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Scott Morrison says Australia will continue to push to open up for Christmas due to the country's high COVID-19 vaccination rates.

Almost 90 per cent of Australia's 16-plus population is fully vaccinated and more than 93 per cent have at at least one dose.

The prime minister said the right measures were in place across the country to allow it to open up ahead of Christmas, but there was still a long way to go before the end of the pandemic.

"What we're about to have is a gift Australians have given to themselves by the way they've worked together," he said.

"It's not over yet, we've got a long way to go. But we're better prepared than almost any other country in the world to deal with this and continue to stare this virus in the face and live with it."

But a top infectious diseases expert says a rise in case numbers shows the need to be careful over the Christmas-New Year period.

Australian National University professor Sanjaya Senanayake said the case reproduction number had lifted in NSW from 1.19 to 1.47.

"People just have to be careful," he told Nine on Tuesday.

"So, if you can, be outside when you celebrate - better than being indoors. If you're indoors and can't physically distance safely, wear a mask and use the QR codes."

It comes as further restrictions are due to ease in NSW on Wednesday, including the reduction of the mask mandate and QR code check in locations.

NSW recorded a surge in cases on Tuesday but the number of people in intensive care has dropped to its lowest number in about four months.

The state recorded 804 new cases on Tuesday with 168 people in hospital and 21 in ICU. More than 93 per cent of the state's population aged 16 and over are fully vaccinated.

The ACT has recorded four new cases with four people in hospital, including one in intensive care.

Meanwhile, Victoria recorded 1189 new cases and six deaths on Tuesday.

The number of Omicron cases - including 21 new cases in NSW on Tuesday - also continues to rise following a Newcastle nightclub exposure site.

But Australian Medical Association vice-president Chris Moy said evidence pointed to the new Omicron strain not being as serious as Delta.

"If we are talking about a milder variant, even if it's somewhat more infectious, hopefully it won't be such a threat," Dr Moy told the ABC.

"But on the flip side, if it is really infectious and we get a real peak in cases and say half are serious, it may still be a threat because we will get a large number of people in hospital at the same time."

© AAP 2021

Australia will set up its own mRNA vaccine manufacturing facility to produce as many as 100 million vaccines a year, helping the country prepare for future pandemics.

The facility will be built in Victoria as part of a partnership between the federal and state governments, as well as vaccine manufacturer Moderna, and is expected to be operational by 2024.

Australian Medical Association president Omar Khorshid said the production would be a significant to the world's vaccination stocks during a future pandemic.

"It is great news, not just for the management of this pandemic, but for the enormous horizons that mRNA technology has in terms of treating other diseases we wouldn't have thought could be treated by vaccines, such as cancers," he told the Nine Network.

Liberal frontbencher Angus Taylor said the new facility would also be a step towards helping Australia's Pacific neighbours vaccinate their population with the second closest country with the capability being Singapore.

But Dr Khorshid said no one company should bare the full responsibility for an entire geographical region.

Prime Minister Scott Morrison said the new manufacturing plant would produce respiratory vaccines for potential future pandemics and as well as seasonal health issues such as the flu.

"This investment will continue to secure Australia's future economic prosperity while protecting lives by providing access to world-leading mRNA vaccines made on Australian soil," Mr Morrison said.

The country's amount of mRNA vaccines - such as Moderna and Pfizer - has been reliant on supplies from overseas during the COVID-19 pandemic.

The AstraZeneca vaccine started production onshore during the pandemic but Australia has not had the capacity to make the newer mRNA vaccines.

Finance Minister Simon Birmingham said the new facility would also play a leading role in medical research.

"This investment will mean world-leading clinical trials, a strong local workforce and creating opportunities through supply chain activities," he said.

The federal government is also set to invest $25 million in the next financial year to help researchers conduct clinical trials of mRNA vaccines.

It comes as Victorian scientists created Australia's first mRNA vaccine last month.

Researchers at Monash University developed the vaccine during a five-month period, and are now conducting clinical trials.

© AAP 2021

Prime Minister Scott Morrison has called on states and territories to ease their last remaining COVID-19 restrictions, as Western Australia announced plans to reopen its hard border to the rest of the nation.

Speaking at the Sydney Institute's annual dinner on Monday night, Mr Morrison urged jurisdictions to "facilitate, rather than dictate".

"Australians kept their side of the deal, it is time for governments to now keep theirs; to step back and let Australians step forward," Mr Morrison said.

"To put Australians back in charge of their own lives, relying on the connecting points and relationships that exist between the state and the individual."

It comes as West Australian Premier Mark McGowan announced the state would relax its border restrictions from February 5.

Mr McGowan made the announcement after WA reached the 80 per cent double-vaccinated mark, the last jurisdiction to reach the milestone.

While Mr McGowan had come under fire from other jurisdictions for harsh border control, he said the measures meant WA residents were able to live normal lives.

"We followed a different model to the others, and it worked," he said.

"We can safely ease border controls and reconnect WA. I am confident this is the right time and the right way to take this important step."

The prime minister congratulated WA for making it to 80 per cent and for announcing plans to scrap its hard border.

"Australia is going to be connected and together again," Mr Morrison said.

"This will be welcome news for thousands of Western Australians looking forward to reuniting with family and friends after so long apart."

The prime minister also confirmed a two-week pause on allowing visa holders to enter the country without an exemption would end as scheduled on December 15.

The decision will pave the way for skilled migrants and international students to return to Australia.

Travel bubbles with Japan and South Korea will also be able to commence.

The pause was instituted due to concern about the Omicron variant, but Australian Medical Association vice-president Dr Chris Moy said evidence pointed to the new strain not being as serious as Delta.

"If we are talking about a milder variant, even if it's somewhat more infectious, hopefully it won't be such a threat," he told the ABC.

"But on the flip side, if it is really infectious and we get a real peak in cases and say half are serious, it may still be a threat because we will get a large number of people in hospital at the same time."

There were almost 23,000 vaccines administered in the past reporting period, taking the national fully vaccinated rate to 89.2 per cent.

There were 1290 new cases and two deaths in Victoria on Monday, while NSW recorded 536 COVID-19 infections.

The Northern Territory had 17 new cases while South Australia and the ACT had 13 and three respectively.

Queensland had one new case on Monday, as the state reopened its borders to virus hot spots.

© AAP 2021