The ACT party will will support a National-led government, a move which will allow John Key to become Prime Minister.
This was confirmed by ACT leaderRodney Hide after an hour of talks with Mr. Key, where Hide gave a commitment that his five MPs will support National.
He is expecting at least one, if not two, ministerial posts for Act members, however they are likely to be outside of cabinet.
Prime Minister-designate Key, shook hands with Hide as the pair emerged from their talks, and Key says he can now confirm a National-led government.
However environmental lobbyists are worried about some of Hide's ideology.
Greenpeace climate change campaigner Simon Boxer says he is concerned the new government could renege on Kyoto deals or the ETS.
Key and Hide will meet again on Tuesday afternoon to continue talks.
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