(Bloomberg) — Australia’s center-left Labor party is set to take power in the most-populous state of New South Wales, ending 12 years of Liberal-National rule and sealing a left-wing sweep across the mainland.
Labor leader Chris Minns is projected to become the 47th premier of New South Wales, according to the Australian Broadcasting Corp.. It’s not yet clear if he will have majority or minority control of the state’s parliament, ABC said.
New South Wales is Australia’s wealthiest state and surrounds the city of Sydney. During the campaign, Minns pledged to end privatization and create an “energy relief fund” to ease cost-of-living pressures on households amid elevated inflation.
The win in New South Wales gives the Labor Party control at the federal level and in the five state and two territory governments on the Australian mainland for just the second time in 120 years. The southern island state of Tasmania now has Australia’s sole center-right Liberal government.
Still, the rare sweep could create problems for Prime Minister Anthony Albanese, given state Labor governments have historically pushed back against their federal counterparts to secure local political interests. Party discipline counts for little in such circumstances, ay.
Read: Australia’s Left Set to Win Control of Every State But Tasmania
Economists have also warned about the potential inflationary impact of expensive election promises at a time of three-decade high consumer price gains that has prompted repeated interest-rate increases and forced administrations in other states to try to rein in spending.