I can't upload an image to my media libarary….permissions issue?

Hi I am new to WordPress. Its got a great CMS.

I am sure this is a issue for wet behind the ears beginners

When I go put a new post up I try and press ‘Add An Image’.

It take me to the ‘Add An Image Page. There are three options 1. ‘From computer’, 2. From URL and 3. Media Libery.

I want to be able to upload image directly from Word Press. Ideally from computer.

But on this page all I get is ‘Add Media Files from your Computer’ and nothing else.

I have tried to go to the Media Library tap on the dash board, and
‘Add New’

This take me to a empty page with the heading ‘Upload New Media’

What am I doing wrong? Is there a permission issue with my host?

My blog is ‘www.hooplahoopla.com.au/blog’

Any help you can give would be great,

Thanks,
Tom