In Australian political and constitutional terminology, a caretaker government is a government of Australia from when the House of Representatives is dissolved by the Governor-General prior to a general election to a period after the election, until the next ministry is appointed. A caretaker government is expected to conduct itself in accordance with a series of well-defined conventions administered by the Department of the Prime Minister and Cabinet, but there is no law compelling the caretaker government to do so.
Under normal circumstances, there is no separate appointment of a caretaker government. The incumbent Prime Minister simply puts the government into "caretaker mode". During the 1975 Australian constitutional crisis, the Governor-General, Sir John Kerr, appointed a new government headed by Malcolm Fraser, subject to Fraser's agreement that he would immediately advise a general election, and his government would operate on a caretaker basis in the meantime. It was a unique set of circumstances, leading to a unique solution.
Caretaker conventions
Australian constitutional practice calls for a government to continue in office even after parliament has been dissolved, during the election period and then into the next parliament only until the next government can be formed. The Prime Minister can however resign office and advise the Governor-General or Governor at any time to appoint a new government. The operation of the Australian political system ensures that a Cabinet is always maintained and that caretaker governments abide by the conventions.
A document entitled "Guidance on Caretaker Conventions" is administered by the Department of the Prime Minister and Cabinet. Section 1.2 of the Caretaker Conventions states that a caretaker government operates until the election result clearly indicates that either the incumbent party has retained power, or in the case where there is to be a change of government, until the new government is appointed by the Governor-General. Section 1.6 indicates that these conventions are not legally binding, and do not constitute "hard and fast rules". In practice, any flouting of the conventions by a caretaker government would immediately come to light, and could go against them in the election campaign.
There are occasions when major appointments or decisions cannot wait until after the election, and the opposition would normally be consulted about them, ensuring a bipartisan approach.
Caretaker government conduct
Caretaker provisions explicitly recognise that after the dissolution of parliament, the business of government must continue and that "ordinary matters of administration" must be addressed. Provisions allow for the normal operations of all government departments. However, the caretaker conventions impose some restrictions on the conduct of the caretaker government. The conventions broadly include the following: The Government will cease taking major policy decisions except on urgent matters and then only after formal consultation with the Opposition. The conventions apply to the making of decisions, not to their announcement. Accordingly, the conventions are not infringed if decisions made before dissolution are announced during the caretaker period. However, when possible, decisions would normally be announced ahead of dissolution. One major exception to these conventions is when an Australian Government budget update comes close to a likely election date, the Government may list “decisions taken but not yet announced and not for publication” that could be announced during the caretaker period, often as pre-election pork barrelling. The Government will cease making major appointments of public officials but may make acting or short-term appointments. The Government will avoid entering major contracts or undertakings during the caretaker period. If it is not possible to defer the commitment until after the caretaker period for legal, commercial or other reasons, a minister could consult the Opposition, or agencies could deal with the contractor and ensure that contracts include clauses providing for termination in the event of an incoming government not wishing to proceed. Similar provisions cover tendering. The Government ordinarily seeks to defer such major international negotiations, or adopts observer status until the end of the caretaker period. The Australian Public Service adopts a neutral stance while continuing to advise the Government. There are several cases, notably the pricing of Opposition election promises, in which the APS conducts an investigation and report for the benefit of the electorate at large.