 million over the life of the agreements.

At 30 June 2012, AusAID was managing 1698 procurement agreements totalling $2.70 billion.

AusAID establishes and maintains period offers to engage individuals and organisations to

provide short-term specialist advice and services as required for set fees. Through period offers

568 agreements were entered into during 2011–12 (or 46.78 per cent of all procurements).

SECTION 3 A

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At 30 June 2012, AusAID had 71 active period offers across nine development sectors which offer

access to 124 nominated individuals to provide services.

As part of an ongoing focus on value for money, AusAID has commenced re-tendering all

aid-related period offers under a new overarching Aid Advisory Services Standing Offer. This

tender closed in May 2012 and following evaluation, contracts are to be executed in late 2012.

Existing aid-related period offers will be replaced by the Aid Advisory Services Standing Offer

when it is announced.

Consultants

During the year 47 new consultancy services were entered into, an increase from 45 (4.25 per

cent) in 2010–11. These agreements represent a committed amount of $2.75 million over the

life of the agreement. The selection process for consultancy services is consistent with the

Commonwealth Procurement Guidelines (December 2008).

Table 6: Summary of consultancy contracts from 2009–12

2009–10AusAID consultancy contracts1



Number

of new

contracts

awarded

Financial

limits

of new

contracts

awarded

($’000)

2009–10

expenditure

($’000)

Number

of new

contracts

awarded

Financial

limits

of new

contracts

awarded

($’000)

2010–11

expenditure

($’000)

Number

of new

contracts

awarded

Financial

limits

of new

contracts

awarded

($’000)

2011–12

expenditure

($’000)

Total 14 827 538 45 3103 1884 47 2747 1471

1 Information on contracts and consultancies of $10 000 or more are also available on the AusTender website at www.tenders.gov.au. AusAID

also publishes details of contracts and agreements of $100 000 or more with the Senate Order on Departmental and Agency Contracts on

its business website at www.ausaid.gov.au/business/

Details of contracts, agreements and consultants

This annual report contains information about actual expenditure on contracts for

consultancies in 2011–12. Information on the value of contracts and consultancies is available

on the AusTender website at www.tenders.gov.au

In accordance with the Senate Order on Departmental and Agency Contracts, all contracts,

agreements and consultancies let over $100 000 are also listed each calendar and fi nancial

year on AusAID’s website. The Senate Order Listing for 2011–12 will be tabled in Parliament in

August 2012 and available in September 2012 at www.ausaid.gov.au

Exempt contracts

No contracts in excess of $10 000 or standing offers were exempted by the Director General

from being published in AusTender.

SECTION 3 A

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Australian National Audit Offi ce access clauses

In 2011–12, all contracts of $100 000 or more (inclusive of GST) specifi ed that the

Auditor-General be given access to the contractor’s premises.

Agreements policy (including grants and procurement)

AusAID has a well-established legal and policy framework that underpins the administration

of procurement and grant funding across the aid program. Although offi cial development

assistance is exempt from the mandatory requirements in the Commonwealth Procurement

Guidelines and Commonwealth Grant Guidelines, AusAID applies these requirements as

a matter of good practice. AusAID’s Chief Executive Instructions require all staff to act in

accordance with these guidelines. AusAID uses competitive market forces where appropriate

to pursue value for money. Decisions based on value for money are made in a holistic way, with

clearly articulated and measurable benefi ts against which outcomes can be measured, and

strong risk management practices.

Building on previous initiatives, AusAID is continuing to streamline its agreement processes

to ensure the most appropriate funding mechanism is used for each individual activity.

The main types of funding mechanisms used by AusAID are procurements, grants and

whole-of-government agreements. These refl ect the way we deliver the aid program through

a wide range of delivery partners.

As funding through non-government organisations, Australia Awards, multilateral organisations

and through partner government systems has increased, the agency has continued to be less

reliant on commercial fi rms to deliver Australian aid. Since 2005, the proportion of AusAID

expenditure through commercial contractors has fallen from 41 per cent to 22 per cent.

AusAID’s business processes for conducting procurements are designed to achieve value for

money by encouraging competition, promoting effi cient use of resources and transparent

decision-making. Processes for procurements vary depending on whether a procurement is

large value (greater than $500 000 for aid program procurements) or small value (less than

$500 000).

AusAID’s procurement and grant administration processes sit beside other AusAID mechanisms to

ensure aid quality and value for money. The investment of Australian aid money is well protected

by strong standard agreement clauses, risk assessment and due diligence checking before

entering into new agreements, while regular audits, staged aid quality reviews and performance

assessments are conducted both during and after implementation of an agreement.

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Assets

At the end of 2011–12, AusAID held $132 million in departmental assets. These included

fi nancial assets such as cash and receivables and non-fi nancial assets such as leasehold

improvements, infrastructure, plant and equipment and computer software.

Property management

AusAID provides strategic property and asset management services to maximise effi ciency

of our property portfolio around the world. This ensures the responsiveness and integrated

services to staff are maintained at consistently high levels at all of our locations.

All overseas property is managed in accordance with the Australian Public Service standards,

legislative requirements, the Building Code of Australia and Australian standards. During the

year we completed fi t-out projects in line with our strategic property plan for new or expanded

offi ces in Canberra and overseas, including Addis Ababa, Jakarta, Pretoria, Nairobi, New York,

Nuku’alofa and Washington.

AusAID is located in three buildings in Canberra City, at 255 London Circuit and 20 and 40 Allara

Street. Our offi ces in Canberra are aligned with Australian Government policy and target best

practice measures against effi cient use of space, cost and environmental performance.

In addition, AusAID manages offi ce and residential accommodation across 40 countries.

SECTION 3 A

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Table 7: Overseas offi ces and residential accommodation for 2011–12

Country Number of offi ces1

Number of residences2

Description

Afghanistan 1 1 Residential accommodation is shared by a

number of staff in Afghanistan

Bangladesh 1 3

Cambodia 1 3

Chile 1 1

China 1 2

East Timor 2 9

Egypt 1 0

Ethiopia 1 1

Fiji 1 11

France 1 1 The Australian Government is represented by

an AusAID staff member at the Development

Assistance Committee of the Organisation for

Economic Co-operation and Development.

The Development Assistance Committee is

a forum comprising 23 donor members of

the Organisation for Economic Co-operation

and Development and an important partner

for Australia

Ghana 1 1

India 1 1

Indonesia 4 49

Iraq 1 1

Italy 1 0 The Australian Government is represented

by an AusAID staff member at the

World Food Programme and Food and

Agriculture Organization

Kenya 2 5 All residential premises are leased from the

local property market

Kiribati 2 2

Laos 1 3

Micronesia 1 0

Myanmar 1 3

Nauru 1 1

Nepal 1 1

New Caledonia 1 0 AusAID manages the selection and departure

of Australia Awards recipients as well as

the arrival and support of Australia Awards

regional recipients

Pakistan 1 2

Palestinian Territories 1 1

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Papua New Guinea 3 105 The number of residences includes properties

managed by AusAID for whole-of-government

partners in Papua New Guinea

Philippines 1 5

Samoa 1 2

Seychelles 0 1

Solomon Islands 3 44

South Africa 1 7

Sri Lanka 1 3

Switzerland 1 1 The Australian Government is represented

and engaged with the United Nations and key

international non-government organisations

to strengthen partnerships on development

and humanitarian matters

Thailand 1 1

Trinidad and Tobago 1 1

Tonga 1 2

United States 2 2 The Australian Government is represented

and engaged with the United Nations and key

international non-government organisations

to strengthen partnerships on development

and humanitarian matters

Vanuatu 2 4

Vietnam 1 5

Zimbabwe 1 2

1 The numbers of offi ces listed are only those that are centrally managed by AusAID and do not refl ect the number of offi ce locations where

Australian Government offi cials may be occupying space with partner governments.

2 AusAID occupies Australian Government owned property before seeking and leasing accommodation from the local property market.

256

4

SECTION 4 I FINANCIAL STATEMENTS

Above: Director General, Peter Baxter and Chief Financial Offi cer, Paul Wood sign the agency’s fi nancial statements for 2011–12


SECTION 4

AUSAID ANNUAL REPORT 2011–12

258

4

SECTION 4


259

4

SECTION 4


260

4

SECTION 4


261

4

Australian Agency for International Development STATEMENT OF COMPREHENSIVE INCOME For the year ended 30 June 2012

1 The above schedule should be read in conjunction with the accompanying notes.

2012 2011

Notes $'000 $'000

EXPENSES

Employee benefits 3A 171,555 133,641

Suppliers 3B 103,494 106,138

Depreciation and amortisation 3C 11,900 9,604

Finance costs 3D 311 557

Write-down and impairment of assets 3E 136 152

Losses from asset sales 3F 18 95

Net foreign exchange losses 3G 57 36

Total expenses 287,471 250,223

LESS:

OWN-SOURCE INCOME

Own-source revenue

Sale of goods and rendering of services 4A 54 61

Total own-source revenue 54 61

Gains

Other gains 4B 772 898

Total gains 772 898

Total own-source income 826 959

Net cost of services 286,645 249,264

Revenue from Government 4C 274,727 251,207

Surplus (Deficit) attributable to the Australian Government (11,918) 1,943

Total comprehensive income (loss) attributable to the

Australian Government (11,918) 1,943

The above schedule should be read in conjunction with the accompanying notes.

SECTION 4


262

4

Australian Agency for International Development BALANCE SHEET As at 30 June 2012


2012 2011

Notes $'000 $'000

ASSETS

Financial Assets

Cash and cash equivalents 5A 336 583

Trade and other receivables 5B 60,437 63,179

Total financial assets 60,773 63,762

Non-Financial Assets

Leasehold improvements 6A, 6C 28,399 21,064

Infrastructure, plant and equipment 6B, 6C 27,557 17,896

Intangibles 6D, 6E 6,199 3,736

Other non-financial assets 6F 8,856 7,645

Total non-financial assets 71,011 50,341

Total assets 131,784 114,103

LIABILITIES

Payables

Suppliers 7A 12,698 17,554

Other payables 7B 4,075 3,089

Total payables 16,773 20,643

Provisions

Employee provisions 8A 46,603 33,787

Other provisions 8B 6,148 5,023

Total provisions 52,751 38,810

Total Liabilities 69,524 59,453

Net Assets 62,260 54,650

EQUITY

Contributed equity 63,928 44,400

Retained surplus / (deficit) (2,294) 9,624

Asset revaluation surplus 626 626

Total Equity 62,260 54,650


SECTION 4


263

4

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SECTION 4


264

4

Australian Agency for International Development CASH FLOW STATEMENT for the year ended 30 June 2012


2012 2011

Notes $'000 $'000

OPERATING ACTIVITIES

Cash received

Appropriations 285,254 238,491

Sale of goods and rendering of services 262 61

Net GST received 5,689 3,514

Total cash received 291,205 242,066

Cash used

Employees 158,658 125,701

Suppliers 113,751 106,771

Section 31 receipts transferred to the OPA 16,961 4,899

Total cash used 289,370 237,371

Net cash from operating activities 10 1,835 4,695

INVESTING ACTIVITIES

Cash received

Proceeds from sales of infrastructure, plant and equipment 48 255

Proceeds from sales of leasehold improvements - 4

Total cash received 48 259

Cash used

Purchase of infrastructure, plant and equipment 16,913 7,085

Purchase of leasehold improvements 11,057 5,218

Purchase of intangibles 3,575 3,740


Net cash used by investing activities (31,497) (15,784)

FINANCING ACTIVITIES

Cash received

Contributed equity 25,667 3,659

Departmental Capital Budget 3,748 7,427


Net cash from financing activities 29,415 11,086

Net decrease in cash held (247) (3)

Cash and cash equivalents at the beginning of the reporting period 583 586

Cash and cash equivalents at the end of the reporting period 5A 336 583

.


SECTION 4


265

4

Australian Agency for International Development SCHEDULE OF COMMITMENTS as at 30 June 2012

5


2012 2011

$'000 $'000

BY TYPE

Commitments receivable

Net GST recoverable on commitments (10,691) (9,702)

Total commitments receivable (10,691) (9,702)

Commitments payable

Other commitments

Operating leases1 103,563 91,572

Goods and services2 37,864 21,013

Total other commitments 141,427 112,585

Net commitments by type 130,736 102,883

BY MATURITY


One year or less (4,060) (2,575)

From one to five years (3,340) (2,434)

Over five years (3,291) (4,693)


Commitments payable

Operating lease commitments

One year or less 15,550 12,625

From one to five years 51,809 26,988

Over five years 36,204 51,959

Total operating lease commitments 103,563 91,572

Goods and services commitments

One year or less 34,598 19,385

From one to five years 3,266 1,628

Over five years - -

Total goods and services commitments 37,864 21,013

Total commitments payable 141,427 112,585

Net commitments by maturity 130,736 102,883

Note: Commitments are GST inclusive where relevant 1Operating leases are effectively non-cancellable and comprise:

Nature of lease General description of leasing arrangement

Domestic leases for office

accommodation

Lease payments are subject to increases in accordance with the terms and conditions

of the lease. In some cases AusAID holds an option to extend office accommodation

leases. Leases vary in duration from 1 to 10 years and lease payments are subject to

the terms and conditions of each lease.

Overseas leases for office

and residential

accommodation

The terms and conditions of these leases vary depending on the location of the

property and the local market conditions. Leases vary in duration from 1 to 9 years.

Payments may be subject to review under the terms and conditions of the lease.

Leases for motor vehicles to

senior executive officers

AusAID leases motor vehicles to support its business activities. Payments are made

monthly and are fixed at a constant rate for the duration of each lease. At the

expiration of each lease the motor vehicles are disposed of by the lessor. 2Commitments for goods and services relate to the provision of IT and general office services.


SECTION 4


266

4

Australian Agency for International Development ADMINISTERED SCHEDULE OF COMPREHENSIVE INCOME for the year ended 30 June 2012

6


2012 2011

Notes $'000 $'000

EXPENSES

International development assistance 16A 3,262,346 2,807,252

Grants 16B 543,181 804,777

Finance costs 16C 68,245 45,041

Depreciation and amortisation 16D 1,643 1,527

Write-down and impairment of assets 16E 871 163,865

Net foreign exchange losses 16F 5,461 2,886

Other 16G 132,502 401,593

Total expenses administered on behalf of Government 4,014,249 4,226,941

LESS:

OWN-SOURCE INCOME

Own-source revenue

Non-taxation revenue

Interest 17A 6,287 4,187

Return of prior year administered expenses 17B 39,756 17,931

Total non-taxation revenue 46,043 22,118

Total own-sourced revenue administered on behalf of

Government 46,043 22,118

Gains

Sale of assets 17C - 306

Reversals of previous asset write-downs and impairment 17D 269,853 -

Other 17E 16,791 187

Total gains administered on behalf of Government 286,644 493

Total own-source income administered on behalf of Government 332,687 22,611

Net cost of services 3,681,562 4,204,330

Deficit (3,681,562) (4,204,330)

Total comprehensive loss (3,681,562) (4,204,330)


SECTION 4


267

4

Australian Agency for International Development ADMINISTERED SCHEDULE OF ASSETS AND LIABILITIES as at 30 June 2012

7


2012 2011

Notes $'000 $'000

ASSETS

Financial Assets

Cash and cash equivalents 18A 39,282 51,038

Loans and receivables 18B 94,765 78,206

Investments 18C 1,270,513 991,054

Total financial assets 1,404,560 1,120,298

Non-financial Assets

Leasehold improvements 19A, C 2,961 4,162

Infrastructure, plant and equipment 19B, C 23 45

Intangibles 19D, E 6,455 5,450

Other non-financial assets 19F 696 700

Total non-financial assets 10,135 10,357

Total assets administered on behalf of Government 1,414,695 1,130,655

LIABILITIES

Payables

Grants 20A 477,815 503,486

Trade creditors and contributions 20B 969,368 1,092,252

Total payables 1,447,183 1,595,738

Provisions

Other provisions 21 8,001 6,323

Total provisions 8,001 6,323

Total liabilities administered on behalf of Government 1,455,184 1,602,061

Net liabilities (40,489) (471,406)


SECTION 4 A

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RT

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268

4

Australian Agency for International Development ADMINISTERED RECONCILIATION SCHEDULE for the period ended 30 June 2012 2012 2011 $'000 $'000 Opening administered assets less administered liabilities as at 1 July (471,406) 68,207 Surplus (deficit) items

Plus: Administered income 332,687 22,611 Less: Administered expenses (4,014,249) (4,226,941)

Administered transfers to/from Australian Government: Appropriation transfers from OPA:

Annual appropriation for administered expenses 3,986,308 3,485,347 Administered Capital Budget (ACB) 1,856 1,741 Special Accounts 58,751 64,593 Administered assets and liabilities appropriations 128,096 151,668 GST transferred from the OPA 87,124 73,585

Transfers to OPA Appropriations (39,775) (17,652) Special Accounts (20,752) (17,193) Return of GST appropriations (89,129) (73,970)

Restructure - (3,402) Closing administered assets less administered liabilities as at 30 June (40,489) (471,406)


SECTION 4


269

4

Australian Agency for International Development ADMINISTERED SCHEDULE OF CASH FLOWS For the year ended 30 June 2012

9


2012 2011

Notes $'000 $'000

OPERATING ACTIVITIES

Cash received

Return of prior year administered expenses 39,756 17,931

GST received 83,890 75,051

Other 1,185 47


Cash used

International development assistance 3,369,092 2,839,465

Grant payments 635,601 668,394

Total cash used 4,004,693 3,507,859

Net cash used by operating activities 22 (3,879,862) (3,414,830)

INVESTING ACTIVITIES

Cash received

Proceeds from sales of infrastructure, plant and equipment - 306

Total cash received - 306

Cash used

Purchase of infrastructure, plant, equipment and intangibles 2,213 1,781

Purchase of concessional financial instruments 242,160 215,380


Net cash used by investing activities (244,373) (216,855)

Net decrease in cash held (4,124,235) (3,631,685)

Cash and cash equivalents at the beginning of the reporting

period 51,038 14,604

Cash from Official Public Account for:

Appropriation - Outcomes 3,986,308 3,485,347

Appropriation - Administered Capital Budget (ACB) 1,856 1,741

GST from OPA 87,124 73,585

Appropriation - Administered Assets and Liabilities 128,096 151,668

Special Accounts 58,751 64,593

4,262,135 3,776,934

Cash to Official Public Account for:

Cash to OPA - Appropriations (39,775) (17,652)

Cash to OPA - Special accounts (20,752) (17,193)

GST to OPA (89,129) (73,970)

(149,656) (108,815)

Cash and cash equivalents at the end of the reporting period

18A 39,282 51,038


SECTION 4


270

4

Australian Agency for International Development ADMINISTERED SCHEDULE OF COMMITMENTS as at 30 June 2012

10


2012 2011

$'000 $'000

BY TYPE


Net GST recoverable on commitments (291,344) (283,515)


Other commitments

Operating leases 8,152 1,433

Development cooperation program 3,119,607 3,077,909

Total other commitments 3,127,759 3,079,342

Net commitments by type 2,836,415 2,795,827

BY MATURITY


GST Recoverable on commitments

One year or less (169,234) (137,651)

From one to five years (122,101) (145,725)

Over five years (9) (139)

Total commitment receivable (291,344) (283,515)

Commitments payable

Operating lease commitments

One year or less 6,035 731

From one to five years 2,117 530

Over five years - 172

Total operating lease commitments 8,152 1,433

Development cooperation program commitments

One year or less 1,862,669 1,594,077

From one to five years 1,254,884 1,479,619

Over five years 2,054 4,213

Total development cooperation program commitments 3,119,607 3,077,909

Total commitments payable 3,127,759 3,079,342

Net commitments by maturity 2,836,415 2,795,827


SECTION 4


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Australian Agency for International Development NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS

Note 1: Summary of Significant Accounting Policies

Note 2: Events After the Reporting Period

Note 3: Expenses

Note 4: Income

Note 5: Financial Assets

Note 6: Non-Financial Assets

Note 7: Payables

Note 8: Provisions

Note 9: Restructuring

Note 10: Cash flow reconciliation

Note 11: Contingent assets and liabilities

Note 12: Senior Executive Remuneration

Note 13: Remuneration of Auditors

Note 14: Financial Instruments

Note 15: Financial Assets Reconciliation

Note 16: Administered Expenses

Note 17: Administered Income

Note 18: Administered Financial Assets

Note 19: Administered Non-Financial Assets

Note 20: Administered Payables

Note 21: Administered Provisions

Note 22: Administered Cash Flow Reconciliation

Note 23: Administered Financial Instruments

Note 24: Administered Financial Assets Reconciliation

Note 25: Administered Contingent Assets and Liabilities

Note 26: Appropriations

Note 27: Compliance with Statutory Conditions for Payment from the Consolidated Revenue Fund

Note 28: Special Accounts

Note 29: Compensation and Debt Relief

Note 30: Reporting of Outcomes

Note 31: Net Cash Appropriation Arrangements

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Note 1: Summary of Significant Accounting Policies

1.1 Objectives of the Australian Agency for International Development

The Australian Agency for International Development (AusAID) is an Australian Government controlled entity.

AusAID is a not-for-profit entity. The objective of Australia’s overseas aid program is to assist developing countries to reduce poverty and achieve sustainable development, in line with Australia’s national interest. AusAID administers the majority of Australia’s Official Development Assistance (ODA) for developing countries, including the Australian Indonesian Partnership for Reconstruction and Development (AIPRD).

The agency is structured to meet the following outcomes:

Outcome 1: To assist developing countries to reduce poverty and achieve sustainable development, in line with Australia’s national interest. Outcome 2: Australia’s national interest advanced by implementing a partnership between Australia and Indonesia for reconstruction and development.

AusAID activities contributing toward these outcomes are classified as either departmental or administered.

Departmental activities involve the use of assets, liabilities, revenues and expenses controlled or incurred by AusAID

in its own right. Administered activities involve the management or oversight by the agency, on behalf of the

Government, of items controlled or incurred by the Government.

Outcome 1 has seven administered Programs which are:

Program 1.1 Official Development Assistance – PNG & Pacific;

Program 1.2 Official Development Assistance – East Asia;

Program 1.3 Official Development Assistance – Africa, South and Central Asia, Middle East and Other;

Program 1.4 Official Development Assistance – Emergency, Humanitarian and Refugee Program;

Program 1.5 Official Development Assistance – Multilateral Replenishments;

Program 1.6 Official Development Assistance – UN, Commonwealth and Other International Organisations;

and

Program 1.7 Official Development Assistance – NGO, Volunteer and Community Programs.

One administered Program is identified for Outcome 2, being Program 2.1 Official Development Assistance - East

Asia.

The continued existence of AusAID in its present form and with its present programs is dependent on Government

policy and on continuing appropriations by Parliament for the agency’s administration and programs.

1.2 Basis of Preparation of the Financial Statements

The financial statements and notes are required by Section 49 of the Financial Management and Accountability Act

1997 and are a General Purpose Financial Statement.

The statements have been prepared in accordance with:

Finance Minister’s Orders (FMOs) for reporting periods ending on or after 1 July 2011; and

Australian Accounting Standards and Interpretations issued by the Australian Accounting Standards Board

(AASB) that apply for the reporting period.

The financial statements have been prepared on an accrual basis and in accordance with the historical cost

convention, except for certain assets and liabilities at fair value. Except where stated, no allowance is made for the

effect of changing prices on the results or the financial position.

The financial statements are presented in Australian dollars and values are rounded to the nearest thousand dollars

unless otherwise specified.

Unless an alternative treatment is specifically required by an accounting standard or the FMOs, assets and liabilities

are recognised in the balance sheet when and only when it is probable that future economic benefits will flow to the

agency or a future sacrifice of economic benefits will be required and the amounts of the assets or liabilities can be

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reliably measured. However, assets and liabilities arising under executor contracts are not recognised unless

required by an accounting standard. Liabilities and assets that are unrecognised are reported in the Schedule of

Commitments or the Schedule of Contingencies.

Unless an alternative treatment is specifically required by an accounting standard, income and expenses are

recognised in the Statement of Comprehensive Income when and only when the flow, consumption or loss of

economic benefits has occurred and can be reliably measured.

1.3 Significant Accounting Judgements and Estimates

No departmental accounting assumptions or estimates have been identified that have a significant risk of causing a

material adjustment to carrying amounts of assets and liabilities within the next accounting period.

1.4 New Australian Accounting Standards

Adoption of new Australian Accounting Standard requirements

No accounting standard has been adopted earlier than the application date as stated in the respective standard.

No other new standards, revised standards, interpretations, and amending standards that were issued prior to the

signing of the statements by the Director General and Chief Financial Officer and are applicable to the current

reporting period had a financial impact, or are expected to have a future financial impact on the agency.

Future Australian Accounting Standard requirements

New standards, reissued standards, amendments to standards or interpretations (“the new requirements”) applicable to future reporting periods have been issued by the Australian Accounting Standards Board during the year. It is

anticipated that the new requirements will have no material financial impact on future reporting periods.

No other new standards, revised standards, interpretations, and amending standards that were issued prior to the

signing of the statements by the Director General and Chief Financial Officer and are applicable to the current

reporting period had a financial impact, or are expected to have a future financial impact on the agency.

1.5 Revenue

Revenue from Government

Amounts appropriated for departmental outputs appropriations for the year (adjusted for any formal additions and

reductions) are recognised as Revenue from Government when AusAID gains control of the appropriation, except for

certain amounts that relate to activities that are reciprocal in nature, in which case revenue is recognised only when it

has been earned.

Appropriations receivable are recognised at their nominal amounts.

Rendering of Services

Revenue from rendering of services is recognised by reference to the stage of completion of contracts at the reporting

date. The revenue is recognised when:

a) the amount of revenue, stage of completion and transaction costs incurred can be reliably measured;

and

b) the probable economic benefits associated with the transaction will flow to the agency.

The stage of completion of contracts at the reporting date is determined by reference to the proportion that costs

incurred to date bear to the estimated total costs of the transaction.

Receivables for goods and services, which have 30 day terms, are recognised at the nominal amounts due less any

impairment allowance. Collectability of debts is reviewed at the end of the accounting period. Allowances are made

when collectability of the debt is no longer probable.

Interest Revenue

Interest revenue is recognised using the effective interest method as set out in AASB 139 Financial Instruments:

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Recognition and Measurement.

1.6 Gains

Resources Received Free of Charge

Resources received free of charge are recognised as gains when and only when a fair value can be reliably

determined and the services would have been purchased if they had not been donated. Use of those resources is

recognised as an expense.

Contributions of assets at no cost of acquisition or for nominal consideration are recognised as gains at their fair value

when the asset qualifies for recognition, unless received from another government agency as a consequence of a

restructuring of administrative arrangements (Refer to Note 1.7).

Sale of Assets

Gains from disposal of non-current assets are recognised when control of the asset has passed to the buyer.

1.7 Transactions with the Government as Owner

Equity Injections

Amounts appropriated which are designated as ‘equity injections’ for a year (less any formal reductions) and Department Capital Budget (DCB) are recognised directly in Contributed Equity in that year.

Other distributions to owners

The FMOs require that distributions to owners be debited to contributed equity unless in the nature of a dividend.

1.8 Employee Benefits

Liabilities for ‘short-term employee benefits’ (as defined in AASB 119 Employee Benefits) and termination

benefits due within twelve months of the end of reporting period are measured at their nominal amounts. The

nominal amount is calculated with regard to the rates expected to be paid on settlement of the liability.

Other long term employee benefits are measured as the present value of the obligation at the end of the

reporting period.

Leave

The liability for employee benefits includes provision for annual leave and long service leave. No provision has

been made for sick leave as all sick leave is non-vesting and the average sick leave taken in future years by

employees of AusAID is estimated to be less than the annual entitlement for sick leave. In the case of locally

engaged staff overseas, where the entitlement is vested, a liability has been recognised.

The leave liabilities are calculated on the basis of employees’ remuneration at the estimated salary rates that will be applied at the time the leave is taken, including AusAID’s employer superannuation contribution rates, to

the extent that the leave is likely to be taken during service rather than paid out on termination.

The liability for long service leave has been determined by reference to a valuation undertaken by the

Australian Government Actuary as at 30 June 2012. The estimate of the present value of the liability takes into

account attrition rates and pay increases through promotion and inflation.

Separation and Redundancy

Provision is made for separation and redundancy benefit payments. AusAID recognises a provision for

separation and redundancy when it has developed a detailed formal plan and has informed those employees

that will be affected by that plan that it will carry out those terminations of employment.

In some countries, staff at overseas posts are entitled to separation benefits. The provision for the benefits has

been classified as employee benefits.

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Superannuation

The majority of AusAID staff are members of the Commonwealth Superannuation Scheme (CSS), the Public

Sector Superannuation Scheme (PSS) or the PSS Accumulation Plan (PSSap).

The CSS and PSS are defined benefit schemes for the Commonwealth. The PSSap and other superannuation

schemes are defined contribution schemes.

The liability for defined benefits is recognised in the financial statements of the Australian Government and is

settled by the Australian Government in due course. This liability is reported in the Department of Finance and

Deregulation’s administered schedules and notes. AusAID contributes superannuation for overseas staff in

compliance with local labour laws.

AusAID makes employer contributions to the employee superannuation schemes at rates determined by an

actuary to be sufficient to meet the cost to the Government of the superannuation entitlements of AusAID’s employees. AusAID accounts for the contributions as if they were contributions to defined contribution plans.

The liability for superannuation recognised as at 30 June represents outstanding contributions that relate to the

final pay fortnight of the financial year.

1.9 Leases

A distinction is made between finance leases and operating leases. Finance leases effectively transfer from

the lessor to the lessee substantially all the risks and rewards incidental to ownership of leased assets. An

operating lease is a lease that is not a finance lease. In operating leases, the lessor effectively retains

substantially all such risks and benefits.

AusAID does not have any finance leases.

Operating lease payments are expensed on a basis representative of the pattern of benefits derived from the

leased assets. Lease incentives are recognised as other payables and amortised over the period of the lease

on a straight line basis.

The net present value of future net outlays in respect of surplus space under non-cancellable lease

agreements is expensed in the period in which the space becomes surplus.

1.10 Cash

Cash is recognised at its nominal amount. Cash and cash equivalents includes:

a) Cash on hand;

b) Demand deposits in bank accounts with an original maturity of 3 months or less that are readily

convertible to known amounts of cash and subject to insignificant changes in value;

c) Cash held by outsiders; and

d) Cash in Special Accounts.

1.11 Financial Assets

AusAID’s departmental financial assets are classified as loans and receivables. The classification depends on

the nature and purpose of the financial asset and is determined at the time of initial recognition. Financial

assets are recognised and derecognised upon trade date.

Loans and Receivables

Trade receivables, loans and other receivables that have fixed or determinable payments that are not quoted in

an active market are classified as ‘loans and receivables’. Loans and receivables are measured at amortised cost using the effective interest method less impairment. Interest is recognised by applying the effective

interest rate.

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Effective Interest Method

The effective interest method is a method of calculating the amortised cost of a financial asset and of allocating interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset, or, where appropriate, a shorter period.

Income is recognised on an effective interest rate basis except for financial assets that are recognised at fair value through profit or loss.

1.12 Financial Liabilities

Departmental financial liabilities are classified as Other Financial Liabilities. Financial liabilities are recognised and derecognised upon trade date.

Other Financial Liabilities

Other financial liabilities, including borrowings, are initially measured at fair value, net of transaction costs. These liabilities are subsequently measured at amortised cost at each balance date using the effective interest method, with interest expense recognised on an effective yield basis.

Supplier and other payables are recognised at amortised cost. Liabilities are recognised to the extent that the goods or services have been received (and irrespective of having been invoiced).

1.13 Contingent Liabilities and Contingent Assets

Contingent liabilities and contingent assets are not recognised in the balance sheet but are reported in the relevant schedules and notes. They may arise from uncertainty as to the existence of a liability or asset, or represent an existing liability or asset in respect of which settlement is not probable or the amount cannot be reliably measured. Contingent assets are disclosed when settlement is probable but not virtually certain, and contingent liabilities are disclosed when settlement is greater than remote.

1.14 Acquisition of Assets

Assets are recorded at cost on acquisition except as stated below. The cost of acquisition includes the fair value of assets transferred in exchange and liabilities undertaken. Financial assets are initially measured at their fair value plus transaction costs where appropriate.

Assets acquired at no cost, or for nominal consideration, are initially recognised as assets and revenues at their fair value at the date of acquisition, unless acquired as a consequence of restructuring of administrative arrangements. In the latter case, assets are initially recognised as contributions by owners at the amounts at which they were recognised in the transferor agency’s accounts immediately prior to the restructuring.

1.15 Infrastructure, Plant and Equipment

Asset Recognition Threshold

Purchases of infrastructure, plant and equipment are recognised initially at cost in the Balance Sheet, except for purchases costing less than $2,000, which are expensed in the year of acquisition (other than where they form part of a group of similar items which is significant in total).

The initial cost of an asset includes an estimate of the cost of dismantling and removing the item and restoring the site on which it is located. This is particularly relevant to ‘make good’ provisions in property leases taken up by AusAID where there exists an obligation to restore the property to its original condition. These costs are included in the value of AusAID’s leasehold improvements with a corresponding provision for the ‘make good’ recognised.

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Revaluations

Fair values for each class are determined as shown below:

Asset class: Fair value measured at:

Leasehold improvements Depreciated replacement cost

Infrastructure, plant & equipment Market selling price

Following initial recognition at cost, infrastructure, plant and equipment are carried at fair value less

accumulated depreciation and accumulated impairment losses. Valuations are conducted with sufficient

frequency to ensure that the carrying amounts of assets do not differ materially from the assets’ fair values as at the reporting date. The regularity of independent valuations depends upon the volatility of movements in

market values for the relevant assets. The revaluation of leasehold improvements, infrastructure, plant and

equipment to fair value was undertaken by the Australian Valuation Office effective at 30 April 2010.

Revaluation adjustments are made on a class basis. Any revaluation increment is credited to equity under the

heading of asset revaluation surplus except to the extent that it reverses a previous revaluation decrement of

the same asset class that was previously recognised through the surplus / deficit. Revaluation decrements for

the same class of assets are recognised directly in the surplus / deficit except to the extent that they reverse a

previous revaluation increment for that class.

Any accumulated depreciation as at the revaluation date is eliminated against the gross carrying amount of the

asset and the asset restated to the revalued amount.

Depreciation

Depreciable infrastructure, plant and equipment assets are written-down to their estimated residual values over

their estimated useful lives to AusAID using, in all cases, the straight-line method of depreciation. Leasehold

improvements are depreciated on a straight-line basis over the lesser of the lease term or 10 years.

Depreciation rates (useful lives) and methods are reviewed at each reporting date and necessary adjustments

are recognised in the current, or current and future reporting periods, as appropriate.

Depreciation rates applying to each class of depreciable asset are based on the following useful lives:

2012 2011

Leasehold Improvements Lesser of lease term & 10 years

Lesser of lease term & 10 years

Infrastructure, plant and equipment 3 to 25 years 3 to 25 years

Impairment

All assets were assessed for impairment at 30 June 2012. Where indications of impairment exist the asset’s recoverable amount is estimated and an impairment adjustment made if the asset’s recoverable amount is less than its carrying amount.

The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use. Value

in use is the present value of the cash flows expected to be derived from the asset. Where the future economic

benefit of an asset is not primarily dependent on the asset’s ability to generate future cash flows, and the asset

would be replaced if AusAID were deprived of the asset, its value in use is taken to be its depreciated

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replacement cost.

An item of property, plant and equipment is derecognised upon disposal or when no further future economic

benefits are expected from its use or disposal.

1.16 Intangibles

AusAID’s intangibles comprise internally developed and commercially purchased software for internal use. These assets are carried at cost less accumulated amortisation and accumulated impairment losses except for

purchases costing less than $2,000, which are expensed in the year of acquisition.

Software is amortised on a straight-line basis over its anticipated useful life. The useful life of AusAID’s software is 5 to 10 years (2011: 5 to 10 years).

All software assets were assessed for indications of impairment as at 30 June 2012.

1.17 Taxation/Competitive Neutrality

AusAID is exempt from all forms of taxation except Fringe Benefits Tax (FBT) and Goods and Services Tax

(GST).

Revenues, expenses, liabilities and assets are recognised net of GST, except:

where the amount of GST incurred is not recoverable from the Australian Taxation Office; and

receivables and payables.

1.18 Comparatives

Where practicable, the restatement of comparatives shows the information that would have been disclosed in

the prior reporting period had any adjustments been applied, or any changes in current Finance Ministers

Orders been applied.

Comparative figures for 2010-11 reflect an adjustment to leasehold improvement assets transferred through

the revised expenditure classification framework. Further information has been provided at Note 9.

1.19 Foreign Currency Transactions

Transactions denominated in a foreign currency are converted at the exchange rate at the date of the

transaction. Foreign currency receivables and payables are translated at the exchange rates current as at

balance date where the impact is assessed as material. Exchange gains and losses are reported in the

Statement of Comprehensive Income.

1.20 Reporting of Administered Activities

Administered revenues, expenses, assets, liabilities and cash flows are disclosed in the Schedule of

Administered statements, schedules and related notes.

Except where otherwise stated below, administered items are accounted for on the same basis and using the

same policies as for departmental items, including the application of Australian Accounting Standards.

Significant accounting adjustments and estimates

The fair value of the administered financial instruments in 2011-2012 has been determined on a basis

consistent with that used in previous years, utilising professional valuation advice. The fair value of the

financial instruments reported in future periods will be affected by variables such as discount rates, exchange

rates and possible impairment. The effect of changes to the assumptions used to value the financial

instruments is disclosed at Note 23.

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Administered Cash Transfers to and from the Official Public Account

Revenue collected by AusAID for use by the Government rather than AusAID is administered revenue.

Collections are transferred to the Official Public Account (OPA) maintained by the Department of Finance and

Deregulation. Conversely, cash is drawn from the OPA to make payments under Parliamentary appropriation

on behalf of Government. These transfers to and from the OPA are adjustments to the administered cash held

by AusAID on behalf of the Government and reported as such in the Statement of Cash Flows and in the

Administered Reconciliation Schedule.

Revenue

All administered revenues are revenues relating to ordinary activities performed by AusAID on behalf of the

Australian Government. As such, administered appropriations are not revenues of AusAID which oversees

distribution or expenditure of the funds as directed.

Interest is accrued on the amortised cost of loan receivables using the effective interest method (in accordance

with AASB 139).

Loan and receivables concessional expenses

Consistent with the Outcomes of AusAID, long-term loans are provided to other entities at concessional rates.

On settlement of the loan funds, differences between the nominal value of the loan subscription and the fair

value of the associated asset are recorded in the Schedule of Administered Items as an Expense Administered

on Behalf of Government.

Grants

AusAID administers a number of grants on behalf of the Australian Government.

Grants are made to a number of international, United Nations (UN) and Commonwealth organisations. Grant

and subsidy liabilities are recognised to the extent that (i) the services required to be performed by the grantee

have been performed or (ii) the grant eligibility criteria have been satisfied, but payments due have not been

made. A commitment is recorded when the Government enters into an agreement to make these grants but

services have not been performed or criteria satisfied. Multi-year grants of a non-reciprocal nature are

recorded as liabilities in the year the agreement is signed at fair value, using relevant Australian Government

bond rates to discount the future cash flows to their present value. The value of the discount applied is

recognised against grant expenses.

Financial Assets

AusAID administers material financial assets on behalf of the Australian Government. The Australian

Government is the holder of these financial instruments, with the issuers being partner foreign governments

and multi-lateral aid organisations including the Asian Development Fund (ADF) and the International

Development Association (IDA). Financial instruments are recognised on a trade date basis.

The financial instruments are held consistent with aid program objectives.

Financial Liabilities

Financial liabilities are classified as either financial liabilities ‘at fair value through profit or loss’ or other financial liabilities. Financial liabilities are recognised and derecognised upon ‘trade date’.

Financial Liabilities at Fair Value Through Profit or Loss include Multilateral Grants payable and Multilateral

subscriptions payable. Financial liabilities at fair value through profit or loss are initially measured at fair value.

Subsequent fair value adjustments are recognised in profit or loss.

Other Financial Liabilities include trade creditors and accruals. Other financial liabilities, including borrowings,

are initially measured at fair value, net of transaction costs. These liabilities are subsequently measured at

amortised cost using the effective interest method, with interest expense recognised on an effective yield basis.

The effective interest method is a method of calculating the amortised cost of a financial liability and of

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allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts

estimated future cash payments through the expected life of the financial liability, or, where appropriate, a

shorter period.

Note 2: Events After the Reporting Period

Departmental

2011-12: AusAID is not aware of any events occurring after Balance Sheet date that will significantly impact the ongoing structure or financial activities of the agency. Administered

2011-12: AusAID is not aware of any events occurring after Balance Sheet date that will significantly impact the ongoing structure or financial activities of the agency.

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Note 3: Expenses 2012 2011

$'000 $'000

Note 3A: Employee Benefits

Wages and salaries 132,258 104,665

Superannuation:

Defined contribution plans 9,459 6,023

Defined benefit plans 10,228 9,785

Leave and other entitlements 16,741 10,814

Fringe benefits tax 2,869 2,354

Total employee benefits 171,555 133,641

Employee benefit expenses for 2012 include additional staff engaged to support the increased aid program

and the impact of changes to discount rates used to determine employee leave provisions. Note 3B: Supplier Expenses

Goods and services

Consultants 7,021 9,113

Contractors 14,434 18,087

Stationery 1,985 2,015

Travel 17,396 15,148

Facilities and services 13,762 11,480

Office costs 6,501 5,306

Security 3,873 4,689

Recruitment 3,050 3,779

Training 6,649 5,567

Other 7,750 8,904

Total goods and services 82,421 84,088

Goods and services are made up of:

Rendering of services - related entities 4,879 4,269

Rendering of services - external parties 77,542 79,819

Total goods and services 82,421 84,088

Other supplier expenses

Operating lease rentals - external parties:

Minimum lease payments 20,197 21,555

Workers compensation expenses 876 495

Total other supplier expenses 21,073 22,050

Total supplier expenses 103,494 106,138

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2012 2011

$'000 $'000

Note 3C: Depreciation and Amortisation

Depreciation:

Infrastructure, plant and equipment 7,123 5,177

Leasehold improvements 3,665 3,102

Total depreciation 10,788 8,279

Amortisation:

Intangibles:

Computer software 1,112 1,325

Total amortisation 1,112 1,325

Total depreciation and amortisation 11,900 9,604

Note 3D: Finance Costs

Unwinding of discount - restoration obligation 311 557

Total finance costs 311 557

Note 3E: Write-Down and Impairment of Assets

Asset write-downs and impairments from:

Write-off of leasehold improvements, infrastructure, plant and equipment 120 152

Impairment of financial instruments 16 -

Total write-down and impairment of assets 136 152

Note 3F: Losses from Asset Sales

Leasehold improvements

Proceeds from sale - (4)

Net (gain) on sale of leasehold improvements - (4)

Infrastructure, plant and equipment

Proceeds from sale (48) (255)

Carrying value of assets sold 66 354

Net loss from infrastructure, plant and equipment 18 99

Total losses from asset sales 18 95

Note 3G: Net foreign exchange losses

Non-speculative 57 36

Total net foreign exchange losses 57 36

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Note 4: Income 2012 2011

$'000 $'000

Revenue

Note 4A: Sale of Goods and Rendering of Services

Rendering of services - related entities 49 39

Rendering of services - external parties 5 22

Total sale of goods and rendering of services 54 61

Gains

Note 4B: Other Gains

Resources received free of charge 137 120

Assets previously expensed 391 656

Gain on restoration obligation 244 122

Total other gains 772 898

Revenue from Government

Note 4C: Revenue from Government

Appropriations:

Departmental appropriation 274,727 251,207

Total revenue from Government 274,727 251,207

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Note 5: Financial Assets 2012 2011

$'000 $'000

Note 5A: Cash and Cash Equivalents

Cash on hand or on deposit 283 524

Cash held by outsiders 53 59

Total cash and cash equivalents 336 583

Note 5B: Trade and Other Receivables

Good and Services:

Goods and services - related entities 763 186

Goods and services - external parties 136 138

Total receivables for goods and services 899 324

Appropriations receivable:

For existing programs 58,065 51,631

Equity - 9,887

Total appropriations receivable 58,065 61,518

Other receivables:

GST receivable from the Australian Taxation Office 973 1,104

Other 521 242

Total other receivables 1,494 1,346

Total trade and other receivables (gross) 60,458 63,188

Less impairment allowance account:

Goods and services (21) (9)

Total impairment allowance account (21) (9)

Total trade and other receivables (net) 60,437 63,179

Receivables are expected to be recovered in:

No more than 12 months 60,437 63,179

More than 12 months - -

Total trade and other receivables (net) 60,437 63,179

Receivables are aged as follows:

Not overdue 60,320 62,828

Overdue by:

0 to 30 days 33 64

31 to 60 days 1 89

61 to 90 days 2 110

More than 90 days 102 97

Total receivables (gross) 60,458 63,188

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2012 2011

$'000 $'000

The impairment allowance account is aged as follows:

Not overdue - -

Overdue by:

0 to 30 days - -

31 to 60 days - -

61 to 90 days - -

More than 90 days (21) (9)


Credit terms for goods and services were within 30 days (2011: 30 days)

Reconciliation of the impairment allowance account:

Movements in relation to 2012

Goods and

services Total

$'000 $'000

Opening balance 9 9

Amounts written off (4) (4)

Increase recognised in net deficit 16 16

Closing balance 21 21


There were no movements in the impairment allowance account during 2011.

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Note 6: Non-Financial Assets 2012 2011

$'000 $'000

Note 6A: Leasehold Improvements

Work in progress at cost 1,817 1,508

Fair value 34,154 23,463

Accumulated depreciation (7,572) (3,907)

Total leasehold improvements 28,399 21,064

No indicators of impairment were found for leasehold improvements.

No leasehold improvements are expected to be sold or disposed of within the next 12 months. Note 6B: Infrastructure, Plant and Equipment

Fair value 40,167 23,567

Accumulated depreciation (12,610) (5,671)

Total infrastructure, plant and equipment 27,557 17,896

At balance date no infrastructure, plant and equipment assets are being held for sale within the next 12 months.

Revaluation of non-financial assets

A revaluation of leasehold improvements, infrastructure, plant and equipment to fair value was undertaken by the

Australian Valuation Office effective as at 30 April 2010 and is used as the basis for ensuring carrying amounts for

AusAID’s non-financial assets do not differ materially from that which would be determined using fair value at the

reporting date. An annual stock take was again completed in 2011-2012 and used to confirm the condition and existence

of AusAID’s non-financial assets.

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Note 6C: Reconciliation of the Opening and Closing Balances of Buildings, Property, Plant and

Equipment (2011-12)

Leasehold

improvements

Infrastructure,

plant and

equipment Total

$’000 $’000 $’000

As at 1 July 2011

Gross book value 24,971 23,567 48,538

Accumulated depreciation and impairment (3,907) (5,671) (9,578)

Net book value 1 July 2011 21,064 17,896 38,960

Additions:

By purchase 11,057 16,913 27,970

Depreciation expense (3,665) (7,123) (10,788)

Disposals:

Other (57) (129) (186)

Net book value 30 June 2012 28,399 27,557 55,956

Net book value as of 30 June 2012 represented

by:

Gross book value 35,971 40,167 76,138



Note 6C: Reconciliation of the Opening and Closing Balances of Buildings, Property, Plant and

Equipment (2010-11)

Leasehold

improvements

Infrastructure,

plant and

equipment Total

$’000 $’000 $’000

As at 1 July 2010

Gross book value 18,858 10,463 29,321

Accumulated depreciation and impairment (870) (564) (1,434)


Additions:

By purchase 5,218 7,410 12,628

Assets now recognised previously expensed - 656 656

Restructure 960 5,598 6,558

Depreciation expense (3,102) (5,177) (8,279)

Disposals:

Other disposals - (490) (490)


Net book value as of 30 June 2011 represented

by:

Gross book value 24,971 23,567 48,538



SECTION 4


288

4


28

2012 2011

$'000 $'000

Note 6D: Intangibles

Computer software:

Internally developed - in use 7,450 4,812

Internally developed - in progress 238 1,776

Purchased 8,582 6,107

Total computer software (gross) 16,270 12,695

Accumulated amortisation (10,071) (8,959)

Total computer software 6,199 3,736

No indicators of impairment were found for intangible assets.

No intangibles are expected to be sold or disposed of within the next 12 months.

Note 6E: Reconciliation of the Opening and Closing Balances of Intangibles (2011-12)

Computer

software

internally

developed

Computer

software

purchased Total

$’000 $’000 $’000

As at 1 July 2011

Gross book value 6,588 6,107 12,695

Accumulated amortisation and impairment (4,812) (4,147) (8,959)


Additions

By purchase or internally developed 1,100 2,475 3,575

Amortisation (373) (739) (1,112)


Net book value as of 30 June 2012 represented by:




SECTION 4


289

4


29

Note 6E: Reconciliation of the Opening and Closing Balances of Intangibles (2010-11)

Computer

software

internally

developed

Computer

software

purchased Total

$’000 $’000 $’000

As at 1 July 2010



Net book value 1 July 2010 697 466 1,163

Additions

By purchase or internally developed 1,776 1,964 3,740

Restructure - 158 158

Amortisation (697) (628) (1,325)





Net book Value 30 June 2011 1,776 1,960 3,736

2012 2011

$'000 $'000

Note 6F: Other Non-Financial Assets

Prepayments 8,688 7,527

Other 168 118

Total other non-financial assets 8,856 7,645

Other non-financial assets are expected to be recovered in:


More than 12 months 644 882

Total other non-financial assets 8,856 7,645

SECTION 4


290

4


30

Note 7: Payables 2012 2011

$'000 $'000

Note 7A: Suppliers

Trade creditors and accruals 12,489 17,296

Operating lease rentals 209 258

Total supplier payables 12,698 17,554

Supplier payables expected to be settled within 12 months:

Related entities 2,568 5,083

External parties 10,100 12,262

Total 12,668 17,345

Supplier payables expected to be settled in greater than 12 months:

Related entities - -

External parties 30 209

Total 30 209

Total supplier payables 12,698 17,554

Settlement is usually made within 30 days. Note 7B: Other Payables

Salaries and wages 3,732 2,494

Superannuation 343 595

Total other payables 4,075 3,089

Other payables are expected to be settled in:


More than 12 months - -

Total other payables 4,075 3,089

SECTION 4


291

4


31

Note 8: Provisions 2012 2011

$'000 $'000

Note 8A: Employee Provisions

Leave 46,603 33,787

Total employee provisions 46,603 33,787

Employee provisions are expected to be settled in:


More than 12 months 26,040 16,986

Total employee provisions 46,603 33,787

Note 8B: Other Provisions

Provision for:

Restoration obligations 3,248 2,218

Lease incentives 2,350 2,314

Fringe benefits tax 550 491

Total other provisions 6,148 5,023

Other provisions are expected to be settled in:




AusAID currently has 118 agreements for the leasing of premises which have provisions requiring AusAID to restore the

premises to their original condition at the conclusion of the lease. AusAID has made a provision to reflect the present

value of this obligation.

Restoration

obligations

Lease

incentives

Fringe

benefits

tax Total

$’000 $’000 $’000 $’000

Carrying amount 1 July 2011 2,218 2,314 491 5,023

Additional provisions made 786 400 1,899 3,085

Amounts used - (364) (1,840) (2,204)

Amounts reversed (67) - - (67)

Unwinding of discount or change in discount rate 311 - - 311

Closing balance 30 June 2012 3,248 2,350 550 6,148

Reconciliation of other provisions:

Movement in relation to 2012

SECTION 4


292

4


32

Note 9: Restructuring Note 9A: Departmental Restructuring

2012 2011

AusAID 1

expenditure

classification

framework

AusAID 1

expenditure

classification

framework

$'000 $'000

FUNCTION ASSUMED

Assets recognised

Infrastructure, plant and equipment - 5,598

Leasehold improvements2 - 960

Computer software - 158

Total assets recognised - 6,716

Liabilities recognised

Employee provisions - 3,479

Restoration obligations - (165)

Total liabilities recognised - 3,314

Net assets assumed - 3,402

Notes:

1. In 2009 the Australian National Audit Office (ANAO) recommended in report No.15 AusAID's Management of the Expanding Australian Aid Program for AusAID to improve transparency and accountability for aid expenditure. The report recommended AusAID seek clarification from the Department of Finance and Deregulation on the administered and departmental framework. In early 2010, AusAID and Department of Finance and Deregulation agreed on a new framework for classifying administered and departmental expenses with effect from 1 July 2010.

2. An adjustment of $0.779m has been made to the value of leasehold improvement assets transferred under the revised expenditure classification framework as at 1 July 2010. This adjustment has been reflected against the leasehold improvement values for 2010-11 and comparatives for leasehold improvements have been restated (refer Notes 6A and 19A). The adjustment does not have a material impact on AusAID’s financial position.

SECTION 4


293

4


33

Note 9B: Administered Restructuring

2012 2011

AusAID 1

expenditure

classification

framework

AusAID 1

expenditure

classification

framework

$'000 $'000

FUNCTIONS RELINQUISHED

Assets relinquished

Infrastructure, plant and equipment - 5,598

Leasehold improvements2 - 960

Computer software - 158

Total assets relinquished - 6,716

Liabilities relinquished

Employee provisions - 3,479

Restoration obligations - (165)

Total liabilities relinquished - 3,314

Net assets relinquished - 3,402 Notes:

1. In 2009 the Australian National Audit Office (ANAO) recommended in report No.15 AusAID's Management of the Expanding Australian Aid Program for AusAID to improve transparency and accountability for aid expenditure. The report recommended AusAID seek clarification from the Department of Finance and Deregulation on the administered and departmental framework. In early 2010, AusAID and Department of Finance and Deregulation agreed on a new framework for classifying administered and departmental expenses with effect from 1 July 2010.

2. An adjustment of $0.779m has been made to the value of leasehold improvement assets transferred under the revised expenditure classification framework as at 1 July 2010. This adjustment has been reflected against the leasehold improvement values for 2010-11 and comparatives for leasehold improvements have been restated (refer Notes 6A and 19A). The adjustment does not have a material impact on AusAID’s financial position.

SECTION 4


294

4


34

Note 10: Cash flow reconciliation 2012 2011

$'000 $'000

Reconciliation of cash and cash equivalents as per Balance Sheet to Cash

Flow Statement

Cash and cash equivalents as per:

Cash flow statement 336 583

Balance sheet 336 583

Difference - -

Reconciliation of net cost of services to net cash from operating activities:

Net cost of services (286,645) (249,264)

Add revenue from Government 274,727 251,207

Adjustments for non-cash items

Net losses from sale of assets 18 95

Depreciation / amortisation 11,900 9,604

Net write down of non-financial assets 120 152

Changes in assets / liabilities

(Increase) in net receivables (7,145) (33,653)

(Increase) in other non-financial assets (1,211) (4,556)

Increase in employee provisions 12,816 17,069

Increase / (decrease) in supplier payables (4,856) 12,745

Increase in other provisions 1,125 331

Increase in other payables 986 965

Net cash from operating activities 1,835 4,695

Note 11: Contingent assets and liabilities Quantifiable Contingencies

As at 30 June 2012 (2011: Nil) AusAID did not have any quantifiable contingencies.

Unquantifiable Contingencies

As at 30 June 2012 (2011: Nil) AusAID did not have any unquantifiable contingencies.

SECTION 4


295

4


35

Note 12: Senior Executive Remuneration Note 12A: Senior Executive Remuneration Expense for the Reporting Period

2012 2011

$ $

Short-term employee benefits:

Salary 9,838,227 7,497,269

Annual leave accrued 950,751 608,266

Reportable allowances and benefits 401,042 320,772

Total short-term employee benefits 11,190,020 8,426,307

Post-employment benefits:

Superannuation 1,793,215 1,491,623

Total post-employment benefits 1,793,215 1,491,623

Other long-term benefits:

Long-service leave accrued 596,459 336,705

Total other long-term benefits 596,459 336,705

Total 13,579,694 10,254,635

Explanatory Notes:

1. Note 12A is prepared on an accrual basis (therefore the performance bonus expenses disclosed above may differ from the cash 'Bonus paid' in Note 12B). The bonus payments disclosed in Note 12B reflect amounts accrued in the 2009-10 financial year. AusAID senior executives have not been entitled to accrue performance bonuses since 1 July 2010.

2. Note 12A excludes acting arrangements and part-year service where total remuneration expensed for a senior executive was less than $150,000.

3. Note 12A includes remuneration for AusAID senior executives based in Australia and overseas.

4. Salary includes the payment of relevant allowances for senior executives based overseas. Salary does not include payments while on leave. Reportable allowances comprise allowances required to be reported separately on employee income summaries and include part day travel allowances and transfer allowances for senior executives commencing/completing postings.

5. Annual leave accrued and long service leave accrued is the amount of leave entitlements earned during the financial year, regardless of whether the leave has been taken.

6. Comparatives have been restated in line with the change in senior executive remuneration reporting requirements in the 2011-12 Finance Ministers Orders.

SECTION 4


296

4

Au

stra

lian

Ag

enc

y fo

r In

tern

atio

nal

Dev

elo

pm

ent

NO

TE

S T

O A

ND

FO

RM

ING

PA

RT

OF

TH

E F

INA

NC

IAL

ST

AT

EM

EN

TS

36

No

te 1

2B:

Ave

rag

e A

nn

ual

Rep

ort

able

Rem

un

erat

ion

Pai

d t

o S

ub

stan

tive

Sen

ior

Exe

cuti

ves

du

rin

g t

he

Rep

ort

ing

Per

iod

20

11-1

2

Av

erag

e an

nu

al r

epo

rtab

le r

emu

ner

atio

n1

Sen

ior

Exe

cuti

ve

Rep

ort

able

sala

ry2

Co

ntr

ibu

ted

sup

eran

nu

atio

n3

Rep

ort

able

allo

wan

ces4

Bo

nu

s p

aid

5 T

ota

l

N

o.

$ $

$ $

$

Tot

al r

emun

erat

ion

(incl

udin

g pa

rt-t

ime

arra

ngem

ents

):

less

tha

n $1

50,0

00

20

59,0

79

11,0

25

688

-

70

,792

$150

,000

to

$179

,999

1

14

8,31

8

18,8

57

-

-

167,

175

$180

,000

to

$209

,999

25

16

5,67

0

29,7

40

473

-

19

5,88

3

$210

,000

to

$239

,999

9

19

8,17

5

31,2

84

1,22

0

-

230,

679

$240

,000

to

$269

,999

6

21

5,76

3

30,4

41

3,43

5

-

249,

639

$270

,000

to

$299

,999

3

23

5,96

9

40,7

51

5,69

0

-

282,

410

$300

,000

to

$329

,999

7

26

9,70

1

40,1

74

2,20

0

-

312,

075

$330

,000

to

$359

,999

1

25

8,92

7

76,1

82

-

-

335,

109

$360

,000

to

$389

,999

1

34

0,34

0

29,7

70

-

-

370,

110

$540

,000

to

$569

,999

1

50

3,75

2

57,2

27

-

-

560,

979

To

tal

74

20

10-1

1

Av

erag

e an

nu

al r

epo

rtab

le r

emu

ner

atio

n1

Sen

ior

Exe

cutiv

e

Rep

orta

ble

sala

ry2

Con

trib

uted

supe

rann

uatio

n3

Rep

orta

ble

allo

wan

ces4

Bon

us p

aid

5 T

otal

N

o.

$ $

$ $

$

Tot

al r

emun

erat

ion

(incl

udin

g pa

rt-t

ime

arra

ngem

ents

):

less

tha

n $1

50,0

00

19

64,6

35

16,6

16

262

27

4

81,7

87

$150

,000

to

$179

,999

9

13

9,38

4

22,1

87

581

5,

585

16

7,73

7

$180

,000

to

$209

,999

14

15

7,56

6

30,7

68

867

4,

941

19

4,14

2

$210

,000

to

$239

,999

10

19

0,01

0

29,1

53

2,68

9

8,55

2

230,

404

$240

,000

to

$269

,999

4

18

3,07

7

45,4

56

48

16,5

22

245,

103

$270

,000

to

$299

,999

2

23

9,45

5

38,6

29

34

12,4

40

290,

558

$300

,000

to

$329

,999

5

25

8,43

1

48,7

55

102

5,

325

31

2,61

3

$330

,000

to

$359

,999

2

30

0,05

4

33,4

01

2,39

8

7,91

6

343,

769

To

tal

65

SECTION 4


297

4

Au

stra

lian

Ag

enc

y fo

r In

tern

atio

nal

Dev

elo

pm

ent

NO

TE

S T

O A

ND

FO

RM

ING

PA

RT

OF

TH

E F

INA

NC

IAL

ST

AT

EM

EN

TS

37

Not

es

1. T

his

tabl

e re

port

s su

bsta

ntiv

e se

nior

exe

cutiv

es w

ho r

ecei

ved

rem

uner

atio

n du

ring

the

repo

rtin

g pe

riod.

Eac

h ro

w is

an

aver

aged

figu

re b

ased

on

head

coun

t for

in

divi

dual

s in

the

band

. T

he b

andi

ng is

bas

ed o

n to

tal r

emun

erat

ion.

The

tabl

e in

clud

es s

enio

r ex

ecut

ives

bas

ed in

Aus

tral

ia a

nd o

vers

eas.

Com

para

tives

hav

e be

en

rest

ated

in li

ne w

ith th

e ch

ange

in s

enio

r ex

ecut

ive

rem

uner

atio

n re

port

ing

requ

irem

ents

in th

e 20

11-1

2 Fi

nanc

e M

inis

ter’s

Ord

ers.

2. ‘R

epor

tabl

e sa

lary

’ inc

lude

s th

e fo

llow

ing:

a) g

ross

pay

men

ts (l

ess

any

bonu

ses

paid

, whi

ch a

re s

epar

ated

out

and

dis

clos

ed in

the

‘bon

us p

aid’

col

umn)

; b) r

epor

tabl

e fri

nge

bene

fits

(at t

he n

et a

mou

nt p

rior t

o ‘g

ross

ing

up’

to a

ccou

nt fo

r tax

ben

efits

); c

) ex

empt

fore

ign

empl

oym

ent i

ncom

e; a

nd d

) ot

her

rele

vant

allo

wan

ces

for

seni

or

exec

utiv

es b

ased

ove

rsea

s.

Var

ious

sal

ary

sacr

ifice

arr

ange

men

ts a

re a

vaila

ble

to s

enio

r ex

ecut

ives

incl

udin

g su

pera

nnua

tion,

mot

or v

ehic

le a

nd e

xpen

se p

aym

ent f

ringe

be

nefit

s. S

alar

y sa

crifi

ce b

enef

its a

re re

porte

d in

the

‘repo

rtabl

e sa

lary

’ col

umn,

exc

ludi

ng s

alar

y sa

crifi

ced

sup

eran

nuat

ion,

whi

ch is

repo

rted

in th

e ‘c

ontri

bute

d su

pera

nnua

tion’

col

umn.

3. T

he ‘c

ontri

bute

d su

pera

nnua

tion’

am

ount

is th

e av

erag

e ac

tual

sup

eran

nuat

ion

cont

ribut

ions

pai

d to

sen

ior

exec

utiv

es in

that

rep

orta

ble

rem

uner

atio

n ba

nd d

urin

g th

e re

porti

ng p

erio

d, in

clud

ing

any

sala

ry s

acrif

iced

am

ount

s, a

s pe

r the

indi

vidu

al’s

pay

slip

s.

4. ‘R

epor

tabl

e al

low

ance

s’ a

re th

e av

erag

e ac

tual

allo

wan

ces

paid

as

per t

he ‘t

otal

allo

wan

ces’

line

on

indi

vidu

al’s

pay

men

t sum

mar

ies.

The

se in

clud

e pa

rt da

y tra

vel

allo

wan

ces

and

tran

sfer

allo

wan

ces

for

seni

or e

xecu

tives

com

men

cing

/com

plet

ing

post

ings

.

5. ‘B

onus

pai

d’ re

pres

ents

ave

rage

act

ual b

onus

es p

aid

durin

g th

e re

port

ing

per

iod

in th

at re

porta

ble

rem

uner

atio

n ba

nd.

The

‘bon

us p

aid’

refle

cts

aver

age

amou

nts

accr

ued

in th

e 20

09-1

0 fin

anci

al y

ear.

Aus

AID

sen

ior

exec

utiv

es h

ave

not b

een

entit

led

to a

ccru

e pe

rfor

man

ce b

onus

es s

ince

1 J

uly

2010

.

SECTION 4 A

US

AID

AN

NU

AL

RE

PO

RT

20

11

–1

2

298

4

Aus

tral

ian

Age

ncy

for I

nter

natio

nal D

evel

opm

ent

NO

TES

TO A

ND

FO

RM

ING

PA

RT

OF

THE

FIN

AN

CIA

L ST

ATE

MEN

TS

Not

e 12

C: O

ther

Hig

hly

Paid

Sta

ff (in

clud

ing

over

seas

bas

ed s

taff)

20

11-1

2

Aver

age

annu

al re

port

able

rem

uner

atio

n1 St

aff

Rep

orta

ble

sala

ry2

Con

trib

uted

su

pera

nnua

tion3

Rep

orta

ble

allo

wan

ces4

Bon

us p

aid5

Tota

l

No.

$

$ $

$ $

Tota

l rep

orta

ble

rem

uner

atio

n (in

clud

ing

part

tim

e ar

rang

emen

ts):

$150

,000

to $

179,

999

91

140,

776

17

,884

2,

513

1,

726

16

2,89

9 $1

80,0

00 to

$20

9,99

9 49

17

1,67

7

18,8

66

2,37

1

1,71

6

194,

630

$210

,000

to $

239,

999

34

200,

639

20

,421

1,

952

1,

627

22

4,63

9 $2

40,0

00 to

$26

9,99

9 21

22

4,07

4

21,9

23

1,91

6

1,59

3

249,

506

$270

,000

to $

299,

999

9

260,

896

18

,332

4,

377

1,

552

28

5,15

7 $3

00,0

00 to

$32

9,99

9 3

27

9,84

6

20,8

71

3,30

2

2,99

0

307,

009

$330

,000

to $

359,

999

1

308,

536

20

,679

6,

605

2,

694

33

8,51

4 $3

60,0

00 to

$38

9,99

9 2

33

7,73

7

41,8

12

3,30

3

1,20

6

384,

058

Tota

l 21

0

2010

-11

Aver

age

annu

al re

port

able

rem

uner

atio

n1 S

taff

Rep

orta

ble

sala

ry2

Con

tribu

ted

supe

rann

uatio

n3 R

epor

tabl

e al

low

ance

s4 B

onus

pai

d5 To

tal

N

o.

$ $

$ $

$

Tota

l rep

orta

ble

rem

uner

atio

n (in

clud

ing

part

tim

e ar

rang

emen

ts):

$150

,000

to $

179,

999

84

139,

083

20

,176

3,

375

1,

902

16

4,53

6 $1

80,0

00 to

$20

9,99

9 42

16

5,90

2

20,9

80

2,83

0

2,42

6

192,

138

$210

,000

to $

239,

999

30

196,

617

24

,239

2,

024

2,

818

22

5,69

8 $2

40,0

00 to

$26

9,99

9 11

21

8,06

6

28,6

26

436

2,

573

24

9,70

1 $2

70,0

00 to

$29

9,99

9 6

25

4,16

7

20,5

93

- 2,

366

27

7,12

6 $3

00,0

00 to

$32

9,99

9 1

27

6,64

2

22,8

45

4,79

5

8,94

5

313,

227

Tota

l 17

4

SECTION 4


299

4

Au

stra

lian

Ag

enc

y fo

r In

tern

atio

nal

Dev

elo

pm

ent

NO

TE

S T

O A

ND

FO

RM

ING

PA

RT

OF

TH

E F

INA

NC

IAL

ST

AT

EM

EN

TS

39

Not

es

1. T

his

tabl

e re

port

s st

aff:

a) w

ho w

ere

empl

oyed

by

the

agen

cy d

urin

g th

e re

port

ing

perio

d; b

) w

hose

rep

orta

ble

rem

uner

atio

n w

as $

150,

000

or m

ore

for

the

finan

cial

pe

riod;

and

c)

wer

e no

t req

uire

d to

be

disc

lose

d in

Tab

les

A o

r B

. Eac

h ro

w is

an

aver

aged

figu

re b

ased

on

head

coun

t for

indi

vidu

als

in th

e ba

nd.

The

maj

ority

of s

taff

repo

rted

in th

ese

tabl

es a

re b

ased

ove

rsea

s. C

ompa

rativ

es h

ave

been

res

tate

d in

line

with

the

chan

ge in

sen

ior

exec

utiv

e re

mun

erat

ion

repo

rtin

g re

quire

men

ts in

the

2011

-12

Fina

nce

Min

iste

r’s O

rder

s.

2. 'R

epor

tabl

e sa

lary

' inc

lude

s th

e fo

llow

ing:

a)

gros

s pa

ymen

ts (

less

any

bon

uses

pai

d, w

hich

are

sep

arat

ed o

ut a

nd d

iscl

ose

d in

the

'bon

us p

aid'

col

umn)

; b)

repo

rtab

le fr

inge

ben

efits

(at

the

net a

mou

nt p

rior

to 'g

ross

ing

up' t

o a

ccou

nt fo

r ta

x be

nefit

s);

c) e

xem

pt fo

reig

n em

ploy

men

t inc

ome

and

d) o

ther

re

leva

nt a

llow

ance

s fo

r st

aff b

ased

ove

rsea

s. V

ario

us s

alar

y sa

crifi

ce a

rran

gem

ents

wer

e av

aila

ble

to o

ther

hig

hly

paid

sta

ff in

clud

ing

supe

rann

uatio

n, m

otor

veh

icle

and

exp

ense

pay

men

t fr

inge

ben

efits

. Sal

ary

sacr

ifice

ben

efits

are

rep

orte

d in

the

'repo

rtab

le s

alar

y' c

olum

n, e

xclu

ding

sal

ary

sacr

ifice

d su

pera

nnua

tion,

whi

ch is

rep

orte

d in

the

'con

trib

uted

su

pera

nnua

tion'

col

umn.

3. T

he 'c

ontr

ibut

ed s

uper

annu

atio

n' a

mou

nt is

the

aver

age

actu

al s

uper

annu

atio

n co

ntrib

utio

ns p

aid

to s

taff

in th

at r

epor

tabl

e re

mun

erat

ion

band

dur

ing

the

repo

rtin

g pe

riod,

incl

udin

g an

y sa

lary

sac

rific

ed a

mou

nts,

as

per

the

indi

vidu

al’s

pay

slip

s.

4. 'R

epor

tabl

e al

low

ance

s' a

re th

e av

erag

e ac

tual

allo

wan

ces

paid

as

per

the

'tota

l allo

wan

ces'

line

on

indi

vidu

als'

pay

men

t sum

mar

ies.

The

se in

clud

e pa

rt d

ay tr

avel

al

low

ance

s an

d tr

ansf

er a

llow

ance

s fo

r st

aff c

omm

enci

ng/c

ompl

etin

g po

stin

gs.

5. 'B

onus

pai

d' r

epre

sent

s av

erag

e ac

tual

bon

uses

pai

d du

ring

the

repo

rtin

g pe

riod

in th

at r

epor

tabl

e re

mun

erat

ion

band

. The

'bon

us p

aid'

with

in a

par

ticul

ar b

and

may

va

ry b

etw

een

finan

cial

yea

rs d

ue to

var

ious

fact

ors

such

as

indi

vidu

als

com

men

cing

with

or

leav

ing

the

agen

cy d

urin

g th

e fin

anci

al y

ear.

Not

e 13

: Rem

un

erat

ion

of

Au

dit

ors

2012

2011

$'

000

$'

000

Fin

anci

al s

tate

men

t aud

it se

rvic

es w

ere

prov

ided

free

of c

harg

e to

Aus

AID

by

the

Aus

tral

ian

Nat

iona

l Aud

it O

ffice

(A

NA

O).

The

fair

val

ue o

f fin

anci

al s

tate

men

t aud

it se

rvic

es p

rovi

ded

was

: 13

7

12

0

13

7

120

No

othe

r se

rvic

es w

ere

prov

ided

by

the

AN

AO

.

SECTION 4


300

4


40

Note 14: Financial Instruments 2012 2011

$'000 $'000

Note 14A: Categories of Financial Instruments

Financial Assets

Cash and cash equivalents 336 583

Total 336 583

Loans and receivables:

Goods and services (net) 878 315

Total 878 315

Carrying amount of financial assets 1,214 898


At amortised cost:

Trade creditors 12,489 17,296

Total 12,489 17,296

Carrying amount of financial liabilities 12,489 17,296

Note 14B: Net Income and Expense from Financial Liabilities

Financial liabilities - at amortised cost

Net foreign exchange loss (57) (36)

Net loss financial liabilities - at amortised cost (57) (36)

Net loss from financial liabilities (57) (36)

Note 14C: Fair Value of Financial Instruments

Carrying Fair Carrying Fair

amount value amount value

2012 2012 2011 2011

$'000 $'000 $'000 $'000

Financial Assets

Loans and receivables 878 878 315 315

Total 878 878 315 315


Trade creditors 12,489 12,489 17,296 17,296

Total 12,489 12,489 17,296 17,296

AusAID had no departmental financial assets or liabilities that were designated at fair value through profit and loss,

classified as available for sale or reclassified between categories in 2011-2012.

SECTION 4


301

4


41

Note 14D: Credit Risk

Credit risk is the possibility that a debtor will not repay some or all of a receivable in a timely manner, causing

loss to AusAID. The maximum exposure AusAID has to credit risk at the reporting date in relation to each

class of recognised financial assets is the carrying amount of those assets indicated in the Balance Sheet.

AusAID has no significant exposures to concentrations of credit risk. The following table illustrates AusAID’s gross exposure to credit risk, excluding any collateral or credit enhancements.

2012 2011

$'000 $'000

Financial assets

Loans and receivables 878 315

Total 878 315

Financial liabilities

Trade creditors 12,489 17,296

Total 12,489 17,296

Credit quality of financial instruments not past due or individually determined as impaired

Not past

due nor

impaired

Not past

due nor

impaired

Past due

or

impaired

Past due

or

impaired

2012 2011 2012 2011

$'000 $'000 $'000 $'000

Loans and receivables 740 223 138 92

Total 740 223 138 92

Ageing of financial assets that were past due but not impaired for 2012

0 to 30 31 to 60 61 to 90 90+

days days days days Total

$'000 $'000 $'000 $'000 $'000

Loans and receivables 33 1 2 81 117

Total 33 1 2 81 117


0 to 30 31 to 60 61 to 90 90+


$'000 $'000 $'000 $'000 $'000

Loans and receivables 7 47 38 - 92

Total 7 47 38 - 92

SECTION 4


302

4


42

Note 14E: Liquidity Risk

AusAID’s activities expose it to normal commercial financial risk. The probability of AusAID encountering difficulties in meeting its departmental financial obligations as they fall due is less than remote, noting that the

continued existence of AusAID in its present form and with its present programs is dependent on Government

policy and on continuing appropriations by Parliament for the agency’s administration and programs.

Maturities for non-derivative financial liabilities 2012

On Within 1 1 to 2 2 to 5 > 5

demand year years years years Total

$'000 $'000 $'000 $'000 $'000 $'000

Trade creditors - 12,489 - - - 12,489

Total - 12,489 - - - 12,489


On Within 1 1 to 2 2 to 5 > 5

demand year years years years Total

$'000 $'000 $'000 $'000 $'000 $'000

Trade creditors - 17,296 - - - 17,296

Total - 17,296 - - - 17,296

Note 14F: Market Risk

AusAID holds basic departmental financial instruments that do not expose AusAID to either interest or price risk. Credit terms for both receivables and payables are normally 30 days net.

Currency Rate Risk The only currency related items on the balance sheet are the ‘Cash on Hand’ and ‘Supplier Payables’ where currency rate risk is limited to the extent of the currency fluctuation at the date of translation. Note 15: Financial Assets Reconciliation 2012 2011

Notes $'000 $'000

Financial assets

Total financial assets as per balance sheet 60,773 63,762

Less: non-financial instrument components

Appropriation receivables 58,065 61,518

Other receivables 521 242

GST receivable from the ATO 973 1,104

Total non-financial instrument components 59,559 62,864

Total financial assets as per financial instruments note 14A 1,214 898

SECTION 4


303

4


43

Note 16: Administered Expenses 2012 2011

$'000 $'000

Note 16A: International Development Assistance

Development cooperation program 3,262,346 2,807,252

Total International development assistance 3,262,346 2,807,252

Note 16B: Grants

Overseas 543,181 804,777

Total grants 543,181 804,777

Note 16C: Finance Costs

Restoration obligation 4 11

Unwinding costs 68,241 45,030

Total finance costs 68,245 45,041

Note 16D: Depreciation and Amortisation

Depreciation:

Leasehold improvements 443 441

Infrastructure, plant and equipment 13 20

Amortisation:

Intangibles 1,187 1,066

Total depreciation and amortisation 1,643 1,527

Note 16E: Write-Down and Impairment of Assets

Asset write-downs and impairments from:

Impairment of financial instruments - 'available for sale' financial assets - 163,507

Impairment of financial instruments - amortised cost 83 52

Write-off of infrastructure, plant and equipment 9 306

Write-off of leasehold improvements 779 -

Total write-down and impairment of assets 871 163,865

Note 16F: Net Foreign Exchange Losses

Non-speculative 5,461 2,886

Total foreign exchange losses 5,461 2,886

Note 16G: Other Expenses

Loss from measuring financial liabilities - at fair value through profit & loss 95,398 371,949

Concessional cost for loans 37,104 29,644

Total other expenses 132,502 401,593

SECTION 4


304

4


44

Note 17: Administered Income 2012 2011

$'000 $'000

OWN-SOURCE REVENUE

Non-Taxation Revenue

Note 17A: Interest

Loans 17 22

Loan and receivable discount unwinding 6,270 4,165

Total interest 6,287 4,187

Note 17B: Return of prior year administered expenses

Return of prior year administered expenses 39,756 17,931

Total return of prior year administered expenses 39,756 17,931

Gains

Note 17C: Sale of Assets

Infrastructure, plant and equipment:

Proceeds from sale - 306

Net gain from infrastructure, plant and equipment - 306

Total gain from asset sales - 306

Note 17D: Reversals of Previous Asset Write-Downs and Impairment

Reversals of impairment of financial instrument - 'available for sale' financial asset 269,853 -

Total reversals of previous asset write-downs and impairments 269,853 -

The reversal of previous asset write-downs represents a gain on the valuation of subscription-based valuation

rights to the International Development Association and Asian Development Fund. This gain reverses

impairment losses recognised for this investment in previous years (Refer Note 18C).

Note 17E: Other Gains

Gains from remeasuring financial liabilities - at fair value through profit & loss 1 162

Derecognition of liabilities 16,575 -

Cash held by outsiders - previously expensed 215 -

Assets first found - 25

Total other gains 16,791 187

SECTION 4


305

4


45

Note 18: Administered Financial Assets 2012 2011

$'000 $'000

Note 18A: Cash and Cash Equivalents

Cash on hand or on deposit 39,067 51,038

Cash held by outsiders 215 -

Total cash and cash equivalents 39,282 51,038

Note 18B: Loans and Receivables

Other receivables:

Loan receivable 80,447 63,097

GST receivable from the Australian Taxation Office 13,428 13,266

Other 1,082 2,247

Total other receivables 94,957 78,610


Less impairment allowance account:

Other receivables (192) (404)


Total receivables (net) 94,765 78,206

Receivables are expected to be recovered in:



Total receivables (net) 94,765 78,206

Receivables are aged as follows:

Not overdue 93,892 76,340

Overdue by:

0 to 30 days 74 1,116

31 to 60 days - 10

61 to 90 days 2 55

More than 90 days 989 1,089


The impairment allowance account is aged as follows:

Not overdue - -

Overdue by:

0 to 30 days - -

31 to 60 days - -

61 to 90 days - -

More than 90 days (192) (404)


SECTION 4


306

4


46

Reconciliation of the Impairment Allowance Account:


Other

receivables Total

$'000 $'000

Opening balance 404 404

Amounts written off (143) (143)

Amounts recovered and reversed (69) (69)



Other

receivables Total

$'000 $'000

Opening balance 380 380

Amounts written off 49 49

Amounts recovered and reversed (24) (24)

Decrease recognised in net surplus/(deficit) (1) (1)


2012 2011

$'000 $'000

Note 18C: Investments

Non-monetary 'available for sale' debt instrument - fair value 1,270,513 991,054

Total Investments 1,270,513 991,054

The Australian Government holds these investments long term for policy reasons. The AASB 139 technical

definition ‘available for sale’ does not indicate an intention to trade these investments. The investment

represents subscription-based membership rights (not control) held by the Australian Government in

accordance with the articles of association for the International Development Association (IDA) and the Asian

Development Fund (ADF). There is no observable market value for these investments and fair value has been

determined through professional valuation advice (Refer also to Notes 23, 1.20).

Investments are expected to be recovered in:

No more than 12 months - -

More than 12 months 1,270,513 991,054

Total Investments 1,270,513 991,054

SECTION 4


307

4


47

Note 19: Administered Non-Financial Assets 2012 2011

$'000 $'000

Note 19A: Leasehold improvements

Fair Value 3,919 4,677

Accumulated depreciation (958) (515)

Total leasehold improvements 2,961 4,162

No indicators of impairment were found for leasehold improvements.

Note 19B: Infrastructure, Plant and Equipment

Fair value 40 67

Accumulated depreciation (17) (22)

Total infrastructure, plant and equipment 23 45

A revaluation of leasehold improvements, infrastructure, plant and equipment to fair value was undertaken by

Preston Rowe Paterson Pty Ltd at 30 April 2010 and is used as the basis for ensuring carrying amounts for

AusAID’s non-financial assets do not differ materially from that which would be determined using fair value at the

reporting date. An annual stock take was again completed in 2011-2012 and used to confirm the condition and

existence of AusAID’s non-financial assets.

Note 19C: Reconciliation of the opening and closing balances of Buildings, Property, Plant and

Equipment (2011-12)

Leasehold

improvements

Infrastructure,

plant and

equipment Total

$’000 $’000 $’000

As at 1 July 2011

Gross book value 4,677 67 4,744

Accumulated depreciation and impairment (515) (22) (537)

Net book value 1 July 2011 4,162 45 4,207

Additions:

By purchase 21 - 21

Depreciation expense (443) (13) (456)

Disposals:

Other Disposals (779) (9) (788)

Net book value 30 June 2012 2,961 23 2,984





SECTION 4


308

4


48

Note 19C: Reconciliation of the opening and closing balances of Buildings, Property, Plant and

Equipment (2010-11)

Leasehold

improvements

Infrastructure,

plant and

equipment Total

$’000 $’000 $’000

As at 1 July 2010




Additions:

By purchase - 40 40

Restructure (961) (5,599) (6,560)

Depreciation expense (441) (20) (461)

Disposals:

Other disposals - (306) (306)






2012 2011

$'000 $'000

Note 19D: Intangibles

Computer software:

Internally developed – in progress 363 1,741

Internally developed – in use 8,899 5,329

Total computer software (gross) 9,262 7,070

Accumulated amortisation (2,807) (1,620)

Total computer software (net) 6,455 5,450

Total intangibles 6,455 5,450

No indicators of impairment were found for intangible assets.

No intangibles are expected to be sold or disposed of within the next 12 months.

SECTION 4


309

4


49

Note 19E: Reconciliation of the opening and closing balances of intangibles (2011-12)

Computer

software

internally

developed Total

$’000 $’000

As at 1 July 2011

Gross book value 7,070 7,070

Accumulated amortisation and impairment (1,620) (1,620)

Net book value 1 July 2011 5,450 5,450

Additions

By purchase or internally developed 2,192 2,192

Amortisation (1,187) (1,187)

Net book value 30 June 2012 6,455 6,455


Gross book value 9,262 9,262

Accumulated amortisation and impairment (2,807) (2,807)

Net book value at 30 June 2012 6,455 6,455

Note 19E: Reconciliation of the opening and closing balances of intangibles (2010-11)

Computer

software

internally

developed

Computer

software

purchased Total

$’000 $’000 $’000

As at 1 July 2010


Accumulated amortisation and impairment (554) (74) (628)

Net book value 1 July 2010 4,775 158 4,933

Additions -

By purchase or internally developed 1,741 - 1,741

Restructure - (158) (158)

Amortisation (1,066) - (1,066)

Net book value 30 June 2011 5,450 - 5,450


Gross book value 7,070 - 7,070

Accumulated amortisation and impairment (1,620) - (1,620)

Net book value at 30 June 2011 5,450 - 5,450

SECTION 4


310

4


50

2012 2011

$'000 $'000

Note 19F: Other Non-Financial Assets

Prepayments 696 700

Total other non-financial assets 696 700

Total other non-financial assets are expected to be recovered in:

No more than 12 months 696 675

More than 12 months - 25

Total other non-financial assets 696 700

Note 20: Administered Payables

Note 20A: Grants

Multilateral grants payable - fair value through profit and loss 477,815 503,486

Total grants 477,815 503,486

Grants are expected to be settled in:



Total grants 477,815 503,486

Note 20B: Trade creditors and contributions


Multilateral contributions - fair value through profit and loss 711,300 799,059

Total other payables 969,368 1,092,252

Other payables are expected to be settled in:



Total other payables 969,368 1,092,252

All grants and subsidies are to entities that are not part of the Australian Government. Settlement is usually made

according to the terms and conditions of each grant.

SECTION 4


311

4


51

Note 21: Administered Provisions

2012 2011

$'000 $'000

Other Provisions

Provisions for:

Employees 7,957 6,282

Restoration obligations 44 41


Other provisions are expected to be settled in:




Reconciliation of other provisions

Movement in relation 2012

Employee

provisions

Restoration

obligations Total

$’000 $’000 $’000

Carrying amount 1 July 2011 6,282 41 6,323

Additional provisions made 6,115 - 6,115

Amounts used (4,458) - (4,458)

Unwinding of discount or change in discount rate 18 3 21

Closing balance 30 June 2012 7,957 44 8,001

SECTION 4


312

4


52

Note 22: Administered Cash Flow Reconciliation 2012 2011

$'000 $'000

Reconciliation of cash and cash equivalents as per Balance Sheet to Cash

Flow Statement

Cash and cash equivalents as per:

Cash flow statement 39,282 51,038

Balance sheet 39,282 51,038

Difference - -

Reconciliation of net cost of services to net cash from operating activities:

Net cost of services (3,681,562) (4,204,330)

Adjustments for non-cash items

Depreciation / amortisation 1,643 1,527

Net write-down of non-financial assets 788 306

Net write-down of financial assets - 163,559

Gains on valuation of 'available for sale' financial assets (269,853) -

Gain on disposal of assets - (306)

Gain from reversal of liability (16,575) -

Non cash finance expense 127,445 446,624

Changes in assets / liabilities

Decrease in net receivables 791 2,217

Decrease in prepayments 4 1,256

(Decrease) / increase in grants payable (25,671) 135,932

(Decrease) / increase in supplier payables (18,550) 40,277

Increase / (decrease) in other provisions 1,678 (1,892)

Net cash used by operating activities (3,879,862) (3,414,830)

SECTION 4


313

4


53

Note 23: Administered Financial Instruments 2012 2011

$'000 $'000

Note 23A: Categories of Financial Instruments

Financial Assets

Cash and cash equivalents 39,282 51,038

Total 39,282 51,038

Loans and receivables:

Loan receivables 80,447 63,097

Other receivables net 890 1,843

Total 81,337 64,940

Available for sale:

Non-monetary available for sale debt instrument - fair value 1,270,513 991,054

Total 1,270,513 991,054

Carrying amount of financial assets 1,391,132 1,107,032


At amortised cost:


Fair value through profit and loss:

Multilateral grants payable:

International Development Association 249,676 258,600

Asian Development Fund 72,225 82,301

Multilateral Fund for implementation of the Montreal Protocol 6,080 -

The Global Environment Facility 88,560 94,361

Heavily Indebted Poor Countries 23,956 33,979

Nauru Settlement 6,108 9,347

Multilateral Debt Relief Initiative 31,210 24,898

Total 477,815 503,486

Fair value through profit and loss:

Multilateral contributions payable

International Development Association 528,752 586,521

Asian Development Fund 182,548 212,538

Total 711,300 799,059

Carrying amount of financial liabilities 1,447,183 1,595,738

SECTION 4


314

4


54

2012 2011

$'000 $'000

Note 23B: Net Income and Expense from Financial Assets

Loans and receivables

Interest revenue 6,287 4,187

Concessional costs for loans (37,104) (29,644)

Net loss loans and receivables (30,817) (25,457)

Available for sale

Impairment losses recognised in profit and loss - (163,507)

Gains recognised in profit and loss for reversal of impairment 269,853 -

Net gain/(loss) available for sale 269,853 (163,507)

Net gain/(loss) from financial assets 239,036 (188,964)

Note 23C: Net Income and Expense from Financial Liabilities

Financial liabilities - at amortised cost

Net exchange loss (5,461) (2,886)

Net loss financial liabilities - at amortised cost (5,461) (2,886)

Fair value through profit and loss

Held for trading:

Unwinding (68,241) (45,030)

Loss on remeasuring at fair value through profit and loss (95,398) (371,949)

Gains recognised in income 1 162

Net loss at fair value through profit and loss (163,638) (416,817)

Net loss from financial liabilities (169,099)

(419,703)

SECTION 4


315

4

Au

stra

lian

Ag

enc

y fo

r In

tern

atio

nal

Dev

elo

pm

ent

NO

TE

S T

O A

ND

FO

RM

ING

PA

RT

OF

TH

E F

INA

NC

IAL

ST

AT

EM

EN

TS

55

No

te 2

3D:

Fai

r V

alu

e o

f F

inan

cial

Inst

rum

ents

C

arry

ing

C

arry

ing

Fai

r F

air

am

ou

nt

amou

nt

valu

e

valu

e

20

12

2011

20

12

2011

$'

000

$'00

0 $'

000

$'00

0

Fin

anci

al A

sset

s

Oth

er r

ece

ivab

les

(net

)

89

0

1,84

3

890

1,

843

Loan

s re

ceiv

able

80

,447

63

,097

80

,447

63

,097

Inve

stm

ents

- a

vaila

ble

for

sale

1,

270,

513

99

1,05

4

1,27

0,51

3

991,

054

To

tal

1,35

1,85

0 1,

055,

994

1,35

1,85

0 1,

055,

994

Fin

anci

al L

iab

iliti

es

Gra

nts

paya

ble

- at

fair

valu

e th

roug

h pr

ofit

and

loss

477,

815

50

3,48

6

477,

815

50

3,48

6

Oth

er p

ayab

les

- at

am

ortis

ed c

osts

25

8,06

8

293,

193

25

8,06

8

293,

193

Oth

er p

ayab

les

- at

fair

valu

e th

roug

h pr

ofit

and

loss

711,

300

79

9,05

9

711,

300

79

9,05

9

To

tal

1,44

7,18

3 1,

595,

738

1,44

7,18

3 1,

595,

738

SECTION 4


316

4

Au

stra

lian

Ag

enc

y fo

r In

tern

atio

nal

Dev

elo

pm

ent

NO

TE

S T

O A

ND

FO

RM

ING

PA

RT

OF

TH

E F

INA

NC

IAL

ST

AT

EM

EN

TS

56

Fai

r va

lue

mea

sure

men

ts c

ateg

ori

sed

by

fair

val

ue

hie

rarc

hy

The

follo

win

g ta

ble

prov

ides

an

anal

ysis

of f

inan

cial

inst

rum

ents

that

are

mea

sure

d at

fair

valu

e, b

y va

luat

ion

met

hod.

The

diff

eren

t lev

els

are

defin

ed b

elow

:

Leve

l 1: F

air

valu

e ob

tain

ed fr

om u

nadj

uste

d qu

ote

pric

es in

act

ive

mar

kets

for

iden

tical

inst

rum

ents

.

Leve

l 2: F

air

valu

e de

rived

from

inpu

ts o

ther

than

quo

ted

pric

es in

clud

ed w

ithin

Lev

el 1

that

are

obs

erva

ble

for

the

inst

rum

ent

, eith

er d

irect

ly o

r in

dire

ctly

.

Leve

l 3: F

air

valu

e de

rived

from

inpu

ts th

at a

re n

ot b

ased

on

obse

rvab

le m

arke

t dat

a.

Fai

r va

lue

hie

rarc

hy

for

fin

anci

al a

sset

s

L

evel

1

Lev

el 2

L

evel

3

To

tal

20

12

2011

20

12

2011

20

12

2011

20

12

2011

$'

000

$'00

0 $'

000

$'00

0 $'

000

$'00

0 $'

000

$'00

0

Fin

anci

al a

sset

s at

fai

r va

lue

Non

-mon

etar

y av

aila

ble

for

sale

deb

t ins

trum

ent

-

fair

valu

e -

-

-

-

1,

270,

513

99

1,05

4

1,27

0,51

3 99

1,05

4

To

tal

- -

- -

1,27

0,51

3 99

1,05

4 1,

270,

513

991,

054

Aus

AID

hol

ds th

e ‘a

vaila

ble

for s

ale’

fina

ncia

l ass

ets

on b

ehal

f of t

he A

ustra

lian

Gov

ernm

ent f

or p

olic

y re

ason

s an

d th

ere

is n

o in

tent

ion

to tr

ade

thes

e as

sets

.

Fai

r va

lue

hie

rarc

hy

for

fin

anci

al li

abili

ties

L

evel

1

Lev

el 2

L

evel

3

To

tal

20

12

2011

20

12

2011

20

12

2011

20

12

2011

$'

000

$'00

0 $'

000

$'00

0 $'

000

$'00

0 $'

000

$'00

0

Fin

anci

al li

abili

ties

at

fair

val

ue

Gra

nts

paya

bles

and

oth

er p

ayab

les

- at

fair

valu

e

thro

ugh

prof

it an

d lo

ss

-

-

1,18

9,11

5

1,30

2,54

5

-

-

1,18

9,11

5 1,

302,

545

To

tal

- -

1,18

9,11

5 1,

302,

545

- -

1,18

9,11

5 1,

302,

545

SECTION 4


317

4


57

Reconciliation of Level 3 fair value hierarchy for financial assets

Non-monetary available

for sale debt instrument

- fair value Total

2012 2011 2012 2011

$'000 $'000 $'000 $'000

Opening balance 991,054 1,146,053 991,054 1,146,053

Reversals of impairment on financial instrument -

'available for sale' financial asset 269,853 - 269,853 -

Write down of non-monetary available for sale debt

instrument fair value - (163,507) - (163,507)

Purchases of non-monetary available for sale debt

instrument fair value 9,606 8,508 9,606 8,508

Closing balance 1,270,513 991,054 1,270,513 991,054

Gains recognised in profit and loss for reversal of

impairment 269,853 - 269,853

Impairment losses recognised in profit and loss - (163,507) - (163,507)

Note 23E: Credit Risk

Credit risk is the possibility that a debtor will not repay all or a portion of a loan or will not repay in a timely

manner and will therefore cause a loss to AusAID. AusAID has exposure to concentrations of credit risk with

regard to the ‘Loan Receivable’ and the ‘Non-monetary available for sale debt instrument at fair value’. The maximum exposure AusAID has to credit risk at reporting date in relation to each class of recognised financial

assets is the carrying amount of those assets as indicated in the Schedule of Administered Assets and

Liabilities.

The following table illustrates the agency’s gross exposure to credit risk, excluding any collateral or credit

enhancements.

2012 2011

$'000 $'000

Financial assets

Other receivables (net) 890 1,843

Loan receivable 80,447 63,097

Available for sale 1,270,513 991,054

Total financial assets 1,351,850 1,055,994

Financial liabilities

At amortised cost 258,068 293,193

Through profit and loss 1,189,115 1,302,545

Total financial liabilities 1,447,183 1,595,738

SECTION 4


318

4


58

Credit quality of financial instruments not past due or individually determined as impaired

Not past

due nor

impaired

Not past

due nor

impaired

Past due

or

impaired

Past due

or

impaired

2012 2011 2012 2011

$'000 $'000 $'000 $'000

Other receivables (net) 91 1,116 991 1,154

Loan receivable 80,447 63,097 - -

Available for sale 1,270,513 991,054 - -

Total 1,351,051 1,055,267 991 1,154


0 to 30 31 to 60 61 to 90 90+


$'000 $'000 $'000 $'000 $'000

Other receivables (net) - - 2 797 799

Total - - 2 797 799


0 to 30 31 to 60 61 to 90 90+


$'000 $'000 $'000 $'000 $'000

Other receivables (net) - 10 55 685 750

Total - 10 55 685 750

Note 23F: Liquidity Risk

The continued existence of AusAID in its present form and with its present programs is dependent on

Government policy and on continuing appropriations by Parliament for the agency’s administration and programs. The probability of the Government encountering difficulties meeting its administered financial

obligations is less than remote.


On Within 1 1 to 5 > 5

demand year years years Total

$'000 $'000 $'000 $'000 $'000

Financial Liabilities - 516,048 731,683 199,452 1,447,183

Total - 516,048 731,683 199,452 1,447,183


On Within 1 1 to 5 > 5

demand year years years Total

$'000 $'000 $'000 $'000 $'000

Financial Liabilities - 571,405 986,545 37,788 1,595,738

Total - 571,405 986,545 37,788 1,595,738

SECTION 4


319

4


59

Note 23G: Market Risk

Market risk is defined as the risk that the fair value or future cash flows of a financial instrument will fluctuate

because of changes in market prices. Market risk comprises the following types of risk, either alone or in

combination: interest rate risk, sovereign risk and liquidity risk (for the purposes of discounting the future value

of the Non-monetary ‘available for sale’ debt instrument); currency risk (for the purposes of converting to Australian dollars the discounted United States dollar value of the Non-monetary ‘available for sale’ debt instrument); and the 10-year government bond rate for the purposes of discounting future liabilities relating to

multilateral loan and grant commitments. The following sensitivity analysis discloses the effect that a

reasonable possible change in each risk variable, either alone, or in total, would have on AusAID’s administered income and expenses.

Sensitivity analysis of the risk that the agency is exposed to for 2012

Change in Effect on

Risk risk

Profit

and

variable variable loss Equity

$'000 $'000

Currency risk A$/US$ 15.00% (165,719) (165,719)

A$/US$ -15.00% 224,208 224,208

Interest rate risk * 1.40% 51,072 51,072

* -1.40% (67,783) (67,783)

Sensitivity analysis of the risk that the agency is exposed to for 2011

Change in Effect on

Risk risk Profit and

variable variable loss Equity

$'000 $'000

Currency risk A$/US$ 15.00% (129,268) (129,268)

A$/US$ -15.00% 174,892 174,892

Interest rate risk * 1.75% 48,509 48,509

* -1.75% (67,183) (67,183)

* Reflects a combination of variable in rates outlined above.

Note 24: Administered Financial Assets Reconciliation 2012 2011

$'000 $'000

Financial assets Notes

Total financial assets per schedule of administered assets and

liabilities 1,404,560 1,120,298

Less: non-financial instrument components

GST receivable from the ATO 18B 13,428 13,266

Total non-financial instrument components 13,428 13,266

Total financial assets as per financial instruments note 23A 1,391,132 1,107,032

SECTION 4


320

4


60

Note 25: Administered Contingent Assets and Liabilities

Quantifiable Administered Contingencies

As at 30 June 2012 (2011: Nil) AusAID did not have any quantifiable administered contingencies.

Unquantifiable Administered Contingencies

As at 30 June 2012 (2011: Nil) AusAID did not have any unquantifiable administered contingencies.

SECTION 4


321

4

Au

stra

lian

Ag

enc

y fo

r In

tern

atio

nal

Dev

elo

pm

ent

NO

TE

S T

O A

ND

FO

RM

ING

PA

RT

OF

TH

E F

INA

NC

IAL

ST

AT

EM

EN

TS

61

Not

e 26

: Ap

pro

pri

atio

ns

T

AB

LE

A:

An

nu

al A

pp

rop

riat

ion

s ('

Rec

ove

rab

le G

ST

exc

lusi

ve')

20

12 A

pp

rop

riat

ion

s A

pp

rop

riat

ion

app

lied

in 2

012

(cu

rren

t an

d

pri

or

year

s)2

A

pp

rop

riat

ion

Ac

t F

MA

Act

To

tal

app

rop

riat

ion

An

nu

al

Ap

pro

pri

atio

n

Ap

pro

pri

atio

ns

red

uce

d1

AF

M

Sec

tio

n 3

0 S

ecti

on

31

Sec

tio

n 3

2 V

aria

nce

3

$'

000

$'00

0 $'

000

$'00

0 $'

000

$'00

0 $'

000

$'00

0 $'

000

DE

PA

RT

ME

NT

AL

Ord

inar

y an

nual

ser

vice

s4 27

8,47

5

-

-

-

16,9

61

-

295,

436

29

5,24

8

188

Equ

ity

15,7

80

-

-

-

-

-

15,7

80

25,6

67

(9,8

87)

To

tal

dep

artm

enta

l 29

4,25

5 -

- -

16,9

61

- 31

1,21

6 32

0,91

5 (9

,699

)

AD

MIN

IST

ER

ED

Ord

inar

y an

nual

ser

vice

s

Adm

inis

tere

d ite

ms4

3,81

8,17

5 (4

,595

) -

10,3

93

- -

3,82

3,97

3 4,

003,

541

(179

,568

)

Adm

inis

tere

d as

sets

and

liabi

litie

s 47

,902

-

- -

- -

47,9

02

128,

096

(80,

194)

To

tal

adm

inis

tere

d

3,86

6,07

7 (4

,595

) -

10,3

93

- -

3,87

1,87

5 4,

131,

637

(259

,762

)

No

tes:

1. A

ppro

pria

tions

red

uced

und

er A

ppro

pria

tion

Act

s (N

o. 1

,3,5

) 20

11-1

2: s

ectio

ns 1

0, 1

1, 1

2 an

d 15

and

und

er A

ppro

pria

tion

Act

s (N

o. 2

,4,6

) 20

11-1

2: s

ectio

ns 1

2,13

, 14

and

17.

Dep

artm

enta

l

appr

opria

tions

do

not

laps

e at

fin

anci

al y

ear

end.

How

ever

, th

e re

spon

sibl

e M

inis

ter

may

dec

ide

that

par

t or

all

of a

dep

artm

enta

l app

ropr

iatio

n is

not

req

uire

d an

d re

ques

t the

Fin

ance

Min

iste

r to

redu

ce t

hat a

ppro

pria

tion.

The

red

uctio

n in

the

appr

opria

tion

is e

ffec

ted

by t

he F

inan

ce M

inis

ter's

det

erm

inat

ion

and

is d

isal

low

able

by

Par

liam

ent.

As

with

dep

artm

enta

l app

ropr

iatio

ns, t

he r

espo

nsib

le M

inis

ter

may

dec

ide

that

par

t or

all o

f an

adm

inis

tere

d ap

prop

riatio

n is

not

req

uire

d an

d re

ques

t tha

t the

Fin

ance

Min

iste

r re

duce

that

appr

opria

tion.

For

adm

inis

tere

d ap

prop

riatio

ns r

educ

ed u

nder

s11

of

the

App

ropr

iatio

ns A

cts

(Nos

. 1,

3 &

5)

2011

-12

and

Sec

tion

12 o

f App

ropr

iatio

n A

cts

(Nos

. 2, 4

& 6

), t

he a

ppro

pria

tion

is t

aken

to b

e re

duce

d to

the

req

uire

d am

ount

spe

cific

in T

able

D o

f thi

s no

te o

nce

the

annu

al r

epor

t is

tab

led

in P

arlia

men

t. A

ll ad

min

iste

red

appr

opria

tions

may

be

adju

sted

by

a Fi

nanc

e M

inis

ter’s

de

term

inat

ion,

whi

ch is

dis

allo

wab

le b

y P

arlia

men

t.

2. C

omsu

per

spen

ds m

oney

fro

m th

e C

RF

on

beha

lf of

Aus

AID

for

paym

ents

fro

m t

he a

dmin

iste

red

annu

al a

ppro

pria

tion

in a

ccor

danc

e w

ith t

he P

apua

New

Gui

nea

(Sta

ffing

Ass

ista

nce)

Act

197

3.

3. V

aria

nces

in a

ppro

pria

tion

may

res

ult f

rom

util

isin

g pr

ior

year

non

laps

ed a

ppro

pria

tions

to

fund

ope

ratin

g an

d ca

pita

l exp

endi

ture

incu

rred

in t

he c

urre

nt fi

nanc

ial y

ear.

Var

ianc

es m

ay a

lso

resu

lt

whe

re o

blig

atio

ns e

xist

in t

he c

urre

nt f

inan

cial

yea

r an

d t

hose

obl

igat

ions

are

not

set

tled

by f

inan

cial

yea

r en

d.

4. T

he a

nnua

l app

ropr

iatio

n an

d ap

prop

riatio

n ap

plie

d in

201

2 al

so in

clud

e an

am

ount

for

Dep

artm

enta

l Cap

ital B

udge

ts a

nd A

dm

inis

tere

d C

apita

l Bud

gets

whi

ch a

re d

iscl

osed

in T

able

B.

SECTION 4


322

4

Au

stra

lian

Ag

enc

y fo

r In

tern

atio

nal

Dev

elo

pm

ent

NO

TE

S T

O A

ND

FO

RM

ING

PA

RT

OF

TH

E F

INA

NC

IAL

ST

AT

EM

EN

TS

62

TA

BL

E A

: A

nn

ual

Ap

pro

pri

atio

ns

('R

eco

vera

ble

GS

T e

xclu

sive

') (

con

tin

ued

)

20

11 A

pp

rop

riat

ion

s A

pp

rop

riat

ion

app

lied

in 2

011

(cu

rren

t an

d

pri

or

year

s)2

Var

ian

ce3

A

pp

rop

riat

ion

Ac

t F

MA

Act

To

tal

app

rop

riat

ion

An

nu

al

Ap

pro

pri

atio

n

Ap

pro

pri

atio

ns

red

uce

d1

AF

M

Sec

tio

n 3

0 S

ecti

on

31

Sec

tio

n 3

2

$'

000

$'00

0 $'

000

$'00

0 $'

000

$'00

0 $'

000

$'00

0 $'

000

DE

PA

RT

ME

NT

AL

Ord

inar

y an

nual

ser

vice

s4 25

9,00

3

-

-

-

4,22

4

-

263,

227

24

0,63

8

22,5

89

Equ

ity

12,3

26

-

-

-

-

-

12,3

26

3,65

9

8,66

7

To

tal

dep

artm

enta

l 27

1,32

9 -

- -

4,22

4 -

275,

553

244,

297

31,2

56

AD

MIN

IST

ER

ED

Ord

inar

y an

nual

ser

vice

s

Adm

inis

tere

d ite

ms

3,67

3,64

0 (6

,375

) -

2,54

2 -

- 3,

669,

807

3,50

0,51

8 16

9,28

9

Adm

inis

tere

d as

sets

and

liabi

litie

s 55

3,63

0 -

- -

- -

553,

630

151,

668

401,

962

To

tal

adm

inis

tere

d

4,22

7,27

0 (6

,375

) -

2,54

2 -

- 4,

223,

437

3,65

2,18

6 57

1,25

1

No

tes:

1. A

ppro

pria

tions

red

uced

und

er A

ppro

pria

tion

Act

s (N

o. 1

,3,5

) 20

10-1

1: s

ectio

ns 1

0, 1

1, 1

2 an

d 15

and

und

er A

ppro

pria

tion

Act

s (N

o. 2

,4,6

) 20

10-1

1: s

ectio

ns 1

2,13

, 14

and

17.

Dep

artm

enta

l app

ropr

iatio

ns d

o no

t la

pse

at fi

nanc

ial y

ear

end.

How

ever

, th

e re

spon

sibl

e M

inis

ter

may

dec

ide

that

par

t or

all o

f a d

epar

tmen

tal a

ppro

pria

tion

is n

ot r

equi

red

and

requ

est t

he

Fin

ance

Min

iste

r to

red

uce

that

app

ropr

iatio

n. T

he r

educ

tion

in th

e ap

prop

riatio

n is

effe

cted

by

the

Fin

ance

Min

iste

r's d

eter

min

atio

n an

d is

dis

allo

wab

le b

y P

arlia

men

t.

As

with

dep

artm

enta

l app

ropr

iatio

ns, t

he r

espo

nsib

le M

inis

ter

may

dec

ide

that

par

t or

all o

f an

adm

inis

tere

d ap

prop

riatio

n is

not

req

uire

d an

d re

ques

t tha

t the

Fin

ance

Min

iste

r re

duce

that

appr

opria

tion.

For

adm

inis

tere

d ap

prop

riatio

ns r

educ

ed u

nder

s11

of

the

App

ropr

iatio

ns A

cts

(Nos

. 1,

3 &

5)

2010

-11

and

Sec

tion

12 o

f App

ropr

iatio

n A

cts

(Nos

. 2, 4

& 6

), t

he a

ppro

pria

tion

is t

aken

to b

e re

duce

d to

the

req

uire

d am

ount

spe

cific

in T

able

D o

f thi

s no

te o

nce

the

annu

al r

epor

t is

tab

led

in P

arlia

men

t. A

ll ad

min

iste

red

appr

opria

tions

may

be

adju

sted

by

a Fi

nanc

e M

inis

ter’s

de

term

inat

ion,

whi

ch is

dis

allo

wab

le b

y P

arlia

men

t.

2. C

omsu

per

spen

ds m

oney

fro

m th

e C

RF

on

beha

lf of

Aus

AID

for

paym

ents

fro

m t

he a

dmin

iste

red

annu

al a

ppro

pria

tion

in a

ccor

danc

e w

ith t

he P

apua

New

Gui

nea

(Sta

ffing

Ass

ista

nce)

Act

197

3.

3. V

aria

nces

in a

ppro

pria

tion

may

res

ult f

rom

util

isin

g pr

ior

year

non

laps

ed a

ppro

pria

tions

to

fund

ope

ratin

g an

d ca

pita

l exp

endi

ture

incu

rred

in t

he c

urre

nt fi

nanc

ial y

ear

. V

aria

nces

may

als

o re

sult

whe

re o

blig

atio

ns e

xist

in t

he c

urre

nt f

inan

cial

yea

r an

d th

ose

oblig

atio

ns a

re n

ot s

ettle

d by

fin

anci

al y

ear

end.

4.

The

ann

ual a

ppro

pria

tion

and

appr

opria

tion

appl

ied

in 2

011

also

incl

ude

an a

mou

nt fo

r D

epar

tmen

tal C

apita

l Bud

gets

and

Adm

inis

tere

d C

apita

l Bud

gets

whi

ch a

re d

iscl

osed

in T

able

B.

SECTION 4


323

4

Au

stra

lian

Ag

enc

y fo

r In

tern

atio

nal

Dev

elo

pm

ent

NO

TE

S T

O A

ND

FO

RM

ING

PA

RT

OF

TH

E F

INA

NC

IAL

ST

AT

EM

EN

TS

63

TA

BL

E B

: D

epar

tmen

tal a

nd

Ad

min

iste

red

Cap

ital

Bu

dg

ets

('R

eco

vera

ble

GS

T e

xclu

sive

')

20

11-1

2 C

apit

al B

ud

get

Ap

pro

pri

atio

ns

Cap

ital

Bu

dg

et A

pp

rop

riat

ion

s ap

plie

d in

201

1-

12 (

curr

ent

and

pri

or

year

s)

Var

ian

ce

A

pp

rop

riat

ion

Act

F

MA

Act

To

tal

Cap

ital

Bu

dg

et

Ap

pro

pri

atio

ns

Pa

ymen

ts f

or

no

n-f

inan

cial

asse

ts3

Pa

ymen

ts

for

oth

er

pu

rpo

ses

To

tal

pa

ymen

ts

An

nu

al

Cap

ital

Bu

dg

et

Ap

pro

pri

atio

ns

red

uce

d2

Sec

tio

n 3

2

$'

000

$'00

0 $'

000

$'00

1 $'

000

$'00

0 $'

000

$'00

0

DE

PA

RT

ME

NT

AL

Ord

inar

y an

nu

al s

ervi

ces

C

apita

l Bud

get1

3,74

8

-

-

3,74

8

3,74

8

-

3,74

8

-

AD

MIN

IST

ER

ED

Ord

inar

y an

nu

al s

ervi

ces

Cap

ital B

udge

t1 2,

209

- -

2,20

9 1,

856

- 1,

856

353

Not

es:

1. D

epar

tmen

tal a

nd A

dmin

iste

red

Cap

ital B

udge

ts a

re a

ppro

pria

ted

thro

ugh

App

ropr

iatio

n A

cts

(No.

1,3,

5). T

hey

form

par

t of o

rdin

ary

annu

al s

ervi

ces

and

are

not s

epar

atel

y id

entif

ied

in th

e A

ppro

pria

tion

Act

s. F

or m

ore

info

rmat

ion

on o

rdin

ary

annu

al s

ervi

ces

app

ropr

iatio

n, p

leas

e se

e T

able

A: A

nnua

l app

ropr

iatio

ns

2. A

ppro

pria

tions

red

uced

und

er A

ppro

pria

tion

Act

s (N

o. 1

,3,5

) 20

11-1

2: s

ectio

ns 1

0,11

,12

and

15 o

r vi

a a

dete

rmin

atio

n by

the

Fin

ance

Min

iste

r

3. P

aym

ents

mad

e on

non

-fin

anci

al a

sset

s in

clud

e pu

rcha

se o

f ass

ets,

exp

endi

ture

on

asse

ts w

hich

hav

e b

een

capi

talis

ed, c

osts

incu

rred

to m

ake

good

an

asse

t to

its o

rigin

al

cond

ition

, and

the

capi

tal r

epay

men

t com

pone

nt o

f fin

ance

leas

es.

SECTION 4


324

4

Au

stra

lian

Ag

enc

y fo

r In

tern

atio

nal

Dev

elo

pm

ent

NO

TE

S T

O A

ND

FO

RM

ING

PA

RT

OF

TH

E F

INA

NC

IAL

ST

AT

EM

EN

TS

64

TA

BL

E B

: D

epar

tmen

tal a

nd

Ad

min

iste

red

Cap

ital

Bu

dg

ets

('R

eco

vera

ble

GS

T e

xclu

sive

') (

con

tin

ued

)

20

10-1

1 C

apit

al B

ud

get

Ap

pro

pri

atio

ns

Cap

ital

Bu

dg

et A

pp

rop

riat

ion

s ap

plie

d in

201

0-

11 (

curr

ent

and

pri

or

year

s)

Var

ian

ce

A

pp

rop

riat

ion

Act

F

MA

Act

To

tal

Cap

ital

Bu

dg

et

Ap

pro

pri

atio

ns

Pa

ymen

ts f

or

no

n-f

inan

cial

asse

ts3

Pa

ymen

ts

for

oth

er

pu

rpo

ses

To

tal

pa

ymen

ts

An

nu

al

Cap

ital

Bu

dg

et

Ap

pro

pri

atio

ns

red

uce

d2

Sec

tio

n 3

2

$'

000

$'00

0 $'

000

$'00

1 $'

000

$'00

0 $'

000

$'00

0

DE

PA

RT

ME

NT

AL

Ord

inar

y an

nu

al s

ervi

ces

Oth

er s

ervi

ces

Cap

ital B

udge

t1 7,

427

-

-

7,

427

7,

427

-

7,

427

-

AD

MIN

IST

ER

ED

Ord

inar

y an

nu

al s

ervi

ces

Cap

ital B

udge

t1 1,

973

- -

1,97

3 1,

741

- 1,

741

232

Not

es:

1. D

epar

tmen

tal a

nd A

dmin

iste

red

Cap

ital B

udge

ts a

re a

ppro

pria

ted

thro

ugh

App

ropr

iatio

n A

cts

(No.

1,3,

5). T

hey

form

par

t of o

rdin

ary

annu

al s

ervi

ces

and

are

not s

epar

atel

y id

entif

ied

in th

e A

ppro

pria

tion

Act

s. F

or m

ore

info

rmat

ion

on o

rdin

ary

annu

al s

ervi

ces

app

ropr

iatio

n, p

leas

e se

e T

able

A: A

nnua

l app

ropr

iatio

ns

2. A

ppro

pria

tions

red

uced

und

er A

ppro

pria

tion

Act

s (N

o. 1

,3,5

) 20

11-1

2: s

ectio

ns 1

0,11

,12

and

15 o

r vi

a a

dete

rmin

atio

n by

the

Fin

ance

Min

iste

r

3. P

aym

ents

mad

e no

n on

-fin

anci

al a

sset

s in

clud

e pu

rcha

se o

f ass

ets,

exp

endi

ture

on

asse

ts w

hich

ha

ve b

een

capi

talis

ed, c

osts

incu

rred

to m

ake

good

an

asse

t to

its o

rigin

al

cond

ition

, and

the

capi

tal r

epay

men

t com

pone

nt o

f fin

ance

leas

es.

SECTION 4


325

4


65

TABLE C: Unspent Annual Appropriations ('Recoverable GST exclusive')

Authority

2012 2011

$'000 $'000

Appropriation Act (No. 1) 2008-09 3,338 3,338


Appropriation Act (No. 4) 2009-10 - 1,220


Appropriation Act (No. 2) 2010-11 - 8,667


Appropriation Act (No. 1) 2011-12 22,136 -

Appropriation Act (No. 3) 2011-12 400 -

Cash at the OPA 336 583

Total 58,401 62,101




Appropriation Act (No. 2) 2007-08 59 59









Appropriation Act (No. 1) 2011-12 10,782 -

Appropriation Act (No. 2) 2011-12 2 -

Cash at the OPA 39,067 51,038

Total 1,621,597 1,884,661

SECTION 4


326

4

Au

stra

lian

Ag

enc

y fo

r In

tern

atio

nal

Dev

elo

pm

ent

NO

TE

S T

O A

ND

FO

RM

ING

PA

RT

OF

TH

E F

INA

NC

IAL

ST

AT

EM

EN

TS

66

TA

BL

E D

: R

edu

ctio

n in

Ad

min

iste

red

Item

s ('

Rec

ove

rab

le G

ST

exc

lusi

ve')

2011

-12

Am

ou

nt

req

uir

ed3 -

by

Ap

pro

pri

atio

n A

ct

Am

ou

nts

req

uir

ed3 -

as

rep

rese

nte

d b

y

To

tal

amo

un

t

req

uir

ed3

To

tal

amo

un

t

app

rop

riat

ed4

To

tal

red

uct

ion

5

Ord

inar

y A

nn

ual

Ser

vice

s A

ct

(No

.1)

Ac

t (N

o.3

) S

pen

t R

eten

tio

n

$

$ $

$ $

$ $

Out

com

e 1

3,76

5,58

1,00

0.00

47

,999

,410

.91

3,

807,

392,

807.

98

6,18

7,60

2.93

3,

813,

580,

410.

91

3,81

8,17

5,00

0.00

4,

594,

589.

09

Out

com

e 2

0.00

0.

00

0.00

0.

00

0.00

0.

00

0.00

Ad

min

iste

red

Ass

ets

and

Lia

bili

ties

A

ct

(No

.2)

Ac

t (N

o.4

)

$

$

Ass

ets

and

liabi

litie

s 47

,903

,000

.00

0.

00

47,9

00,2

36.0

0

2,76

4.00

47

,903

,000

.00

47

,903

,000

.00

0.

00

Not

es:

1. N

umbe

rs in

this

sec

tion

of th

e ta

ble

mus

t be

dis

clos

ed to

the

cent

.

2. A

dmin

iste

red

item

s fo

r 20

11-1

2 w

ere

redu

ced

to th

ese

amou

nts

whe

n th

ese

finan

cial

sta

tem

ents

wer

e ta

bled

in P

arlia

men

t as

par

t of

the

agen

cy’s

201

1-12

ann

ual r

epor

t. T

his

redu

ctio

n is

eff

ectiv

e in

20

12-1

3, b

ut th

e am

ount

s ar

e re

flect

ed in

Tab

le A

in th

e 20

11-

12 fi

nanc

ial s

tate

men

ts in

the

colu

mn

'App

ropr

iatio

ns r

educ

ed' a

s th

ey a

re a

djus

tmen

ts t

o 20

11-

12 a

ppro

pria

tions

.

3. A

mou

nt r

equi

red

as p

er A

ppro

pria

tion

Act

(A

ct 1

s.

11; A

ct 2

s. 1

2).

4. T

otal

am

ount

app

ropr

iate

d in

201

1-1

2.

5. T

otal

red

uctio

n ef

fect

ive

in 2

012-

13.

2010

-11

Am

ou

nt

req

uir

ed3 -

by

Ap

pro

pri

atio

n A

ct

Am

ou

nts

req

uir

ed3 -

as

rep

rese

nte

d b

y

To

tal

amo

un

t

req

uir

ed3

To

tal

amo

un

t

app

rop

riat

ed4

To

tal

red

uct

ion

5

Ord

inar

y A

nn

ual

Ser

vice

s A

ct

(No

.1)

Ac

t (N

o.3

) S

pen

t R

eten

tio

n

$

$ $

$ $

$ $

Out

com

e 1

3,42

0,85

8,00

0.00

24

2,75

7,57

9.99

3,

220,

470,

823.

37

443,

144,

756.

62

3,66

3,61

5,57

9.99

3,

669,

972,

000.

00

6,35

6,42

0.01

Out

com

e 2

3,64

9,04

2.89

0.

00

3,51

8,57

0.04

13

0,47

2.85

3,

649,

042.

89

3,66

8,00

0.00

18

,957

.11

Ad

min

iste

red

Ass

ets

and

Lia

bili

ties

A

ct

(No

.2)

Ac

t (N

o.4

)

$

$

Ass

ets

and

liabi

litie

s 31

8,81

5,00

0.00

23

4,81

5,00

0.00

36

,351

,330

.49

51

7,27

8,66

9.51

55

3,63

0,00

0.00

55

3,63

0,00

0.00

0.

00

Not

es:

1. N

umbe

rs in

this

sec

tion

of th

e ta

ble

mus

t be

dis

clos

ed to

the

cent

.

2. A

dmin

iste

red

item

s fo

r 20

10-

11 w

ere

redu

ced

to th

ese

amou

nts

whe

n th

ese

finan

cial

sta

tem

ents

wer

e ta

bled

in P

arlia

men

t as

par

t of

the

agen

cy's

201

0-11

ann

ual r

epor

t. T

his

redu

ctio

n is

eff

ectiv

e in

20

11-1

2, b

ut th

e am

ount

s ar

e re

flect

ed in

Tab

le A

in th

e 20

10-1

1 fin

anci

al s

tate

men

ts in

the

colu

mn

'App

ropr

iatio

ns r

educ

ed' a

s th

ey a

re a

djus

tmen

ts t

o 20

10-1

1 ap

prop

riatio

ns.

3. A

mou

nt r

equi

red

as p

er A

ppro

pria

tion

Act

(A

ct 1

s.

11; A

ct 2

s. 1

2).

4. T

otal

am

ount

app

ropr

iate

d in

201

0-11

.

5. T

otal

red

uctio

n ef

fect

ive

in 2

011-

12.

SECTION 4


327

4


67

Note 27: Compliance with Statutory Conditions for Payment from the Consolidated Revenue Fund

Section 83 of the Constitution requires that no money is to be drawn from Consolidated Revenue Fund except under an

appropriation made by law. The Department of Finance and Deregulation provided information to all agencies in 2011

regarding the need for risk assessments in relation to compliance with statutory conditions on payments from special

appropriations including special accounts. The possibility of this being an issue for AusAID was reported in Note 24 to

the 2010-11 financial statements and AusAID undertook to investigate the issue during 2011-12.

During 2011-12, AusAID developed a plan to review exposure to risks of not complying with statutory conditions on

payments from appropriations. The plan involved:

identifying each special appropriation, special account and other payments subject to legislative conditions;

determining the risk of non-compliance by assessing the difficulty of administering the statutory conditions and

assessing the extent to which existing payment systems and processes satisfy those conditions; and

determining procedures to confirm risk assessments in all cases and to quantify the extent of non-compliance, if

any.

AusAID identified four appropriations involving statutory conditions for payment, comprising:

three special accounts; and

payments made from the annual administered appropriation in accordance with the Papua New Guinea

(Staffing Assistance) Act 1973 (PNG Super Act). These payments are made by Comsuper through a third party

drawing right from AusAID’s annual administered appropriation.

The risk assessment conducted by Comsuper identified 13 instances where overpayment occurred with regard to the

conditions of the PNG Super Act and its subsidiary regulations during the 2011-12 financial year. These overpayments

were incurred in respect of superannuation payments to deceased beneficiaries prior to Comsuper being notified of the

death. Comsuper has controls and procedures in place to identify these circumstances and recover any overpayments.

Legal advice has been obtained and legislative changes will be requested for the PNG Super Act and/or its subsidiary

regulations to provide authorisations from Comsuper to make ‘recoverable death payments’ until Comsuper is notified of a benefit recipient’s death.

As at 30 June 2012, the majority of identified overpayments had been recovered.

Disclosures of payments from the PNG Super Act are also included in the 2011-12 Financial Statements for Comsuper.

SECTION 4


328

4


68

Summary

Appropriations identified as

subject to conditions

Risk

assessment

progress at 30

June 2012

Remedial

action taken

or

proposed1

Identified Breaches

Number Value

$’000

Recovered

$’000

Australian-Indonesia Partnership

for Reconstruction and

Development (Grants) Special

Account

Completed N/A Nil Nil Nil

Australian-Indonesia Partnership

for Reconstruction and

Development (Loans) Special

Account


Services for Other Entities and

Trust Moneys – AusAID Special

Account


Appropriation Act 1 (PNG

Super) Completed L,P 13 29 27

1 Remedial action taken or proposed L=Legislative changes; P = Proposed

SECTION 4


329

4


69

Note 28: Special Accounts Note 28A: Special Accounts ('Recoverable GST exclusive')

Services for Other

Government and Non-

Agency Bodies

Account1

Australian-Indonesia

Partnership for

Reconstruction and

Development (Grants)

Special Account2

2012 2011 2012 2011

$'000 $'000 $'000 $'000

Balance brought forward from previous period - 6,002 4,141 7,637

Increases

Other receipts - 10,965 - 6,178

Total increase - 10,965 - 6,178

Available for payments - 16,967 4,141 13,815

Decreases:

Administered

Payments made to suppliers - ( 15,133) (354) ( 9,674)

Transfers to other special account - ( 1,834) -

Total administered decreases - ( 16,967) (354) ( 9,674)

Total decrease - (16,967) (354) (9,674)

Total balance carried to the next period - - 3,787 4,141

Balance represented by:

Cash held in the OPA - - 3,787 4,141

Notes: 1. Account Name: Services for Other Government and Non-Agency Bodies Account (Administered)

Establishing Instrument: Financial Management and Accountability Act 1997; section 20

Purpose: For expenditure in connection with services performed on behalf of other Governments and bodies

that are not FMA agencies.

This Special Account was abolished on 22 June 2011.

This account is non-interest bearing. 2. Account Name: Australian-Indonesia Partnership for Reconstruction and Development (Grants)

Special Account (Administered)


Purpose: Grants for relief, rehabilitation and reconstruction assistance to areas in the Republic of Indonesia

directly affected by the Tsunami and economic and social development assistance to all areas of the Republic of

Indonesia.

This account is non-interest bearing.

SECTION 4


330

4


70

Australian-Indonesia

Partnership for

Reconstruction and

Development (Loans)

Special Account3

Services for Other

Entities and Trust

Moneys - AusAID

Special Account4

2012 2011 2012 2011

$'000 $'000 $'000 $'000

Balance brought forward from previous period 168,696 208,732 1,884 -

Increases:

Transfers from other Special Account - - - 1,834

Other receipts - - 20,752 50

Total increases - - 20,752 1,884

Available for payments 168,696 208,732 22,636 1,884

Decreases:

Administered

Payments made to suppliers ( 48,183) ( 40,036) ( 10,214) -

Total administered decreases ( 48,183) ( 40,036) ( 10,214) -

Total decrease (48,183) (40,036) (10,214) -

Total balance carried to the next period 120,513 168,696 12,422 1,884

Balance represented by:

Cash held in the OPA 120,513 168,696 12,422 1,884

3. Account Name: Australian-Indonesia Partnership for Reconstruction and Development (Loans)

Special Account (Administered)


Purpose: Loans for relief, rehabilitation and reconstruction assistance to areas in the Republic of Indonesia

directly affected by the Tsunami and economic and social development assistance to all areas of the Republic of

Indonesia.

This account is non-interest bearing. 4. Account Name: Services for Other Entities and Trust Moneys — AusAID Special Account

(Administered)


Purpose: For expenditure of moneys temporarily held on trust or otherwise for the benefit of a person other than

the Commonwealth and for the expenditure in connection with services performed on behalf of other

Governments and bodies that are not FMA agencies.

This account is non-interest bearing. Note 28B: Assets Held in Trust Monetary assets AusAID holds monetary assets on trust for other entities. The monies are expended on services performed on

behalf of other Governments and entities that are not FMA agencies. The funds are managed through the

Services for Other Entities and Trust Moneys – AusAID Special Account as disclosed in Note 28A.

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Note 29: Compensation and Debt Relief 2012 2011

$ $

Departmental

‘Act of Grace’ payments made under subsection 33(1) of the Financial

Management and Accountability Act 1997. - -

Waivers of amounts owing to the Australian Government made pursuant to

subsection 34(1) of the Financial Management and Accountability Act 1997. - -

Payments made under the Compensation and Detriment caused by Defective

Administration (CDDA) Scheme. - -

Ex-gratia payments provided for the reporting period. - -

Payments made in special circumstances relating to APS employment pursuant to

s73 of the Public Service Act 1999 (PS Act). - -

Administered

During the year, Comsuper made Act of Grace pension payments to former

AusAID employees covered by the Papua New Guinea Superannuation Scheme 97,218 106,090

Waivers of amounts owing to the Australian Government made pursuant to

subsection 34(1) of the Financial Management and Accountability Act 1997 - -

Payments made under the Compensation and Detriment caused by Defective

Administration (CDDA) Scheme - -

Ex-gratia payments provided for the reporting period - -

Payments made in special circumstances relating to APS employment pursuant

to s73 of the Public Service Act 1999 (PS Act) - -

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Note 30: Reporting of Outcomes Note 30A: Net Cost of Outcome Delivery

Outcome 1 Outcome 2 Total

2012 2011 2012 2011 2012 2011

$'000 $'000 $'000 $'000 $'000 $'000

Departmental

Expenses 287,471 247,805 - 2,418 287,471 250,223

Own-source income 826 959 - - 826 959

Administered

Expenses 3,977,145 4,196,594 37,104 30,347 4,014,249 4,226,941

Own-source income 326,417 18,446 6,270 4,165 332,687 22,611

Net cost of outcome delivery 3,937,373 4,424,994 30,834 28,600 3,968,207 4,453,594

Outcomes 1 and 2 are described in Note 1.1. Net costs shown include intra-government costs that are eliminated in

calculating the actual Budget Outcome. Refer to Note 30B and Note 30C below.

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Note 30B: Major Classes of Departmental Expense Income Assets and Liabilities by Outcome


2012 2011 2012 2011 2012 2011

$'000 $'000 $'000 $'000 $'000 $'000

Departmental Expenses:

Employee benefits 171,555 132,005 - 1,636 171,555 133,641

Suppliers expense 103,494 105,477 - 661 103,494 106,138

Depreciation and amortisation 11,900 9,483 - 121 11,900 9,604

Finance costs 311 557 - - 311 557

Write-down and impairment of assets 136 152 - - 136 152

Losses from asset sales 18 95 - - 18 95

Foreign exchange losses 57 36 - - 57 36

Total 287,471 247,805 - 2,418 287,471 250,223

Departmental Income:

Revenue from Government 274,727 245,926 - 5,281 274,727 251,207

Sale of goods and rendering services 54 51 - 10 54 61

Other gains 772 898 - - 772 898

Total 275,553 246,875 - 5,291 275,553 252,166

Departmental Assets

Cash and cash equivalents 336 583 - - 336 583

Trade and other receivables 60,437 63,179 - - 60,437 63,179

Leasehold improvements 28,399 21,064 - - 28,399 21,064

Infrastructure, plant and equipment 27,557 17,896 - - 27,557 17,896

Intangibles 6,199 3,736 - - 6,199 3,736

Other non-financial assets 8,856 7,645 - - 8,856 7,645

Total 131,784 114,103 - - 131,784 114,103

Departmental Liabilities

Supplier payables 12,698 17,554 - - 12,698 17,554

Other payables 4,075 3,089 - - 4,075 3,089

Employee provisions 46,603 33,787 - - 46,603 33,787

Other provisions 6,148 5,023 - - 6,148 5,023

Total 69,524 59,453 - - 69,524 59,453

Outcomes 1 and 2 are described in Note 1.1. Net costs shown include intra-government costs that are eliminated in

calculating the actual Budget Outcome.

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Note 30C: Major Classes of Administered Expenses, Income, Assets, and Liabilities by Outcomes


2012 2011 2012 2011 2012 2011

$'000 $'000 $'000 $'000 $'000 $'000

Administered Expenses:

International development assistance 3,262,346 2,803,603 - 3,649 3,262,346 2,807,252

Grants 543,181 807,723 - (2,946) 543,181 804,777

Other 171,618 585,268 37,104 29,644 208,722 614,912

Total 3,977,145 4,196,594 37,104 30,347 4,014,249 4,226,941

Administered Income:

Interest 17 22 6,270 4,165 6,287 4,187

Sales of assets - 306 - - - 306

Return of prior year administered expenses 39,756 17,931 - - 39,756 17,931

Other gains 286,644 187 - - 286,644 187

Total 326,417 18,446 6,270 4,165 332,687 22,611

Administered Assets

Cash and cash equivalents 39,282 51,038 - - 39,282 51,038

Loans and receivables 14,318 15,109 80,447 63,097 94,765 78,206

Investments 1,270,513 991,054 - - 1,270,513 991,054

Other non-financial assets 10,135 10,357 - - 10,135 10,357

Total 1,334,248 1,067,558 80,447 63,097 1,414,695 1,130,655

Administered Liabilities

Grant payables 477,815 503,486 - - 477,815 503,486

Other payables 969,368 1,092,252 - - 969,368 1,092,252

Other provisions 8,001 6,323 - - 8,001 6,323

Total 1,455,184 1,602,061 - - 1,455,184 1,602,061

Note 31: Net Cash Appropriation Arrangements 2012 2011

$'000 $'000

Total comprehensive income (loss) less depreciation/amortisation

expenses previously funded through revenue appropriations1 (18) 11,547

Plus: depreciation/amortisation expenses previously funded through revenue

appropriation (11,900) (9,604)

Total comprehensive income (loss) - as per the Statement of

Comprehensive Income (11,918) 1,943

Note:

1. From 2010-11, the Government introduced net cash appropriation arrangements, where revenue appropriations for depreciation/amortisation expenses ceased. Entities now receive a separate capital budget provided through equity appropriations. Capital budgets are to be appropriated in the period when cash payment for capital expenditure is required.

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5A. Minister and Parliamentary Secretary

B. Agency resource statement

C. Aid program expenditure

D. Staffi ng overview

E. Freedom of information

F. Advertising and market research

G. Ecologically sustainable development and environmental performance

H. Sources for key statistics

SECTION 5 I APPENDICES

Above left: Australian Ambassador

to Myanmar, Brontë Moules (right)

and AusAID Counsellor, Michael

Hassett (left) talk with a young

pupil during a visit to Zee Kya

Primary School in Yephyu Township,

Tanintharyi, Southern Myanmar

Photo: Courtesy of James Howlett,

Three Diseases Fund

Above middle: AusAID

communications offi cer Claire

McGeechan, plays a game with

children during a visit to a school in

Saravan Province, Southern Laos

Photo: Bart Verweij for AusAID

Above right: AusAID’s Murray

Proctor is welcomed to a village

outside Goroka, Papua New Guinea,

to launch phase two of the Clinton

Health Access Initiative, which fi ghts

to prevent the transmission of HIV

from mothers to their unborn babies


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A. Minister and Parliamentary Secretary

Minister for Foreign Affairs, Senator the Hon Bob Carr

Senator Carr has overall responsibility for the Foreign Affairs

and Trade portfolio, including administration of the Department

of Foreign Affairs and Trade. He also has responsibility for the

administration and management of AusAID, the Australian

Secret Intelligence Service, the Australian Safeguards and

Non-Proliferation Offi ce and the Australian Centre for International

Agricultural Research.

He is responsible for all non-trade international political, multilateral and legal issues

(including the treaty-making process), development assistance matters, consular and passport

functions and management of the overseas estate. In addition, he is responsible for all human

rights, arms control and disarmament issues, peacekeeping and the non-trade related aspects

of the United Nations system. Senator Carr shares responsibility for international security and

counter-terrorism issues with the Minister for Defence. Senator Carr has primary carriage of

non-trade related public affairs activities and questions of protocol.

Parliamentary Secretary for Pacifi c Island Affairs and Parliamentary Secretary for Foreign Affairs, the Hon Richard Marles, MP

Mr Marles supports the Minister for Foreign Affairs in advancing

Australia’s interests and diplomatic relations within the Foreign

Affairs portfolio. In particular, Mr Marles works with Pacifi c

Island countries in taking forward and building on Australia’s

partnership approach to the region based on mutual respect and

responsibility. He also works more broadly with other small and developing states, as well

as international organisations, on a broad range of bilateral and multilateral issues. These

include portfolio-related development assistance, international trade, climate change and

environmental issues, as well as initiatives in the health, education, sports, women and youth

sectors. Mr Marles shares responsibility for raising the Australian public’s awareness of the

Government’s policies and priorities through the media and public events.

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B. Agency resource statement

Table 8: Agency resource statement for 2011–12

Actual available appropriations for 2011–12$’000

Payments made

2011–12$’000

Balance remaining

$’000

Ordinary annual services

Departmental appropriation

Prior year

departmental

appropriation

53 317 17 788 35 529

Departmental

appropriation

278 475 255 939 22 536

s31 Relevant agency

receipts

16 961 15 653 1 308

Total 348 753 289 380 59 373

Administered expenses1

Outcome 1 4 713 690 4 001 045 712 645

Outcome 2 468 0 468

Total 4 714 158 4 001 045 713 113

Total ordinary annual services

5 062 911 4 290 425 772 486

Other services

Administered revenue2

Outcome 1 326 417 326 417 0

Outcome 2 6 270 6 270 0

Total 332 687 332 687 0

Departmental non-operating

Equity injections 25 667 25 667 0

Total 25 667 25 667 0

Administered non-operating1

Administered assets

and liabilities

1 036 580 128 096 908 484

Total 1 036 580 128 096 908 484

Total other services 1 394 934 486 450 908 484

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Total available annual appropriations

6 457 845 4 776 875 1 680 970

Special accounts

Services for other entities and trust monies

Opening balance 1 884 1 884 0

Non-appropriation

receipts

20 752 10.214 12 422

22 636 10 214 12 422

Australia–Indonesia Partnership for Reconstruction and Development

Opening balance:

grants

4 141 354 3 787

Opening balance:

loans

168 696 48 183 120 513

Non-appropriation

receipts

0 0 0

172 837 48 537 124 300

Total special accounts

195 473 58 751 136 722

Total resources available

6 653 318 4 835 626 1 817 692

1 Includes appropriations carried forward from previous years to fund payments committed under multi-year agreements.

2 The majority of this funding relates to unused funds returned from contractors and non-government organisations and taxation paid to partner

governments and returned to AusAID, which were appropriated in former years and were returned to the Offi cial Public Account.

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C. Aid program expenditure

Table 9: Total Australian ODA by partner country and region 2011–12

Country/regional programs Estimated outcome1

2011–122

$ million

Papua New Guinea 501.6

Solomon Islands3 252.1

Vanuatu 65.3

Samoa 42.0

Fiji 45.3

Tonga 34.9

Nauru 25.4

Kiribati 30.3

Tuvalu 11.7

Cook Islands 3.3

Niue4 3.8

North Pacifi c5 12.8

Regional and other Pacifi c6 127.4

Pacifi c 1155.9

Indonesia (ongoing program) 469.3

Indonesia (Australia–Indonesia Partnership for

Reconstruction and Development)

35.9

Vietnam 140.3

Philippines 129.4

East Timor 107.8

Cambodia 94.8

Myanmar 48.8

Laos 49.3

China 29.3

Mongolia 13.4

East Asia regional7 87.7

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East Asia 1205.8

Afghanistan 204.8

Pakistan 95.3

Bangladesh 94.9

Sri Lanka 54.4

India 23.9

Nepal 30.5

Bhutan 11.3

Maldives 5.8

South and West Asia regional8 12.9

South and West Asia 533.9

Iraq 29.6

Palestinian Territories 48.5

Middle East and North Africa 36.0

Sub-Saharan Africa 389.0

Africa and the Middle East 503.2

Latin America 25.5

Caribbean 17.9

Latin America and the Caribbean 43.4

Core contributions to multilateral organisations

and other ODA not attributed to particular

countries or regions9

1513.9

Adjustments10 -92.0

Total estimated ODA 4864.1

1 Shows total expenses, minus commitments to new multi-year

liabilities (for example, the International Development Association or

the Heavily Indebted Poor Countries Initiative), plus cash payments

for these multi-year liabilities.

2 Estimated ODA for 2011–12 represents expected outcomes as

estimated at May 2012.

3 Solomon Islands include ODA eligible Australian Government

expenditure under the Regional Assistance Mission to

Solomon Islands.

4 The ODA fl ows to Niue include ODA fl ows to Tokelau.

5 For the purposes of this table, North Pacifi c includes the Federated

States of Micronesia, Palau, and the Republic of the Marshall Islands.

6 Regional and other Pacifi c includes amounts attributable

to the Pacifi c region (but not to a specifi c country) from the

Pacifi c regional program, AusAID global programs, and other

government departments.

7 East Asia regional includes amounts attributable to the East

Asia region (but not to a specifi c country) from the East Asia

regional program, AusAID global programs, and other government

departments.

8 South and West Asia regional includes amounts attributable to the

South and West Asia region (but not to a specifi c country) from the

South and West Asia regional program, AusAID global programs, and

other government departments.

9 Core contributions to multilateral organisations and other ODA not

attributed to particular countries or regions includes payments to

some United Nations and Commonwealth organisations, and ODA

eligible departmental expenditure. The ODA eligible components of

cash payments to International Development Association, Australian

Defence Force, Global Environment Facility, Heavily Indebted Poor

Countries Initiative, Multilateral Debt Relief Initiative and Multilateral

Fund for the Implementation of the Montreal Protocol are also

included in this line item.

10 Adjustments includes adjustments to reconcile expenses to ODA,

which is reported on a cash basis. These adjustments include accrual

adjustments to adjust expenses to cash, and adjustments to exclude

non-ODA eligible departmental and administered expenditure. The

adjustments exclude non-ODA eligible departmental expenditure

such as receipts under section 31 of the Financial Management and Accountability Act 1997, GST payments, and Fringe Benefi ts

Tax. The adjustments also exclude non-ODA eligible administered

expenditure such as miscellaneous receipts and GST payments.

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Table 10: AusAID country and regional programs expenditure from 2008–12

Country/regional program

Expenses ($ million)

2008–09 2009–10 2010–11 2011–12

Pacifi c

Papua New Guinea 356.3 394.9 390.1 441.9

Papua New Guinea (ongoing program)

344.6 384.0 379.5 432.1

Retirement benefi ts

11.7 10.9 10.6 9.8

Solomon Islands 105.7 109.0 116.5 117.9

Vanuatu 41.9 45.6 44.2 48.4

Samoa 23.7 25.9 20.0 25.0

Fiji 19.5 17.6 16.6 19.5

Tonga 13.5 16.8 14.6 16.9

Nauru 18.3 16.4 18.3 18.7

Nauru (ongoing program)

2.1 1.5 18.3 18.7

Nauru (additional)1 16.2 14.9 0 0

Kiribati 10.8 13.0 19.4 27.4

Tuvalu 4.7 5.4 7.5 7.5

Cook Islands 2.7 2.2 1.7 1.9

Niue2 1.5 1.6 1.7 3.3

North Pacifi c3 2.6 2.2 2.8 9.9

Pacifi c regional 155.5 191.6 193.3 185.6

Subtotal Pacifi c 756.7 842.2 846.7 923.8

East Asia

Indonesia 396.5 387.7 342.1 440.8

Indonesia (ongoing program)

185.2 286.3 301.3 392.6

Indonesia (Australia–Indonesia Partnership for Reconstruction and Development)4

211.3 101.4 40.7 48.2

Vietnam 77.8 98.2 95.2 106.0

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Philippines 104.2 109.6 103.1 103.7

East Timor 59.2 74.9 77.0 59.4

Cambodia 40.5 51.2 45.7 59.2

Myanmar 6.9 20.7 41.7 47.0

Laos 17.6 29.6 36.8 31.5

China 24.9 25.2 19.4 13.9

Mongolia 8.0 3.2 5.4 6.5

East Asia regional 89.6 56.2 45.4 50.8

SubtotalEast Asia

825.5 856.5 811.8 918.9

South and West Asia

Afghanistan 41.5 53.3 77.7 163.0

Pakistan 29.6 70.3 68.7 78.9

Bangladesh 34.5 62.8 55.7 69.6

Sri Lanka 12.2 45.7 34.3 37.7

India 2.2 4.3 4.5 4.7

Nepal 5.7 17.4 19.7 15.7

Bhutan 2.0 3.2 3.1 3.7

Maldives 2.5 3.4 3.0 2.8

South and West

Asia regional

10.9 15.2 36.1 42.0

Subtotal South and West Asia regional

141.1 275.6 302.8 418.2

Africa and Middle East

Iraq 39.5 39.4 38.8 27.3

Palestinian

Territories5

38.6

Palestinian

Territories, North

Africa, other

Middle East6,7

38.4 43.3 42.6 31.8

Africa 70.6 103.1 155.0 200.7

Subtotal Africa and Middle East

148.5 185.8 236.4 298.4

Latin America and Caribbean

Latin America 0 2.1 9.2 15.7

Caribbean 0 17.4 17.0 12.9

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Subtotal Latin America and Caribbean

0 19.5 26.2 28.7

Cross regional programs

253.2 220.3 293.7 376.5

Total country programs

2125.1 2399.9 2517.5 2964.4

1 In 2010–11 the Nauru additional component was combined with the Nauru program as it is covered under a Pacifi c Partnership for Development.

2 The expenses for Niue include funding for Tokelau.

3 For the purposes of this table, North Pacifi c includes the Federated States of Micronesia, Palau, and the Republic of the Marshall Islands.

4 Includes joint management, grants and loans.

5 From 2011–12 onwards Palestinian Territories is reported separately.

6 The years 2008–09, 2009–10 and 2010–11 include funding for Palestinian Territorries and other Middle East.

7 From 2011–12 onwards fi gure includes North Africa, and other Middle East countries.

Table 11: AusAID global programs expenditure from 2008–12

Global program Expenses ($ million)

2008–09 2009–10 2010–11 2011–12

Emergency, humanitarian and refugee aid

358.9 240.0 353.3 348.4

Which includes core contributions to:

International Committee

of the Red Cross and Red

Crescent

14.5 16.0 18.1 20.0

World Food Programme 75.0 15.0 45.0 45.0

Other United Nations

humanitarian agencies

32.1 37.5 44.5 49.9

Multilateral replenishments1

Asian Development Fund 332.8 0 0 0

International Development

Association

4.8 0 723.6 0

Multilateral Debt Relief

Initiative

40.8 0 47.6 0

Heavily Indebted Poor

Countries Initiative

27.5 0 50.1 0

Global Environment Facility 0 0 105.0 0

Montreal Protocol

Multilateral Fund

9.4 0 0 9.3

World Bank Clean

Technologies Fund

100.0 0 0 0

Subtotal multilateral replenishments

515.3 0 926.3 9.3

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Other international organisations

United Nations agencies 58.9 78.2 112.6 119.4

Commonwealth

organisations and other

13.0 10.8 10.5 11.9

Other international

programs2

122.0 154.4 207.9 228.1

Subtotal other international organisations

193.9 243.4 331.0 359.4

Community programs

Non-government

organisations

45.3 56.4 70.5 98.1

Volunteer programs 35.3 34.7 49.6 63.1

Subtotal community programs

80.7 91.1 120.1 161.2

Communication, education and information

Public information/

development education

6.0 5.9 2.6 2.5

Development research 11.5 10.0 11.3 6.0

Seminar support 1.8 1.4 1.8 2.2

Subtotal communication, education and information

19.3 17.3 15.7 10.8

Total global programs 1168.1 591.8 1746.3 889.0

1 New commitments to the multilateral development banks, the Global Environment Facility and the Montreal Protocol Multilateral Fund are recorded

as liabilities at the time of commitment.

2 Other international programs include the GAVI Alliance, the Global Fund to Fight Aids, Tuberculosis and Malaria, Global Crop Diversity Trust Fund,

Global Agriculture and Food Security Program and Education for All Fast Track Initiative.

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D. Staffi ng overview

Table 12: Number of ongoing and non-ongoing staff by base classifi cation, location and sex

Female Male Total1 Total

Classifi cation Location Ongoing Non-ongoing

Ongoing Non-ongoing

30 June 2012

30 June 2011

Graduate APS Australia 25 15 40 25

Overseas 0 0

APS 1 Australia 1 1 2 1

Overseas 0 0

APS 2 Australia 0 1

Overseas 0 0

APS 3 Australia 3 4 2 1 10 16

Overseas 0 0

APS 4 Australia 34 10 12 5 61 48

Overseas 0 1

APS 5 Australia 120 9 44 3 176 127

Overseas 2 2 4 3

APS 6 Australia 219 7 96 7 329 266

Overseas 35 18 1 54 49

EL 1 Australia 280 3 149 6 438 349

Overseas 58 49 107 101

EL 2 Australia 89 5 89 6 189 156

Overseas 26 1 25 52 45

SES Band 1 Australia 17 20 2 39 36

Overseas 2 7 9 11

SES Band 2 Australia 3 11 14 8

Overseas 1 1 2

SES Band 3 Australia 3 3 2

Overseas 0 0

Total 914 40 542 32 1528 1247

1 Includes staff on long-term leave or temporary transfer to another Australian Public Service agency.

Excludes 596 overseas-based staff, employed under S74 of the Public Service Act 1999.

Excludes four ongoing staff (on temporary transfer from another Australian Public Service agency) and two non-ongoing staff engaged under the

Public Service Act 1999 as Australian Civilian Corps deployees.

Excludes the Director General.

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Table 13: Number of ongoing and non-ongoing staff by attendance type and sex

Female Male Total1 Total

Employment type Ongoing Non-ongoing

Ongoing Non-ongoing

30 June 2012

30 June 2011

Part-time 131 6 31 10 178 138

Full-time 783 34 511 22 1350 1109

Total 914 40 542 32 1528 1247

1 Excludes 596 overseas-based staff, employed under S74 of the Public Service Act 1999.

Excludes staff engaged as Australian Civilian Corps deployees.


Table 14: Number of staff by location and sex

Ongoing and non-ongoing

Overseas-based1 Total2 Total

Region Female Male Female Male 30 June 2012

30 June 2011

Overseas

Pacifi c 52 43 135 69 299 286

East Asia 48 32 178 115 373 321

South and

Central Asia

9 14 16 23 62 59

Africa and

Middle East

10 12 27 16 65 45

Latin America and

Caribbean

1 1 5 2 9 7

Other3 5 0 8 2 15 22

Subtotal 125 102 369 227 823 740

Australia

ACT 829 472 0 0 1301 1035

Total 954 574 369 227 2124 1775

1 Overseas-based staff employed under S74 of the Public Service Act 1999.

2 Excludes staff engaged as Australian Civilian Corps deployees.


3 Includes staff seconded to multilateral partners.

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Table 15: Salary range of ongoing and non-ongoing staff by base classifi cation at 30 June 2012

Classifi cation Minimum1 Maximum1

Graduate APS 54 980 64 095

APS 1 41 955 45 418

APS 2 47 637 51 564

APS 3 53 349 57 163

APS 4 59 815 64 095

APS 5 66 460 76 727

APS 6 73 275 86 912

EL 1 91 249 115 378

EL 2 110 320 227 000

SES2 156 879 287 060

1 Salary ranges refl ect the AusAID Enterprise Agreement 2011–14 and staff on individual agreements.

2 Excludes the Director General.

Table 16: Number of ongoing and non-ongoing staff by employment agreement at 30 June 2012

Classifi cation Enterprise agreement

24(1) Determination1

Common Law Agreement

Total

Graduate APS 40 40

APS 1–3 12 12

APS 4 61 61

APS 5 180 180

APS 6 383 383

EL 1 547 2 549

EL 2 237 6 243

SES Band 1 48 48

SES Band 2 15 15

SES Band 32 3 3

Total 1460 8 66 1534

1 Refers to remuneration conditions for the Australian Civilian Corps deployees enagaged under the Public Service Act 1999 Determination 24(1).


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Table 17: Diversity profi le of ongoing and non-ongoing staff as a percentage of staff by base classifi cation at 30 June 2012

Culturally and linguistically diverse background1

Disability Aboriginal and/or Torres Strait Islander

Female

Classifi cation2 Total Number % Number % Number % Number %

Graduate APS 40 3 7.5 3 7.5 25 62.5

APS 1–3 12 4 33.3 8 66.6

APS 4 61 9 14.8 2 3.3 44 72.1

APS 5 180 13 7.2 1 0.6 4 2.2 131 72.8

APS 6 383 24 6.3 5 1.3 5 1.3 261 68.1

EL 1 545 32 5.9 8 1.5 3 0.6 341 62.6

EL 2 241 14 5.8 3 1.2 2 0.8 121 50.2

SES3 66 1 1.5 1 1.5 23 34.8

Total 1528 96 6.3 24 1.6 17 1.1 954 62.4

1 Includes people born overseas who do not speak English as a fi rst language.

2 Excludes 596 overseas-based staff employed under S74 of the Public Service Act 1999.

Excludes staff engaged as Australian Civilian Corps deployees.


Table 18: Performance bonus payments by base classifi cation relating to the period 1 July 2011 to 30 June 2012

Classifi cation Number of employees

Aggregated amount

Average amount

Range of payments1

Minimum Maximum

Graduate APS 0

APS 1–3 1 1143 1143 1143 1143

APS 4 13 15 431 1187 639 1281

APS 5 24 31 365 1306 633 1525

APS 6 106 161 567 1524 816 1716

EL 1 245 458 585 1871 783 2149

EL 2 150 349 302 2328 1447 2740

SES 0

1 The AusAID Enterprise Agreement 2011–14 provides for a bonus payment of two per cent for all staff rated fully effective with service of greater than

12 months at the top pay point of each classifi cation.

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E. Freedom of information

The Freedom of Information Act 1982 enforces the right of citizens to access documents

created by their government, restricted only where there is a stronger public interest in

withholding access.

In 2011–12, AusAID processed 19 freedom of information applications. This was fi ve less than

was processed in 2010–11. Of the 19 requests, AusAID processed 11 requests at no charge to

the applicant.

Those seeking access to documents can lodge a formal freedom of information request to

AusAID by emailing [email protected] or writing to:

The Freedom of Information Coordinator

Ministerial and Parliamentary Section

AusAID

GPO Box 887

Canberra ACT 2601

AusAID is entitled to levy charges for access to documentation, consistent with the freedom

of information regulations. Such charges may be remitted, reduced or waived if grounds for

fi nancial hardship or general public interest can be established.

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Program management functions

AusAID exercises the following decision-making powers and administrative functions:

• authorising expenditure on Australia’s overseas aid program including:

» supporting international organisations

» contracting the supply of goods and services under the aid program

» supporting accredited non-government organisations and community groups

» managing programs to send Australian volunteers overseas to undertake development

cooperation activities

• managing development cooperation activities and programs including:

» maintaining systems of program management and accountability, including systems of

performance information monitoring, analysis and reporting

» administering the management and outcomes of appraisals, reviews and evaluations of

development cooperation activities

» accrediting and administering funding to non-government organisations as well as

assessing Australian non-government organisation applications for tax deductibility

under the overseas aid gift deduction scheme

» inviting tenders and selecting and managing contractors to provide services to

implement development cooperation activities

» monitoring the performance of contractors that receive funding through Australia’s

aid program

» overseeing the management of AusAID’s Australia Awards.

Participation and consultation

Members of the public are able to write to the Minister for Foreign Affairs about the range of policy

and other matters dealt with by the agency. Enquires can be emailed to [email protected]

AusAID engages in a number of community forums as a way of consulting and seeking a wide

range of views.

Events include the One Just World series which debates issues around international

development. The agency is also open to the views of outside organisations and provides

opportunities for the community to contribute to aspects of Australia’s overseas development

program through consultations with:

• the Committee for Development Cooperation

• consultative forums on aid

• state and territory governments

• industry associations, peak bodies and organisations

• companies and business people

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• non-government organisations and public interest and community groups

• academic institutions

• individuals seeking consultation

• calls for public submissions

• statutory authorities

• foreign and strategic policy institutions

• Commonwealth agencies with relevant technical competencies.

AusAID documents

AusAID produces a range of documents on administering the aid program including:

• submissions to portfolio ministers and parliamentary secretaries, AusAID’s Director General

and executive and other government agencies

• records of parliamentary-related business such as responses to questions on notice,

briefi ngs for parliamentary delegations and parliamentarians

• possible parliamentary questions, written submissions to parliamentary committees and

responses to questions from parliamentary committee inquiries

• replies to ministerial and departmental correspondence

• texts of speeches and media statements

• briefs, reports and documents on international and Australian aspects of aid policy issues

• treaties, memorandums of understanding and other agreements between Australia and

partner governments

• documents relating to program and fi nancial management, contracts and tenders

• reviews, evaluations and audit reports on management systems, controls and the effi ciency

and effectiveness of aid programs and activities

• guidelines, policies and procedures relating to strategies and corporate planning, project

planning and implementation, including risk assessment and fraud prevention policies and

strategies

• internal audit reports

• strategy design, implementation, and monitoring and evaluation reports

• materials relating to staff development, training, personnel management and general

administration

• brochures, newsletters and magazines on the aid program.

AusAID publications are available at www.ausaid.gov.au/publications or from:

National Mailing and Marketing

Telephone: 02 6269 1050

Facsimile: 02 6260 2770

Email: [email protected]

Mailing address: PO Box 7077, Canberra BC ACT 2610

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F. Advertising and market research

Table 19: Advertising and market research expenditure for 2011–12

Agencies/organisations Description Amount1

Advertising agencies

N/A

Market research organisations

Orima Research Pty Ltd Support and analysis for agency

strategy and reform activities

$128 238.00

Monitoring and evaluation through

student surveys

$60 280.00

Polling organisations

N/A

Direct mail organisations

National Mailing and Marketing Pty Ltd Processing and mailing AusAID

publications

$55 247.92

Media advertising

Adcorp Australia Limited Recruitment advertising $155 203.75

Tender advertising $88 665.45

Australian Leadership Awards

Fellowships advertising

$39 610.84

National interest analysis for

International Fund for Agricultural

Development advertising

$13 668.67

Australian Public Service Commission Recruitment advertising $14 874.04

GradConnection Pty Ltd Graduate Program

recruitment advertising

$5000.00

Total $560 788.67

1 Excludes GST.

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G. Ecologically sustainable development and environmental performance

AusAID reports on its environmental performance and its contribution to ecologically

sustainable development in 2011–12 against section 516A of the Environment Protection and Biodiversity Conservation Act 1999 (Cth).

Compliance with the Environment Protection and Biodiversity Conservation Act 1999 (Cth)

AusAID’s policies require that potential environmental impacts be considered when designing

and implementing all aid activities. AusAID ensures that its activities are assessed and

managed in accordance with the act by requiring staff to answer prescribed environmental

and climate change impact assessment marker questions embedded within AusAID’s program

management system (AidWorks) before any new initiative or activity commences.

How the activities and administration of legislation by AusAID in 2011–12 accorded with the principles of ecologically sustainable development (section 516A(6)(a))

AusAID administers Australia’s overseas development program in accordance with the

principles of ecologically sustainable development using the following four broad categories of

policies and laws:

• AusAID’s development cooperation policies and partnership agreements

• Commonwealth environmental legislation and regulations including the Environment Protection and Biodiversity Conservation Act 1999 (Cth)

• environmental laws and regulations of partner governments

• relevant multilateral environment agreements.

Through these policies and laws, AusAID works with partner governments to implement

policies and programs that integrate long and short-term economic, environmental and social

considerations. When appropriate, AusAID works with partner governments to conserve

biological diversity, prevent irreversible environmental damage and ensure that the diversity

and productivity of the environment is preserved for future generations.

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How the outcomes specifi ed for AusAID contributed to ecologically sustainable development in 2011–12 (section 516A(6)(b))

The overall outcome specifi ed for AusAID in 2011–12 is to assist developing countries to reduce

poverty and achieve sustainable development, in line with Australia’s national interest.

A range of programs developed to achieve this contributed to the principles of ecologically

sustainable development at the country, regional and global levels. Partner countries have

clearly conveyed their demand for climate change assistance as the projected impacts have

the potential to increase poverty, undermine livelihoods and contribute to declining population

health. Through the International Climate Change Adaptation Initiative, Australia has allocated

$328.2 million over fi ve years from 2008 to 2013. Our objective is to support activities that are

successfully demonstrating results in enhancing people’s ability to adapt to their changing

environment. We also continue to support the integration of climate change adaptation

opportunities into wider development programs. Our focus is on our neighbours in the Asia

and Pacifi c region, however we also work in vulnerable countries in the Caribbean, South Asia

and Africa where we are able to provide specialised support.

AusAID also managed substantial contributions to various multilateral environment programs

to deliver further environmental benefi ts. This included contributions in 2011–12 to the Global

Environment Facility of $22.6 million to support climate change and biodiversity activities,

$3.1 million for the Montreal Protocol Multilateral Fund and $1.2 million to the United Nations

Environment Programme. AusAID also supported a range of projects through development

partnerships and bilateral programs, focusing primarily on the Mekong and Pacifi c regions.

Working with multilateral partners, AusAID continued to help countries enhance national and

community resilience to climate change, including through support to the Pacifi c Adaptation to

Climate Change project (implemented by the United Nations Development Programme and the

Secretariat of the Pacifi c Regional Environment Programme), the Mekong River Commission’s

Climate Change and Adaptation Initiative, and the World Bank-managed South Asia Water

Initiative. These and other investments represent a considerable increase in environment and

climate change-related activities for the Australian aid program.

Effects of AusAID activities on the environment in2011–12 and measures AusAID is taking to minimise these impacts (section 516A(6)(c) and (d))

AusAID undertook a range of actions during the year to help ensure positive environmental

outcomes were achieved from Australia’s overseas aid program. These included:

• continuing to increase environment and climate change-related activities, including

contributing $23 million to support a fi ve year extension of a Climate Change and Coastal

Ecosystems Program in Vietnam in partnership with Germany and local governments

• continuing to apply the environment management system to reduce possible negative

environmental effects of AusAID activities

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• delivering in-house training to more than 120 staff in Canberra and at Post to help staff

integrate environment and climate change initiatives when designing and implementing

aid activities

• establishing an AusAID Environment Focal Point Network to guide staff on the requirements

of the Environment Protection and Biodiversity Conservation Act 1999 (Cth) and AusAID’s

environment management system

• developing a mandatory eLearning training course on AusAID’s environmental management

system so that activities do not have a negative impact on the environment.

AusAID mechanisms for reviewing and increasing the effectiveness of these measures in 2011–12 (section 516A(6)(e))

AusAID has quality, monitoring and evaluation mechanisms in place to ensure that its activities

achieve their intended objectives. These include:

• peer and independent reviewers to assess whether the environmental and climate change

marker questions prescribed in AusAID’s fi nancial system have been adequately addressed

in the design document

• set specifi c targets that must be achieved for AusAID initiatives and activities and against

which project implementation can be monitored.

The Executive Committee is required to periodically review AusAID’s environment management

system to ensure its continued appropriateness and relevance to the way Australian aid

is delivered.

AusAID’s development assistance program is guided by the agency’s Environment management guide for Australia’s aid program (2003), which outlines the steps involved in

undertaking environmental assessments of the agency’s activities and in managing potential

environmental impacts. This guide is currently being updated and a new version will be

published later in 2012. AusAID also has a corporate environment management system

that guides offi ce-based activities in Canberra and outlines the process of environmental

assessment and management planning for Canberra-based offi ce operations.

Corporate environment policy

As well as the actions described above, AusAID’s corporate environment policy sets priorities

for areas of AusAID’s operations that have the greatest environmental impact.

AusAID monitors agency-wide environmental performance against benchmarked targets and

objectives outlined in the corporate environmental policy. The standard ISO14001 provides

guidelines for auditing and reporting under AusAID’s environment management system and

the details provided in the following tables provide evidence of the positive approach and

results being achieved.

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Environmental awareness campaign

AusAID continues to provide environmental awareness campaigns to educate staff in

Canberra about sound corporate environmental practices in their day-to-day offi ce activities.

For example:

• Canberra offi ces participated in the Earth Hour campaign in March 2012

• daily notices were issued to all Canberra staff encouraging them to turn off computers and

screens at the end of the day

• garbage bins in all kitchens and meeting rooms clearly identify and separate waste into

recyclables and waste.

Green building

AusAID has three premises in Canberra City:

• 255 London Circuit

• levels 5 to 12 and 14 at 20 Allara Street

• levels 2, 3, 4 and 6 at 40 Allara Street.

The building 255 London Circuit features an environmentally sustainable cooling system—chilled

beams—which work by reticulating chilled water through beams in the ceiling space and radiating

cooled air through a perforated metal ceiling grid.

The offi ce space is also supplied with 100 per cent fresh air and natural light, making it a

productive and effi cient working environment. Storm water is captured onsite as grey water

and used in toilets and for watering surrounding gardens. Low volatile organic compound

materials and a high component of recyclable construction materials have been combined

with the leading edge technological cooling systems to create a building that has received

an accredited 4.5 star National Australian Built Environment Rating System energy rating

for offi ces.

An upgrade of mechanical and hydraulic services by the owners of the 20 Allara Street premises

has delivered a 4 star rating under the National Australian Built Environment Rating System.

The recently acquired offi ce at 40 Allara Street has received a 4.5 star rating under the National

Australian Built Environment Rating System.

AusAID continues to consider the embodied energy required to complete current and future

building projects and is implementing initiatives to minimise the impact on the environment

when undertaking any building works.

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Green energy

AusAID purchases 10 per cent green energy for all of its domestic energy needs.

Paper and printing

Paper with at least 80 per cent recycled content is used throughout the agency and

multi-functional devices have been defaulted to printing in black and white and duplex.

Video conferencing

AusAID has increased the video conference units available at our overseas locations which

reduces the need for air travel and enables more productive virtual meetings. The use of video

conferencing in the agency has nearly doubled in the past 12 months.

Ride to Work initiative

To reduce carbon emissions from motor vehicle use, AusAID supports staff riding to work by

providing secure bike storage and shower and locker facilities. The agency also supports and

engages in the Department of Health and Ageing’s Ride to Work initiative.

Information and communications technology procurement

AusAID is developing an information and communications technology sustainability plan that

will be integrated into our project and operational work. We are now capable of monitoring our

data centre energy consumption and the effi ciency of our power use and can demonstrate that

AusAID exceeds the standards set for agencies that operate under the Financial Management and Accountability Act 1997.

All computer desktops that need replacing or that are reaching the end of their life cycle will

be replaced with laptop computers as part of the strategic information and communications

technology procurement and maintenance rollout. Laptops use less energy when compared to

standard desk top computers.

Energy consumption

The table below shows the agency’s energy consumption and associated greenhouse gas

emissions over the past six years.

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Table 20: Energy consumption and greenhouse gas emissions for 2006–12

2006–07 2007–08 2008–09 2009–10 2010–11 2011–121

Electricity usage (KWh) 1 499 069 1 056 784 1 363 166 1 518 643 1 715 151 1 883 345

Green power usage (KWh) -121 556 -105 678 -11 392 -151 864 -171 515 -188 334

Area (m2) 10 100 12 515 12 515 13 709 16 878 19 139

Number of buildings 1 2 2 2 2 3

Occupancy (people) 673 718 827 854 1035 1301

MJ/m2 534 303.8 274 297 272 135.5

MJ/building 539 648 1 902 000 1 716 683 2 034 668 2 297 557 2 594 628

MJ/people 8019 5298 4152 4765 4440 5983

m2 per person 15 17.4 15 16 16 14.7

Stationary energy total (GJ) 5397 3404 4766 5467 6175 8027

Transport energy (GJ) 1275 1708 1468 1473 2062 2680

AusAID total energy (GJ) 6671 5112 6235 6940 8236 10707

Gross greenhouse gas

emissions (tonnes)

1661.82 1231.26 1285.83 1488 1676 2160

1 Some fi gures may be distorted due to one new premises at 40 Allara Street coming online but being unoccupied for part of the 2011–12 fi nancial year.

Table 21: Waste management/recycling (tonnes) for 2006–12

2006–07 2007–08 2008–09 2009–10 2010–11 2011–121

Classifi ed/unclassifi ed

paper and cardboard

(tonnes)

35.27 51.34 48.04 62.18 65.722

Co-mingled waste

(tonnes)

0.51 8.8 8.75 10.56 12.95 6.388

Waste to landfi ll (tonnes) 20.32 18.62 26.61 25.36 28.76 35.83

1 Some fi gures may be distorted due to one new premises at 40 Allara Street coming online but being unoccupied for part of the 2011–12 fi nancial year.

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H. Sources for key statistics

The source of data is AusAID unless otherwise stated. Figures in tables and generally in the

text have been rounded.Totals and percentages are calculated on unrounded totals. Any

discrepencies betweeen totals and sums of components in tables and generally in the text are

due to rounding.

AusAID adviser stocktake—report 2: 1 July–31 December 2011 (March 2012)Available online at www.ausaid.gov.au/publications/pages/8147_7080_1133_6271_7891.aspx

AusAID Portfolio Budget Statements 2011–12, Budget related paper no. 1.9, Foreign Affairs and Trade portfolioAvailable online at www.dfat.gov.au/dept/budget/2011_2012_pbs/

Early reading: igniting education for all, Research Triangle Institute, North Carolina,

United States 2010

Available online at www.uis.unesco.org/Education/Documents/early-reading-report_gove_

cvelich.pdf

International Development Association at www.worldbank.org/ida/

Millennium Development Goals at www.ausaid.gov.au/aidissues/mdg

Solomon Islands 2010 economic report, Asian Development Bank

Available online at www.adb.org/sites/default/fi les/pub/2010/sol-economic-report-2010.pdf

State of the world’s mothers 2012 report, Save the Children Australia

Available online at www.savethechildren.org.au/resources/state-of-the-worlds-mothers-

report-2012.html

The Australian Association of Graduate Employers 2012 graduate survey, High Fliers Research

Available online at www.aage.com.au/index.php?option=com_content&view=article&id=79&

Itemid=84

The World Bank East Asia and Pacifi c Economic Update 2012: volume 1, MayAvailable online at www.worldbank.org/en/news/2012/05/23/east-asia-and-pacifi c-economic-

update-may-2012

The World Bank, PovcalNet, viewed 26 April 2012

Available online at http://iresearch.worldbank.org/PovcalNet

UNAIDS report on the global AIDS epidemic 2010, Joint United Nations Programme on

HIV/AIDS

Available online at www.unaids.org/globalreport/global_report.htm

United Nations Development Programme Human Development Index 2011 rankings Available online at www.hdr.undp.org/en/statistics/

http://www.uis.unesco.org/Education/Documents/early-reading-report_gove_cvelich.pdf

http://www.adb.org/sites/default/files/pub/2010/sol-economic-report-2010.pdf

http://www.aage.com.au/index.php?option=com_content&view=article&id=79&Itemid=84

http://www.worldbank.org/en/news/2012/05/23/east-asia-and-pacific-economic-update-may-2012

362

» Glossary

» Abbreviations

» List of requirements

» Index 6

SECTION 6 I GLOSSARIES AND INDEX

Above left: AusAID’s Michael Hunt

talks to textbook recipients at

Dombotombo School in Marondera,

Zimbabwe

Photo: Phoebe Anderson, AusAID

Above middle: Edward Archibald,

head of AusAID in Sri Lanka, plants a

tree with a recipient of a new home

through an AusAID-funded program

in Northern Sri Lanka

Photo: Conor Ashleigh for AusAID

Above right: AusAID Counsellor for

Samoa, Anthony Stannard meets

with grandmother and small business

owner Keka Misa to fi nd out how

AusAID-funded prepaid electricity

meters are helping her to manage the

household budget and bring down

her electricity costs

Photo: Sally Sitou, AusAID

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Glossary

Accountability Obligation to demonstrate that work has been conducted

in compliance with agreed rules and standards

Additional estimates Where amounts appropriated at budget time are

insuffi cient, Parliament may approve more funds

to agencies through the Additional Estimates

Appropriation Acts

Agency Agencies are departments of state, departments of the

Parliament and ‘prescribed agencies’ for the purposes of

the Financial Management and Accountability Act 1997

Alignment Donors base their overall support on partner countries’

national development strategies, institutions and

processes (Paris Declaration)

Bilateral aid A non-commercial resource fl ow from the government

(or other public sector institutions) of one country which

benefi ts the economic and social development of the

population of a developing country, or identifi able group

of developing countries

Civil society Voluntary organisations and institutions that form

the basis of a functioning society, as opposed to the

structures of state and commercial institutions

Community development The long-term process in which people living in poverty

are empowered by working with civic leaders, activists,

professionals and aid providers to identify their needs

and develop skills to improve the quality of their lives

and their communities

Corporate governance The process by which agencies are directed and

controlled. It encompasses authority, accountability,

stewardship, leadership, direction and control

Development A long-term plan to improve the situation of people

living in developing countries, which may include

projects around poverty reduction, governance, health

care and education. It differs from disaster relief or

humanitarian aid, which responds to a specifi c crisis

Development Assistance Committee A committee of the member countries of the

Organisation for Economic Co-operation and

Development through which those countries coordinate

and report on their national aid programs, and

participate in international discussion and agreement on

the principles and practices of aid policy and delivery

Fragile states Countries with weak governance, failing public

institutions, instability or confl ict. Also known as low

income countries under stress

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Green growth A policy focus for the Asia and Pacifi c region that

emphasises environmentally sustainable economic

progress to foster low-carbon, socially inclusive

development

Gross domestic product The monetary value of all goods and services produced

within a nation

Gross national income The monetary value of national income divided by the

mid-year population of the country

g7+ The g7+ is a group of 17 of the world’s most fragile

states and includes countries across Asia, Africa and the

Pacifi c, representing 350 million people globally

Harmonisation Activities are harmonised when different donors adopt

the same actions to ensure greater effectiveness and

transparency

Heavily Indebted Poor Countries Initiative Launched in 1996 by the International Monetary Fund

and World Bank to ensure no poor country faces a debt

burden it cannot manage

Human Development Index A summary of human development in a country

that measures the average achievements of people

along three dimensions: living a long and healthy

life, measured by life expectancy at birth; being

knowledgeable, measured by a combination of the

adult literacy rate and the combined enrolment ratio in

primary, secondary, and tertiary education; and having

access to a decent standard of living, measured by an

index of income per capita

Memorandum of understanding A document outlining the terms and details of a

non-binding agreement between parties including each

party's requirements and responsibilities

Microcredit Small, collateral free loans to the very poor for

self employment

Microfi nance Financial services for poor people such as credit, savings

and insurance

Millennium Development Goals Eight goals drawn from the United Nations Millennium

Declaration of September 2000 to fi ght against poverty,

illiteracy, hunger, lack of education, gender inequality,

child and maternal mortality, disease and environmental

degradation by the target date of 2015

Multilateral aid When a number of countries contribute aid for the

benefi t of other countries. International organisations

that pool, coordinate and disburse this aid include the

World Bank, Asian Development Bank, United Nations

Development Programme, United Nations Children’s

Fund and the World Food Programme

Multilateral agencies International institutions with governmental

membership that conduct all or most of their activities in

favour of development and aid recipient countries. They

include multilateral development banks, United Nations

agencies and regional groupings

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Offi cial development assistance Grants, loans, goods and services given by the

government of a country (any level) to assist the

progress of developing countries

Risk management The culture, frameworks and structures that are

directed towards the effective management of potential

opportunities and adverse effects

Sector wide approach An approach operating at the level of an entire sector

Separation rate Measured by the combined number of staff who leave

the agency through a promotion or transfer to another

Australian Public Service agency or through cessation

from the Australian Public Service

Sustainable development Improves total quality of life without compromising

the ability of future generations to meet their own

needs. Done in a way that balances the environmental,

economic and social factors

Transboundary Crossing a provincial, territorial or national boundary

or border

United Nations Global association of governments facilitating

cooperation in international law, security, economic

development and social equity

Abbreviations

ABC Australian Broadcasting Corporation

AC Companion of the Order

ACC Australian Civilian Corps

ACFID Australian Council for International Development

AIDS Acquired immunodefi ciency syndrome

ANCP AusAID NGO Cooperation Program

AO Order of Australia

APEC Asia-Pacifi c Economic Cooperation

APS Australian Public Service

ASEAN Association of Southeast Asian Nations

AusAID Australian Agency for International Development

AVID Australian Volunteers for International Development

CARICOM Caribbean Community

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CSIRO Commonwealth Scientifi c and Industrial

Research Organisation

DFID United Kingdom Department for

International Development

Dr Doctor

EL Executive Level

GAVI Alliance Global Alliance for Vaccines and Immunisation

G20 Group of Twenty

HIV Human immunodefi ciency virus

INTERPOL International Criminal Police Organization–International

Police

MP Member of parliament

NAIDOC National Aborigines and Islanders Day

Observance Committee

NGO Non-government organisation

NSW New South Wales

ODA Offi cial development assistance

PhD Doctor of Philosophy

PSM Public Service Medal

QC Queen’s Counsel

RAMSI Regional Assistance Mission to Solomon Islands

REDD+ Reducing Emissions from Deforestation and

Forest Degradation

RMIT Royal Melbourne Institute of Technology

SES Senior Executive Service

TB Tuberculosis

TRIANGLE Tripartite Action to Protect Migrant Workers from

Labour Exploitation

UNAIDS Joint United Nations Programme on HIV/AIDS

UN WOMEN United Nations Entity for Gender Equality and the

Empowerment of Women

USAID United States Agency for International Development

YWCA Young Women’s Christian Association

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List of requirements

This list is prepared from the checklist of annual report requirements contained in attachment F

in the Requirements for annual reports approved by the Joint Committee of Public Accounts and

Audit under subsections 62(2) and 70(2) of the Public Service Act 1999 on 28 June 2012.

Description Page Requirement

Letter of transmittal iii Mandatory

Table of contents iv Mandatory

Index 372 Mandatory

Glossary 364 Mandatory

Contact offi cer(s) ii Mandatory

Internet home page address and internet address for report ii Mandatory

Overviews

Director General’s review

Review by departmental secretary 2 Mandatory

Summary of signifi cant issues and developments 2–7 Suggested

Overview of department’s performance and fi nancial results 2–7 Suggested

Outlook for following year 7 Suggested

Signifi cant issues and developments—portfolio2–7

Portfolio departments—

suggested

Agency overview

Role and functions v–8 Mandatory

Organisational structure 9–10 Mandatory

Outcome and program structure 11 Mandatory

Where outcome and program structures differ from Portfolio

Budget Statements/Portfolio Additional Estimates Statements

or other portfolio statements accompanying any other

additional appropriation bills (other portfolio statements),

details of variation and reasons for change

Nil to report Mandatory

Portfolio structure 8–11

Portfolio departments—

mandatory

Report on performance

Review of performance during the year in relation to programs

and contribution to outcomes 14–223 Mandatory

Actual performance in relation to deliverables and key

performance indicators set out in Portfolio Budget

Statements/Portfolio Additional Estimates Statements or

other portfolio statements

14–223 Mandatory

SECTION 6 A

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6

Where performance targets differ from the Portfolio Budget

Statements/Portfolio Additional Estimates Statements, details

of both former and new targets, and reasons for the change

Nil to report Mandatory

Narrative discussion and analysis of performance 222–223 Mandatory

Trend information 2–7, 14–33 Mandatory

Signifi cant changes in nature of principal functions/services Nil to report Suggested

Performance of purchaser/provider arrangements 16–21,

34–68,

69–103,

104–136,

137–145,

146–167,

168–180,

181–208,

209–219,

220–221,

222–223

If applicable, suggested

Factors, events or trends infl uencing departmental

performance 14–223 Suggested

Contribution of risk management in achieving objectives 232–234 Suggested

Social inclusion outcomes 14–223 If applicable, mandatory

Performance against service charter customer service standards,

complaints data, and the department’s response to complaints

235,

351–353 If applicable, mandatory

Discussion and analysis of the department’s

fi nancial performance 222–223 Mandatory

Discussion of any signifi cant changes from the prior year,

from budget or anticipated to have a signifi cant impact on

future operations

2–7, 14–22 Mandatory

Agency resource statement and summary resource tables

by outcomes 339–346 Mandatory

Management and accountability

Corporate governance

Agency heads are required to certify that their agency complies

with the Commonwealth Fraud Control Guidelines iii Mandatory

Statement of the main corporate governance practices in place 226–235 Mandatory

Names of the senior executive and their responsibilities 229–230 Suggested

Senior management committees and their roles 228–231 Suggested

Corporate and operational planning and associated

performance reporting and review

14–223,

226–227 Suggested

Approach adopted to identifying areas of signifi cant fi nancial or

operational risk 226–234 Suggested

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Policy and practices on the establishment and maintenance of

appropriate ethical standards 235 Suggested

How nature and amount of remuneration for senior executive

service offi cers is determined

237,

349–350 Suggested

External scrutiny

Signifi cant developments in external scrutiny 236–237 Mandatory

Judicial decisions and decisions of administrative tribunals 236–237 Mandatory

Reports by the Auditor-General, a Parliamentary Committee or

the Commonwealth Ombudsman

222,

236–237Mandatory

Management of human resources

Assessment of effectiveness in managing and developing

human resources to achieve departmental objectives 237–250 Mandatory

Workforce planning, staff turnover and retention 237–250,

347–350 Suggested

Impact and features of enterprise or collective agreements,

individual fl exibility arrangements, determinations, common

law contracts and Australian workplace agreements

237–239,

349 Suggested

Training and development undertaken and its impact 239,

243–246 Suggested

Work health and safety performance 247–249 Suggested

Productivity gains 237–249 Suggested

Statistics on staffi ng 347–350 Mandatory

Enterprise or collective agreements, individual fl exibility

arrangements, determinations, common law contracts and

Australian workplace agreements

237–238,

349Mandatory

Performance pay 237, 350 Mandatory

Purchasing and assets

Assessment of effectiveness of assets management 253 If applicable, mandatory

Assessment of purchasing against core policies and principles 250–252 Mandatory

Consultants

The annual report must include a summary statement detailing

the number of new consultancy services contracts let during

the year; the total actual expenditure on all new consultancy

contracts let during the year (inclusive of GST); the number of

ongoing consultancy contracts that were active in the reporting

year; and the total actual expenditure in the reporting year

on the ongoing consultancy contracts (inclusive of GST). The

annual report must include a statement noting that information

on contracts and consultancies is available through the

AusTender website

250–252,

354Mandatory

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Australian National Audit Offi ce access clauses

Absence of provisions in contracts allowing access by the

Auditor-General

250–253,

354Mandatory

Exempt contracts

Contracts exempt from AusTender 250–253 Mandatory

Financial statements

Financial statements 257–336 Mandatory

Other mandatory information

Work health and safety (schedule 2, part 4 of the Work Health and Safety Act 2011)

247–249 Mandatory

Advertising and market research (section 311A of the

Commonwealth Electoral Act 1918) and statement on

advertising campaigns

251, 354 Mandatory

Ecologically sustainable development and environmental

performance (section 516A of the Environment Protection and Biodiversity Conservation Act 1999)

355–360 Mandatory

Compliance with the agency’s obligations under the Carer Recognition Act 2012

247, 249 If applicable, mandatory

Grant programs 252 Mandatory

Disability reporting—explicit and transparent reference to

agency-level information available through other reporting

mechanisms

242, 350,

243Mandatory

Information Publication Scheme statement 216,

351–353Mandatory

Correction of material errors in previous annual report Nil to report If applicable, mandatory

List of requirements 368 Mandatory

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Index

A

ABC, 217

Aboriginal people, see Indigenous people

accountability and management, 226–55

Accra, 245

ACFID, 170

Act for Peace, 171

Adams, Jim, 231

administered expenses, 11, 222–3, 339

administrative tribunal decisions, 236

advertising and market research, 354

advisers, 193, 218–19, 227

Nauru, 64

North Pacifi c, 66

Papua New Guinea, 40

Afghanistan, 31, 112–15, 144 (disaster response simulation exercise), 154

AusAID offi ces and residential accommodation, 254

AusAID staff postings and deployments, 192

Australian Civilian Corps deployment, 193

children in armed confl ict, 192

maternal health, 28, 113–14

offi cial development assistance (ODA), 111, 112, 344

Africa, 105–9, 152, 154, 155

agriculture, 106, 107–8, 155, 171, 186

AusAID Posts, 192, 245, 249

Australia Awards, 106, 206

Australian Civilian Corps deployments, 193

cassava toxicity research, 204

corruption, 195

deforestation and development problems, 165

education, 106, 107, 144, 151, 172

electoral reform, 156–7

emergency programs, 105, 107, 138, 139, 142, 143, 145

fi nancial services, 190

health, 105, 106, 107, 151

Lighting Africa Initiative, 188

mine clearance, 195

offi cial development assistance (ODA), 16, 105, 106, 344

peacebuilding funding, 158

volunteers in, 177

see also Middle East and North Africa

Africa and Community Programs Division, 9

Africa Enterprise Challenge Fund Research in Business, 108

Africa, South and Central Asia, Middle East and other program, 104–36

African Development Bank, 152

AgResults Initiative, 154

agricultural research, 107–8, 129, 132, 155

agriculture, 24, 32, 152, 154, 169

Afghanistan, 115

Africa, 106, 107–8, 155, 171, 186

Cambodia, 88, 89, 174

East Asian region, 71

East Timor, 85

Fiji, 57

Indonesia, 72, 74

Iraq, 133

Laos, 92

Myanmar, 94

Pacifi c region, 36, 38, 68

Pakistan, 116, 117, 118

Palestinian Territories, 131


Solomon Islands, 150, 185

Vietnam, 81

see also food and nutrition

aid budget, see offi cial development assistance

aid effectiveness, see effectiveness

aid policy, see Effective Aid policy

Aid Transparency Working Group, 211

AIDS, see HIV/AIDS

AIPRD, see Australia–Indonesia Partnership for Reconstruction and Development

air conditioning, AusAID, 358

Algeria, 129

All Children Reading program, 160–1

All China Women’s Federation, 199

Allison Sudradjat Awards, 207

Ambae, 53

animal health, 102, 103, 108

Annual Review of Aid Effectiveness, 4, 211

Annual Review of Development Effectiveness, 209

Antigua and Barbuda, 136

antiretroviral treatment, see HIV/AIDS

APEC, 100

appropriations, see fi nance

Arab Human Development Index, 128

artemisinin resistance, 29

ASEAN, 100, 101, 102

Asia, 165, 177, 196

see also East Asia; Middle East and North Africa; South and Central Asia

Asia Foundation, 202

Asia-Pacifi c Economic Cooperation, 100

Asia-Pacifi c Forum of National Human Rights Institutions, 199

Asia Regional Traffi cking in Persons project, 101

Asian Development Bank, 151–2

Australian Multicultural Assessment fi ndings, 148, 149

Kathmandu Valley, 141

Pacifi c Futures 2020 workshop, 68

Asian Development Fund, 151–2, 345

assets, 253–5

Assistant Directors General, 230, 232

Association of Southeast Asian Nations, 100, 101, 102

Audit Committee, 231–2

audits, 208, 237

fi nancial statements, 222

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internal, 231–2

see also reviews and evaluations

AusAID Child Protection Policy, 201

AusAID Enterprise Agreement 2011–14, 235, 237–8, 349

AusAID NGO Cooperation Program, 169–75

AusAID–United Nations Development Fund Programme Partnership Agreement, 155

Austraining International, 177

Australia Africa Community Engagement Scheme, 109

Australia Awards, 205–8, 215

Africa, 106, 206

Bangladesh, 120

Bhutan, 126

Caribbean, 136

China, 98

Fiji, 57

Indonesia, 74, 206

Latin America, 134

Maldives, 126

Mongolia, 99

Myanmar, 94

Nepal, 125

Pakistan, 117

Papua New Guinea, 42, 206

Philippines, 83, 206

Tuvalu, 65

Vanuatu, 53

Vietnam, 80, 206

Australia–China Human Rights Technical Cooperation Program, 199

Australia Day Achievement Awards, 239, 249

Australia–France Statement of Strategic Partnership, 155

Australia–India Strategic Partnership, 125

Australia–Indonesia Education Partnership, 73

Australia–Indonesia Facility for Disaster Reduction, 73–4

Australia–Indonesia Partnership for Electoral Support, 74

Australia–Indonesia Partnership for Justice, 73

Australia–Indonesia Partnership for Maternal and Neonatal Health, 77, 183

Australia–Indonesia Partnership for Reconstruction and Development (Outcome 2), 15, 220–1

fi nance, 11, 222, 223, 339, 340, 343

Australia–Kiribati Partnership for Development, 62

Australia–Nauru Partnership for Development, 63

Australia–Pacifi c Technical College, 36, 67

Australia–Pakistan Law and Access to Justice Dialogue, 117

Australia–Pakistan Partnership for Development, 118

Australia–Papua New Guinea Partnership for Development, 40

Australia–Samoa Partnership for Development, 58

Australia–Tonga Partnership for Development, 60

Australia–Tuvalu Partnership for Development, 64

Australia–Vanuatu Partnership for Development Agreement, 52

Australia–Vietnam Human Rights Technical Cooperation Program, 199

Australian Breastfeeding Association, 249

Australian Broadcasting Corporation, 217

Australian Centre for International Agricultural Research, 107, 117, 129

Australian Chamber of Commerce and Industry, 3

Australian Charities Fund, 250

Australian Civilian Corps, 139, 192–4

Australian Command and Staff College, 193

Australian Community Rehabilitation Program, 123

Australian Council for Educational Research, 208

Australian Council for International Development, 170

Australian Defence Force, 211

Australian Federal Police, 84, 210, 211

Australian Graduate School of Management, 244

Australian Industry Group, 3

Australian Information Commissioner, 236

Australian Leadership Award Fellowships, 207–8

Australian–Mekong River Resources Program, 30, 96

Australian Multilateral Assessment, 147–9

global health agencies, 161

Global Partnership for Education, 160

United Nations agencies, 148, 149, 155–6

World Food Programme, 115

Australian National Audit Offi ce, 232, 252

audits, 208, 222, 237

Australian National University, 136

Centre for Democratic Institutions, 197

Australian Network on Disability, 243

Australian Public Service Commission

Indigenous Pathways program, 241

Australian Public Service Values and Code of Conduct, 235

Australian Red Cross, 177

Delegates Program, 139

Mongolia, 99


Australian Sports Outreach Program, 136

Australian Volunteers for International Development Program (AVID), 90, 176–80

child protection working group, 201

Australian Volunteers International, 177

Cambodian partnership, 90

Australian Youth Ambassadors for Development (AYAD), 85, 99, 176

aviation, PNG, 43

Avoidable Blindness Initiative, 162

awards and recognition, 239, 240, 249, 250

awareness of development assistance, 213–18

B

Balochistan, 117, 118

Bangladesh, 119–20, 144


cyclone preparedness, 164

energy agreement with India, 127

health, 28, 119, 120, 183


water and sanitation, 119, 120, 174, 187

banking services, see fi nancial services

bed nets, 94, 162

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Belize, 136

Bequia, 136

Betivatu School, Solomon Islands, 50

BetterEvaluation Initiative, 212

Bhutan, 125, 126, 141, 202

offi cial development assistance (ODA), 111, 344

Bill and Melinda Gates Foundation, 154

births, see child health; maternal and reproductive health

blindness, see vision

blog, 215

Bogor Goals, 100

bomb clearance, see mines and unexploded ordnance

Bougainville, 42, 43

Brazil, 134, 155

breastfeeding staff, 249

bridges, see transport infrastructure

briefs, 210

Britain, see United Kingdom

Brookings Institute, 212

budget, see fi nance

budgeting programs, see economic and public sector governance

bullying, 248

Burma, see Myanmar

Business Council of Australia, 3

business engagement, 3, 176

business plans and planning, 226, 232

C

Cairns Compact on Strengthening Development Coordination, 36

Cambodia, 88–90, 96, 144, 214

agriculture, 88, 89, 174


Emergency Flood Rehabilitation Program (2011–15), 152

eye health, 184


human security, 101, 102

injecting drug users, 102


Can Tho, 204

Canada, 154, 155

Cao Lanh Bridge, 80

capacity building, see education; technical and vocational education and training

CARE Australia, 170

Caribbean, 135–6, 196, 344

Caribbean Community (CARICOM), 135

Caring for Infants at AusAID, 249

Caritas Australia, 170

cash reserves, 222

cash transfer programs, 108, 120, 186, 200

cassava toxicity, 204

cataract surgeries, 117

Central African Republic, 138, 158

Central Asia, see South and Central Asia

Central Emergency Response Fund, 145

Centre for Democratic Institutions, 197

Centre for International Forestry Research, 165

Centre for Public Management, 244

Chief Auditor, 232

Chief Financial Offi cer, 229, 232

Chief Operating Offi cer, 9, 229, 231

child health, 30, 151, 156, 162, 182

Afghanistan, 113, 114

Africa, 105, 107, 151, 154

Bangladesh, 119

Cambodia, 88, 89, 90


East Timor, 84, 85, 86, 183

Fiji, 57

Indonesia, 72, 74, 77, 183, 186, 200

Laos, 91

Millennium Development Goal, 23, 27–8

Myanmar, 183

Nauru, 63

Nepal, 28, 125

Pacifi c region, 36

Pakistan, 117


Solomon Islands, 48

South Asian region, 127

Sri Lanka, 121

Tonga, 60

Tuvalu, 64

Vanuatu, 53

see also maternal and reproductive health

child protection, 101, 102, 201

ChildFund Australia, 170

children, 156, 169

in armed confl ict, 192

see also education; young people

children with disability, 169, 202

Bangladesh, 119

Ethiopia, 172

Fiji, 57

Indonesia, 73

Pakistan, 117

Samoa, 38, 59

Chile, 134, 254

China, 97–8, 199



Christian Blind Mission Australia, 170, 172

Christian Care, 171

citrus, 117

civil–military coordination, 192

civil society and civil society organisations, 36, 161, 174, 199, 212

Cambodia, 89

Fiji, 57

Indonesia, 74

Mekong region, 96


Samoa, 59

see also democratic governance; law and justice; non-government organisations; volunteers and

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volunteer programs

Civil Society Education Fund, 161

Civil Society Engagement Framework, 174

Civilian Corps, 139, 192–4

classifi cation of staff, 347, 349–50

Clean Technologies Fund, 163, 345

Cleared Ground Demining, 67

climate change and environment, 23, 30–1, 163–7, 345

Africa, 155

AusAID performance, 355–60

Caribbean, 135, 136

India, 125

Indonesia, 31, 74, 163, 165–6

Maldives, 126

Pacifi c region, 38–9, 66, 67–8, 167; Tuvalu, 64, 65

South Asian region, 127

Vietnam, 79, 81

see also energy and energy security; food and nutrition

coastal protection activities, 30, 81

cocoa industry, Solomon Islands, 185

codes of conduct, 235

Australian Council for International Development, 170

volunteers, 177

Colombia, 153, 190

Comcare, notifi able incidents reported to, 248

Committee for Development Cooperation, 173

common law agreements, 237, 349

Commonwealth Forum of National Human Rights Institutions, 199

Commonwealth Heads of Government Meeting 2011, 160

Commonwealth–G20 outreach meeting on development, 154

Prime Minister’s announcements at, 29, 108

Commonwealth Ombudsman, 236

Commonwealth organisations, 149, 160, 346

Commonwealth Scientifi c and Industrial Research Organisation, see CSIRO

communicable diseases, see infectious diseases

community programs, see non-government organisations; volunteers and volunteer programs

Comprehensive Aid Policy Framework, 4, 211, 226

see also Effective Aid policy

computing, see information and communication technology; websites and online media

condoms, 103

China, 97


Conference of States Parties to the Convention on the Rights of Persons with Disabilities, 202

confl ict-affected states, 158, 191–2

see also mines and unexploded ordnance; peacekeeping and peacebuilding

Congo, 142, 195

consultants, 251

consultative arrangements, 352–3

with business, 3, 176

with staff, 238, 248

Consultative Group on International Agriculture Research, 96

contraception, 106

condoms, 42, 97, 103

contract services, see purchasing

Convention on the Rights of Persons with Disabilities, 202

Cook Islands, 37, 65–6, 203, 343

cooling system, AusAID premise, 358

coral reefs, 126, 136, 167

Coral Triangle Initiative, 167

Corporate Enabling Division, 9, 230

corporate governance, 8–9, 226–35

Corporate Group, 9

corruption, 196

Philippines, 82, 83

costs, see fi nance

counselling services for staff, 247

country and regional strategies, 211

Philippines, 83

Sri Lanka, 121

Vietnam, 79

Country Programs Group, 9, 229

country sites, on website, 215

court decisions, 236

court systems, see law and justice

cross cutting strategic goal, 26

offi cial development assistance (ODA) by, 16, 43, 75

cross regional programs, 181–208, 345

CSIRO, 155

agricultural research, Africa, 107–8

Exploring Mekong Region Futures initiative, 96

culturally and linguistically diverse backgrounds, staff from, 350

curriculum materials, see textbooks and learning materials

cyclones, see emergency, humanitarian and refugee programs

D

dairy production, 117

Daru Hospital, 46

data collection, see statistics and data collection

debt management, see economic and public sector governance

debt relief, 153, 345

deforestation, see forests and forestry

demining, see mines and unexploded ordnance

democratic governance, 26, 156–7, 197

Afghanistan, 112



Tonga, 60

see also elections

Democratic People’s Republic of Korea, 138

Democratic Republic of Congo, 142, 195

Department of Defence, 243

Department of Families, Housing, Community Services and Indigenous Affairs, 243

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Department of Finance and Deregulation, 230, 231

Department of Foreign Affairs and Trade, 210, 230, 248

Department of Health and Ageing, 243

Department of Innovation, Industry, Science, Research and Tertiary Education, 205

Department of the Prime Minister and Cabinet, 230

Department of the Treasury, 230

Deputy Directors General, 8, 9, 229, 231

Indigenous Champion, 242

designated work groups, 247

Development Assistance Committee, 14, 153, 191, 254

development banks, 150–5

Cambodia, 89

South Asian projects, 127

see also Asian Development Bank; World Bank Group

development education, 217–18

Development Effectiveness Steering Committee, 230

Development for all: towards a disability-inclusive Australian aid program 2009–14, 38

development research, see research

development scholarships, see scholarships

Developmental Leadership Program, 197

diarrhoea, 120

diphtheria, tetanus and pertussis vaccinations, 36

Myanmar, 183

Nepal, 28

Vanuatu, 53

direct mail organisations, 354

Director General, 8, 229, 230

remuneration, 237

review by, 2–7

see also Deputy Directors General

disability, people with, 169, 201–3

Caribbean, 136

Pacifi c region, 38, 203

Palestinian refugees, 131


staff, 243, 350

website accessibility, 215

see also children with disability; mines and unexploded ordnance; vision (eyesight)

Disability Action Plan, 243

Disability Champion, 243

disaster management, see emergency, humanitarian and refugee programs

diseases, see health

displaced persons, see refugees and displaced persons

Djibouti, 142

see also Horn of Africa

documents, 353

available on website, 216

see also publications

Dollar for Dollar initiative, 139

domestic violence, see women and girls, violence against

Dominica, 136

Dominican Republic, 190

donations, 173

by staff, 250

drugs and drug users, 94, 97, 102, 103

due diligence framework, 233

E

Early, Len, 231

early childhood development (kindergartens), 156, 169

Mongolia, 99

Myanmar, 94, 95

Philippines, 83

Vanuatu, 53

Earth Hour, 358

earthquakes, see emergency, humanitarian and refugee programs

East Asia, 16, 69–103, 155, 343–4

Australia Awards, 98, 206

human rights, 199

North Korea, 138

program information published, 213, 214

see also Cambodia; East Timor; Indonesia; Laos; Philippines; Vietnam

East Asia Division, 9

East Asia regional programs, 71, 99–103

East Nusa Tenggara, 74, 77

East Timor, 84–7, 134, 213


Coral Triangle Initiative on Coral Reefs, Fisheries and Food Security, 167

eye health, 184

law and justice, 197

mining, 188

mobile health clinics, 86, 183


private sector development, 150–1

wheelchair training package, 202

East Timor Ministry of Health measles campaign, 85

East Timor Youth Employment Promotion Program, 87

Eastern Indonesia National Roads Improvement Program, 15, 221

ecologically sustainable development, see climate change and environment

economic and public sector governance, 189

Africa, 108

China, 98

East Asian region, 71, 100–1

East Timor, 85

India, 126

Indonesia, 73, 74

Iraq, 133

Kiribati, 62

Mekong region, 96

Micronesia, 67

Nauru, 63

Papua New Guinea, 25, 41, 42, 43

Philippines, 83

Solomon Islands, 47, 48, 49

Sri Lanka, 122

Tonga, 61

Tuvalu, 65

Vanuatu, 52, 53

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Vietnam, 80

economic growth and development (sustainable economic development strategic goal), 16, 24, 155

Afghanistan, 113

Africa, 106–7

Bangladesh, 119, 120

Cambodia, 88, 89

Caribbean, 135–6

China, 97

East Asian region, 70, 71, 99–101

East Timor, 85

Indonesia, 72, 75

Laos, 91, 92

Maldives, 126

Mongolia, 98, 99

Myanmar, 94

Nauru, 63, 64


Pakistan, 116

Palau, 67


Philippines, 82


Sri Lanka, 121

Tonga, 60–1

Tuvalu, 64

Vanuatu, 52, 54

Vietnam, 79, 80

see also infrastructure; private sector development; rural development; trade and investment

Economic Infrastructure Initiative, 187

Economics Advisory Group, 227

education (promoting opportunities for all strategic goal), 16, 26, 154, 155, 156, 160–1, 169, 181


Africa, 106, 107, 144, 151, 172

Bangladesh, 119, 120, 144

Bhutan, 125, 126

Caribbean, 136

children with disability, see children with disability

Cook Islands, 66


East Timor, 85

Fiji, 56, 57

Global Education Program, 217–18

Indonesia, 73, 74, 76, 186, 206, 207; offi cial development assistance (ODA), 75

Iraq, 132–3

Kiribati, 62

Laos, 91, 92, 144, 179, 181

Millennium Development Goal, 23, 25–6

Mongolia, 99

Myanmar, 94, 95, 144

Nauru, 63, 64

Nepal, 125


Pakistan, 116–17, 118


Papua New Guinea, 40, 42, 43, 206, 207;

management information system, 25

Philippines, 83, 186, 206

Samoa, 58, 59


Sri Lanka, 121, 122, 123

Tonga, 60, 61

Tuvalu, 64, 65

Vanuatu, 52, 53, 188

Vietnam, 80, 81, 206

see also early childhood development; higher education; scholarships; school infrastructure; secondary education; teacher education and training; technical and vocational education and training; women and girls, education and training of

Education and Health Branch, 230

Effective Aid policy (An effective aid program for Australia), 2–4, 14, 15, 226

Australian Multilateral Assessment, 115, 147–9, 155–6, 160, 161

country and regional strategy updates, 211

gender equality, 26

humanitarian assistance and disaster preparedness, 137–8

Independent Evaluation Committee, 212

India, 126

Pacifi c, 35

responsibility for implementation, 8

risk management, 232

effective governance strategic goal, see governance

effectiveness, 2–4, 14–33, 153, 154–5, 211–12


Independent Review of Aid Effectiveness, 2, 15, 204, 212

non-government organisations, 173

Egypt, 129, 155, 254

El Salvador, 134, 153

eLearning programs, 243–4

child protection, 201

environmental management system, 357

work health and safety, 248

workplace diversity, 242, 243

elections, 197

Fiji, 57, 193, 197

Indonesia, 74–5, 197

Papua New Guinea, 42, 43, 194, 197; women candidates, 26, 197

Philippines, 202

electricity, see energy and energy security

elementary education, see education

emergency, humanitarian and refugee programs (humanitarian and disaster response strategic goal), 16, 137–45, 156, 345


Africa, 105, 107, 138, 139, 142, 143, 145

Australian Civilian Corps, 139, 192–4

Bangladesh, 164

Bhutan, 126

Cambodia, 89, 152

Cook Islands, 66

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Indonesia, 73–4, 75, 141, 144

Latin America, 134

Mekong region, 80

Middle East and North Africa, 130; Palestinian Territories, 131

Mongolia, 99

Pakistan, 117, 118


Philippines, 82, 83, 141, 144

Sri Lanka, 122

Tuvalu, 65

see also refugees and displaced persons

Employee Assistance Program, 247

employees, see staff

employment generation, see poverty reduction and income generation; private sector development

Energising Development Programme, 165

energy and energy security, 30

Africa, 188

Bequia, 136

India, 125, 126; cross-regional agreements, 127

Laos, 91, 96

Mekong region, 96

Samoa, 59

Vanuatu, 54, 188

energy consumption, AusAID, 358–60

Enga Province, PNG, 42

Engage blog, 215

Enterprise Agreement 2011–14, 235, 237–8, 349

Enterprise Challenge Fund, 185

environment, see climate change and environment

Environment Focal Point Network, 357

Environment Management System, 357

Environment management guide for Australia’s aid program, 357

ergonomic workstation assessments, 248

ethics and values, 235

Ethiopia, 106, 139, 142


education, 151, 172


refugees, 107

ethnic minorities, 119

European Union, 155

evaluations, see reviews and evaluations

event and meeting briefs, 210

Executive Agency status, 8

Executive Committee, 8, 228–30

Executive Level (EL) staff, 239, 242, 347, 349–50

strategic training programs, 244

exempt contracts, 251

Exercise Excalibur, 193

expenses, see fi nance

exploitation, 101–2, 199, 201

Exploring Mekong Region Futures initiative, 96

external scrutiny, 236

extractive industries, see mining

Extractive Industries Transparency Initiative, 189, 212

eyesight, see vision

F

family planning, see contraception; maternal and reproductive health

family violence, see women and girls, violence against

farming, see agriculture

Federated States of Micronesia, 66, 67, 203, 254

fellowships, see scholarships

females, see women and girls

fencing, 81

Fiji, 56–7, 203, 213


elections, 57, 193, 197


fl oods, 140

National Climate Change Policy, 164


Fiji Women’s Crisis Centre, 37

fi nance, 11, 222–3, 229, 258–334, 339–40

fraud, potential losses involving, 4, 234

see also offi cial development assistance; purchasing; remuneration

fi nancial inclusion, 154, 186

Financial Management and Accountability Act 1997, 231

fi nancial management programs, see economic and public sector governance

fi nancial services, 24, 27, 169, 186, 190



Philippines, 174


Vanuatu, 54, 186

see also microfi nance and microentrepreneurs

fi nancial statements, 222, 258–334

First Assistant Directors General, 229–30, 232, 243

fi sheries, Pacifi c region, 67–8, 167

Nauru, 64

fl exibility agreements, staff with, 237

Flickr account, 215

fl oods, see emergency, humanitarian and refugee programs

fl u vaccinations for staff, 249

Focus, 217

Food and Agriculture Organization, 149, 254

food and nutrition, 30, 32, 143–4, 154, 155, 185–6

Afghanistan, 115

Africa, 105, 107–8, 139, 143, 144, 154, 155


Cambodia, 89, 144

East Timor, 84, 85

Indonesia, 72, 186

Iraq, 133

Latin America, 134, 144

Mekong region, 96

Middle East and North Africa, 129, 130, 142, 143

Millennium Development Goal, 23, 24

Myanmar, 94, 144

Pakistan, 117


Sri Lanka, 121, 127

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Tuvalu, 64

see also agriculture; school feeding programs; World Food Programme

Forest Carbon Partnership Facility, 165

forests and forestry, 165–6

Indonesia, 31, 74, 165–6, 204

Fourth High Level Forum on Aid Effectiveness, 31, 33, 153

fragile states, 31, 84–5, 191–2

Framework for Action on Energy Security in the Pacifi c, 30

Framework for working in fragile and confl ict-affected states, 191

France, 155, 254

fraud control, 4, 226–7, 233–4

Papua New Guinea aid program, 40

see also corruption

free trade agreement with ASEAN, 101

freedom of information, 236, 351–3

Friends of the g7+, 31

Fua’amotu International Airport, 61

full-time staff, 348

functions and role, 8, 352

G

g7+ group, 31, 84–5

G20, 153–4

Ganges River Basin, 127

GAVI Alliance, 28, 161

Gaza, 131

gender equality, see women and girls

gender of staff, 347–8, 350

geothermal capacity, Indonesia, 163

Germany, 81, 165

Agency for International Cooperation, 129, 134

Federal Ministry for Economic Cooperation and Development, 155

Ghana, 106, 245, 254

Gilgit Baltistan, 117

girls, see women and girls

Global Agricultural and Food Security Program, 24, 186

global average remittance costs, 154

Global Campaign for Education, 161

Global Competitiveness Index, 82

Global Corporate Challenge, 249

global education, 217–18

Global Environment Facility, 166, 345

Global Fund to Fight AIDS, Tuberculosis and Malaria, 41, 162

Global Green Growth Institute, 163

global partnership for development, 23, 31–3

Global Partnership for Education, 160

Global Polio Eradication Initiative, 29

Global strategy for the prevention and control of non-communicable diseases, 162

Goroka, 42

governance (effective government strategic goal), 16, 195–200


Indonesia, 75

Pacifi c region, 36

Pakistan, 117

Palestinian Authority, 131


Solomon Islands, 49

Sri Lanka, 122

see also civil society and civil society organisations; democratic governance; economic and public sector governance

governance, AusAID, 8–9, 226–35

Government Finance and Information Services Division, 9, 229

graduate program, 239–41, 243, 244, 347, 349–50

Grassroots Giving, 250

Greater Mekong sub-region, see Mekong region

Green Climate Fund, 163

green energy, see renewable energy

greenhouse gas emissions, 163, 166

AusAID, 360

tropical peat monitoring system, Indonesia, 74

see also forests and forestry

Group of Twenty (G20), 153–4

Guangxi Province, 97

Guatemala, 134

Guinea Bissau, 158, 195

H

Haiti, 134, 135, 193

Harare, see Zimbabwe

harassment contact offi cers, 248

hazard mapping, Philippines, 83, 141

health (saving lives strategic goal), 16, 151, 154, 161–2, 169, 182–4


Africa, 105, 106, 107, 151

Bangladesh, 28, 119, 120, 183

Cambodia, 88, 89, 102, 184

Caribbean, 136

China, 97

East Asian regional programs, 102–3

East Timor, 85, 86, 184

Fiji, 56, 57

India, 126

Indonesia, 72, 73, 74, 75, 178, 183, 200

Laos, 91

Libya, 130

Mekong region, 103

Millennium Development Goals, 23, 27–30

Myanmar, 29, 94, 183

Nauru, 63–4, 183

Nepal, 125

Pakistan, 116–17, 118

Papua New Guinea, 36, 40–2, 43, 46, 183

Philippines, 83, 103, 142

Samoa, 58, 59


Tonga, 60

Vanuatu, 52, 53, 55, 188

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Vietnam, 79, 102, 103, 184

see also child health; emergency, humanitarian and refugee programs; food and nutrition; infectious diseases; maternal and reproductive health; non-communicable diseases; water and sanitation

health and safety, occupational, see work health and safety

Health and Safety Committee, 247

health education and training, 167, 169

Africa, 106

Cambodia, 90

China, 97

Fiji, 57

Indonesia, 74, 183

Pakistan, 117


Vanuatu, 53

health infrastructure

Indonesia, 74


Samoa, 59

Tonga, 60

see also water and sanitation

heart disease, Tonga, 60

Heavily Indebted Poor Countries Initiative, 153, 345

High Level Forum on Aid Effectiveness, 31, 33, 153

high school education, see secondary education

higher education, 170, 218

mining personnel, 188


see also scholarships

HIV/AIDS, 29, 30, 162, 182

China, 97

East Asian Regional Program, 102, 103

India, 126

Myanmar, 94

Pacifi c region, 67


Vietnam, 79, 102

Honduras, 134

Horn of Africa, 105, 107, 139, 142, 143, 145

see also Ethiopia; Kenya; Somalia

hospitals, see health infrastructure

‘hot topics’ news and information articles, 216

House of Representatives committees, 236

Human Resource Branch, 248

human resources, see staff

human rights, 196–9

Human Rights Commission, 199

Human Rights Grants Scheme, 198–9

human security, 101–2, 199, 201

human traffi cking, 101–2, 199

Humanitarian Action Policy, 144

Humanitarian and International Group, 9, 229

Humanitarian and Stabilisation Division, 9, 138

humanitarian relief, see emergency, humanitarian and refugee programs

hunger, see food and nutrition

Hunger Safety Net Programme, 108

hydropower, 91, 96

I

immunisation and vaccination, 36, 151, 156, 161

Africa, 107, 139, 151

East Timor, 85

Indonesia, 74

Kiribati, 62

Myanmar, 183

Nauru, 64

Nepal, 28


staff, 249

Vanuatu, 53

immunisation and vaccination of animals, 108

income generation, see poverty reduction

Independent Evaluation Committee, 231

Independent Review of Aid Effectiveness, 15, 204, 212

responses to recommendations, 2–4

India, 111, 125–6, 344


cross-regional energy agreements, 127


polio, 29

Indigenous Champion, 242

Indigenous Community Volunteers, 242

Indigenous Employment Strategy, 242

indigenous issues and disability, 202

Indigenous people, 242

staff members, 241, 242, 350

Indonesia, 72–8, 154, 167, 186, 213


AusAID staff, 245, 249; risk and fraud position, 233

disaster management and response, 73–4, 75, 141, 144

Eastern Indonesia Roads Improvement Program, 15, 220–1

electoral system, 74–5, 197

environment, 31, 74, 163, 165–6; illegal logging, 204

health, 72, 73, 74, 75, 178, 183, 200

law and justice, 73, 74, 197; human traffi cking, 199; legislation, 141, 198

mining, 188

National Program for Community Empowerment, 73, 74, 78, 200

offi cial development assistance (ODA), 71, 72, 343; by strategic goal, 75

scholarships, 74, 206, 207, 208

water and sanitation, 31, 72, 150, 154, 208

website visitors from, 214

see also Australia–Indonesia Partnership for Reconstruction and Development

Indonesia–Australia Forest Carbon Partnership, 165–6

Indonesia Ministry of Law and Human Rights, 198

Indonesia Ministry of National Development Planning, 208

Indonesia Ministry of Public Work, 208

Indonesia National Program for Community Empowerment, 73, 74, 78

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infant mortality, see child health

infants of staff, feeding and caring for, 249

infectious diseases, 29


Indonesia, 73

Mekong region, 103

Myanmar, 94

Papua New Guinea, 40–1, 42, 46

see also HIV/AIDS; immunisation and vaccination

infl uenza vaccinations for staff, 249

information and communication technology, 228, 358, 359

Indonesia, 197

Laos, 92

parliamentary document management system, 210

Philippines, 83

staff learning management system, 243

see also websites and online media

Information and Communication Technology Steering Committee, 228

information, education and communication programs (Outcome 1 program support), 209–18, 346

see also publications; websites

Information Publication Scheme, 214, 216

information requests

from journalists, 216

through online enquiry line, 215

infrastructure, 24, 155, 187–8

Cambodia, 88, 89, 152

Cook Islands, 66

Fiji, 57

Indonesia, 73, 75

Kiribati, 30, 38

Mekong region, 96

Pakistan, 117

Philippines, 152


Sri Lanka, 122

see also health infrastructure; school infrastructure; transport infrastructure; water and sanitation

Infrastructure for Growth Initiative, 187

injecting drug users, 94, 97, 102, 103

Innovations Fund, 174

Insight newsletter, 216

Inter-American Development Bank, 153

Interim Haiti Recovery Commission, 193

internal audit, 231–2

internally displaced persons, see refugees and displaced persons

international advisers, see advisers

International Agency for the Prevention of Blindness, 184

International Aid Transparency Initiative, 214

International Climate Change Adaptation Initiative, 30, 164–5

International Committee of the Red Cross, 141, 142, 345

Africa, 107

Special Fund for the Disabled, 202

International Development Association, 151, 345

International Dialogue on Peacebuilding and Statebuilding, 31

International Finance Corporation, 136, 150–1

International Forest Carbon Initiative, 31, 165

International Fund for Agricultural Development, 152

International Labour Organization, 87

International Mining for Development Centre, 188

International Monetary Fund, 189

international organisations, see multilateral organisations

International Planned Parenthood Federation, 162

International Programs and Partnerships Division, 9

International Seminar Support Scheme, 205, 346

International Water Centre, Brisbane, 208

International Women’s Day events, 217

International Women’s Development Agency, 197, 217

internet, see websites and online media

INTERPOL, 101

Iraq, 132–3, 142, 158, 192



Irrawaddy Delta, 183

irrigation, Cambodia, 89

Islamabad, see Pakistan

Islamic schools and education

Indonesia, 73

Philippines, 83

Italy, 154, 254

J

Jakarta, see Indonesia

Japan International Cooperation Agency, 155

Jarvie, Dr Wendy, 231

Jawzjan Province, Afghanistan, 115

joint parliamentary committees, 236

Joint statement on zero tolerance to fraud in Australia’s aid program, 40

Joint United Nations Programme on HIV/AIDS, 126, 162

Joint World Bank–United Nations Offi ce on Drugs and Crime Stolen Assets Recovery Initiative, 197

Jordan, 195


judicial scrutiny, 236

judicial systems, see law and justice

Justice for the Poor program, 197, 198

K

Kalimantan, 31, 165–6, 199


Kenya, 106, 108, 139, 142


AusAID staff, 245

electoral reform, 156–7


refugees in, 107

school feeding, 144

key performance indicators, see performance indicators

Khuvsgul Province, Mongolia, 99

Khyber Pakhtunkhwa, 117, 118

Kien Giang Province, Vietnam, 81

kindergartens, see early childhood development

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Kiribati, 61–2, 203, 214


coastal erosion and sea level rise, 30, 38


violence against women, 37

Kiribati Institute of Technology, 62

Kiribati Supplies Company Ltd, 62

Kwajalein Atoll, 67

L

labour rights, 101

land management, 166

land mines, see mines and unexploded ordnance

landslides, PNG, 44

languages other than English, 213

Laos, 91, 139, 188


education, 91, 92, 181; school meals program, 144, 179

hydropower dam, 96

injecting drug users, 102

migrant workers, 102


Latin America, 133–4, 144, 344

Brazil, 134, 155

corruption, 195

deforestation and development problems, 165


Inter-American Development Bank partnership, 153

social services, 155

see also Caribbean

laundering of corruption proceedings, 197

law and justice, 196, 197–201, 210

Cambodia, 88

East Asian region, 101–2, 103

Indonesia, 73, 74, 197, 198; human traffi cking, 199

Pacifi c region, 36

Pakistan, 117

Papua New Guinea, 41, 43, 45, 197

Philippines, 142

Solomon Islands, 48, 49, 51, 197

Vanuatu, 52, 197

see also legislation; women and girls, violence against

Lawler, David, 232

leadership development, see scholarships

learning and development, see education; staff learning and development

Learning and Development Strategy 2011–15, 243

learning materials, see textbooks and learning materials

LearningConnect, 243

Lebanon, 158


legal systems, see law and justice

legislation, 231, 237, 247–8

child protection, 102

China, 98, 199

disability, 202

Indonesia, 141, 198

Kenya, 157

Laos, 91

Pacifi c region, 38

Vanuatu, 37

Liberia, 108

Libya, 129, 130, 142, 143

mines and unexploded ordnance, 195

scoping mission, 193

Lifeline Embattled NGOs Assistance Fund, 199

lighting, 54, 188

Lighting Africa Initiative, 188

linguistically and culturally diverse backgrounds, staff from, 350

literacy, see education

Live Well Work Well, 248–9

local languages, 213

location of staff, 347, 348

see also overseas Posts

M

maize, 108

Makira Province, Solomon Islands, 152

malaria, 29, 162, 182

Myanmar, 94

Vanuatu, 53, 55

Malawi, 106, 109

Malaysia, 144, 167

Maldives, 111, 125, 126, 344

male staff, 248, 347–8

Malekula, 53

management and accountability, 226–55

mango, 117

mangroves, 30, 81

Manihiki Lagoon, 66

Manila, 141

see also Philippines

marine environment, 167

maritime safety, PNG, 43, 44

market research organisations, 354

Marshall Islands, 38, 66, 67, 138

maternal and reproductive health, 23, 27–8, 30, 151, 162

Afghanistan, 28, 113–14

Africa, 106, 154

Bangladesh, 28, 119, 120

Cambodia, 88, 89, 90


East Timor, 84, 86, 183

Indonesia, 72, 74, 77, 183, 200

Myanmar, 183

Nauru, 63

Nepal, 28, 125

Pakistan, 28, 117



South Asian region, 127, 162

Tuvalu, 64

see also child health; midwives and midwifery

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measles immunisation and vaccination, 36, 156, 183

East Timor, 85

Vanuatu, 53

media, 216

media advertising, 354

medical services, see health

meeting and event briefs, 210

Mekong region, 80, 81

health, 103

Water Resource Program, 30, 96

see also Laos; Vietnam

memorandum of understanding, 155

men staff, 248, 347–8

mental health advice, staff, 247

Mentawai Islands, 75

Mexico, 154

microfi nance and microentrepreneurs, 190

Cambodia, 24

East Timor, 85, 87

Indonesia, 73, 78

Latin America, 153

Myanmar, 94

Vanuatu, 54

Micronesia, 66, 67, 203, 254

Middle East and North Africa, 16, 128–34, 142, 143, 344

Australia Awards, 206

corruption, 195

Egypt, 129, 155, 254

Libyan scoping mission, 193

mines and unexploded ordnance, 133, 195

see also Iraq

Middle East peace talks, 158

midwives and midwifery, 169

Cambodia, 90

Indonesia, 77

Pakistan, 117


migrant workers, East Asian region, 101, 102

military engagement in humanitarian action, 192

Millennium Development Goals (progress made by each country is indicated by tick and cross diagrams and discussion at the beginning of the country’s main entry, and are not indexed), 22–32, 211

see also climate change and environment; education; food and nutrition; health; poverty reduction and income generation

Mindanao, 83

mines and unexploded ordnance, 195

Cambodia, 89

Iraq, 133

Laos, 92

Palau, 67

Sri Lanka, 122

mining, 188–9, 212

Africa, 107, 108

Laos, 91

Mongolia, 98–9, 188


Mining for Development Initiative, 108, 188

Minister, 8, 210, 338

ministerial correspondence, responses to, 210

ministerial submissions, 210

mission and values statement, 235

mobile devices, website access from, 214

mobile phones, 27, 186, 190

Cambodia, 24

Solomon Islands, 150

Vanuatu, 54, 186

Model act for the facilitation and regulation and international disaster relief and initial recovery assistance, 141

Mongolia, 98–9, 188, 190



Montreal Protocol Multilateral Fund, 166, 345

Morison, Jenny, 232

Morocco, 129

mosquito nets, 94, 162

Mozambique, 106, 108, 204

Multilateral Debt Relief Initiative, 153, 345

Multilateral Organisation Performance Assessment Network, 149

multilateral organisations, 147–67, 345–6

see also development banks; United Nations; World Health Organization

multilateral trade, see trade and investment

multimedia, 215–16

Muslims, see Islamic schools and education

MV Rabaul Queen ferry disaster, 44

Myanmar, 93–5, 144, 213

AusAID offi ces and residential accommodation, 254health, 29, 94, 183MTV End Exploitation and Traffi cking campaign, 101offi cial development assistance (ODA), 71, 93, 344

N

Nahdlatul Ulama, 141

Nairobi, see Kenya

National Australian Built Environment Rating System energy rating, 358

National Bank of Vanuatu, 54

national curriculum, 218

National Transition Strategy, 215

natural disasters, see emergency, humanitarian and refugee programs

natural resources, see climate change and environment; mining

Nauru, 63–4, 183




needles and syringes, 94, 97, 102, 103

neonatal health, see child health

Nepal, 124–5, 127, 192



Netherlands, 165

New Caledonia, 254

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New Deal for Engagement in Fragile States, 31, 84–5

New Zealand, 65

Nicaragua, 134, 144

Niger, 106

Nigeria, 190

Niue, 66, 203, 343

non-communicable diseases, 161–2, 182

Nauru, 63, 183

Tonga, 60

see also malaria

non-English speaking backgrounds, staff from, 350

non-government organisations (NGOs), 169–75, 346

Cambodia, 89

climate adaptation activities, 38


non-ongoing staff, 239, 347–8

non-procurement agreements, 250

North Africa, see Middle East and North Africa

North Korea, 138

North Pacifi c, 37, 66–7, 343

Norway, 165

Notice of Employee Representation Rights, 238

nutrition, see food and nutrition

O

obesity, 183

occupational health and safety, see work health and safety

ODE talks podcasts, 212

OECD Development Assistance Committee, 14, 153, 191, 254

offi ce accommodation, 358

Offi ce of Development Effectiveness, 212

Working beyond government report, 174

Offi ce of the Australian Information Commissioner, 236

Offi ce of the United Nations High Commissioner for Refugees, 130, 142–3

offi cial development assistance (ODA), 16–17, 210, 222–3, 341–6

Africa, Sub-Saharan, 16, 105, 106, 344

Comprehensive Aid Policy Framework, 4

East Asia, 70, 79, 82, 84, 88, 91, 93, 96, 97, 98, 343–4; Indonesia, 72, 75; percentages of total, 16, 71

emergency, humanitarian and refugee programs, 138

fraud, potential losses involving, 4

Latin America and Caribbean, 16, 133, 135, 344–5

Middle East and North Africa, 16, 128, 129, 130, 132, 344

Pacifi c, 37, 47, 52, 56, 58, 59, 61, 63–7, 343

Papua New Guinea, 37, 39, 343

Papua New Guinea and Pacifi c program, 16, 35, 37, 343

as percentage of gross national income, 22

South and Central Asia, 111, 112, 116, 119, 121, 124, 125, 127, 344

offi cial development assistance (ODA), by sector

education, 25, 26

food security and rural development, 24

health, 30

offi cial development assistance (ODA), by strategic goals, 16

Indonesia, 75


Ombudsman, 236

One Just World website, 217

ongoing staff, 239, 347–8

online media, see websites and online media

operating result, 222–3

Operation Open Heart, 60

organisation and structure, 8–11, 226–35

business engagement activities, 176

Fraud Control Section, 233

Humanitarian and Stabilisation Division, 9, 138

Risk Management Branch, 232

Whole of Government Branch, 210

Organisation for Economic Cooperation and Development, Development Assistance Committee, 14, 153, 191, 254

Organisational Wellbeing and Support Unit, 247

Our mission, our values, 235

outcomes and programs, 11–223, 339–46

overseas aid gift deduction scheme register, 173

Overseas Development Institute, 192

overseas Posts, 253–5

fraud control, 233, 234

overseas Posts staff, 192, 347, 348

Australia Day Achievement Awards, 249

former graduates rotation pilot, 239

health and safety, 247, 248; Global Corporate Challenge participation, 249

learning and development, 233, 244, 245–6, 248

risk and fraud positions, 233

Oxfam Australia, 170, 192

ozone-depleting substances, 166

P

Pacifi c, 34–68, 155, 162, 217, 343

Australia Awards and scholarships, 206, 207


Framework for Action on Energy Security in the Pacifi c, 30

program information published, 213

small arms trade, 192

Trans-Pacifi c Partnership trade negotiations, 32

volunteers and volunteer programs, 57, 177, 180

women’s participation in parliament and local government, 197

see also Fiji; Papua New Guinea; Samoa; Solomon Islands; Tonga; Vanuatu

Pacifi c Adaptation to Climate Change program, 65, 66

Pacifi c Agreement on Closer Economic Relations Plus negotiations, 68

Pacifi c Community Secretariat, 67–8

Pacifi c Disability Forum, 203

Pacifi c Division, 9

Pacifi c Financial Inclusion Program, 186

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Pacifi c Horticultural and Agricultural Market Access Program, 68

Pacifi c Island Forum, 68, 192

Pacifi c Islands Regional Correctional Women’s Conference, 51

Pacifi c Regional Infrastructure Facility, 187

Pacifi c regional program, 37, 67–8

Pakistan, 116–18, 214


AusAID staff, 192, 245

maternal and child health, 28, 117


Palau, 66, 67, 203

Palestinian Authority, 131

Palestinian Territories, 129, 130–1, 254

paper and printing, 359, 360

Papua New Guinea, 38, 39–46, 174, 213, 217


AusAID staff, 192, 245, 249; risk and fraud position, 233

childhood diphtheria, tetanus and pertussis vaccinations, 36

childhood immunisation and vaccination, 40, 183


disability, people with, 42, 203

education, 40, 42, 43, 206, 207; management information system, 25

elections, 42, 43, 194, 197; women candidates, 26, 197

law and justice, 41, 43, 45, 197

midwives, 28

mining, 43, 188

offi cial development assistance (ODA), 37, 39, 343; by strategic goals, 43

women parliamentarians, 26

Papua New Guinea and Pacifi c program, 16, 34–68, 343

Papua New Guinea–Australia Law and Justice Partnership, 45

Papua New Guinea Business Coalition on HIV/AIDS, 42

Papua New Guinea Department of Education, 40

Papua New Guinea Education Program, 40

Papua New Guinea Electoral Commission, 194

Paraguay, 134, 153

parliamentary committees, 236

parliamentary government, see democratic governance

parliamentary questions, 210

Parliamentary Secretary, 210, 338

part-time staff, 348

participation arrangements, see consultative arrangements

partnership for development agreements, 23, 31–3, 36

East Timor, 84–5

France, 155

Kiribati, 52

Nauru, 63

Pakistan, 118


Samoa, 58

Solomon Islands, 47

Tonga, 60

Tuvalu, 64

United Nations Development Fund Programme, 156

Vanuatu, 52

World Bank Group, 150

Partnership for Maternal, Neonatal and Child Health, 162

pay, see remuneration

peacekeeping and peacebuilding, 157, 158, 191–2

Mindanao, 83

Nepal, 125


Sri Lanka, 121, 123

peat monitoring, 74

peer reviews, 153, 173

people traffi cking, 101–2, 199

People’s Republic of China, see China

performance indicators, 14–15

Africa, South and Central Asia, Middle East and other, 104

departmental support—Outcome 1, 209

East Asia, 69; Australia–Indonesia Partnership for Reconstruction and Development, 220–1

emergency, humanitarian and refugee programs, 137

multilaterals, United Nations, Commonwealth and other international organisations, 146

non-government organisation, volunteer and community programs, 168

Papua New Guinea and Pacifi c, 34

performance management framework, 237, 239

performance pay, 237

performance report, 13–223

period offer agreements, 250–1

pertussis vaccinations, see diphtheria, tetanus and pertussis vaccinations

Peru, 153

pest and disease control, Solomon Islands, 185

Philippines, 82–3, 142, 144, 167, 174


AusAID staff, 192, 245; risk and fraud position, 233

cash transfer program, 186

disability, people with, 202

emissions reduction, 163

evaluation of aid program, 212

fl agship social protection program, 150

hazard mapping, 83, 141


infrastructure, 83, 152

Multilateral Organisation Performance Assessment Network survey, 149



scholarships, 83, 206

veterinary services plan, 103


Philippines Department of Public Works, 83

photographs published on Flickr account, 215

PLAN International Australia, 170

planning, 226, 232

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disability action, 243

fraud control, 233

reconciliation action, 242

workforce, 227, 238–9

plant pest and disease control, Solomon Islands, 185

podcasts, 212

police services, see law and justice

Policy and Sector Division, 9

polio, 29, 62

Port Moresby, see Papua New Guinea

Port Moresby Declaration, 36

Port Vila, see Vanuatu

Portfolio Budget Statement, 15

portfolio membership, 8

post-secondary education, 26

Kiribati, 62

see also higher education; scholarships; technical and vocational education and training

poverty reduction and income generation, 23, 24

Africa, 105

Bangladesh, 120

Cambodia, 88, 89

Caribbean, 135, 136

East Asian region, 99–100, 101

East Timor, 84, 85

Egypt, 129

Fiji, 56

Indonesia, 72, 73, 78, 200

Kiribati, 62

Laos, 91, 92

Latin America, 133

Mongolia, 99

Myanmar, 93, 94

Nepal, 124, 125


Pakistan, 118




Samoa, 58, 59


South and Central Asia, 110

Sri Lanka, 121

Tuvalu, 64

Vanuatu, 53

see also fi nancial services; microfi nance and microentrepreneurs; private sector development

power generation, see energy and energy security

Praxis discussion series, 217

pregnancy, see maternal and reproductive health

primary education, see education

Prime Minister’s Pacifi c Australia Award, 207

printing and paper, 359, 360

prison systems, see law and justice

private sector, 176

private sector development, 150–1, 154

Africa, 108

Kiribati, 62

Mongolia, 99

Nauru, 63

Philippines, 152

Tonga, 60

see also trade and investment

procurement, see purchasing

Program Effectiveness and Performance Division, 9, 230

programs and outcomes, 11–223, 339–46

Project Childhood, 101

Promoting opportunities for all: education, 181

Promoting opportunities for all: general equality and women’s empowerment, 26

promoting opportunities for all strategic goals, see education; women and girls

property management, 253–5, 358

protected areas, 166

public health, see health

public sector, see economic and public sector governance

Public Sector Linkages Program, 178, 210–11

APEC program, 100

Public Service Act 1999, 237

section 24(1) determinations, 349

publications, 212, 213–17

adviser stocktake reports, 219


Annual Review of Development Effectiveness, 209

curriculum materials, 218

Information Publication Scheme, 214, 216


see also Australian Multilateral Assessment; websites and online media

Punjab, 117

purchasing, 250–2

advertising and market research, 354

contract behaviour, 201, 235

green energy, 359

information and communications technology, 359

pyrethrum industry, PNG, 42

Q

Queen Elizabeth Diamond Jubilee Trust, 160

questions, parliamentary, 210

R

Rabaul Queen ferry disaster, 44

rail transport

Cambodia, 89

RAMSI, 47–8, 51

rapid response team, 139

Reconciliation Action Plan, 242

recruitment, see staff recruitment

recruitment and placements unit, 239

recycling, 358, 360

Red Cross, see Australian Red Cross; International Committee of the Red Cross

RedR Australia, 139

Reducing Emissions from Deforestation and Forest Degradation (REDD+), 165, 166

refugees and displaced persons, 130, 142–3

SECTION 6 A

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Myanmar, 93

Palestinian, 131

Regional Assistance Mission to Solomon Islands (RAMSI), 47–8, 51

remittance costs, 154

remuneration, 237, 349

advisers, 219, 227

renewable energy, 163, 345

AusAID green energy purchases, 359

Vanuatu, 54

Republic of Korea, 155

Republic of Palau, 66, 67

Republic of the Marshall Islands, 38, 66, 67

research, 204–5, 228, 346

agricultural, 107–8, 129, 132, 155

Australia Awards recipients’ outcomes, 208

climate change, 155; Mekong region, 96

disability issues, 202

forestry, 165

Justice for the Poor program, 197

military engagement in humanitarian action, 192

see also statistics and data collection

Research Steering Committee, 228

resources, see finance; staff

results framework, 4

reviews and evaluations, 212, 228



Child Protection Policy, 201

Pacifi c regional organisations, 68

peer reviews, 153; non-government organisation accreditation, 173

scholarships and tertiary training assistance, 208

staff learning and development, 244

strategic partnership agreements, 142

United Nations Convention Against Corruption, 196

see also audits; research

rheumatic heart disease, Tonga, 60

rice production, Cambodia, 89

Ride to Work initiative, 359

Rio+20, 141, 166

risk management, 226–7, 232–3

roads, see transport infrastructure

Rogers, Professor Patricia, 231

role and functions, 8, 352

rural development, 24, 185–6, 212

Afghanistan, 112

Africa, 154

East Timor, 85, 87

Indonesia, 73, 76

Myanmar, 94

Pakistan, 116, 118


Solomon Islands, 150

Vanuatu, 53, 54

Vietnam, 80

see also agriculture; water and sanitation

Rwanda, 186

S

Sahel region, Africa, 105, 107, 143

St Kitts and Nevis, 136

St Vincent and the Grenadines, 136

salaries, see remuneration

Samoa, 58–9, 214




people with disability, 38, 59, 203

Samoa Power Sector Expansion Program, 59

satisfaction, 210

see also performance indicators

Satkhira, 144

Save the Children

Children of Uruzgan project, 113, 114

Saving lives: improving the health of the world’s poor, 182

offi cial development assistance (ODA) by, 16, 43, 75

see also health; water and sanitation

scholarships, 26, 205–8, 215

Africa, 106

Bangladesh, 120

Bhutan, 126

Caribbean, 136

China, 98

Fiji, 57

Indonesia, 74, 206, 207

Latin America, 134

Maldives, 126

Mongolia, 99

Myanmar, 94

Nepal, 125

Pakistan, 117



Tuvalu, 65

Vanuatu, 53

Vietnam, 80, 206

school feeding programs, 156, 159

Bhutan, 126

Fiji, 57

Laos, 179

school fees, 48, 59

school infrastructure, 25, 152

Afghanistan, 113

Bhutan, 126, 141

Cook Islands, 66

Fiji, 57

Indonesia, 73

Iraq, 132


Kiribati, 62

Laos, 92

Mongolia, 99

Niue, 66



Solomon Islands, 50

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Sri Lanka, 122

school uniforms, 74

schooling, see education

secondary education, 26

Indonesia, 73, 76


Secretariat of the Pacifi c Community, 67–8

section 24(1) determinations, 349

Security Committee, 228

seminar support, 205, 346

Senate committees, 236

Senegal, 144

senior executive service (SES) staff, 347, 349–50

remuneration, 237, 349

strategic training programs, 244

upwards feedback system trial, 239

see also Deputy Directors General

separations of staff, 227

sex of staff, 347–8, 350

sexual and reproductive health, see maternal and reproductive health

sexual violence, see women and girls, violence against

Seychelles, 255

shipping, PNG, 43, 44

sea ambulance, 46

Sierra Leone, 193

sight, see vision (eyesight)

Sindh, 117, 118, 144

skin cancer tests, 248

slum dwellers, 174

small arms trade, 192

social media and multimedia, 215–16

solar power, 163

Vanuatu, 54

Solomon Islands, 38, 47–51

agriculture and food security, 150, 185


AusAID staff, 192; risk and fraud position, 233


fi nancial services, 130, 175

law and justice, 48, 49, 51, 197

mobile phones, 150



roads, 27, 38, 152, 188

volunteers, 180

wheelchair training package, 202

women, 27, 37, 49, 51

Solomon Islands Correctional Services, 51

Solomon Islands Government–RAMSI Gender Action Plan, 49

Solomon Islands Ministry of Agriculture and Livestock, 185

Solomon Islands National Taskforce on the Elimination of Violence Against Women, 49

Solomon Islands–RAMSI Partnership Framework, 48

Solomon Islands Women’s Crisis Centre, 37

Somalia, 105, 106, 107, 139, 142, 145

stability in, 158

South Africa, 154, 163–4, 255

South America, see Latin America

South and Central Asia, 16, 110–27, 154, 162, 344


Australia Awards, 206

program information published on AusAID website, 213

see also Afghanistan; Bangladesh

South and West Asia Division, 9

South Asia regional program, 111, 127

South Korea, 155

South Pacifi c, see Pacifi c

South Pacifi c Sea Level and Climate Monitoring Project, 68

South Sudan, 106, 107, 193, 195

South Tarawa, 38, 61–2

speakers and community forums, 217

speeches prepared, 216

sport, 123, 136

Sri Lanka, 121–3, 127, 213




Sri Lanka Minister of Education, 122

St Kitts and Nevis, 136

St Vincent and the Grenadines, 136

staff, 237–50, 347–50

see also senior executive service (SES) staff

staff counselling, 247

staff learning and development, 243–6

Australian Civilian Corps, 193

child protection policy obligations, 201

environmental and climate change awareness, 357, 358

ethics and values, 235

for fragile and confl ict-affected state postings or deployments, 192

fraud control awareness, 233

risk management awareness, 233

work health and safety, 247, 248

workplace diversity, 242, 243

staff recruitment, 215, 239–41

disability, people with, 243

indication courses, 235, 244, 245

Indigenous people, 241, 242

staff separations, 227

staff vacancy rate, 239

statistics and data collection, 153, 204, 214

disability and development, 202


sources, 361

South Pacifi c Sea Level and Climate Monitoring Project, 68

sterile water vials, 102

Stop Transboundary Animal Disease and Zooneses Initiative, 102

storm water management, AusAID, 358

Strategic Basin Assessment of the Ganges, 127

strategic planning framework, 226

Strategic Programming Committee, 8, 227

SECTION 6 A

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Strategic Reform Committee, 8, 227

strategic themes, 15


structural reform, APEC region, 100

Sub-Saharan Africa, see Africa

submissions, 210

Sudan, 107

see also South Sudan

sunfl ower seeds, 118

sustainability, see climate change and environment

sustainable economic development, see economic growth and development

Sustainable economic development: improving food security, 24

Switzerland, 255

Syria, 129, 130


syringes and needles, 94, 97, 102, 103

T

Tafea Province, Vanuatu, 53

Talisman Sabre military exercise, 193

Tanna, 53

Tanzania, 106, 108, 154

tax deductible donations, 173

tax revenue, see economic and public sector governance

TB, see tuberculosis

teacher education and training, 25, 151, 152

Bhutan, 141

disaster response, 144

Indonesia, 73, 74

Iraq, 132

Laos, 92, 181

Myanmar, 95

Pakistan, 117

Philippines, 83

Vanuatu, 53

TEAR Australia, 170

technical and vocational education and training

Africa, 107, 108; women, 157

Bangladesh, 120

Cambodian offi cials and professionals, 96

Caribbean offi cials, 136

Chinese offi cials, 98

disability issues, 202, 203

East Asian region offi cials and public servants, 71, 101, 102, 103

East Timor, 87

Fiji, 57

Indonesian offi cials and public servants, 73, 74, 183, 208

Iraq, 133

Kiribati, 62

Mekong region civil servants, 96

mine risk sessions, 195


Papua New Guinea public servants, 43


Sri Lanka mine risk education programs, 122

Tonga, 60; public servants, 61

Vietnam, 80, 199

see also health education and training; staff learning and development; teacher education and training

telecommunications, 188

see also mobile phones

tenders, see purchasing

tertiary education, see post-secondary education

tetanus vaccinations, 183

see also diphtheria, tetanus and pertussis vaccinations

Tete Province, Mozambique, 108

Tetepare Island, 167

textbooks and learning materials, 25, 218

Fiji, 57

Indonesia, 74

Laos, 92

Myanmar, 94, 95

Pacifi c region, 36


Tuvalu, 65

Vanuatu, 53

Thailand, 93, 96, 102, 139, 255

Timor-Leste, see East Timor

toilets, see water and sanitation

Tokelau, 66

Tonga, 59–61


disability policy, 203




Tonle Sap Lake, Cambodia, 174

Torres Strait Islanders, see Indigenous people

Torres Strait TB clinics, 46

tourism, 67, 101

trade and investment, 32

East Asian region, 100–1; Laos, 91, 92

Pacifi c region, 68; Samoa, 58

see also private sector development

traffi cking of humans, 101–2, 199

traineeship program for people with disability, 243

training, see technical and vocational education and training

Trans-Pacifi c Partnership trade negotiations, 32

Transparency Charter, 174, 213–14, 215

Transparency Corruption Perception Index, 82

Transparency International, 196

transport infrastructure, 24, 151, 152, 187–8

Afghanistan, 113

Cambodia, 89, 152


East Timor, 85

Indonesia, 15, 221

Pacifi c region, 36

Pakistan, 117

Papua New Guinea, 40, 41, 42, 43, 44

Philippines, 83

SECTION 6 A

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Tonga, 60–1

Vanuatu, 53

Vietnam, 80

Treasury, 230

tribunal decisions, 236

Trinidad and Tobago, 255

Tripartite Action to Protect Migrant Workers from Labour Exploitation (TRIANGLE), 101

tropical peat monitoring, 74

tuberculosis, 29, 162

Myanmar, 29, 94

Papua New Guinea, 40–1, 42, 46

Tunisia, 129, 143

Turkey, 138

Tuvalu, 37, 64–5, 203, 343

Tuvalu National Adaptation Plan of Action, 65

Twitter, 215

typhoons, see emergency, humanitarian and refugee programs

U

Uganda, 106

UN Women, 156–7, 217

unexploded mines, see mines and unexploded ordnance

United Kingdom, 154, 160, 193

Hunger Safety Net Programme, 108

United Kingdom Department for International Development, 28, 154

United Nations, 155–9, 345, 346

Australian Multicultural Assessment fi ndings, 148, 149, 155–6

disaster risk reduction activities, 141, 145

Global strategy for the prevention and control of non-communicable diseases, 162

Mekong infectious diseases, 103

peacebuilding activities, 157, 192

United Nations Arms Trade Treaty, 192

United Nations Children’s Fund (UNICEF), 156

Bhutan, 141

Iraq, 132

Mongolia, 99

Monitoring Programme for Water Supply and Safety, 31


Somalia, 107

United Nations Conference on Sustainable Development, 141, 166

United Nations Convention Against Corruption, 196

United Nations Convention on the Rights on Persons with Disabilities, 38

United Nations Democracy Fund, 197

United Nations Department of Political Affairs, 158, 192

United Nations Development Programme, 156, 196

Bangladesh, 164

Bureau of Crisis Prevention and Recovery, 157

Mongolia, 99

Pacifi c Adaptation to Climate Change program, 65, 66

Sri Lanka, 123

United Nations Entity for Gender Equality and the Employment of Women (UN Women), 155–6, 217

United Nations Framework Convention on Climate Change COP 17, Durban, 164

United Nations Global Compact Women’s Empowerment Principles, 157

United Nations High Commissioner for Refugees, 130, 142–3

United Nations International Fund for Agricultural Development, 152

United Nations Mine Action Service, 195

United Nations Offi ce for the Coordination of Humanitarian Affairs, 130, 142, 143

United Nations Offi ce of the High Commissioner for Human Rights, 199

United Nations Offi ce on Drugs and Crime, 101, 158, 196, 197

United Nations Partnership to Promote the Rights of Persons with Disabilities, 202

United Nations Peacebuilding Fund, 157

United Nations Permanent Forum on Indigenous Issues, 202

United Nations Population Fund, 106, 162

United Nations Relief and Works Agency, 131

United Nations Women Pacifi c Facility Fund to End Violence Against Women, 37

United States, 154, 214, 255

All Children Reading program, 160

Compact funding, 66

mobile phones for women partnership, 27

MTV End Exploitation and Traffi cking campaign, 101

Talisman Sabre military exercise, 193

Tanzania, 106, 154

universities, see higher education

University of Queensland, 188

University of the West Indies, 136

University of Western Australia, 188

Uruzgan Province, 113–14, 193

USAID, 27, 103, 106, 154, 160

V

vaccination, see immunisation and vaccination

values and ethics, 235

Vanuatu, 38, 52–5, 174, 188, 203


AusAID staff, 245

law and justice, 52, 197; violence against women, 37

mobile phones, 54, 186



Vanuatu Governance for Growth Program, 53

Vanuatu Ministry of Health, 55

Vanuatu Women’s Centre, 37

veterinary services, 102, 103

video conferencing, 359

Vietnam, 79–81, 202


education, 80, 81, 206

eye health, 184

SECTION 6 A

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6

HIV/AIDS, 79; injecting drug users, 102

human rights, 199




veterinary services plan, 103

water and sanitation, 79, 80, 96, 204


Vietnam Climate Change and Coastal Ecosystem Program, 81

Vietnam Red Cross, 80

Vietnam Social and Economic Development Plan 2011–15, 79

violence against women, see women and girls, violence against

Visa International, 27

Vision 2020 Australia Global Consortium, 184

Vision Australia, 243

vision (eyesight), 162, 184

Fiji, 57

Pakistan, 117

staff training session on working with people with low or no, 243

vocational education, see technical and vocational education and training

volcanic eruptions, PNG, 44

volunteers and volunteer programs, 176–80, 201, 346

AusAID staff assignments in Indigenous communities, 242


Cambodia, 90

East Timor, 85

Fiji, 57

Indonesia, 74, 178

Mongolia, 99

see also civil society and civil society organisations; non-government organisations

voting, see elections

W

walking, 249

waste management, AusAID, 358, 360

water and sanitation, 30, 31, 152, 169, 186–7

Africa, 106, 109, 139, 154, 155

Bangladesh, 119, 120, 174, 187

Bequia, 136

Bhutan, 126

Cambodia, 89, 96

Cook Islands, 65


East Timor, 85

Ganges River Basin, 127

India, 125, 126

Indonesia, 31, 72, 150, 154, 208

Iraq, 132

Kiribati, 62

Laos, 91, 96

Marshall Islands, 67

Mekong region, 30, 96

Mongolia, 99

Nepal, 125

Pacifi c region, 36

Pakistan, 117, 118


Philippines, 83


Sri Lanka, 122

Tuvalu, 65

Vietnam, 79, 80, 96, 204

water management, AusAID, 358

WaterAid, 109

websites and online media, 211, 213, 214–16

civil society portal, 174

Focus magazine, 217

global education, 218

ODE Talks podcasts, 212

One Just World website, 217

video conferencing, 359

see also eLearning programs

West Bank, 131

West Kalimantan, 199

Western Province, PNG, 40–1, 42, 46

wetland conservation, Maldives, 126

wheat, 115

wheelchair training, 202

whole-of-government engagement, 210–11, 230–1

whooping cough vaccinations, see diphtheria, tetanus and pertussis vaccinations

Winder, Oliver, 231

women and girls, 23, 26–7, 156–7, 185, 190, 197

Afghanistan, 28, 113–14

Africa, 106, 156–7, 190


East Timor, 85, 87

Indonesia, 72, 73, 74, 77–8; electoral candidates, 26, 197

International Women’s Day events, 217

Latin America, 153, 190

Nepal, 125

Pacifi c region, 36



Tonga, 60

see also maternal and reproductive health

women and girls, education and training of, 26, 190, 205

Afghanistan, 113

Africa, 107, 190

China, 98

Indonesia, 73, 74

Iraq, 133

Laos, 92

Nepal, 125

Pacifi c region, 36

Palestinians, 131

Philippines, 83

Solomon Islands, 51

Vanuatu, 37, 53

SECTION 6 A

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Vietnam, 80

women and girls, violence against (family and sexual violence), 27

China, 98, 199

Democratic Republic of Congo, 142

East Timor, 197



women staff, 347–8, 350

breastfeeding, 249

Women’s World Banking network, 190

work health and safety, 228, 247–9

overseas postings in confl ict-affected states, 192

Ride to Work initiative, 359

workforce planning, 227, 238–9


Working Party on Aid Effectiveness, 153

workplace agreements, 235, 237–8, 349

workplace diversity, 241–3, 350

workplace giving program, 250

workstation assessments, 248

World Bank Group, 150–1, 188, 231

Clean Technologies Fund, 163, 345

corruption programs, 197

East of Doing Business list, 91

effectiveness, 148, 149

Extractive Industries Technical Advisory Facility, 189

Forest Carbon Partnership Facility, 165

fragility and confl ict team, 191

Justice for the Poor program, 197, 198


Philippines, 152

Praxis discussion series, 217

remittance costs, 154

South Asian cross-regional energy agreements, 127

World Development Report on gender equality matters, 27

World Food Programme (WFP), 142, 143–4, 254, 345

Afghanistan, 115

school feeding programs, 159; Bhutan, 126

Syria, 130

World Health Organization, 29, 161–2

eye health programs, 184

Monitoring Programme for Water Supply and Safety, 31

World report on disability, 202

World Organisation for Animal Health, 102

World report on disability, 202

World Trade Organization, 32, 58

World Vision Australia, 170, 217

All Children Reading program, 160

Project Childhood, 101

Solomon Islands partnership, 50

X

Xayaburi, 96

Y

Yemen, 129, 130

young people, 155

Caribbean, 136

East Timor, 85, 87

Egypt, 129

human traffi cking awareness, 101, 102

see also children; education

Youth Upliftment Through Employment program, 136

YouTube channel, 215

Yunnan Province, 97

Z

Zimbabwe, 106, 171, 187


AusAID staff, 192, 245

www.ausaid.gov.au