Hi there, I am from Australia and in my school we do not have many leadership positions and you are not allowed to have more than 1 position. And the leadership is only offered in grade 11. Do you guys think this will affect my chances of getting into the top schools such as IVY league and Stanford or will the schools have an understanding of what is offered at my school.
You are conflating leadership with leadership positions. Admissions Officers will not confuse the 2. You can be (and demonstrate) leadership without having a title. Conversely, you can have a title and be a crappy leader.
Right. It’s how you find opportunities, not how you settle for what’s in your line of sight, some club in the comfort zone. Leadership is a quality, a way of thinking and acting. Often, no “title” at all.
Yes, if you miss this difference in your thinking, it can affect chances.
Leadership doesn’t mean you have to have a certain “position” it is more about what you accomplish within your activities. For example my S volunteered every Saturday morning for three years to help teach disabled children and adults how to swim – he never had an official title other than “volunteer” but he did get a supplemental LOR from the person who ran the group who (he believes - he didn’t see the letter) spoke to the positive attributes he displayed over his years volunteering there.
As others have already noted, be sure to seek out other leadership opportunities outside of ones at school. Also, as long as you mention this restriction somewhere on your application (such as in the Additional Info section), know that colleges will take it into account and evaluate you on a holistic basis 
When I was a senior in HS, I was a 4 yr Varsity soccer goalie. The coach picked captains, and it wasn’t me. I was mildly disappointed. In College, they started a Women’s varsity soccer team (this was way back). I helped recruit players, I showed players kicking techniques. Not because I was trying to get anything out of it for myself, but because I wanted our team to succeed. I was named Captain. Then I was ready…I was showing leadership.
Leadership can be President of a club or Captain of the Team or Section Leader in Band. But it can also be:
-Student involved in ethnic community center for years and then is asked to teach little kids
-Actual officer in a club
-Watched his little brother after school and encouraged parents to sign up brother for sports team and took him to practice
-Within a club, organized an activity for that club
-Led a community service activity. We had teens in our church organize a “backpack program” where we send backpacks of food for the weekend for students who rely on free lunch at school
-Lead singer of a band - sings, chooses set list, organizes transportation for other members
-Summer Camp counselor
-Boy Scout Eagle Award/Girl Scout Gold Award
-EMT Cadet (First Aid Squad)
-Boys State/Girls State
-Tutors others
I think you’re still trying to personify leadership. But it’s not as obvious as “leading” something or someone. It’s more how one considers goals (or needs around him) and goes for them, even in small ways. That spirit. Not leaning back. And not just defaulting into xxx role. Not just tutoring or babysitting or having some job. Or planning the pep rally.
It’s a quality. A trait. It goes beyond a role.