Smart Traveller, then you would be having serious considerations about wanting to travel to Indonesia, and more specifically Bali.
According to the advice, rabies is a real threat to Australian travellers. Also, a violent feud between rival taxi companies has also escalated to a point where the Australian authorities consider there to be real risks to Australian holiday makers on the island of Bali. These two issues are additions to the standard fare about the ever-present threat of terrorism and natural disasters.
So, the question is: "Should Australians travel to Indonesia, and particularly Bali, in light of the travel advice?" Yes. If you want to go to Bali then you should not be deterred by the issuance of this travel advisory. Travel, like any other human activity, comes with risks and rewards. The simple equation you have is as a traveller is to balance those risks and rewards and make an informed decision on whether to go or not.
Travel to Indonesia is really about being aware of your own personal safety and surrounds. If you are a little bit more conscious of not placing yourself in dangerous situations then you are unlikely to be harmed. The chances of one being killed in a terrorist attack are small. If you are worried about dying, then have a look at statistics for what kills people while they travel and my guess is that you will find rabies and violent taxi feuds rank pretty low on the scale of misadventure. It is not being argued that it is impossible, but it is being argued that the risks are negligible if you use your brains.
That is the rant for today.