Election Tracker

Australia

Abstract: At Stake: Parliament

At Stake: Parliament

Background

The Commonwealth of Australia comprises the continent of Australia, the island of Tasmania, two external territories and several dependencies. Early into the 20th century, Australia enacted several liberal laws including women's suffrage, universal compulsory education and trade unionism.

Australia's government recognizes the British monarch as sovereign but works as a democratic, federal-state system. Its population of about 20 million has a 100 per cent literacy rate and a life expectancy calculated at 80 years.

Australia and the United States became close allies during World War II. Since the 1950s, three political parties have dominated Australia's political scene: the conservative National Party (NP) and Liberal party (LP), and the left-leaning Australian Labor Party (ALP).

In the 1960s, Australia's aboriginals—the country's poorest group—gained full citizenship and acquired economic rights. Throughout the 1960s and 1970s, immigration to Australia was exclusive for northern Europeans. In the following decades, new regulations allowed for a more diverse immigration population. Most people came from Asia.

In March 1996, an opposition Coalition of Liberals and Nationals easily won the national election, ending 13 years of ALP governments. Liberal leader John Howard took over as prime minister.

In 1999, Australia—independent from Britain since 1901—held a referendum on whether to become a presidential republic. The pro-monarchy side won the vote, receiving 55 per cent of all cast ballots. Howard actively campaigned for the continuation of the monarchy.

In 2000, Howard instituted a new tax system, lowering income and corporate taxes, and adding sales taxes on goods and services. Immigration and security were the key issues in the 2001 parliamentary ballot, held eight weeks after the 9/11 attacks in New York and Washington.

In 2003, Australia supported the United States-led coalition effort in Iraq. Australia originally committed 2,000 troops to the war, but—at the start of 2007—keeps about 1,400 soldiers in the Persian Gulf as part of Operation Catalyst.

In 2004, Howard counted on an impressive economic record—highlighted by a 5.6 per cent unemployment rate—to remain in government. In the October 2004 election, Howard was rewarded with a fourth term in office, as the Coalition secured 87 seats in the House of Representatives. The ALP—led by Mark Latham—elected 60 lawmakers.

Click here for 2004 Australia Election Tracker

Since August 2005, Howard has enjoyed a majority in both the House of Representatives and the Senate. On that same year, Howard developed and passed a series of industrial relations reforms. The proposals include expanding the use of individual contracts, establishing a commission to review wage increases, and abolishing unfair dismissal protection for close to 3.6 million workers.

In December 2006, foreign affairs spokesman Kevin Rudd became the new leader of the ALP, defeating Kim Beazley in an internal caucus ballot.

2007 Parliamentary Election

The next legislative election is tentatively scheduled for late 2007.

On Jan. 24, Australian prime minister John Howard enacted a cabinet shuffle, which included the creation of the Department for Immigration and Citizenship, which will substitute Immigration and Multicultural Affairs. Kevin Andrews will be in charge of the new portfolio, taking over from Amanda Vanstone.

The prime minister explained his rationale, saying, "The desired progression is that an immigrant becomes an Australian, as simple as that. I think the title of the new department expresses the desire and the aspiration, and that is that people who come to this country, who immigrate, immigrants, become Australians. That's what the Australian people want."

On Jan. 25, Howard said he does not foresee any change in strategy in Iraq, declaring, "You either stay or you go. You either rat on the ally or you don't. Now I'm not saying that is the only consideration but it is a big consideration for me."

On Jan. 26, Australian Labor Party (ALP) leader Kevin Rudd questioned Howard's environmental policies, saying, "The world now more than ever needs American global leadership on climate change. How can we expect China and India to follow when countries like America and Australia refuse to lead?"

On Feb. 6, Howard dismissed the suggestion that global warming and greenhouse gases are tied, saying, "The jury is still out on the degree of connection." Rudd expressed dismay, declaring, "The message out of the government, this Question Time, at the beginning of 2007 leaves most of us gobsmacked. Here we have the citadel of scepticism when it comes to climate change."

On Feb. 7, Howard said he is confident his party will win the next election, adding, "On the plus side, history is on our side in that there has been no change of government since World War II without a loss of confidence in the government."

In early February, voting intention surveys by AC Nielsen, Newspoll and Roy Morgan International placed the opposition ALP ahead of the Coalition.

On Feb. 12, Howard dismissed being concerned about the current situation, adding, "I have never kidded myself about how hard it will be to win the next election. We have things going for us and we have things going against us and ultimately it's a matter for the public to work things out."

Rudd expressed caution, declaring, "What I know is that history is actually against us. If you look at the pattern of the last decade often there is a resurgence in Labor polling in the six or nine months heading into the election and then what Mr. Howard does is engage in the spending spree of the century."

On Feb. 14, Rudd explained for the first time what he would do about the war in Iraq if he were to become prime minister, saying, "Staged withdrawal is the way to incrementally apply pressure on the Iraqis to begin to fashion a political settlement."

Howard dismissed Rudd's statement, claiming that a U.S. withdrawal without a clear victory would be "catastrophic", adding, "A humiliated, weakened America would be bad news for the world and it would be bad news for the security of Australia. I am into hope; I am not into surrender."

On Feb. 20, Howard discussed his government's proposal to phase-out regular light bulbs in favour of energy-efficient compact fluorescent bulbs by 2009, saying, "Here's something practical that everybody will participate in. They'll be a bit dearer to start off with but over time they'll be less expensive and they'll last four to 10 times longer. We need to take practical measures in order to reduce greenhouse gas emissions."

On Feb. 21, Rudd discussed the current state of affairs, saying, "My view is that the Australian people are kicking the tyres, looking underneath the bonnet at the moment, seeing what's there, and they'll make up their mind over the course of the next six months or so. I think they'll also make a judgement not just about whether they want to kick Mr. Howard out, but also they're making a judgement on what our positive plans are for Australia's future."

On Mar. 4, Howard ruled out sending more troops to East Timor—which has been the scene of violent riots in recent days—saying, "We have adequate people there at the present time. There has been some addition to those forces, but I don't want to go into details of that. I am satisfied on the advice of the chief of the defence force that we do have adequate forces there at the present time."

In early March, Rudd admitted to "bad judgment" in meeting former West Australian premier Brian Burke—who spent time in jail for theft—on three separate occasions. Still, Rudd challenged the prime minister to call an early ballot, declaring, "If Mr. Howard wants to turn this into a referendum on his character and mine and Mr. Howard's honesty and my honesty, then I say to Mr. Howard, bring it on. Bring it on now, bring on an election now and let the Australian people decide."

On Mar. 8, Rudd said Australia should focus on tackling global warming, enacting an education revolution, and becoming a "middle power" in the world and the Asia Pacific region, adding, "The world can't stand idly by and debate the science or play party politics with the future. I don't doubt that climate change is real and nor do the vast majority of Australians."

In March, Australian foreign minister Alexander Downer questioned the opposition leader's motivation, saying, "Mr. Rudd is one of those people who will say absolutely anything to advance his own personal interests."

Deputy leader Julia Gillard dismissed the criticism, saying, "The policy cupboard is bare, so the only thing they've got left is cheap, personal, grubby politics. It's what they'll do. We understand that. We're prepared for it, but we're also confident Australians will reject it."

Also in March, Australia's minister for the ageing Santo Santoro resigned from his position after he failed to disclose some share-trading transactions. On Mar. 20, Santoro announced he would quit the upper house, declaring, "I am aware that my omissions, which are the product purely of poor attention to compliance, have let down the government, my party and the reputation of this Senate."

On Mar. 20, Rudd explained his priorities for the campaign, saying, "What I would like to do when it comes to the future is focus on what we're going to offer working families and contrast that with what Mr Howard's offering working families."

On Mar. 23, Howard warned the opposition against dismantling a series of industrial relations reforms, saying, "It would be the first time in 25 years that this country, having embraced an economic reform, has then thrown it out."

Also on Mar. 23, Howard rejected any changes to his government's policy on Iraq, saying, "The stakes are extraordinarily high for Iraq, for the wider Middle East, for American power and prestige, and ultimately for our region and our own national security. (...) What Iraq and her people now need is time, not a timetable. They seek our patience, not political positioning, they require our resolve, not our retreat."

On Mar. 26, Gillard discussed the WorkChoices program, declaring, "If you want John Howard and his unfair laws, then vote Liberal at the next election. If you want to get rid of these laws there's only one way to do it, and that's to vote Labor." Howard dismissed any changes to WorkChoices, saying, "It will send a signal to the world that we are tired of economic reform."

On Apr. 3, Howard discussed the legislation, saying, "These workplace relations changes are very important to our economic future. That is my belief, and that belief won't change. (The ALP) will be heavily influenced by the unions, there's no argument about that."

Rudd disagreed with the prime minister, declaring, "I'll spell out the principles which will underpin an alternative industrial relations system, and the timing of that we've yet to settle. (...) People from the unions can say what they like. I'll determine the timing of that as I judge it to be appropriate."

Also on Apr. 3, Rudd discussed his environmental policies, saying, "We believe we should be part of the global solution when it comes to climate change, not just a continuing part of the global problem. And we think a ratification of (the Kyoto Protocol) is a positive step forward. (...) We're about to begin the serious national negotiations and international negotiations about what happens with the post-Kyoto regime, 2012 plus."

On Apr. 4, Howard urged the business community to defend his government's industrial relations laws, saying, "If they want the policies kept, they might invest some money in an advertising campaign to explain that unemployment is at a 32-year low, that real wages continue to go up and that strikes are the lowest they've been since 1913."

Also on Apr. 4, Howard said he cannot ensure that interest rates in the country will not go up, declaring, "While they haven't moved this month, I am not going to purport to give any guarantees about future months. That will be a matter for assessment from time to time by the Reserve Bank. (...) But in order to produce the best possible climate to keep interest rates down you need experience and balanced policies, you need strong budget surpluses, you need to pay off debt, you need to run a strong and rapidly—but not too rapidly—expanding economy."

On Apr. 7, Rudd called for action on global warming saying, "I can't understand why the government would not want to calculate the economic cost and the jobs costs of failing to act on climate change. We need to put numbers around that as well and that's why we need an Australian-Stern Report."

Last year, a 700-page report written by former World Bank chief economist Nicholas Stern warned that global warming could end up shrinking the world's economy by up to 20 per cent, which would make it a more costly crisis than either of the 20th century's world wars.

In April, Rudd was criticized after reports suggested he had lobbied to hold a fake Anzac Day service in Vietnam to coincide with a television program called "Sunrise", where he appeared frequently as a guest.

On Apr. 16, Howard discussed the situation, saying, "The Australian people will make a judgement about Mr Rudd's credibility in the same way they'll make a judgement about mine. My view is that Anzac Day is a very sacred day and I don't think that anybody should be into trying to give it any kind of political spin."

On Apr. 23, Howard discussed his environmental policies, saying, "You cannot commit yourself to reduce greenhouse gas emissions by a specified amount unless you know what you are doing, unless you know the consequence of that commitment, unless you know what that target means to each and every industry. And that's why I repeat that a decision taken on a long-term target will be the most important economic decision that Australia takes in the next decade."

On Apr. 25, Rudd vowed to make Australia more productive, saying, "If you're going to build a long-term economic prosperity, you've got to do something which looks after Australia's economic interests once the mining boom is over. We want to make sure we do the best we can by the Australian private sector to encourage innovation wherever we can in our productive businesses. This is critical, we believe for the country's long-term economic future."

On May 2, Howard discussed his government's budget, which will be tabled on May 8, saying, "I'm interested in seeing interest rates remain moderate, and the budget next week will contribute downward pressure on interest rates. I will still be able to look people in the eye and say interest rates under the coalition will always be lower they would under the Labor party."

On May 11, Rudd met with mining executives to discuss his policies. The ALP leader explained his rationale, saying, "I've had a good relationship with business for a long time. Are we ever going to agree on everything when it comes to industrial relations? Probably not. But I'm always in the business of making sure we get the detail right."

On May 15, Howard dismissed concerns about his party's standing, saying, "I can read polls, I can assure you. I've been reading them for years. And they are very bad for us at the present time. And I'm explaining to you how I will respond. I'm certainly not going to embrace stupid policy. (.) I'm not going to spend, send the budget into deficit in some kind of desperate attempt to buy favour."

On May 7, treasurer Peter Costello presented the federal budget, which includes tax relief for large companies and working families, and rebates for residents who install solar power, saying, "Our budget is balanced—we have no debt. We should reduce our tax burden; it'll make our economy stronger."

On May 15, Costello criticized Rudd, declaring, "His name is Kevin and he's from Queensland and he's not here to help. (...) You could have knocked me down with a feather when he said he was an economic conservative, because he has hidden it really well."

On May 24, Howard acknowledged that the Coalition is facing tough times, saying, "We can win this election but it will be a mammoth effort. (...) I have no desire to do anything other than remain prime minister of my country and leader of my party for as long as the Australian people want that to be the case."

Also on May 24, Australian media outlets revealed that one of the employment businesses operated by Rudd's wife, Therese Rein, underpaid 58 of its employees for more than a year. Despite the fact that the problem was rectified, Rudd expressed disappointment, saying, "This has been a bit of a sober wake up call for us both I think. It's been an embarrassing day."

In May, Amnesty International secretary-general Irene Khan said Howard belongs in a list of leaders—which also includes Zimbabwe president Robert Mugabe, U.S. president George W. Bush and Syrian president Bashar Assad—who generate fear and thrive on "myopic and cowardly leadership."

The Australian prime minister expressed dismay, declaring, "The report's entry on Australia contains a string of assertions, unsupported by evidence and devoid of context. (...) I believe many Australians will be as offended by this report as I am. My government makes no apology for taking appropriate, balanced steps to protect the Australian public from the very real threat of terrorism and to protect our borders."

On May 26, ALP health spokeswoman Nicola Roxon discussed the party's plan to help Aboriginal communities, saying, "I do think that starting with the children that are being born today, providing complementary health services, family support and education services is a great place to start. (...) We also know for example that an indigenous baby born today is 3.5 times more likely to die before they turn one than a non-indigenous baby."

On May 29, Rudd and Howard participated in a particularly heated exchange in Parliament over the topics of industrial relations and global warming. Rudd criticized the prime minister, declaring, "The Australian people look people in the eye and they know when they are being fair dinkum. You have spent 11 years not being fair dinkum on this." Howard suggested that the opposition leader was overexcited because of his lead in voting intention polls, adding, "Don't you come in here with your puffed up hubris and start lecturing this side of the House about accountability under the Westminster system."

On Jun. 1, Howard discussed climate change, saying, "This is a hugely burdensome and responsible decision. If we get this wrong—if we embrace a target that will do crippling damage to our economy—then we'll do enormous damage to Australian households."

A special commission designated by the prime minister to look into proposed legislation to combat climate change released an assessment warning that "much of the cost from imposing a constraint on emissions will ultimately be borne by Australian households. They will face higher prices for electricity, petrol and other (carbon emitting) products."

The report suggests to "assist households" in order to accommodate to new regulations. Rudd criticized the prime minister's suggestions, declaring, "Mr. Howard has been a climate change sceptic for 11 years. Despite his new rhetoric, all we are likely to see is more delay."

On Jun. 5, Howard discussed his plans to curb global warming, saying, "Implementing an emissions trading scheme and setting a long-term goal for reducing emissions will be the most momentous economic decision Australia will take in the next decade. If we get this wrong it will do enormous damage to the economy, to jobs and to the economic well-being of ordinary Australians, especially low-income households."

Greens senator Bob Brown disagreed with the prime minister's views, saying, "Climate change is not going to wait for the Liberal Party. Keeping global temperature rises to two degrees Celsius or less requires rigorous action now."

On Jun. 14, ALP finance spokesman Lindsay Tanner said he would propose the Committee for Economic Development of Australia a plan to exploit the country's time zone to its advantage by offering high-skill services to Europe and the United States when it is night time in those regions. Tanner explained his idea would entail a major investment in high-speed Internet services and other training programs, but would ultimately bring gains to the country, turning it into "the developed world's nightshift."

Also on Jun. 14, Rudd discussed the record of the last ALP federal government, saying, "We were achieving the best productivity growth when we brought about enterprise-based reforms in terms of the labour market back in the 1990s."

On Jun. 18, following a shooting in Melbourne's city centre that left one man dead and two more wounded, Howard said his government is open to discussing the introduction of tougher gun laws in the country, and told reporters: "One of the first things I did as prime minister was ensure a massive additional ban of the use of longarms. (...) We certainly do have very strict laws but I'm always ready to talk to the state premiers who have control over these matters about whether they can and ought to be strengthened."

Also on Jun. 18, the Australian government unveiled a $1.68 billion U.S. plan to provide fast and affordable Internet access across the country. Howard declared: "What we have announced today is a plan that will deliver to 99 per cent of the Australian population very fast and affordable broadband in just two years' time."

On Jun. 20, Rudd criticized the government's recent claim that long-term productivity has improved in Australia. In a radio interview, Rudd said that for the government "to turn around and build a case out of one or two, or even two or three quarters, of positive productivity growth and say 'problem fixed, problem solved', just flies in the face of any respectable commentary on this question."

On Jun. 22, Howard unveiled a plan to combat the high incidence of child abuse in aboriginal communities, which includes a ban on alcohol and pornography, as well as strict controls over welfare benefits granted to them. Howard rebuffed criticism and defended his policies, which will be implemented exclusively in northern communities at this time, saying, "This is a national emergency. We're dealing with a group of young Australians for whom the concept of childhood innocence has never been present."

On Jun. 29, Rudd accused Howard of planning a reduction in the number of troops currently deployed in Iraq solely as an electoral ploy, saying, "Mr. Howard's strategy is we'll leave our troops there where we might fiddle with the numbers a bit. (...) I suspect as part of the election he may announce he's going to withdraw troops in order to try and get that political monkey off his back."

On Jul. 2, Australian police arrested an unnamed Indian doctor in connection with a terror threat in Scotland. The man was working on a temporary basis under a visa known as the 457. Under the 457 visa program, skilled migrant workers are allowed temporary entry to Australia to take up specific jobs with sponsor employers who cannot fill the positions locally.

On Jul. 3, Howard warned Australians not to criticize the country's working visa program because of this incident, saying, "I think it's too early to say whether it says anything (about the visa program). The usual processes, I'm advised by the minister for immigration, occurred in relation to the 457 visa."

On Jul. 9, Howard defended his decision to issue a terror warning to people traveling into Indonesia and told opposition critics it was not related to seeking popularity ahead of this year's election. The prime minister said: "There is sufficiently firm intelligence to justify (the warning) being upgraded. We don't change these things, we don't upgrade them, we don't make statements unless there is sufficient reason."

On Jul. 10, Rudd called for a debate on Australia's participation in the coalition effort, saying, "In the United States we see the Republican Party already debating a staged withdrawal of U.S. forces from Iraq. But in Australia, Mr. Howard and (foreign minister Alexander) Downer and (defence minister Brendan) Nelson are refusing to have that debate or announce their plans."

Also on Jul. 10, Howard reiterated his will to maintain Australian troops in Iraq for the time being, saying, "We believe that if the coalition were to pull out of Iraq in circumstances perceived as defeat, then that would be very destabilizing for the region. It would be a huge victory for the terrorists and it would be against Australia's national interests."

On Jul. 16, Howard announced a new energy plan that will include giving "green" vouchers to schools. The prime minister explained the project, saying, "Every school in Australia will be eligible for a voucher of (about $43,000 U.S.) to help install solar hot water systems and rainwater tanks. Not only will this help reduce energy and conserve water, but it will provide students and our school communities with a first-hand lesson in how we can act locally to preserve the environment."

On Jul. 17, Anthony Bubalo, former director of the Australian government's Iraq Task Force, questioned the strategic value of having soldiers in Iraq. Bubalo implied that the troops are not making any difference by staying in locations far from where the actual conflict is, and suggested they be sent to collaborate with the latest group of American soldiers stationed in Baghdad, adding, "You've got to wonder, given our troops are not participating in the (U.S. troop) surge, in Baghdad or other high conflict areas, what actual contribution we're making."

Also on Jul. 17, Howard announced some details of his government's planned carbon-trading trading scheme for Australia, but gave no targets for the reduction of greenhouse gas emissions. The prime minister warned about introducing schemes in a rush, declaring, "All the good intentions in the world are worthless if we wreck our economy for no environmental gain. With so much at stake we must not confuse panic with virtue."

On Jul. 18, Rudd criticized the current government's child-care policies, saying, "It was Mr. Howard who said four years ago that work/family balance was the barbecue stopper of the nation. Since then it's become worse. I have news for the prime minister. It's no longer a barbecue stopper—these days families don't even have the time together to have a barbecue."

Employment minister Joe Hockey defended the administration's record, declaring, "We have doubled the number of child-care places. On any given day there are 139,000 vacancies across Australia."

On Jul. 23, Howard rebuffed Rudd's recent assertion that Australia should prepare to deal with the potential end of surging mineral prices—which have benefited the country—saying, "I am an optimist about the future of this country. I'm an optimist about the future of the mining industry, and I'm an optimist about the maintenance of the surge or boom or whatever description you want to employ the mining industry around Australia is now enjoying."

In July, a new biography of Howard revealed Costello had criticized some of the prime minister's actions when Howard was treasurer under the government of Malcolm Fraser. Costello defended his quoted statements, saying he meant to criticize the Fraser government and contrast it with the current administration, adding, "The point that I make is that under John Howard's prime ministership and my treasurership on any of the indicators—whether it's employment, inflation, interest rates, budget balances, government debt—it's a very strong record and certainly a much stronger record than the Fraser government."

On Jul. 25, Rudd said he would be willing to call a referendum on whether Australia should become a republic. Rudd—an advocate of parting ways with the monarchy—declared: "I think the time will come before too much longer when we do have an Australian as our head of state."

On Jul. 26, Howard discussed his views on nuclear energy, saying, "We think in the long run this country should leave open the possibility of a nuclear industry. The guiding principle for us is to do what is in the national interest; we respect the role of the states."

In July, the Australian government arrested Indian citizen Mohamed Haneef in Brisbane, on suspicion of terrorism. Haneef—who is related to two suspects in the bombing at Scotland's Glasgow Airport—was eventually released after spending 25 days in custody.

Howard discussed the case, saying, "Australia will not be apologizing to Dr. Haneef. Dr. Haneef was not victimized and Australia's international reputation has not been harmed by this 'mis-start' to its new anti-terrorism laws." Foreign minister Alexander Downer defended the performance of the Australian Federal Police (AFP) and the Department of Immigration and Citizenship, and also rejected calls for an apology, declaring, "What do you expect them to do, fall on the ground and grovel? Eat dirt? I mean, get real."

On Jul. 31, Howard criticized the ALP's views on federalism—after a party advisory group recommended giving more freedom to state governments to spend federal funds—saying, "People don't want theories on federalism or blame games, they want better outcomes, and they don't see giving greater powers to the states as delivering better outcomes. People want to be a nation, not a collection of states. This is 2007, not 1957."

On Aug. 7, assistant treasurer Peter Dutton criticized Rudd, saying, "People, at the moment, are looking at Kevin Rudd like they look at a promo for (reality television show) Big Brother. It's exciting, it's fresh and when the big night comes and people actually have a closer look and they look at the detail, and they get a better understanding of what the show's actually about, they actually realize that it's a load of crap." ALP treasury spokesman Wayne Swan dismissed Dutton's remarks as "desperation."

Also on Aug. 7, the ALP announced it would support a series of controversial measures proposed by the government to deal with indigenous communities. If approved, the bill would grant the federal administration with the authority to intervene in indigenous land with no previous consultation. John Ah Kit, a former Northern Territory minister, decried the proposed law, saying, "This is about the beginning of the end of Aboriginal culture. It is in some ways genocide."

On Aug. 8, Australia's Reserve Bank raised official interest rates by a quarter of a percentage point to 6.5 per cent, the highest level in a decade. The bank said the hike was necessary to keep inflation within the expected limits. Howard acknowledged he will be criticized for this decision because it will hurt "some home buyers" and will have an impact on "some household budgets." The prime minister added: "I regret very much the adverse impact of any interest rate rises on Australian home buyers."

On Aug. 14, journalist Michael Brissenden revealed that, in 2005, Costello discussed "destroying" Howard—in an off-the-record conversation—in the event he failed to supplant him as Liberal leader in 2006.

Costello offered his version, saying, "In the course of that dinner, a lot of things were said, a lot of very interesting things were said, but I want to make it clear that I never carped at the prime minister, nor did I ever go to the backbench." Howard defended Costello, declaring, "He's an ambitious man—there's nothing wrong with ambition."

On Aug. 15, Rudd criticized Costello, saying, "(Families) are reaching the conclusion that not only is this treasurer not fair dinkum. They are reaching the conclusion that the government of which he is part can no longer be trusted. It's a government whose ministers believe what is more important is their own futures, not the future of this country."

Health minister Tony Abbott questioned the ethical standards of Brissenden and the two other journalists present at the dinner, declaring, "If something is off-the-record, effectively, it does not exist."

On Aug. 14, Ross Young, head of the Water Services Association of Australia (WSAA), said the country will face major water shortages in the future, adding, "The 10 years of below average rainfall and drought have been a wake-up call for urban Australia. This will send a stronger price signal to consumers about conserving what is a very scarce resource." A WSAA report states that "experience over the last several summers indicates that ongoing harsh water restrictions will not be accepted by the community, and the challenge is to develop reliable supplies of water for our growing cities in a sustainable manner."

A poll released by Galaxy in August suggested that Howard was in danger of losing the seat he has held since 1974. ALP candidate Maxine McKew commented on the result of this survey, saying, "History is still against me, I've got a very hard job in Bennelong." Howard declared: "I never treat the people of Bennelong lightly. I don't take them for granted and I am working. I have been through a lot of fights in my political time. This is yet another one of them and I am working very hard."

On Aug. 17, Australian media outlets revealed that Rudd attended a strip club in New York in 2003 when he served as foreign affairs spokesman. The ALP leader addressed the issue, saying, "I think I'll take a belting in the opinion polls. (...) We'd had too much to drink, I accept that, but I think the big error was made just in going in there in the first place. I'm on the record as saying I'm as flawed and failed as the rest of them."

On Aug. 22, Howard criticized the ALP's pledge to withdraw Australian troops from Iraq by the middle of next year if elected to government, claiming that even opposition politicians in the United States expect Australia to remain in Iraq for at least three more years. Howard declared: "Any new Democratic administration would realize that it would be bad for America and bad for the world if the coalition just walked out of Iraq and allowed the country to descend into total civil war. (...) It's a reminder that the Labor policy enunciated by Rudd is unrealistic and out of step with cross-party opinion in the United States."

On Aug. 24, Howard said he has never visited a strip club, adding, "I haven't, but I don't claim any particular virtue as a result of that. I'm not into that kind of moralizing."

Also on Aug. 24, Rudd said he was "sick and tired" of hearing Australian states and the federal government blaming each other for the low standards of health care in public hospitals. Rudd said that if elected, he would give states until mid-2009 to meet new standards of performance in important areas of health care, including waiting times. Rudd also pledged an additional $1.6 billion U.S. in incentives to meet those benchmarks, but warned that if they failed, he would order a federal takeover of the 750 public hospitals in the country. The ALP leader defined his plan as a "combination of carrot and stick."

On Aug. 27, Howard announced that aspiring new citizens will have to take a "values" test in order to be admitted as such. Immigrants who have lived in Australia as legal residents for four years and want to become citizens will have to get at least a 60 per cent score in a 20-question exam, taken randomly from a pool of 200 questions. The evaluation includes topics such as "Australian values", history, sports and political institutions, and will also test an applicant's English skills. The prime minister defended the rationale, arguing that Australia has been built on "Judeo-Christian ethics."

Immigration minister Kevin Andrews discussed the strategy in a statement, which read: "Before becoming a citizen it is reasonable to expect that a person will understand the core values that have helped to create a society that is stable yet dynamic, cohesive yet diverse."

On Aug. 30, the government criticized an ALP proposal to reform the country's labour laws that would allow a single worker holding a union membership to participate in pay negotiations in any given business, even if the rest of the employees are not unionized. Workplace relations minister Joe Hockey questioned the rationale, saying, "We do not believe that union bosses should be able to use one employee as a Trojan horse to impose their agenda on any workplace in the country. (...) The plan will open up a million small businesses to potential union control."

Howard turned 68 in July. In late August, he confirmed he will be running in the upcoming ballot and referred to his age, saying, “I am not disguising it, I don’t really care. Everybody knows how old I am and they will make a judgement if that is an impediment. If I got to a stage where I could no longer give it 100 per cent, then I would retire.”

On Sept. 5, while Australia hosted the Asia Pacific Economic Cooperation (APEC) summit, Howard and United States president George W. Bush read a joint statement promoting a new global agreement to combat climate change that would replace the Kyoto Protocol—which is set to expire in 2012. The two leaders said the new plan should be “consistent with economic growth, poverty alleviation and improvements in living standards.” Among other things, the statement emphasized the need to increase the use of nuclear energy.

Rudd met privately with several world leaders including Bush and Chinese president Hu Jintao. On Sept. 6, Rudd addressed a group of Chinese delegates in Mandarin, a language he learned while working as a diplomat in Beijing. ALP defence spokesman Joel Fitzgibbon praised Rudd for his performance during the meeting, saying, “There’s no doubt, he was impressive and that he has what it takes to be the next prime minister. (...) This is a boost for us before the election.”

Also on Sept. 5, Howard vowed to keep the troops serving in Iraq for as long as needed, saying, “We believe that progress is being made in Iraq, difficult though it is. And we do not believe this is the time to be setting any proposals for a scaling down of Australian forces.”

On Sept. 6, Rudd said he would pull all Australian troops out of Iraq if he forms the government after this year’s parliamentary election, saying, “(U.S. president George W. Bush and I) discussed Iraq and Labor’s position. That is, a negotiated, staged withdrawal of combat troops starting the middle of next year.”

On Sept. 7, Rudd called for specific action against global warming, saying, “My challenge to Mr. Howard is use this opportunity to turn the corner on climate change and ratify Kyoto and work within the United Nations (UN) framework to deal with climate change. (...) Progress must be made but progress must be real. My definition of real progress is real targets against real timelines.”

In 1998, several countries agreed to the Kyoto Protocol, a proposed amendment to the United Nations Framework Convention on Climate Change (UNFCCC). The agreement commits nations to reduce their emissions of carbon dioxide and other greenhouse gases. Australia has not ratified the Kyoto Protocol.

On Sept. 12, Howard said he would step down during his next term, saying, “If the Australian people are good enough and kind enough to re-elect me again, there are a lot of things I want to do and I would want to approach those things with enormous energy. But I would expect, well into my term, that after those things have been implemented and bedded down I would probably or certainly form the view well into my term that it will make sense for me to retire. I would expect, although it would be a matter for the party to determine, that Peter (Costello) would take over. That’s the honest position.”

On Sept. 17, Howard announced a $370 million U.S. expenditure on relief funds for farmers. Later, the prime minister acknowledged that the nation’s water supplies are at “seriously low levels” and are “deteriorating.” The prime minister declared a “water shortage crisis” in the Murray-Darling Basin, where almost half of Australia’s produce is grown.

On Sept. 20, ALP lawmakers accused the government of hiring private investigators to find facts about Rudd’s life that could potentially harm his bid to become prime minister. Howard denied the allegations, saying, “The leader of the opposition thinks he’s been smeared—he hasn’t been born. (...) I can beat the leader of the opposition without resorting to smears.”

On Sept. 25, Rudd blamed Howard for neglecting Australia’s solar energy production, saying the country’s proportion of the world solar energy industry had dropped from about 10 per cent to two per cent, and adding, “One of the reasons for that is that we haven’t had a defined, decent, renewable energy target for the nation. (...) Mr. Howard, on the eve of an election, says ‘I’m suddenly serious about climate change. I’m suddenly serious about a clean energy target.’ I mean, give us a break.”

On Oct. 1, Costello criticized the ALP’s record on fiscal affairs, saying, “It is clear that the public does not trust Labor to manage the economy and there is a good reason for that—they haven’t produced a tax policy. (...) I think if we can keep the Australian economy growing strongly that we ought to aim to keep taxes low.”

On Oct. 4, Rudd discussed his proposal to reduce the amount of tax for foreign investors who use managed funds from 30 per cent to 15 per cent, saying, “We are mindful of international tax competitiveness. We have a robust funds management industry in this country—there is currently a trillion dollar under management.” Rudd also reiterated his promise to allocate $2.21 billion U.S. for trade training centres, adding, “(It) is critical we are appropriately, nationally investing in skills formation and appropriately investing in national infrastructure.”

On Oct. 6, Howard dismissed calls to set a date for the election, saying, “(There are) important decisions and they should be taken by a government that is not in caretaker mode so they can operate immediately.” ALP lawmaker Stephen Smith expressed dissatisfaction, declaring, “Time’s up, he should simply call the poll.”

On Oct. 10, leaders of Australia’s Sudanese community called on immigration minister Kevin Andrews to apologize for comments expressed last week. Andrews said African refugees in Australia, especially those coming from Sudan, are “problematic”, less educated than other expatriates and more violent. Andrews announced that the government has reduced the African proportion of refugee intake from 70 per cent to 30 per cent, claiming the 2007 quota has been filled and no new applicants will be allowed in before next July.

Samuel Kuot, the president of Dandenong’s Sudanese Community Association of Australia, said the immigration minister should make amends after Liep Gony—an 18-year-old Sudanese refugee—was beaten to death two weeks ago, and said his words have raised fears of more race-driven attacks against African expatriates. Kuot declared: “The Sudanese community as well as the African community expect an apology from the minister. (...) The community is angry. (...) We came to this country and expected it to be safe, and if you bring someone you need to protect them, you can’t turn against them.”

On Oct. 11, Howard shifted from his previous policy of denying Australia’s Aborigines a separate status in the country, saying he would call a referendum “to formally recognize indigenous Australians in our Constitution—their history as the first inhabitants of our country, their unique heritage of culture and languages, and their special, though not separate place within a reconciled, indivisible nation.”

Rudd and ALP indigenous affairs spokeswoman Jenny Macklin said in a joint statement they would like to see details of Howard’s plan. Macklin added: “If we’re to achieve this constitutional change, it will take strong bipartisan leadership and that’s what we’re offering.”

On Oct. 14, Howard called a general election for Nov. 24, declaring, "Love me or loathe me, the Australian people know where I stand on all the important issues of their future. (...) Australia does not need new leadership. It does not need old leadership. It needs the right leadership."

Howard’s first move to win a fifth term in office was unveiled that same day, with a promise to lower the unemployment rate to a number “with a three in front of it” by cutting taxes for businesses. Australia’s current unemployment rates stands at 4.2 per cent. Howard said his goal is to reduce the number by as much as a full percentage point, which he called a state of “full employment”, and added: “Between 3 and 3.5 (per cent)—that would be my goal. (...) I think we can have a full employment community.”

Rudd reacted to the official announcement, saying, "To win this election we have to make history. We have only won twice from opposition since the second world war. I believe this is going to be the fight of our lives. Our country has a future too full of promise to allow a government that’s been in office for 11 years, a government that’s lost touch, and a government that’s gone stale, just to continue on."

In mid-October Howard said he would include in the next education budget a motion to enforce at least 150 hours of history lessons in all junior secondary schools in Australia. New South Wales education minister and ALP member John Della Bosca said history has been compulsory in that state’s schools for more than a decade, covering all key events and themes.

Della Bosca added: “(The proposal) demonstrates that Mr. Howard is either arrogant and out of touch, or sadly mistaken about the use of his election stunts. (...) Once again Mr. Howard has taken the view that he should bully the states, bully school communities, and badger people and blackmail school communities using federal taxpayers’ money.”

On Oct. 23, Rudd announced a $69 million U.S. plan to boost the quality of child care in Australia, declaring, “This is about providing parents with information so they can make an informed choice about where they send their children.” The proposal calls for a five-category grading system to independently assess providers.

On Oct. 24, Rudd said during a campaign event that his party will not increase the country’s Goods and Services Tax (GST) if elected to government, and declared: “There will be, under no circumstances, any increase to the GST. Over my dead body.” ALP treasury spokesman Wayne Swan added: “And mine.”

On Oct. 29, Howard vowed to reduce the country’s unemployment rate to three per cent by the end of his next term if elected, pledging approximately $1.9 billion U.S. to establish another 100 trade technical colleges. The prime minister said he could stand by his promise, declaring, “Three per cent is a great goal to set ourselves. It can be achieved. (…) (Building the schools is) very much about a long-term coherent plan to provide the additional skills.” Australia’s current unemployment rate stands at a 33-year-low of 4.2 per cent.

Also on Oct. 29, Jim Wallace, managing director of the powerful Australian Christian Lobby (ACL), questioned Rudd’s capacity to control the “libertarians” in his party if elected to government and protect “Christian values” in the country. Wallace said Rudd “has come out here and stated his Christian faith”, but warned: “Clearly within Labor there are some people who have very libertarian views. He has made pretty clear pronouncements about a lot of issues that concern Christians and now the test will be about whether he can actually prevail and hold that line over those influences that might exist within the party.”

On Oct. 30, Rudd unveiled a plan to curb climate change that would require 20 per cent of Australian electricity to be generated from renewable sources by 2020. Rudd’s plan would increase yearly household electricity prices by $36 U.S. to cover the cost of generating energy from renewable sources such as wind or solar power. The ALP leader said this policy is “necessary to protect jobs into the future and also necessary to protect our environment into the future.”

In September, Howard revealed that, if re-elected, he would not serve a full three-year term and allow his treasurer to become prime minister. On Oct. 31, asked when he will decide to challenge Howard for the Liberal leadership, Costello said he would serve him “for as long as we work together,” adding, “He said it would be a very long period of time. I would be serving him as his treasurer. And I’m very happy to do that.”

On Nov. 5, as Australia’s Reserve Bank prepared to increase interest rates, Rudd said Howard’s credibility has been damaged after five successive hikes since the 2004 election, saying, “What the Australian people were sold at the last election is the big interest rate con. (...) On economic credibility and the fight against inflation, Mr. Howard has hauled up the white flag. I believe the nation deserves better than that.”

On Nov. 6, Rudd defined himself as a progressive politician, saying, “I have always believed that I am a Labor modernizer. As a party, we are at our best when we are modernizing the country to deal with problems that may be around the corner.”

Howard has been actively campaigning in his Bennelong constituency and pledged over $13.9 million U.S. for the area. On Nov. 6, while visiting Bennelong, the prime minister promised to spend $2.2 million U.S. for a community centre and about $625,000 U.S. to install 50 surveillance cameras if re-elected.

Howard said the recent stabbing of a 17-year-old man and the shooting of a woman in the area stress the need for security cameras in Bennelong, and—recalling the 2005 terrorist attacks in England—he added: “All of you would be very conscious of just how effective the closed-circuit TV network in the city of London was in tracking down those responsible for the dreadful terrorist attack of July 2005.”

On Nov. 7, Australia’s Reserve Bank raised interest rates for the sixth time since the last election. Howard asked voters to forgive him for the hike, explaining that the decision was based on factors unrelated to his government’s economic strategy, and adding, “Our fiscal policy has been incredibly restrained and responsible. I don’t see anything in the (Reserve Bank) governor’s statement that is critical of our fiscal policy.”

On Nov. 8, Greens leader Bob Brown criticized the two major parties’ support for uranium sales to Russia and China, declaring, “Both parties want to export uranium into China, which has rockets which can now reach Sydney and Melbourne. (...) Both parties want to export uranium to (Vladimir) Putin’s Russia, for goodness sake, which is supplying Iran and potentially Burma, with nuclear technology.”

On Nov. 13, Greens senator Bob Brown urged Rudd to include strict environmental goals in the ALP’s list of priorities, and said voters are paying close attention to each party’s ideas to curb pollution. Brown added: “Let’s have a 30 per cent reduction in greenhouse gases over 1990 by 2020.”

On Nov. 14, Rudd announced his plan to provide school computers to Australian students—regardless of whether they are enrolled in a public, independent or Catholic school—saying, “I want to provide every secondary school student with the foundations to move into the digital economy of the future. After 11 years, Mr. Howard has become stuck in the past. Mr. Howard seems to believe that providing our young people with computers is exotic. Mr. Howard just doesn’t get it. Around the rest of the world, providing young people with computers isn’t exotic, it’s mainstream.”

On Nov. 15, education minister Julie Bishop said a Coalition government would appoint a panel of experts to write curriculum guides for the country’s schools in order to make sure important subjects like English, math and sciences do not fall prey to temporary fads.

ALP education spokesman Stephen Smith said his party agrees with the need for a national curriculum, but criticized the minister’s idea, saying school curricula should be created by an independent body with diverse members and “should not be written by members of parliament, whether it’s me, John Howard or Julie Bishop.”

In November, the ALP installed a seven-metre-high billboard to promote Rudd’s campaign in Hong Kong. Michael Morgan, director of international projects for the ALP, explained the rationale, saying, “We are mounting a fairly aggressive campaign to target Aussies abroad. We find there is a keen sense of Australianness from Aussies living aboard. People are quite keen to have a say.”

On Nov. 19, Howard expressed confidence in the Coalition’s chances, saying, “Yes, I believe we can win this election. I go into this last week very positive. (...) I believe that as we get closer to the election, people will focus on one simple question: who is better able to manage this $1.1 trillion economy?”

Also on Nov. 19, Rudd vowed to ratify the Kyoto Protocol, adding, “I want to simply demonstrate that we have gone from outside the tent to inside the tent, I think it is important to make that statement.” Howard disagreed with Rudd’s promise, saying, “The world is not coming to an end tomorrow. Like all of these things we have to get a common sense, balanced approach. You need a new international agreement that includes countries like China.”

On Nov. 21, Rudd criticized the current government’s industrial relations legislation, saying, “The history of the Howard government is so much a history of a wasted mandate. I barely walk through a shopping centre in Australia without people telling me about the impact WorkChoices is having on their lives. Mr. Howard these days treats working people as economic commodities.”

On Nov. 23, Howard discussed his chances, saying, “I believe the coalition can win this election. I believe that there is a bit of a tide coming back. I sense it in the streets.” Rudd declared: “Where Mr. Howard has lost touch with those working families is that he runs around the country telling people that the economy is strong. At the same time, working families are saying that if the economy is going so well, why am I finding it so tough?”

Voting took place on Nov. 24. Final results gave the Australian Labor Party (ALP) 52.91 per cent of the preferred vote and 85 seats in the 150-member House of Representatives. ALP leader Kevin Rudd declared: “I will never take their sacred trust for granted. I will be prime minister for all Australians. And I make this solemn pledge for the nation I will always govern in the national interest. And I will always have my door open to men and women of good will who wish to make this country better.”

The Coalition of Liberals and Nationals was second, with 63 lawmakers. Howard conceded defeat, saying, “I want to say there is no prouder job in the world that anybody can occupy than being prime minister of this country. I wish (Rudd) well in the task that he will undertake and I want to say on behalf of the Coalition that has governed this country for the last 11-and-a-half years that we bequest to him a nation that is stronger and prouder and more prosperous than it was 11-and-a-half years ago.”

Howard finished second in the Bennelong constituency. Before the 2007 election, the only sitting prime minister to lose his seat in an Australian election is Stanley Bruce in 1929.

On Nov. 26, Rudd was invited to form the government. The prime minister-elect revealed that his cabinet would feature Lindsay Tanner as finance minister, Joel Fitzgibbon as defence minister, and Stephen Smith as foreign minister.

On Dec. 3, Rudd was officially sworn in as prime minister.

Political Players

Queen: Elizabeth II
Governor-General: Michael Jeffery
Prime minister: Kevin Rudd - ALP

Legislative Branch: The Parliament of the Commonwealth of Australia has two chambers. The House of Representatives has 150 members, elected to three-year terms in single-seat constituencies with a system of preferential voting (or transferable vote). Electors assign numbers for each contender on the ballot, and the winning candidate is the one with the majority of the vote. The Senate has 76 members elected by proportional representation; 72 state senators are elected to a six-year term, and four territorial senators are elected to a three-year term. Half of all state senate seats are renewed every three years.

Results of Last Election:

House of Representatives - Nov. 24, 2007

	Vote%	Seats
Australian Labor Party	43.69%	85
Coalition Liberal Party of Australia National Party of Australia	41.86%	63
Australian Greens	7.51%	--
Family First	1.97%	--
Australian Democrats	0.69%	--
Independents	2.22%	2

Two-Party Preferred Vote

	Vote%	Seats
Australian Labor Party	52.91%	85
Coalition (Liberal / National)	47.09%	63

Senate - Nov. 24, 2007

	Vote%	Seats
Australian Labor Party	40.70%	18
Liberal/National (Joint Ticket)	30.22%	9
Australian Greens	9.02%	3
Liberal Party of Australia	8.74%	8
Family First Party	1.67%	--
Australian Democrats	1.27%	--
Pauline’s UAP	1.10%	--
Country Liberal Party	0.30%	1
National Party of Australia	0.16%	--
Other	6.82%	1