1- Aussies teams are having a very good season, I'd be surprised if at least 2 aussies teams not classified.
2- If the SA teams have a poor level, this directly affects the Boks. Big players like JDV or Bryan Habana are at a bad season.
3- Will Genia is at a low level, but Nic White is in his best. Then it's a matter of McKenzie choose the correct player.
4- Quade Cooper, right now, is on the dream team of Fantasy Fox Sports. I wouldn't say he's poorly
5- At the moment, ABs don't have a young hooker an international level.
6- ABs hasn't yet found the right replacement for Conrad Smith
7- Dan Carter isn't playing, then his level is unknown
8- Aussie back-line isn't only Israel Folau, they showed that in the spring tour 2013. Matt Toomua is a good choice at 12, Kurtley Beale is a new weapon at 12 too. Ben McCalman is in his best right now, he's one of the best SANZAR's backrows at the moment.
9- ABs backline isn't at their best: Aaron Smith, Ma'a Nonu, Israel Dagg, Cory Jane and others. Only Julian Savea and Conrad Smith are in good level. I know you will say "Long time ago that Nonu doesn't have a good Super Rugby season, but he's always at his best when he wearing the black jersey." Perhaps, but the level of the NZ backline is poor at this time, except for Julian Savea and the immortal Conrad Smith. Izzy Dagg's level is so low that I think he shouldn't even wear the black jersey this year, the NZ fullback should be Charles Piutau IMO.
I think, this year, ARU have an amazing opportunity to return to the golden years.
Addressing these points:
1. & 2. No-one is denying the Australian teams are having a good season
so far. My points were (1) the season isn't over yet, and (2) there isn't a large correlation between how a country goes in Super Rugby and at test level in any case.
3. Genia will be the Wallabies halfback (despite his lack of form). White has the best kicking game of any Australian halfback, but apart from that he is not great. His defense is average and he is incredibly error prone. If White starts at halfback the All Blacks and Boks don't have anything to worry about.
4. I didn't say Cooper was playing poorly - just that he is still inconsistent. I don't care how many point he has in fantasy rugby - rugby is played on a field. Fantasy rugby points aren't really a good indication as to whether a player is playing well or not.
5. Not sure why that matters? Last time I checked you only need 2 hookers in your match-day 23, and Coles and Mealamu are more than good enough at test level. Obviously if there are injuries we will need to blood a new hooker (and both Marshall and Coltman have shown a lot of promise) or they could just pick Cory Flynn who will do a solid job at test level.
6. Again, not sure why this is a big problem? Conrad Smith will play every match presuming he is fit. Ben Smith did a fine job at the end of last year so could fill-in if required, while Ryan Crotty also looked comfortable at test level last season. Fekitoa has looked incredibly promising for the Highlanders and Francis Saili is another option. Even if Conrad Smith got injured we are still pretty well covered at 13.
7. If only we had another 2 world class 10's available
By the Rugby Championship all three should be available. We had no trouble winning last season when all three were injured and Tom Taylor started at 10!
8. Yes Australia has another 6 players in their backline apart from Folau, but he was basically the only backline threat for them last season. Toomua is a solid option at 12, but is hardly a major threat to the oppostion. Beale would be a threat if he started at 12, but he would leave massive hole in the Wallabies backline on defense....
9. Aaron Smith is in superb form. Nonu hasn't played much, but looks in better form than he has at Super Rugby level for years. Dagg is rubbish (and has been for years), Jane has been quiet, but is unlikely to be even be in the AB's 23. Ben Smith is in great form (when isn't he?), Barrett is in great form, Piutau is in solid form. The only likely starter whose form hasn't been good is Dagg, and I agree he shouldn't be starting. I wouldn't be playing Piutau at fullback though - he doesn't have a good enough kicking game to play fullback at test level. Ben Smith should be starting a fullback, with Piutau on the rugby wing.
The Wallabies may have a good season, but I have seen nothing in there performance last season or in Super Rugby this season that suggest they will be a force this year. It is worth noting that you didn't even mention their tight-five. This is the Wallabies biggest weakness - unless they sort this out it won't matter how good their backline is they are going to struggle to be a consistent threat at test level.