Australia polls result too close to call

Australia's election is too close to call and the final result may not be known for some time as counting continues in tightly run seats.

It is unclear if the ruling Liberal-National has won the 76 lower house seats it needs to form a ruling majority.

If it has not, it will need support from minor parties and independents to hold on to power.

The Labor Party will not gain enough seats to form government. But it has improved strongly on its 2013 election result of 55 lower house seats, making particularly strong gains in Tasmania and New South Wales.

Opposition Leader Bill Shorten told party faithful at a function in Victoria that the close result was a vindication of Labor's policies.

"There is one thing for sure - the Labor Party is back," he said.

Labor was decimated at the 2013 election, when Tony Abbott led the party.

More than 10 million people cast ballots yesterday, on top of four million who voted early.

All 150 seats in Australia's lower house, the House of Representatives, are up for grabs at the election, as are 76 seats in Australia's upper house, the Senate.

Results so far suggest Australians voted in large numbers for independents and minor parties.

Senator Nick Xenophon has been pegged as a potential kingmaker after his newly formed political party took the lower house South Australian seat of Mayo, formerly a safe Liberal seat.

Opposition Leader Bill Shorten's claims that the government intended to dismantle Australia's public health system, Medicare, was widely being credited with creating a late swing to Labor.

The government and Labor have sparred over the economy, healthcare, immigration and same-sex marriage during the campaign.