in june 2005 trenorden was challenged by brendon grylls for the leadership and stood down before a formal ballot was held. grylls sought to reposition the nationals, taking them beyond their traditional rural base and making a greater appeal to regional western australia. the party adopted the flagship policy of "royalties for regions", under which 25 per cent of mineral and oil royalty revenues would be spent in the regional areas of western australia to develop infrastructure. grylls also moved the party away from the traditional coalition with the liberals. he repositioned the party as an independent force willing to form government with either the liberals or labor to push for national policies.