How has power shifted to the Australian Government from the states since Federation?

Since Federation, power has shifted from the states to the Australian Parliament in several ways.

When making judgements about individual laws, the High Court has made several decisions which changed how much power the Australian Parliament has in practice. For example, in the Uniform Tax Case the High Court found the Australian Parliament could introduce a national income tax system. This meant the states could no longer collect their own income taxes.

Sections of the Australian Constitution have also been used to change the relationship between the Australian Parliament and the states. Section 96 of the Constitution allows the Australian Parliament to make laws providing money to the states ‘on such terms and conditions as it thinks fit’. This allows the Parliament to direct the states on how to spend money by giving them ‘tied’ grants. The Parliament can then influence the management of areas such as education, health, housing and urban development, which are mainly state responsibilities.

States have also referred powers to the Australian Parliament. Section 51 (xxxvii) of the Constitution allows the Australian Parliament to make laws on matters that the states have referred to it. For example, states have referred powers in areas such as family law, counter-terrorism and air travel. This means the Australian Parliament can now make laws about areas that were previously managed by the states.

The social and technological advances that have occurred since Federation have also changed the balance between the Australian Parliament and the states. For example, the Constitution gives the Australian Parliament the power to make laws about ‘postal, telegraphic, telephonic and other like services’ (section 51 (v)).  In 1901 there were only around 33,000 telephones in Australia and no radio, television, computers or the internet. Now, of course, communications are a vital part of Australian society and a major responsibility of the Australian Parliament.

 

Three levels of government: Federal, state and local.

Three levels of government in Australia

Parliamentary Education Office (peo.gov.au)

Three levels of government in Australia

Three levels of government: Federal, state and local.

Parliamentary Education Office (peo.gov.au)

Description

The three levels of government  – the law-making bodies in Australia. The Federal Parliament is located in Canberra, the nation's capital. State/territory parliaments are located in the capital cities of each of the 6 states and 2 territories. Local councils are located around Australia in each local council division.