I've been recently driving in Australia and the behavior is spot on. Cars were overtaking on the left (inner sode of the road) as well.
In practise though, people go slow in the right lanes and are not considerate of other drives. Some even think they have the right to prevent others from speeding and deliberately do 5-10km/h under the limit.
The thing is, by not following the practise you cause other impatient drives (rightly or wrongly) to weave in and out of lanes passing on both sides which increases chances of an accident - due to the increase number of lane changes.