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CitizenshipExam
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Australia’s Three Levels of Government Explained

Federal, state and territory, and local government in Australia: who leads each one, what each is responsible for, and how to answer citizenship test questions about them.

Updated Based on Our Common Bond

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Key facts

  • Australia has three levels of government: federal (the Australian Government), state and territory, and local.
  • The federal government handles things like defence, immigration and citizenship, and foreign affairs.
  • States and territories are mainly responsible for hospitals, schools, police and public transport.
  • Local councils handle services like rubbish collection, local roads, parks and building permits.

Australia has three levels of government: the Australian Government (also called the federal or Commonwealth Government), state and territory governments, and local government (councils). Each generally provides different services. Defence and immigration are federal, hospitals and schools are state, and rubbish collection and local parks are local. Questions about which level does what are common on the citizenship test.

Who leads each level of government?

LevelLeaderParliament or council
Australian (federal)Prime MinisterAustralian Parliament: House of Representatives and Senate
StatePremierState parliament
TerritoryChief MinisterTerritory parliament
LocalMayor or Shire PresidentLocal council, made up of elected councillors

The King of Australia is the Head of State. He is represented by the Governor-General nationally and by a Governor in each state. In the Northern Territory, an Administrator is appointed by the Governor-General.

What does each level do?

Australian GovernmentState and territory governmentsLocal government
TaxationHospitals and health servicesStreet signs and traffic controls
National economic managementSchoolsLocal roads, footpaths and bridges
Immigration and citizenshipRoads and railwaysDrains
Employment assistanceForestryParks, playgrounds, pools and sports grounds
Postal services and communicationsPolice and ambulance servicesRubbish collection
Social securityPublic transportLocal libraries, halls and community centres
DefenceFood and meat inspection
Trade and commerceNoise and animal control
Airports and air safetyBuilding permits
Foreign affairsLocal environmental issues

Some responsibilities overlap. In the ACT, the ACT Government also looks after the services that councils provide elsewhere.

How is the Australian Parliament made up?

  • The House of Representatives (the Lower House or People’s House): over 150 members, each representing an electorate. The number of members for each state and territory is based on its population.
  • The Senate (the Upper House, House of Review or States’ House): 76 senators. Each state elects 12 and the ACT and Northern Territory elect 2 each.

The government is generally formed by the party or coalition with the majority of members in the House of Representatives, and its leader becomes Prime Minister.

What is the difference between a state and a territory?

States have rights recognised by the Constitution, and territories do not. States can pass laws in their own right, while self-governing territory laws can be altered or revoked by the Australian Government at any time.

There are six states (New South Wales, Victoria, Queensland, Western Australia, South Australia and Tasmania) and two mainland territories (the Australian Capital Territory and the Northern Territory).

How do you answer these questions on the test?

Use this rule of thumb:

  • Does it affect the whole country or other countries? Federal. Examples: defence, immigration, foreign affairs, passports.
  • Is it a big public service in your state? State or territory. Examples: hospitals, schools, police, trains.
  • Is it something on your street? Local. Examples: rubbish bins, footpaths, parks, pet registration.

Quick self-check

  1. Who is responsible for immigration and citizenship? The Australian Government.
  2. Who runs public hospitals? State and territory governments.
  3. Who collects your rubbish? Local government.
  4. What is the leader of a territory government called? The Chief Minister.

Practise government and the law questions or take a mock test.