Well, firstly, australia are not hosts to one of the worlds biggest football competitions. Portugal won the rights to host the competition, and part of their responsibility is to ensure the pitch is in good condition.
Secondly, after defeating Switzerland they then put a swiss referee in charge of the game. They should have picked an italian, american, australian, brazilian - anyone else that was not directly involved in the competition - surely this is common sense.
Thirdly, the referee was standing 30 yards away when he gave the decision. No one can say that the goal should have been dissallowed. The goal was fairly won, and a bad decision was made, following many previous to that.
At the end of the day, the decisions were made, and Portugal (who did deserve to win) did win. Thats football at the end of the day.
But i agree with the people who say to bring in a video referee, who can then overull decisions if needed.