What you are describing is a fake democracy.
You are given the choice between two cheeks of the same arse. Don't be too quick to confuse stupidity with a difference of opinion.
It is technically preferential and sure, it could happen, but none of the independents have, or will ever have enough of a following to win a federal election.
Also, for the record. I don't choose either of the two evils as my number one pick when I vote. I always do choose the party I think is best for this country privacy wise. But sadly, they will never win a federal election.