The news of the engagement between Prince William and Kate Middleton has stirred the debate whether Australia should remain a constitutional monarchy or adopt a republican system of government.

In a statement, the Australian Republican Movement (ARM) called the news of Prince William's and Kate Middleton's engagement as a "very British moment."

"This was a quintessentially 'British' moment in which the English-born and raised Prince William announced he will marry the English-born and raised Ms Middleton, amid the appropriate congratulations of the British Prime Minister," reads the statement from the Australian Republican Movement.

While the organization congatulated Prince William and Middleton, it also said that the news highlighted " just how remote this development was from normal Australians."

ARM Chair Mike Keating said: "On a human level, it is certainly an announcement worthy of our congratulations - but so is the happy engagement of all young couples on the verge of the next big stage of their lives."

"The fact that in 2010, a wedding announcement on the other side of the world between two young English people stands to impact on our own constitutional arrangements is, however, simply absurd.

"Seeing the British Prime Minister talk about how great this announcement was for Britain and the British people, and how the British Cabinet broke into cheers and table-thumping at the news, illustrates just how remote these events are to Australia and our identity as a modern and independent nation."

But an opposing view was held by the Australians for Constitutional Monarchy (ACM). Young ACM spokesman Jai Martinkovits congratulated Prince William and Middleton, going as far as saying that he can relate to the monarch's excitement having been recently engaged himself.

The ACM said: "As seen in his recent visit, Prince William's engagement will cause young Australians to consider the role of the Crown in our current Constitutional arrangements."

While the wedding of Prince William and Middleton is still a year away, the ARM is already trumpeting calls for a national debate on how to progress Australia towards becoming a republic with an Australian as our head of state.