Sunday, August 22, 2010

Australia Faces Hung Parliament as Julia Gillard's Labor Party Suffers Losses

THE OBSERVER: Labor lead shrinks thanks to strong opposition campaign, climate change concerns – and anger at treachery over Kevin Rudd

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Labor leader Julia Gillard and her partner Tim Mathieson leave the stage after an election night event in Melbourne. Photograph: The Observer

Australia looked to be heading for a hung parliament on Saturday night after one of the closest elections in decades.

After five weeks of bitter, negative campaigning, neither Labor, the current government, nor the conservative opposition Liberal party looked like they would be able to form a government in their own right. It appeared that both parties would have to rely on others in the lower house of parliament.

Labor can expect the support of the first-ever Green member, and probably also a former Green turned independent, who seemed likely to win a seat.

The Liberal party would have to rely on three other independents, two of whom have had links to the conservative National party, which is part of the opposition coalition. It may be days before the final outcome is known.

Whoever forms a government, it is clear that the big winners are the Greens. In addition to their seat in the lower house, they will control the balance of power in the upper house, the senate. They look set to win 12% of the vote nationally, 50% more than last time. They could also double their seats in the combined houses of parliament.

For Labor, the outcome is a disappointment. Yesterday, the party's leader, Julia Gillard, addressed the faithful – in what she had hoped would be a victory speech – with the words of Bill Clinton, saying: "The people have spoken, but it's going to take a little while to determine what they've said." Gillard said she would continue to lead the government until the result was clear. In an apparent appeal to the independents, she laid out her "good track record" of working with them in the house and senate. >>> Alison Rourke in Sydney | Saturday, August 21, 2010