2011 Annual Report
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Environment Victoria Level 2, 60 Leicester Street, Carlton, Victoria, 3053 P: (03) 9341 8100 F: (03) 9341 8199 E: admin@environmentvictoria.org.au ABN 84 495 053 605 Reg No A0023095M www.environmentvictoria.org.au
This publication uses 100% post-consumer waste recycled fibre, made with a carbon neutral manufacturing process, using vegetable-based inks. Cover image: Murray River near Mildura
CONTENTS
ABOUT US 5 A MESSAGE FROM OUR PRESIDENT AND CEO
6
OUR ACTIVITIES THIS YEAR 7
1. Creating a safe climate
8
2. Restoring our ecosystems to health
9
3. Helping people live sustainably
10
4. Leading environmental ideas, opinion and action
11
OUR CHALLENGES
13
OUR BOARD OF DIRECTORS 14 DIRECTORS REPORT 15 OUR FINANCIAL PERFORMANCE
20
WALKING THE TALK 32 THANK YOU
34
Environment Victoria
2011 Annual Report | 3
The Little Desert National Park, Western Victoria.
ABOUT US
We are Victoria’s leading, independent environment group working to safeguard our environment and the future. We are environmental advocates and educators, speaking up for our environment and helping others do the same. We believe that Victoria’s natural treasures are beautiful, unique and worthy of protection in their own right. And because a healthy environment underpins the lives, health and wealth of all Victorians, we believe safeguarding it is critical to our future. Right now we know that our environment is in serious trouble and because of this, so are all Victorians. But there is hope. We believe we can renew our environment and secure the future. We believe that not only can Victoria have healthy rivers, clean energy, abundant forests and wildlife and zero waste, but doing so will grow clean jobs and industries, and protect people. But if we are to secure the future, we must all act right now to safeguard our environment. We believe that we all have a responsibility to act and that it is our choices today that will determine our own and our environment’s future. That’s why we’re taking action and helping Victorians to do the same. Our big vision is for every Victorian, all 5 million of us, to take part in safeguarding our environment and future.
Our values • Have courage to always speak up for our environment. • Show respect for people and for nature. • Be inclusive and fair in the way that we work.
Our themes 1 Creating a safe climate. 2 Restoring our ecosystems to health. 3 Helping people live sustainably. 4 Leading environmental ideas, opinion and action.
Our ways of working 1 We champion our environment and the people who care about it. 2 We develop solutions and partnerships to create large, permanent environmental outcomes. 3 We help people understand and reduce their impacts on our environment. 4 We continue to build a strong and respected organisation.
Our success indicators We’ll know when we’ve been successful when: • Victorian greenhouse emissions are declining. • Victorians use energy and water efficiently and produce less waste. • Our ecosystems are healthy and connected. • Victorians take actions everyday to safeguard our environment.
Environment Victoria
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A MESSAGE FROM OUR PRESIDENT AND CEO In years to come, 2010 will be remembered as a watershed time for Victoria’s environment and for Environment Victoria. Eleven years of Labor rule came to an end with the election of a Coalition government that was able to scrape through without a substantive environment platform. At the federal level, a minority Labor government was returned with the help of independents and Greens with a focus on pricing pollution and action to save the Murray River. As a result, 2011 began in a climate of uncertainty. The new state government began winding back environmental policies, and in its first budget, slashed funding to Environment Victoria, including our award winning sustainable living program. This decision has been hard to fathom: how is it that a program that gains national recognition as a leader in sustainability, helps the most vulnerable deal with rising water and energy costs, and delivers up to 4 times the environmental benefits of equivalent programs could be axed without explanation? Throughout this uncertainty, Environment Victoria has again provided strong leadership and delivered substantial gains for our environment. As this report demonstrates, we still managed to deliver our campaigns and programs within budget and our supporter base and Green Future Fund has continued to grow. As a result, we’ve taken a big leap towards our goal of financial independence. Despite this, our environment requires urgent and largescale attention. We have conducted a broad review of our strategy and focus which, while confirming our environmental goals and campaigns, highlighted the need to reach out and engage a broader constituency.
Over 80 percent of Victorians are concerned about our environment. Our challenge is to ensure that these Victorians become better informed and engaged to ensure that safeguarding our environment becomes a bipartisan issue. At the end of a year of uncertainty, one thing is clear – Environment Victoria will continue to go from strength to strength and no matter what the obstacle, we will never retreat from standing up for our environment. Donors, supporters and partners can be immensely proud of the efforts of our dedicated and talented team of staff and volunteers. Their work this past 12 months has been exceptional. On behalf of the Board and staff, thank you all for your contributions to our ongoing success as an organisation, and to safeguarding and securing our environment.
Russell Fisher President
Kelly O’Shanassy CEO
Environment Victoria
2011 Annual Report | 6
OUR ACTIVITIES THIS YEAR
It’s never easy securing environmental victories and 2010-11 has been a particularly challenging year. With a state and federal election and a change of government in Victoria, we’ve both won and lost outcomes for our environment. But there has been one constant throughout the year - we never gave up and because of that, we’ve secured wins for our environment! Our achievements at a glance • 20 percent greenhouse emissions reduction target legislated for Victoria. • Doubling of the Victorian energy efficiency target. • Commitment from the Federal Government to close 2000 MW of coal in Australia through the price on pollution. • Commitment from the Victorian Government to retrofit millions of Victorian homes for energy efficiency. • Appointment and legislation of the Independent Environmental Water Holder for Victoria. • Environmental flows finally delivered to Victorian urban and rural rivers. • Commitment from the Victorian Government to massively boost water efficiency and recycling. • A boost to landfill levies and recycling in Victoria. • Environment Victoria wins the Eureka Award for our Sustainable Living program. • Victoria’s multicultural communities become leaders in sustainability. Find more information on these in the following pages.
Rally to Replace ALL of Hazelwood, 6 November 2010. Photo credit: James Thomas
Multicultural Leaders in Sustainability graduate Samer promotes efficient showerheads in his community.
Environment Victoria
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1. Creating a safe climate
We campaign for Victoria to lead the way in slashing greenhouse pollution and pioneering the shift to a clean energy and energy efficient economy. 2010-11 was an incredible year of highs and lows for our safe climate team. Here’s a brief summary of the year and an update on how we’re progressing towards our ambitious 2014 goals. By the way, we know these goals are ambitious and we can’t do it alone, but it’s crucial we get large scale change if we are to secure a safe climate for us all. Victoria’s emissions are falling, and are on target to be at least 50 percent of 1990 levels by 2020
We successfully lobbied the Brumby Government to set a target to reduce greenhouse emission by 20 percent by 2020. This isn’t enough to create a safe climate but it’s a good start. In September 2010, the target was legislated and received multi-party support. Unfortunately, the change of state government has led to uncertainty about the target’s future. The Baillieu Government has said the target is ‘aspirational’ and should be met through federal action. However the state is responsible for greenhouse pollution in Victoria and we will not allow them to evade their responsibilities. We will continue to fight for the state emissions target.
A Victorian coal-fired power station is replaced with clean energy and no new coal plants are built
In July 2010, the Brumby Government committed to phasing out Hazelwood power-station. We were pretty pleased. But unfortunately, the Baillieu Government has since ended all efforts to replace Hazelwood, forcing us to take our plans to phase out coal to Canberra. Since then, the federal government agreed to phase-out 2000 megawatts (MW) of coal-fired electricity. And Hazelwood (1600 MW) is widely tipped to be the first plant replaced. But we know we must continue to work hard to make sure that is the case. In 2010-11 we also launched CoalWatch, an interactive website tracking the expansion plans of the Victorian coal industry and initiated legal action against a new coal-fired power plant that was approved by the EPA in 2011.
Homes are being retrofitted for water and energy efficiency and are on target for 1 million homes to be retrofitted by 2020
Our One Million Homes Alliance convinced the Baillieu Government to get Victoria’s housing stock to an average 5 star energy standard. We’ve done the sums and that means 1.5 million homes will be retrofitted for energy efficiency. It’s not often we get more than we asked for. The Alliance, a partnership of environment, social, consumer, businesses and unions, re-formed in 2011 thanks to funding from our industry partner, mecu. We have already achieved our first goal of doubling the Victorian Energy Efficiency Target which will help fund energy efficiency improvements in homes and businesses. The Baillieu Government is yet to develop their plans to achieve their commitment. This will be the focus of the Alliance in 2011-12.
A price is put on greenhouse pollution in 2011
There’s a very good chance this goal will be achieved later in 2011. Our main contribution to the price on pollution has been through lobbying for the price on pollution to phase out coal and through community rallies and stalls supporting the carbon price. To support the price on pollution, we’ve: • Joined the Say Yes Australia Alliance which held two rallies in Victoria and many more nation-wide. • Held dozens of community information stalls across Melbourne. • Door-knocked the Prime Minister’s electorate in the lead up to World Environment Day. • Lobbied Federal MPs to close coal-fired power plants through the price on pollution.
Environment Victoria
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2. Restoring our ecosystems to health
We campaign for a future where healthy rivers and catchments sustain abundant life and prosperous communities and provide us with good food, clean water and places to love and enjoy. In 2010-11 we focused our energy on both the state and federal governments in an effort to return our rivers to health. Here’s what we got up to and how we’re progressing towards our 2014 goals. The Federal Government agrees to return enough water to save the Murray River
In 2011 and 2012 critical decisions will be made about the future of our greatest river system. A national plan is being developed to set new limits on how much water can be extracted from the Murray and its tributaries. The first draft of the Plan was released in 2010 and under its recommendations, the Murray’s wetlands and magnificent River Red Gums will continue to decline. So Environment Victoria joined forces with other environment groups to put forward the environment’s case. We’ve countered myths generated by those with vested interests who want unsustainable irrigation to continue and we’ve shown that over 77 percent of Victorians want the Murray saved. We’ve also worked with farmers and rural Victorians to speak up for the river. Our work will continue into 2012 as we argue for the river’s future.
The state government delivers promised environmental flows to Victorian rivers and wetlands
We’ve continued to contribute to Victorian policies and decisions that protect and deliver environmental flows, particularly through regional Sustainable Water Strategies. Sometimes we wonder if our hard work makes a difference, but we were pleased in 2010 when promised environmental water was finally delivered to rivers like the Yarra, Snowy, Goulburn and Murray. As part of the 2010 state election, we campaigned for water to be returned to our River Red Gum parks. The state government decided to wait until the outcome of the Murray-Darling Plan before making a decision on this. However we did get the Baillieu Government to adopt many of our urban water efficiency and recycling recommendations which will take the pressure off our rivers as water supplies. Importantly, we continue to work with other environment groups as part of the Victoria Naturally Alliance to advocate for better protection of nature and biodiversity.
Victoria’s Water Act provides equal protection of environmental water rights to consumptive rights
We know it’s easy to provide flows to the environment when there’s plenty of rain but what will happen when the next drought comes along? We joined forces with our friends at the Environment Defenders Office to show how the Victorian Water Act can be improved to ensure a fair share of total available water for our rivers. This is part of our long-term plan for water reform in Victoria. One of our recommendations has already been achieved with the creation of an independent environmental water holder for Victoria.
Environment Victoria
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3. Helping people live sustainably
We help people overcome barriers to sustainable living and find new ways to green up their personal life and tread more lightly on the earth. Our goal is to help communities understand their environmental impacts and reduce their water, energy, waste and greenhouse emissions. We’ve focussed on helping communities that are most vulnerable to rising water and energy costs or who are marginalised for one reason or another. In August 2010, the team was thrilled to win the prestigious Eureka Prize for the Advancement of Climate Change knowledge. Unfortunately the year was to reach a low point after the Baillieu Government began defunding these amazing and unique community programs. We do hope the Victorian Government changes its mind, but we’ll also seek new funding for these programs through progressive corporations and philanthropy. Multicultural Leaders in Sustainability
Kelly O’Shannassy, Michele Burton and Surmeli Aydogan from the Alevi Community Council of Australia, GreenTown partner. Photo credit: Australian Museum Eureka Prizes and 247 Studios.
We provide young migrants and refugees with the leadership skills they need to help their communities live more sustainably. And then we help them run their own sustainability projects. 2010-11 participants hailed from Darfur, Somalia, Ethiopia, Macedonia, Turkey, Vietnam, Afghanistan, Iraq and Indonesia. Their projects included setting up an electronic waste recycling collection facility and planting thousands of native grass seeds in Melbourne’s west. But grass seeds were not the only ones being sown. The seed of environmental action will be reaped by all those who live in the communities of these incredible young people.
GreenTown
Speaking another language shouldn’t be a barrier to doing something for our environment and GreenTown makes sure of it. We train a small group of people from culturally and linguistically diverse communities in sustainability audits and help them carry out free audits in the homes and businesses of others in their community. We’ve translated sustainability materials into 18 different languages, and we’ve established an online resource hub for practitioners working with multicultural communities. We’re astonished by how much energy and water GreenTown participants are saving. Early data shows GreenTown participants save up to four times more energy than equivalent programs.
Sustainable Living for Regional Victoria
After four years helping seniors, youth and low income families across Victoria live more sustainably, we delivered our last regional program in Central Gippsland. Over the four years of this program: • 20 regional programs were delivered. • 2,136 people were trained and they helped tens of thousands more. • 80 million litres of water were saved. • 3,300 tonnes of emissions were prevented.
Environment Victoria
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4. Leading environmental ideas, opinion and action We influence environmental policy, ideas and opinion in Victoria and hold the state government and decisionmakers to account for their decisions and actions. But most of all, we reach out to people that are not traditionally part of the environment movement. In 2008 we said we needed to ramp things up to safeguard our environment in the face of climate change, dwindling rivers and our unsustainable lifestyles. So we set ourselves a bold (some might say impossible) task of helping 5 million Victorians to take action for our environment. A couple of years in and we’ve already helped over half a million Victorians take action, 173,243 in the last year alone. And that’s just the ones we’re directly involved with! We’ve also helped to change laws so every person does the right thing by our environment. From laws that ensure TV’s and computers are recycled, to laws to boost energy efficiency, we are increasing the opportunities for all Victorians to take action. When it comes to the environment, we’re the go-to people in Victoria. So it’s no surprise that over the 20102011 financial year, we generated over 200 media stories and were quoted in hundreds more in the mainstream media. Typically we’re in one media story a day! From
extensive television coverage on our campaigns, to front-page articles in The Age, we made sure that the environment stayed front-and-centre in the media. With 2010 being an election year, we coordinated a joint effort (with our friends the Victorian National Parks Association, Friends of the Earth and the Wilderness Society) to set the environment agenda for the state election and hold political parties to account for their election promises. Despite placing pressure on the parties, the environment and climate change were not prominent in the state election debate. This is something we plan to turn right around for the 2014 election. Finally, we believe the state government is responsible for ensuring a healthy environment for all Victorians and that their decisions today will be the legacy for our children tomorrow. So to make sure they do their job, we launched EnviroWatch, a rolling report card on the Baillieu Government’s environmental performance online. For more than 40 years Environment Victoria has held state governments of all political affiliations to account for their environmental decisions. We hope that by doing this and providing robust and innovative ideas for a clean, sustainable Victoria, we will encourage the government to take action for, not against our environment.
Environment Victoria
2011 Annual Report | 11
173,243
people took a green action with us They signed a petition, spoke to their MP, attended a rally, door-knocked and letter-boxed materials, donated, joined the Environment Victoria team and saved energy, water and waste in their homes and businesses. Here’s a snapshot of actions people took:
36,671
people participated in our programs, events and rallies
21,445
people supported our activities
1,837
people donated to us
91
people were trained as environmental leaders
Multicultural Leaders in Sustainability graduates Adau and Ngoc worked together to bring energy and Environmentwater Victoria conservation message to diverse communities.
2011 Annual Report | 10
OUR CHALLENGES
It’s been a tumultuous year and it’s probably going to get tougher.
suspects we need to engage, we need to reach out to all communities across the state.
More than ever before, communities and businesses are doing their bit to safeguard our environment. As we go about the daily grind, we see pockets of hope everywhere we look. Buildings that produce energy and grow food. Electric cars that run on renewable energy. Communities taking action into their own hands rather than waiting for political leaders to catch up.
The state government’s own research tells us that over 80 percent of Victorians want the environment protected. So we know most Victorians no matter who they vote for, want action, we just need to help them speak up! So over the next four years to 2014, we’re planning a massive engagement strategy across Victoria to show this government (and the Opposition) that the environment is not a partisan issue, everyone wants it protected!
The new state government does not yet have a plan to restore our environment or combat climate change. Despairingly, they’ve taken a number of regressive actions such as putting cattle into national parks, stymying wind farms and supporting new coal-fired power plants. These actions are obviously devastating for our environment and also for our future prosperity. Clean, green jobs and economies are the way of the future and we fear Victoria is being left behind. We’ve got to get Victoria back on track and we can only do that if we all stand up for our environment. So as we roll out our immediate 2011-12 activities to stop the new HRL coal-fired power plant, save the Murray River and replace Hazelwood, we must also put in motion a long-term plan to engage Victorians to get the environment back on the agenda. And it’s not the usual
We also know that while we have many excellent solutions to safeguard our environment, we’ll need to work harder to show the economic benefits of those solutions. We’ll need to partner with economists and progressive businesses to show that its not just environmentalists who think safeguarding our environment is a good idea. Finally, we’ll be refocusing our Sustainable Living program. Not only will we need to find new funding sources, but we intend to help more people so that we can create faster, larger scale behaviour change. These are our challenges for 2011 and beyond. And of course, we still have the challenge of securing our financial future and you can read more about that on page 24.
Environment Victoria
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OUR BOARD OF DIRECTORS Environment Victoria would like to thank Doug Gimesy and David Osborn who retired from the Environment Victoria Board in 2010-11. Their commitment and passion guided Environment Victoria to great gains in safeguarding our environment and future.
Russell Fisher | President and Trustee Russell is Director of Sustainability in Mind and works with a broad range of organisations to help them find new ways of working and living more sustainably. Russell joined the Board in September 2004.
Elizabeth McKinnon | Vice President, Trustee and Chair Governance Committee Elizabeth is a solicitor at the Environment Defenders Office and specialises in public interest environmental law. She has degrees in Law and Environmental Science. Elizabeth joined the Board in September 2008.
Simone Zmood | Secretary and Chair of the Finance, Audit and Risk Committee Simone runs a consulting firm providing high-level strategic advice to multinationals, ASX200 companies, government-owned corporations, start-ups and not-for-profits across a range of areas encompassing strategy development, market positioning, business planning, operational improvement, portfolio analysis and performance management. Simone joined the Board in September 2010. Sue Noy | Chair of the Fundraising and Marketing Committee Sue works as an academic teaching and researching sustainability education at Deakin University. As a healthy environments consultant she also works to encourage health professionals to incorporate sustainability thinking into their work. Sue’s background is in behaviour change, adult education and communications. Sue joined the Board in September 2005.
Environment Victoria
Amanda Nuttall Amanda works as a sustainability advisor for Net Balance specialising in environmental and climate change management and sustainability strategy, reporting and assurance. She holds a Master of Environment, Graduate Certificate in Development Studies and a Bachelor of Business. Amanda joined the Board in September 2008. James Meldrum James is co-founder of Nourish Foods, one of Australia’s leading organic food companies. He has senior management experience in marketing, brand strategy, business planning and marketing communications. James holds a Bachelor of Town & Regional Planning and a Master of Business Administration. James joined the Board in February 2010. Robyn Murphy Robyn has a background in business and financial analysis, planning and reporting, strategy development and the valuation of intangible assets based upon economic worth. She has prior experience in corporate advisory, influencing government policy, operations, general management and not for profit governance. Robyn joined the Board in September 2010. Jeana Vithoulkas Jeana is a writer with extensive experience in communications, community relations and campaigning, and has worked with a wide range of organisations - including NGO’s, unions, the finance sector and government. She is currently employed by Essential Media Communications and is a freelance writer for various publications. Jeana joined the Board in September 2009. Hugh Wareham | Trustee Hugh is the inaugural CEO of ECO-Buy, Australia’s leading green purchasing organisation and a Centre of Excellence in Environmental Purchasing. Hugh was previously the Deputy to Victoria’s Commissioner for Environmental Sustainability and has held a number of senior positions for the UK Environment Agency. Hugh has an Honours Degree in Marine Biology and a Masters Degree in Applied Fish Biology. Hugh joined the Board in September 2010. 2011 Annual Report | 14
DIRECTORS REPORT
Governance
Role of the Board
Environment Victoria Incorporated (referred to in this document as Environment Victoria) is a not-forprofit incorporated association under the Associations Incorporation Act 1981 (Victoria). The principle activities of Environment Victoria are to safeguard Victoria’s environment through advocacy and education. As of June 30, 2011 we had 416 individual members, 88 group members, 2,124 donors and 21,445 supporters.
The Board’s primary role is the good governance of Environment Victoria, including the development and monitoring of long-term directions and goals and strategies and policies to achieve these goals. The Board also appoints and manages the CEO and ensures the organisation complies with its contractual, statutory and legal obligations; remains financially viable and proactively manages any risks.
The organisation is governed by a Board of Directors inline with the requirements of Environment Victoria’s Rules of Incorporated Association. Directors are appointed by Environment Victoria members at the annual general meeting, and are members themselves. The Board may co-opt a person to the Board but they must still be voted in at the proceeding AGM. Directors do not receive remuneration for their role but may receive out-of-pocket expenses to enable them to fulfill their duties.
To meet these governance requirements, board membership is diverse and includes key competencies such as environmental policy and strategy, finance, legal, fundraising, strategy, audit, risk, communications and engagement. The Board regularly reviews the skills necessary to undertake its activities.
While Directors govern the organisation and retain ultimate authority over the organisation’s management, they delegate the day-to-day management to the Chief Executive Officer. The CEO’s responsibilities are limited and guided by a framework of direction, performance criteria and monitoring set by the Board. The process of evaluating the CEO is ongoing and the Board conducts an annual performance review of the CEO.
The proceedings of the Board are governed by the Rules of Environment Victoria. The Board must meet at least four times a year but typically meets monthly. The Board operates sub-committees to assist in governing the organisation by asking sub-committee’s to examine various issues and make recommendations to the Board. The Board currently operates four sub-committees, with membership consisting primarily of Directors with support from co-opted experts. The Board can not and does not abrogate its responsibilities to sub-committee members.
Environment Victoria Incorporated operates the Environment Victoria Trust (the ‘Trust’) which receives donations to support the organisation’s activities. Although the Trust is a separate legal entity to Environment Victoria Inc, all donations to the Trust are provided to Environment Victoria Inc. The Trust is managed by the Environment Victoria Trustees under the provisions of the Environment Victoria Trust Deed. Trustees are appointed by the Board.
Environment Victoria
2011 Annual Report | 15
Finance, Audit and Risk Committee The purpose of this committee is to assist the Board to fulfill its responsibilities for the financial reporting process, the system of internal controls, the audit process, the organisation’s process for monitoring compliance with laws and regulations and codes of conduct and the organisation’s process for recognising, identifying and dealing with risks.
Fundraising and Marketing Committee
Governance Committee The purpose of this committee is to provide advice to the Board on processes, policies, systems and frameworks that help maximise the efficiency, effectiveness and quality of Environment Victoria and the Board.
Remuneration and Performance Committee This purpose of this committee is to oversee the management and performance of the CEO.
The purpose of this committee is to provide advice to the Board on strategies to enhance the reputation and capacity of Environment Victoria, and to contribute to its long term financial strength through an effective revenueraising strategy.
The lovely Rainbow Bee-eater in the Goulburn River.
Environment Victoria
2011 Annual Report | 16
Meeting attendance Meetings attended
Board
Finance, Audit & Risk Committee
Fundraising & Marketing Committee
Governance Committee
Remuneration & Performance Committee
Trust
Russell Fisher
8/10
-
-
-
2/2
7/8
Elizabeth McKinnon
9/10
-
-
4/4
-
8/8
Sue Noy
9/10
-
5/5
-
-
-
Amanda Nuttall
9/10
1/2
-
4/4
-
-
Jeana Vithoulkas
4/10
-
3/5
-
-
-
James Meldrum
8/10
-
5/5
-
-
-
Hugh Wareham
6/10
-
-
4/4
2/2
4/5
Simone Zmood
7/7
4/4
-
-
-
-
Robyn Murphy
6/7
4/4
-
-
2/2
-
David Osborn*
3/3
-
-
-
-
7/8
Doug Gimesy+
4/5
3/3
-
-
-
-
-
4/5
-
-
-
-
Peter Carey#
* previously a Board member, current Trustee of the Environment Victoria Trust + previously a Board member # non-executive member of the Finance, Audit and Risk Committee
Environment Victoria
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Our strategy In 2008 we developed a new Strategic Plan for Environment Victoria and reviewed it in 2011 to make sure we were on the right track. In reviewing the Strategic Plan, we: 1 Evaluated the effectiveness and impact of our programs. 2 Gathered information on environmental health and trends to help determine environmental priorities. 3 Spoke to experts from government, business, philanthropy, media, politics, academia and civil society to get their view on our environmental challenges and performance. 4 Surveyed our members and donors on what they felt was important for us to work on. The summary of the findings from this review indicated that: Environment
Top priorities for action were identified as climate change and population and consumption.
Political
The new state government is seen as a threat to our environment. However, people saw opportunities to work with the government on sustainability as it relates to livability.
Economic
Economic growth and security and cost of living will underpin government decisions. This makes the preparation of business cases critical to get support for environmental action.
Social
Social attitudes will drive government action on the environment making our influence on public opinion critical. Community fatigue on politics and climate change must be overcome.
Our goal
There was clear support for our goal although it could be more clearly articulated and measured.
Our focus
There was clear support for our focus areas of safe climate, healthy ecosystems and sustainable living.
Our activities
• Our solution focus is highly supported as our solutions are not only practical and achievable but also
robust and influential. • Our partnership focus is highly supported but could be more strategic to be more influential. • Our community engagement activities are effective but largely focus on communities that already agree with us. Our capacity
Satisfaction
• We need to boost our capacity to engage and mobilise communities state-wide. • We need a focused effort on developing the capacity of our people. • We need more resources to increase our campaign and program capacity. Over 95 percent of our members are satisfied with Environment Victoria.
Environment Victoria
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Our research found that our goals, priorities and strategies are essentially the right ones and that there was significant support across all sectors of Environment Victoria’s work. In fact, people were glowing in their opinion of our work over recent years, with particular praise for our robust, evidenced based solutions, our partnerships and alliances and our honesty and conviction. As a result we have not fundamentally changed our Strategic Plan (which is articulated on page 5). We will however make some changes to the way we implement our strategy. • We’ve been clearer on our goals (see pages 8 - 11 of this report). • We’ve developed a four year Activity Plan to make sure our campaigns and programs are strategic and focused on delivering our goals and driving big, long-term change for the better. • We’ll increase our focus on sustainable consumption because people see this as a fundamental cause of environmental decline. • We’ll boost our capacity building program for our staff. • We’d like to formalize our processes for working with our supporters to determine our policies and programs, and we will begin this process in 2012. • We’ll put in motion a long-term plan to engage Victorians across the state to get the environment back on the agenda. And we’ll focus on communities that we don’t formally reach but that care about our environment.
• We’ll boost our focus on the economic benefits of a healthy environment and our policy solutions. And we’ll partner more strategically with economists and progressive businesses to convince our government that a healthy environment is good for the economy. • We’ll renew our Sustainable Living program to reach more people so that we can create faster, larger scale behaviour change. • We’ll seek new funding partnerships particularly with progressive, ethical businesses. Adherence to regulations Environment Victoria’s activities are subject to a number of regulations under Commonwealth and State law. These regulations include those associated with the proper governance of our organisation’s management, finances, fundraising and safety. We have met these regulations throughout the year. Signed in accordance with the resolution of the Board of Directors:
Russell Fisher President
Environment Victoria
2011 Annual Report | 19
OUR FINANCIAL PERFORMANCE
We would like to thank Environment Victoria’s incredible donors for their support over the past year. It’s their financial support that has ensured that our organisation continues to work to safeguard our environment through these turbulent times for our finances. In 2010-11, our income was lower than in recent years largely due to the state government withdrawing its funding from Environment Victoria’s community education and behaviour change activities. These are the only funds received from the state government and without a change in sentiment from them, we anticipate losing all state funds to the tune of $1 million by 2012. Some years ago we anticipated this loss of government funds and invested in our fundraising program to provide independent funds for our work. So we are now pleased to say, our fundraising income grew by 70 percent in 201011 and our Green Future Fund has received gifts of $2.05 million to help secure our finances and a green future for Victorians. This indicates that there is widespread support for our work to safeguard Victoria’s environment. While we are disappointed that the state government has chosen not to support our vital environmental education work, our forward thinking fundraising strategy has well positioned us to take advantage of opportunities to increase our financial independence.
$2.02 million
$1.99 million
71 percent
+70 percent
Funds received
Funds spent
Spent on campaigns and programs
Increase in donations
$2.05 million x
Environment Victoria
In our Green Future Fund
2011 Annual Report | 20
Environment Victoria Incorporated
Figure 1. Income breakdown 2% 1% 3% 2% 4%
Environment Victoria Inc’s total income for the year was $2.02 million and our expenses were $1.99 million. The final result was a small surplus of $17,684. We were pleased that despite the loss of state funds, we managed our expenditure to avoid a financial loss while still delivering what counts, environmental outcomes. In 2010-11, our major income sources were state government (although this is not expected after 2012) and donations. 71 percent of our income was spent on our environment campaigning and education activities, 11 percent on raising funds and 18 percent on essential administration.
Environment Victoria Trust Although the Trust is a separate entity to Environment Victoria Inc. and its finances are separately reported, its sole purpose is to accept donations to support the work of Environment Victoria.
6% Government grants Supporter donations NGO sponsorship 51%
Trust & Foundations Investments Other Corporate sponsorship Membership
32%
$2,016,735 Total income
Figure 2. Expenditure breakdown 11%
18% Campaigns & programs Administration Fundraising & marketing
Tax-deductible donations of $1.7 million were received into the Trust in 2010-11. • $525,3931 was transferred to Environment Victoria Inc to fund urgent activities in 10/11. • $180,000 will be provided to Environment Inc to fund 2011-12 activities. • $997,500 was invested in our Green Future Fund.
1
71%
$1,999,051
Total expenditure
Transfers to EV Inc were actually $575,393 which included a $50,000 transfer from a donation to Trust made in 09/10.
Environment Victoria
2011 Annual Report | 21
The Green Future Fund Donations and bequests to the Green Future Fund are ethically invested and used over the 20 years to generate reliable income to support Environment Victoria’s longterm activities. 5 percent of the Green Future Fund capital amount and all the annual investment earnings are transferred to Environment Victoria Inc. each year.
GOAL
$6.5 Million by 2015
In 2010-11, the Green Future Fund provided $102,500 to Environment Victoria Inc. This represents 5 percent of the Green Future Fund capital as of June 2011. No earnings were transferred in 2010/11 as this was the first year of the Fund’s investment and earnings will not be known until 2011/12 (at which time they will be transferred to Environment Victoria Inc). Since its launch in 2010, the Green Future Fund has received $2,050,000 in donations and 15 people have pledged bequests to the Fund through their Will. Our goal for the Green Future Fund is to raise $6.5 million by 2015, generating $0.5 million annually for our urgent activities.
RAISED
$2.2 Million
We offer our sincere thanks to all of our incredible donors, including the donors to our Green Future Fund: the Dara Foundation (the Green Future Fund Founding Donor) which gave $2 million, and Dr P. Currie and Mr M. Shore who have each generously given $25,000.
Environment Victoria
2011 Annual Report | 22
$2,050,000 Green Future Fund Donations
$1,897,500 is ethically invested
$152,500
has been used to support Environment Victoria activities
Our Financial Future Environment Victoria has $554,320 in members’ reserves and $1.9 million invested in the Green Future Fund.
Figure 3. Our transition to financial independence
Looking ahead, our financial arrangements are tight. Our Green Future Fund is off to a brilliant start but we must remain vigilant in seeking new funding sources and managing our expenditure, as we are highly likely to lose all state government funds.
100% 90% 80% 70%
Other
60%
Sponsorship Investments
50%
We know that to secure our environment’s future, we must secure our own, independent financial future. So in 2009, we started a five year transition towards financial independence. Our aim is to achieve at least 75 percent of our funds from non-government sources. This is fairly ambitious considering we started with 25 percent of our funds being from independent sources and 75 percent from governments. So we are already half way towards our goal! Our main source of independent funds and the focus for our fundraising will continue to be donations and the Green Future Fund.
Government grants
40%
Trusts & Foundations
30%
Supporter donations
20% 10% 0% 2008-09
2010-11
Goal
We will also be focusing on securing funds for our programs from progressive and ethical businesses and the Board has begun a process of identifying suitable businesses.
Environment Victoria
2011 Annual Report | 24
Environment Victoria Inc Income Statement
ENVIRONMENT VICTORIA INC ENVIRONMENT VICTORIA INC INCOME STATEMENT INCOME STATEMENT FOR THE YEAR ENDED 30 JUNE 2011 FOR THE YEAR ENDED 30 JUNE 2011 20112011 $ $
NoteNote
Revenue ‐ GVEHO Revenue ‐ GVEHO Revenue ‐ Other Revenue ‐ Other
20102010 $ $
2, 152, 15 87,000 87,000 87,000 87,000 2 2 1,929,733 1,929,733 2,281,663 2,281,663 2,016,733 2,016,733 2,368,663 2,368,663
Employee benefits expenses Employee benefits expenses Depreciation expense Depreciation expense Seminars, workshops and meeting expense Seminars, workshops and meeting expense Operating Lease expense Operating Lease expense Publication costs Publication costs Events & Travel Events & Travel Occupancy & Office Occupancy & Office Other expenses Other expenses
( 1,297,106) ( 1,297,106) ( ( 1,359,961) 1,359,961) ( ( 17,689) 17,689) ( ( 18,518) 18,518) ( ( 56,203) 56,203) ( ( 26,179) 26,179) ( ( 103,629) 103,629) ( ( 96,349) 96,349) ( ( 162,135) 162,135) ( ( 152,646) 152,646) ( ( 83,539) 83,539) ( ( 79,965) 79,965) ( ( 98,088) 98,088) ( ( 88,252) 88,252) ( ( 180,661) 180,661) ( ( 320,044) 320,044) ( 1,999,050) ( 1,999,050) ( ( 2,141,914) 2,141,914)
Profit before income tax Profit before income tax
3
3 17,683 17,683 226,749 226,749
Income tax expense Income tax expense
1
1 ‐ ‐ ‐ ‐
Profit after income tax Profit after income tax
17,683 17,683 226,749 226,749
Retained profits at the beginning of Retained profits at the beginning of the financial year the financial year
514,286 514,286 287,537 287,537
Retained profits at the end of the Retained profits at the end of the financial year financial year
531,969 531,969 514,286 514,286
Environment Victoria
2011 Annual Report | 25
Environment Victoria Inc Statement of Financial Position
ENVIRONMENT VICTORIA INC ENVIRONMENT VICTORIA INC STATEMENT OF FINANCIAL POSITION STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2011 AS AT 30 JUNE 2011
CURRENT ASSETS CURRENT ASSETS Cash and Cash Equivalents Cash and Cash Equivalents Term Deposits Term Deposits Security Deposit Security Deposit Trade and Other Receivables Trade and Other Receivables Prepayments Prepayments
Note Note
2011 2011 $ $
2010 2010 $ $
4 4 5 5 6 6 7 7 8 8
555,741 555,741 335,878 335,878 22,687 22,687 109,450 109,450 28,065 28,065
675,405 675,405 508,230 508,230 22,687 22,687 72,293 72,293 44,255 44,255
TOTAL CURRENT ASSETS TOTAL CURRENT ASSETS NON CURRENT ASSETS NON CURRENT ASSETS Plant and equipment Plant and equipment Investments Investments TOTAL NON CURRENT ASSETS TOTAL NON CURRENT ASSETS
1,051,821 1,322,870 1,051,821 1,322,870 9 9 6 6
TOTAL ASSETS TOTAL ASSETS CURRENT LIABILITIES CURRENT LIABILITIES Trade, Other Payables and Annual Leave Trade, Other Payables and Annual Leave Employee Provisions Employee Provisions Grants in Advance Grants in Advance
43,026 43,026 105,521 105,521 148,547 148,547
54,760 54,760 106,456 106,456 161,216 161,216
1,200,368 1,484,086 1,200,368 1,484,086 10 10 11 11 12 12
222,240 222,240 71,131 71,131 352,690 352,690
157,303 157,303 52,328 52,328 736,896 736,896
TOTAL CURRENT LIABILITIES TOTAL CURRENT LIABILITIES
646,061 946,527 646,061 946,527
TOTAL LIABILITIES TOTAL LIABILITIES
646,061 946,527 646,061 946,527
NET ASSETS NET ASSETS
554,307 537,559 554,307 537,559
MEMBER FUNDS MEMBER FUNDS Reserve ‐ Investments Revaluation Reserve ‐ Investments Revaluation Retained Profits Retained Profits
6 6 13 13
TOTAL MEMBERS FUNDS TOTAL MEMBERS FUNDS
Environment Victoria
22,338 22,338 531,969 531,969
23,273 23,273 514,286 514,286
554,307 537,559 554,307 537,559
2011 Annual Report | 26
Directors declaration
Environment Victoria
2011 Annual Report | 27
Environment Victoria Trust Statement of Receipts and Payments
ENVIRONMENT VICTORIA TRUST ENVIRONMENT VICTORIA TRUST STATEMENT OF RECEIPTS & PAYMENTS STATEMENT OF RECEIPTS & PAYMENTS FOR THE YEAR ENDED 30 JUNE 2011 FOR THE YEAR ENDED 30 JUNE 2011 2011 2011 $ $
2010 2010 $ $
516,190 516,190 142,718 142,718 1,050,000 1,050,000 48,227 48,227 1,757,135 1,757,135
511,255 511,255 ‐ ‐ 1,000,000 1,000,000 714 714 1,511,969 1,511,969
PAYMENTS PAYMENTS Fees 10,384 Fees 10,384 Green Future Fund Transfers to Environment Victoria 102,500 Green Future Fund Transfers to Environment Victoria 102,500 Transfer to Environment Victoria 472,893 Transfer to Environment Victoria 472,893 585,777 585,777 Surplus in Trust 1,171,358 Surplus in Trust 1,171,358 Opening Retained Income 955,153 Opening Retained Income 955,153 Closing Retained Income 2,126,511 Closing Retained Income 2,126,511
781 781 50,000 50,000 725,224 725,224 776,005 776,005 735,964 735,964 219,189 219,189 955,153 955,153
RECEIPTS RECEIPTS Donations Donations Appeals Appeals Green Future Fund Donations Green Future Fund Donations Interest Received Interest Received
Environment Victoria
2011 Annual Report | 28
Environment Victoria Trust Balance Sheet
Environment Victoria
2011 Annual Report | 29
Trustees declaration
Environment Victoria
2011 Annual Report | 30
Auditors Opinion
Environment Victoria
2011 Annual Report | 31
WALKING THE TALK
We strive to meet the same environmental, ethical and labour standards that we demand of others.
Environmental report Avoiding greenhouse pollution • We emit no greenhouse pollution from our electricity use as we use 100 percent green electricity that is either generated at our premises at the 60L green building or purchased from accredited sources. • We do not own a car fleet and we seek to take public transport or cycle wherever possible. • We minimise our use of hire cars and flights and offset the emissions we can not avoid. Saving water • We use rainwater or recycled wastewater that is captured and treated at our premises for our water needs. • Our wastewater is recycled. Working sustainably • Our office fit-out comprises largely of recycled materials. • We use 100 percent recycled paper for all our printing. • We compost our organic waste and we separate and recycle any waste materials. • Our kitchen included pre-loved crockery and cutlery. • Our catering is vegetarian. • We minimise our consumption of water, paper, energy and materials (even sustainable products should be used efficiently!)*
Ethical investment and funding report Our Corporate Partnerships Policy requires us to screen potential corporate donors and trusts to assess if their activities and operations are compatible with our vision, values and goals. We do not to accept donations from organisations that have a poor environmental, social or ethical record or whose operations impact negatively on our environment or community. Our Investment Policy requires us to screen all potential organisations we may invest in. We’ve developed an ethical overlay for our investments that avoids all organisations with a poor environmental record or whose operations impact negatively on our environment or community. The Trustees review our investments quarterly to ensure they continue to meet our ethical overlay.
Supporting our staff As of June 30, 2011 we had 17 employees working in Melbourne. Our staff enjoy family-friendly work practices including flexible working hours, leave arrangements and working from home. Over recent years, the organisation has worked to ensure staff salaries are highly competitive with other leading non-government organisations so that we attract and keep the best people. We are now working on providing better development opportunities for our staff so that they can not only have a greater influence on Victoria’s environment but also grow their skills and professional development.
Safety report The safety of our staff, volunteers and contractors is a high priority for the Board. During the year we experienced no major safety incidents. *
In 2011/12, we will measure our use of energy, water and key materials to enable us to benchmark our consumption habits
Environment Victoria
2011 Annual Report | 32
Sustainable renter Clancy Moore mulching his garden
THANK YOU
We’d like to extend a heartfelt thank you to all of our members, donors, funders, volunteers and supporters who have made it possible for us to continue our work on behalf of our environment.
Our donors We would like to thank the thousands of Victorians that donated to Environment Victoria in 2010-11. Your gift made the environmental outcomes we achieved possible and we thank you sincerely.
Thank you to our regular volunteers Our dedicated volunteers provided thousands of hours of service to Environment Victoria last year. We could not get by without them so we thank them from the bottom of our hearts. Anne Martinelli Bec Mercer Benita Auterinen Bob Michael Bronwyn Plarre Cameron Steele Catheryn Thompson Cindy O’Connor Cassie Mealey Danny Venzin Emma Stott-Thorton Eleanor Villani Fran Henry
Gabby Fakhri Hamish Fawns Helen Collins Ian Penrose Ivano Cascone Janet Gellie James Williams Jo Tenner Joan Selby-Smith John Egan John Knox Katerina Gaita Kaye Cleary
Lakshmi Venugopal Lance Lessels Laura Knight Les Smith Lina Hassan Linda Rowe Lynne Holroyd Mal Brown Melissa Howard Mesko Ayouz Neil Barter Noel Will Polly Hughes
Environment Victoria
Peter Flanagan Robyn Erwin Samia Mikhai Sue Williams Steve Pollard Sultan Cinar Surmeli Aydogan Suzan Saka Tim Curmi Wayne Heywood Xiaomei Tan Zahy Zaibak
2011 Annual Report | 34
Thank you to our financial supporters AMES St Albans Brimbank City Council City West Water Consumer Utilities Advocacy Centre The Dara Foundation Dept. of Sustainability and Environment Dept. of Sustainability, Environment, Water, Population & Communities Dept. of Transport Earth Welfare Foundation Environment Protection Authority The ETA Basan Charitable Trust managed by Trust Company Limited
Fosters Community Grants Ivor Ronald Evans Foundation administered by Equity Trustees Lord Mayor’s Charitable Foundation mecu Melbourne Community Foundation Mullum Trust Perpetual Trustees Ross Knowles Foundation Sustainability Fund Sustainability Victoria
Thank you to our partners and in-kind supporters Aborigines Advancement League AMES St Albans Alevi Community Council Alternative Technology Association AusCopy Australian Conservation Foundation Australian Ethical Investments Ann Martinelli Baw Baw Shire Bluefish Bob Burton Brotherhood of St Laurence Centre for Multicultural Youth City West Water City of Melbourne Climate Action Network Australia Climate Institute Collingwood Community Information Centre
Collingwood Neighbourhood Renewal Consumer Utilities Advocacy Centre Cultivating Community Doctors for the Environment Environmental Defenders Office Flemington Neighbourhood Renewal Friends of the Earth Gippsland Climate Change Network Goodling Web Design and Development Goulburn Valley Environment Group Greenpeace Gurwidj Neighbourhood House Hepburn Wind Independent Outdoor Media Inland Rivers network
Kildonan Kirsty Edwards Kurnai College Locals into Victoria’s Environment Michael Alexander Migrant Information Centre mecu Melbourne Transport Forum Moonee Valley City Council Moreland Energy Foundation Nick Fredericks Oxfam Portable Content Print Bound Philology Probus Ladies Public Transport Users Assoc. Say Yes Australia Alliance South Gippsland Shire
Environment Victoria
Stop HRL Collective Sustainable Living Foundation Traralgon Neighbourhood House TRY Youth Services Uniting Church of Australia Victorian Climate Action Centre Victorian Climate Action Groups Victorian Council of Social Services Victorian Local Government Association Victoria Naturally Victorian National Parks Association Vietnamese Welfare Resource Centre The Wilderness Society World Vision Yarra Valley Water Zhivana Marks
2011 Annual Report | 35
Our Staff Lastly, we wouldn’t have achieved anything for our environment without our dedicated staff. They work tirelessly for the environment and they never, ever give up, even when the going gets tough. We thank them for their incredible leadership and work.
Communications & Fundraising team Communications Manager: Vicki Kyriakakis
Chief Executive Officer: Kelly O’Shanassy
Communications Officer: Sarah Dobney
Campaigns team
Media Officer: Louise Matthiesson
Campaigns Director: Mark Wakeham
Fundraising Manager: Amber Sprunt
Safe Climate Campaigners: Victoria McKenzie-McHarg Tricia Phelan
Organisational Services team
Healthy Rivers Campaigners: Juliet LeFeuvre Domenica Settle
Sustainable Living team Program Manager: Michele Burton Project Managers: Nina Bailey Charlie Davie
Organisational Services Manager: Ivan Kolker Administration Officer: Helen Vine Alice Sainsbury Finance Officer: Despina Giannakis Database Officer: Tony Cox.
Environment Victoria
2011 Annual Report | 36
PMS 1615
C: 0.0 M: 56.0 Y: 100.0 K: 43.0
PMS 397
C: 11.5 M: 0.0 Y: 100.0 K: 11.5
PMS 632
C: 76.0 M: 0.0 Y: 15.0 K: 11.5