Australian Labor Party snatches back power

Updated September 7, 2010 18:06:32

With the backing of independents, Labor will again take office under the leadership of Julia Gillard by the narrowest of margins.

The independents' decision ends more than two weeks of political deadlock after the August 21 election returned a hung Parliament and gave a king-making role to a group of unaligned MPs .. most critically to three rural-based MPs, Bob Katter, Rob Oakeshott and Tony Windsor.

Along the way they've won significant concessions .. most of them to try to ensure a more equitable deal for rural and regional Australia in health, education and broadband, but also on Parliamentary reform.

Now begins the test of the claim of a new era in Australian politics.

Presenter: Canberra correspondent Linda Mottram
Speakers: Independent Australian MP, Tony Windsor; Independent MP, Rob Oakeshott; Independent MP, Bob Katter; Australia's Prime Minister, Julia Gillard

WINDSOR: I intend with my vote, for what it's worth to support the Labor Party.

MOTTRAM: Independent Australian member of Parliament Tony Windsor announcing his decision after more than two weeks of negotiations, talks, phone calls and agonising. Joining him was fellow independent, Rob Oakeshott.

OAKESHOTT: I'm confirming for the Governor General of Australia that today I will do what I've always done ironically and give confidence and supply to government and in effect that means confidence and supply in Julia Gillard, unless and I emphasise unless, exceptional circumstances determine otherwise.

MOTTRAM: And Australia's political deadlock was thus broken. But until earlier in the day, the two independents were three. Bob Katter had split.

KATTER: I am confirming that I'm giving as a result of the 20-point plan, and what was decided by the parties as their policies, that I will be backing the coalition.

MOTTRAM: That decision though wasn't absolute, and Mr Katter was soon echoing what has been the overarching framework of the independents' approach to this process: the need for stability and he flagged the possibility that if it came to averting another election, he would side with Labor too.

KATTER: I most certainly would see a moral responsibility to look at the issue of stability.

MOTTRAM: It came to this because at the polls just over two weeks ago, Australians delivered a curse on both the major parties and their assumed right to govern in turn. Labor, weighed down by the Rudd overthrow, climate change policy reversal and campaign troubles, saw a massive swing against it, delivering it just 72 of 150 seats in Parliament. But that reversal of fortune for Labor didn't flow through to enough support for the Liberal National Party Coalition to enable it to form government in its own right. It too won just 72 seats. The horsetrading began, including Labor signing a deal with the Greens, who for the first time have an MP in the lower house.

Tony Windsor listed the big issues that swayed his decision including Labor's pledge of a national broadband fibre-based network .. and climate change.

WINDSOR: Where others fear the whole climate change debate, there are enormous opportunities in that debate in relation to country Australians and regional Australians and the farm community, etc.

MOTTRAM: Rob Oakeshott broadly concurred and added as key the Labor promise of a referendum on including Australia's indigenous people in the constitution. He also reiterated the demand that politics must change in line with what the independents say is widespread public frustration with the way the major players have been doing business.

OAKESHOTT: These divided loyalties between political party, between local electorate responsibilities and responsibilities to the nation. I would hope from what you've seen from us from the last 17 days, we're committed to electorate and committed to country, we do culturally need to bring a few others with us, that includes a few media outlets with us so that we do be very strong in establishing the principles of electorate and country as the drivers of the way we do business in regards public policy.

MOTTRAM: And late in the day, Julia Gillard, sounding very relieved, said the process had shown Australia's democracy was very robust and accepted the opportrunity to govern again.

GILLARD: Labor is prepared to deliver stable, effective and secure government for the next three years. Ours will be a government with just one purpose, and that's to serve the Australian people.