The race is neck and neck as a large turnout is expected in Palestinian parliamentary elections this week, reports Khaled Amayreh in Jerusalem Palestinians began voting in a crucial parliamentary elections yesterday amid a climate of conspicuously sharp rivalry between Fatah, the de facto governing party of the Palestinian Authority (PA), and the Islamic resistance movement, Hamas. About 1.3 million eligible voters are electing 132 members to the Palestinian Legislative Council (PLC). As this report was filed yesterday noon, the Palestinian Central Election Committee registered a 25 per cent turnout, with officials saying they expect the number to exceed 75 per cent by 7pm when the polling stations are due to close. Voters are given two ballots, one containing the names of district candidates and the other containing the names of national lists contesting the elections. So far, with the exception of one isolated incident in Nablus on Tuesday in which gunmen believed to be affiliated with Fatah killed Ahmed Hassouna, a local Fatah leader, in his home, the elections have been relatively free of violence. The Nablus incident was strongly condemned by all Palestinian political and resistance factions, as well as the PA. In Dar Al-Salam the elections were passing quietly Wednesday. "Thank God, everything is going as smoothly and as quietly as we hoped. There is no problem whatsoever, and as you see, people are casting their ballots in an atmosphere of calm and peace," said Sergeant Mohamed Al-Sous, who was guarding the polling station at the local primary school. An election official at this polling station said as many as 200 people cast their votes in less than half an hour, suggesting the turnout will be high. Around 800 foreign observers are deployed throughout the occupied territories, monitoring the elections. The monitors include prominent international figures, such as former US president Jimmy Carter, as well as a range of government officials and NGO representatives. European as well as some American monitors held meetings with Hamas leaders. The US and EU had said they wouldn't initiate contacts with Hamas, but US Secretary of State Condoleezza Rice was quoted Tuesday saying that the US would consider talking to a Palestinian government including Hamas ministers. The polls -- unlike the last PLC elections that took place nearly 10 years ago -- are witness to tense competition between Hamas and Fatah. According to most opinion polls, Hamas and Fatah are running neck and neck, with most pollsters and experts giving Hamas a slight advantage at the district level while Fatah is believed to enjoy an edge over Hamas at the national level. Hamas leaders have estimated that their movement, which contests the elections for the first time, will win as many as 50 out of the 132 seats of the Palestinian parliament. Nayef Rajoub, one of the most prominent Islamist candidates in the southern West Bank told Al-Ahram Weekly that 50 seats "would be a modest achievement for Hamas. A victory means that we will receive more than 50 per cent of the total vote." Rajoub struck a tone of confidence, convinced that Hamas will emerge as the overall winner in the elections. According to the latest opinion polls, Hamas's "Change and Reform" list is expected to win Gaza City, Deir Al-Balah, northern Gaza districts, Hebron and Tulkarem. In Nablus, Bethlehem, Jenin and Jerusalem the race is too close to call. Fatah is expected to win Jericho, Ramallah, Qaliqilya, Khan Yunis and Rafah. There is no doubt that this week will change the landscape of Palestinian politics. In the past 10 years, since the creation of the PA in 1994 following the conclusion of the Oslo Agreement, Fatah, the mainstream faction of the Palestine Liberation Organisation, dominated -- and controlled -- Palestinian political discourse. Now, the prospect of political plurality in Palestinian government effectively puts at an end Fatah's hegemony. According to most observers, it is unlikely that Hamas will win an absolute majority in the next PLC. However, it is likely that the movement will succeed in forming a strong opposition to the next Palestinian government, which Hamas officials argue would prevent the PA from offering far-reaching concessions to Israel, especially in matters pertaining to the cardinal issues of the Arab-Israeli conflict, such as Jerusalem, the refugees issue and Jewish settlements. Dependent upon the results, Hamas may very well join the government. PA official Nabil Shaath, who has been at the helm of Fatah's election campaign, ruled out, during a televised debate earlier this week, the possibility of a Fatah- Hamas coalition government. Other Fatah leaders have not ruled out the idea, however; apparently because a strong opposition led by Hamas in the PLC could cause many headaches to a Fatah-dominated or even Fatah-led government. For its part, Hamas is remaining non-committal. One Hamas candidate stated: "We will not flinch from shouldering our responsibilities. And we will join the government if this serves the interests of our people and our cause, and if it doesn't then we won't." It is reasonable to expect Hamas -- if it does join the government -- to seek control of a number of ministerial portfolios, such as education and perhaps the Information Ministry. The movement continues to dismiss and scoff at American and EU threats to sever financial and economic aid to the PA in the case that Hamas is permitted to join the government. "If we give in on this petty issue (joining the government), how would we be able to confront American and European blackmail and bullying tactics when it comes to issues such as Jerusalem and Al-Aqsa Mosque and the refugees' right of return?" asked one Hamas leader.