PRIME Minister Julia Gillard accepted responsibility for her party's poor poll performance today.
Ms Gillard tried to calm the money markets by promising she would provide a stable caretaker government until an election outcome was reached, the Herald Sun reports.Claiming the political high ground because her party had won the two party vote, Ms Gillard has already embarked on negotiations with the Greens and independent MPs whose support she will need to form a government.
And she says the election result reflects a desire for the way in which politics is conducted in Australia and for reform of parliament.
"We are clearly at an historic moment in our country," she said at her press conference, held in her home State of Melbourne today.
"As prime minister I will continue to provide stable and effective government in accordance with our democratic process while final votes are counted.
"This is obviously an extremely close election. It is clear that neither party has earned the right to govern in it's own right.
"It now appears clear that Labor has won the two party vote. That means the majority of Australians voting yesterday prefer a Labor Government."
Ms Gillard said she had already had preliminary discussions with the three independent MPs elected - Mr Windsor, Mr Katter and Mr Oakeshott - had spoken to independent Mr Wilkie - who might win a seat in Tasmania - and met face-to-face with Greens Leader Bob Brown and the first ever Greens MP elected to the lower house at a general election, Adam Bandt.
But she said the discussions had been "very preliminary".
"These are the very, very first conversations about having conversations," she said.
"It's my intention to negotiate in good faith an effective agreement to form government," she said.
Ms Gillard said she would lead the negotiations, and would be assisted by Deputy Prime Minister Wayne Swan.
She said she had made no offers to independents yet about any role they might play in a minority government, but said the popularity of independents and Greens at the election had led her to conclude the Australian people wanted changes to the political process.
"I believe last night's election result, and the strong performance of independents and Greens candidates, reflects a desire for change in the way politics is conducted in our nation," she said.
Ms Gillard remained committed to giving former prime minister Kevin Rudd a job, should she form government.
And she stood by the policies she took to the election and her "positive plan for the nation's future".
She said in particular, her national broadband policy was "pivotal for the future", and said she would be "seriously tackling" climate change, which she said was "pivotal for the future".
Ms Gillard rejected suggestions a hung parliament would create a "crisis" because no major party had control of the lower house.
"I very much disagree," she said.
"I see opportunity."
She also rejected questions the markets would suffer with uncertainty.
"We are a robust democracy," she said.
Read more on the Herald Sun.
