If you want to stop these so called micro parties, which in reality are there for no other reason than to 'steal' preferences and direct them to 'someone' all that is needed is to tighten the rules. Firstly party registration should require 2000 members and the party should be registered a minimum 12 months before an election is due. Secondly following the vote, only for those that voted "above the line" if your party has not receiver 10% of a quota in first preference votes you are automatically eliminated and your vote is past to the party or independent you first preferenced with 10% of a quota. If 6 are to be elected then a 10% threshold would be 1.43%. This would stop a micro party like the Australian Motoring Enthusiast Party with 0.5% of the first preference votes getting elected in Victoria. Soon see many micro parties disappear from the ballot paper.

I personally think that the purpose of the senate has long expired. There are same number of senators representing Tasmania as NSW or any of the other states. I reckon that as well as dealing with the ludicrous preferential voting system, that the following should be considered:

a The number of senators should represent the number of voters per state.
b The senate should have a limited ability to reject legislation i.e. block it twice, but let through a 3rd time.
c or require a 60% majority to block legislation.
d or simply be abolished.

SM, it was the conservative coalition which in 1975 set the "new rules" for the use of the Senate and how it can be used to bring down a democratically elected government. Not that I support any such action. For the big 2 the Senate is good and useful when it suits their political aims, but useless when it doesn't.
In the house of reps there is the coalition with about 45% of the vote and about 60% of the members, whilst the poor Greens with 8% of the vote only get 1 member, 8% should equal 12 members, don't you agree?
I support the Senate passing all legislation Abbott has a mandate for, even the $75,000 bonus for mega rich baby makers etc.

Paul,

% representation would give the greens 6 seats in the senate and the joker with 0.2% would not even feature.

The % representation in the main parliament has been a recipe for disaster, just look at Italy or even Japan with their revolving doors of government.

P.S. How is Cate Fireman doing?

Does someone want to explain to me what the problem with having Micro Parties in the Senate is?

SM, I suppose we'll just have to live with it, given Italy, Japan, etc. On the other hand the best form of government is a benign dictatorship, something akin to a cross between King Solomon and Mother Teresa, and before you say it, its not Tony Abbott.
My one and only disappointment with the whole election was the fact Cate Faehrmann missed a Senate spot in NSW and its gone to Rambo Dave from the DDT Party. Cate being such a competent and experienced politician, would have been a great asset to the outstanding Greens team in Canberra. When Cate stepped down from the NSW LC to contest the Senate I thought what would Sir Humphrey Appleby say "A courageous decision on your part Ms Faehrmann." giving up a plumb seat in the NSW LC for a 50/50 at best. As for Cate Fireman and her result, I don't give a toss, was she the Liberal candidate in the seat of Melbourne?.
When I think of no house of review, no upper house, no senate, I think of Campbell Newman and the suffering people of Queensland and say "how lucky we are to have a Senate in Canberra populated by Greens." I'm sure you will agree.