Australian Labor Leader Julia Gillard on Tuesday confirmed victory for Labor to form minority government in Parliament.

Australian Prime Minister Julia Gillard launches a speech in workers club in Sydney, Australia, Aug. 20, 2010. [Huang Xiaoyong/Xinhua]

Speaking to media after getting crucial independents' support to gain 76 seats in the 150-seats lower house, Gillard said Labor is prepared to deliver stable and effective government over the coming three years.

"Ours will be a government with just one purpose, and that's to serve the Australian people," Gillard, together with her Deputy Wayne Swan, told reporters in Canberra on Tuesday.

"We will be held to higher standards of transparency and reform and it's in that spirit I approach the task of forming a government."

Gillard also reached out to Opposition Leader Tony Abbott and Nationals leader Warren Truss, saying that the closeness of the election result showed voters wanted them to find more common ground in the national interest.

"I pledge my best efforts as prime minister to work constructively with you and your colleagues to find common ground where we can," she said.

In return to support of the two backing independents, Gillard announced regional Australia can look forward to benefits of 9.9 billion dollars (9.08 billion U.S. dollars), which focuses on hospital, health and education.

The agreement reached with the two independents and Gillard will include a 1.8 billion dollars (1.65 billion U.S. dollars) boost to the Health and Hospitals Fund earmarked for regional Australia only.

It will also include extra spending for infrastructure and education that will be contestible by regional communities alone.

Gillard will meet Governor-General Quentin Bryce later on Tuesday, and present her with the documents to prove she had the 76 seats required to form government.

"I will then move through to create the new government," Gillard said.

Coalition Leader Tony Abbott will follow Gillard to hold a media conference in Canberra at 4.45 pm (AEST).