Amid a carnival-like atmosphere -- and tight security -- in the Gaza Strip and the West Bank on Wednesday, Palestinians began making their way to polling stations to elect a parliament. It marks the first time since 1996 that parliamentary elections have been held, and a masses of green and yellow flags accompanied voters as polling stations opened at 7 a.m. local time.

Some 1.5 million people are eligible to vote and turnout is expected to be some 75 percent. Long lines outside many of the 1,000 polling stations have been reported, but patience has so far prevailed.

Both the ruling Fatah movement -- led by Palestinian President Mahmoud Abbas -- and the militant Hamas movement have said they are confident of victory in the vote, which has major implications for the future of the Palestinian Territories.  Opinion polls have done little to forecast who might eke out an advantage in this cliff-hanger vote. The first exit polls are expected this evening and the first results of the election count are due tomorrow morning.

"These elections will determine the fate of the Palestinian people," 71-year-old voter Mohammed Shaabein told the Associated Press on Wednesday. "The various Palestinian groups are participating for the first time. This is a positive thing."

In some parts of Gaza City, Hamas was out in force, welcoming voters and organizing volunteers to drive supporters to the polling stations. In the Rimal neighborhood, veiled Hamas women handed out hats and cards printed with the candidates' names. At the Beach refugee camp both Fatah and Hamas have formed reception lines for the voters and the camp is decorated with the flags of both groups.

Around 20,000 local and 950 international observers, led by former US president Jimmy Carter, are monitoring the elections. Some 13,500 police officers have been deployed at polling stations to enforce a weapons ban, as rival groups agreed to keep their guns out of sight. The run up to the election was marred by some violence, with skirmishes and two shootings, including the killing of a Fatah politician in internal fighting on Tuesday.

In a televised address on the eve of the vote, Abbas said that "this great day will be of historic significance, a decisive step on the road to freedom and independence." Abbas's Fatah movement, which is widely perceived as corrupt and inefficient, is under pressure from the militant Islamic Hamas. Fatah favors peace talks with the Israelis, whereas Hamas does not recognise Israel and is committed to a more confrontational course. The Palestinian Prime Minister Ahmed Qureia said that Fatah would stand behind Hamas if it wins the vote. "This is democracy and we accept the results of the elections."