Australia govt holds poll lead as campaign gears up

* Election to take place Aug. 21

* Mining tax, asylum seekers emerge as key issues

* Govt has slim lead in latest opinion poll

By Ed Davies

SYDNEY, July 18 (BestGrowthStock) – Australian Prime Minister Julia
Gillard is on course for a narrow win in an Aug. 21 election,
an opinion poll showed on Sunday, although issues such as
border protection and population will be key in the campaign.

Support for the ruling Labor party has rebounded since
Gillard, Australia’s first female prime minister, was appointed
three weeks ago. Seeking to take advantage of her lead and a
robust economy creating jobs, she called an election on
Saturday.

But the poll is set to be tight with conservative
opposition leader Tony Abbott only needing nine more seats to
form a government with four independents, or 13 to take office
outright.

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A new opinion poll released on Sunday showed the Labor
government maintaining a slim lead over the opposition. The
Galaxy poll put Labor on 52 percent compared to 48 percent for
the conservative opposition.

But the survey showed that the government will have to
rely on support from Greens’ voters to ensure victory.

The opinion poll gave Gillard a strong 55 percent to 32
percent lead over Abbott as preferred prime minister.

Financial markets are not expected to react much to the
election given there is little to choose on core economic
policy.

Despite Labor steering the economy through the global
financial crisis and avoiding recession last year, opinion
polls show voters view the opposition as better economic
managers.

Abbott accused the government of wasteful spending and
pledged to stop the flow of boatpeople heading to Australian
waters, a sensitive issue particularly in crowded city areas.

“I think people are right to be concerned about those who
arrive unsafely, without papers,” Abbott said on local TV,
claiming Australia had become “a soft touch” over boatpeople.

Gillard has proposed a possible East Timor regional asylum
processing centre to stop boatpeople arriving in Australia,
although Dili has given the plan a cool response. Abbott plans
to reopen Pacific island detention camps.

Abbott also sought to rekindle a debate over the
government’s watered down new mining tax, which he said would
give Australia’s mining sector the highest tax rate in the
world.

“You do not speed up the slow lane by slowing down the fast
lane,” he said, referring to talk of a two-speed Australia with
the resource-rich states of Western Australia and Queensland
benefiting more than others from high mineral prices.

Abbott has vowed to dump the tax, which the government has
said will raise A$10.5 billion ($9.12 billion) from 2012.

Political commentators say that the conservative voter base
had strengthened under Abbott but highlight a significant
number of swing voters.

“Tony Abbott has many pluses as a leader but he frightens
some people. His views turn off some voters and he has always
had trouble with women voters,” said John Warhurst, professor
of political science at the Australian National University.

Abbott is a socially conservative Catholic, and is opposed
to same sex marriages and abortions.

In contrast, Gillard does not believe in God, is unmarried
but has a long-time partner, and is childless.

(Additional reporting by Michael Perry; Editing by Jeremy
Laurence)

Australia govt holds poll lead as campaign gears up