Scott Morrison wants states to accept rapid antigen tests as a condition of entry, as the ACT warns draconian pre-departure requirements are stretching the territory's resources.
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Massive queues for COVID-19 PCR tests have formed across the country, as the Omicron variant drives spiking cases numbers and Australians undergo their final check before traveling over the festive period.
But Queensland Premier Annastacia Palaszczuk has poured cold water on the prospect of accepting rapid tests until the new year at least, demanding the federal government increase waning supply.
Speaking after national cabinet on Wednesday, the Prime Minister cast doubt on the need for pre-travel testing.
But he confirmed the federal government was considering subsidising rapid tests in certain circumstances, placing the responsibility for long queues at the feet of the states.
Mr Morrison argued PCR tests should prioritise close contacts and symptomatic Australians, rather than those seeking the green light for travel. He said PCR requirements were contributing to the backlog, but were not based on medical advice.
"States are the ones imposing those public health orders, and they have impacts, they have consequences," he told reporters on Wednesday.
"We're seeing that played out for those who are having to wait too long for these tests, because some states are requiring that.
"That needs to get sorted, and I'd like to see that sorted as soon as possible."
Mr Morrison said Omicron would spark an increased need for rapid tests, and said costs would be split evenly with if states adopted them.
ACT Health Minister Rachel Stephen-Smith said PCR requirements - in place in Queensland, Tasmania, SA, and the NT - were placing "significant strain" on the territory's testing regime at a terrible time.
Ms Stephen-Smith said anecdotally that about 50 per cent of all people coming forward for tests in the ACT were for interstate travel.
"This has been really problematic," she said.
"It's very frustrating for those jurisdictions that are trying to manage outbreaks, and really need those people who are contacts or who have symptoms to be tested and to have timely access to testing.
"This requirement for PCR tests in order to travel is placing really significant strain on our testing capability ... it would be great if those other jurisdictions could reconsider that."
Earlier, Premier Palaszczuk moved to shut down attempts to overturn her state's PCR requirement.
She claimed Queensland's advice showed people requiring the gold standard test for travel accounted for just 10 per cent of queues across the country.
She said the state would not consider accepting rapid antigen tests until January 1 at the earliest, and only after they had been approved by the Australian Health Protection Principal Committee.
"It's frustrating for people in NSW because there are so many people getting tested, because the Omicron variant is rampant in NSW. And guess what? I don't want it rampant in Queensland," she said on Wednesday.
"Ninety per cent of people [in queues for PCR tests] are concerned they have the Omicron variant and want to get tested.
"That is why we need the AHPPC to actually agree to the rapid antigen test ... and then the federal government to source the rapid antigen tests."
Premier Palaszczuk also pushed back against the Prime Minister over mask mandates, announcing they will be reimposed in a host of indoor settings - including hospitality, retail, and cinemas.
The comments came just hours before the ACT government announced masks would return on Wednesday morning.
The UK has moved quickly to fund the tests, with residents eligible to order seven per day free of charge via the National Health Service.
But Mr Morrison rejected suggestions the federal government was trailing behind in global terms, claiming it was a matter of "what circumstances and for what purposes" the tests would be made free.
Pharmacies in the ACT have reported they were running out of stock over the past week, as Canberrans seek piece of mind before visiting relatives.
But health experts have warned the cost - a five pack costs roughly $60 - means many large and low income were unable to afford a vital level of protection.
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