Due to its large size, many travelers end up taking at least one domestic flight while in Oz. As the oldest, largest and most comprehensive Australian airline, Qantas has most of the business, but Virgin Blue has started to give the giant a run for its money in the past two years. Qantas offers international travelers the Boomerang Pass, a ticket that allows travel within Australia and to selected airports in New Zealand and other South Pacific islands. Passes must be purchased before entering the country.

Domestic flights are available all along the Eastern half of the country, and to major cities elsewhere in the country. Flights to smaller airports can be infrequent, however, and are generally not within a backpacker�s budget. Independent travelers commonly fly to Perth, Hobart, Darwin and Alice Springs, as they are the largest cities in more remote areas.

Taking its cue from Europe, Australia has a very well developed public transportation system that includes both rail and bus options. If you plan on sticking to the areas around the coast, and other developed regions, there is no need to hire a car while you�re down under. Each state has its own rail system: Countrylink in New South Wales, V/Line in Victoria, Queensland Rail in Queensland, Westrail in Western Australia and the Great Southern Railway in South Australia and Northern Territory. International visitors can purchase Austrail Passes before entering the country, which allows unlimited travel over consecutive days or the Austrail Flexipass, which allows you to purchase a number of days in a set period. Austrail rail works much like Eurail. Coast-to-coast travel is available on the Indian Pacific.

If you plan on heading to more remote areas, Greyhound Pioneer or McCafferty�s Coachline buses will get you there. Both bus operators have touring passes that allow you to save money buy purchasing a number of kilometers in advance or following a designated route. McCafferty�s does not operate in Western Australia. There are also a few jump-on, jump-off bus services such as Oz Experience which allow for flexibility- tickets are valid up to a year- while giving you the gift of pre-planned activities, a 30-something year old tour guide who macks on the 18-year-olds, lots of alcohol and an easy pick up.

Those who wish to travel to the desolate areas of the outback should consider purchasing a car or van. Most travelers pick up a vehicle at the either Kings Cross Car Market or Autobarn and sell it at the end of your trip. Although it can be cost effective, keep in mind that repairs can be quite expensive and you may have to spend a week sitting in the car market, trying to sell the van before you get on a plane.