TONY Abbott's new coalition government will be forced to negotiate with minor parties and independents that will hold the balance of power in the Senate.
As the Liberal leader claimed a lower house victory, the party's Senate representation looked set to fall short of the 39 spots necessary to give the coalition an upper house majority, despite collecting additional seats in Saturday's poll.
"It was always mathematically impossible for the coalition to win control in the Senate," Victorian Liberal Senator Mitch Fifield told ABC television.
"The best that we could hope for is that the Labor-Greens alliance be denied control of the Senate."
He said it appeared "possible" that upper house marriage would be broken, handing the balance of power to other independents and minor parties from July 1, 2014.
"We will work with whoever has the balance of power," Senator Fifield said.
In a Senate makeup described as "interesting" by political commentators, South Australia was on track to return Senator Nick Xenophon, and possibly his party's second candidate, Stirling Griff.
By 11pm (AEST) Saturday the SA state swing against the ALP had passed 15 per cent, meaning preferences could determine the return of a second Labor senator or that of Greens Senator Sarah Hanson-Young.
Nova Peris will become Australia's first indigenous woman in parliament with her on track to win a Senate seat in the Northern Territory.
In Queensland, the Palmer United Party looked likely to collect a Senate seat with a 10 per cent swing pushing number one candidate, former football player Glenn Lazurus, close to reaching the necessary quota.
The party, making its political debut for billionaire businessman Clive Palmer, is also a chance of picking up a Senate ticket in Tasmania, where it saw a seven per cent swing.
In NSW, One Nation candidate Pauline Hanson or the Liberal Democrats remained a chance.
While unlikely to reach a quota for the upper house, the Liberal Democrats were positioned first on the one-metre-plus ballot paper and picked up a 6.5 per cent swing. Some commentators attributed the shift to the ballot position and voters mistaking the party name for that of the Liberals.
Nationally, the Greens and Labor saw swings of 4.4 per cent against each party.
The Palmer United Party collected more than five per cent of first preference votes across the nation.
Forty Senate positions were up for grabs at Saturday's election, contested by a record 592 candidates.
The final outcome is unlikely to be known until at least mid next week.
New senators will begin their terms in July 2014.
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