Another 22 people have died in Australia with COVID-19.
Victoria recorded eight COVID-19-related deaths, while five people have died in Queensland, one in the Northern Territory, and four each in NSW and South Australia.
With national daily death tolls on a slow decline, NSW is facing a new subvariant of Omicron that's spreading in the state, and could see COVID-19 cases double within weeks.
Health Minister Brad Hazzard appeared at a budget estimates hearing on Thursday as the state recorded 16,288 new cases, an increase of more than 3,000 on the previous day.
"Preliminary information indicates that ... in only another month to six weeks we could be looking at cases more than double than we are currently getting," he said.
"It is concerning us greatly, that we are seeing an increase in daily cases."
Data from the University of NSW suggests Omicron's BA2 sub-variant is more transmissible.
Mr Hazzard is also concerned people have become complacent about getting a booster shot, with just 56.3 per cent of people having had three vaccine doses.
"While the community may have gone to sleep on the virus, the virus has not gone to sleep on the community," he said.
"The virus can still wreak havoc if we don't go out there and go and get our boosters fast."
Acting Chief Health Officer Marianne Gale said the technical term for the Omicron BA2 sub-variant is a "sublineage" and the dominant form of that in NSW had been BA1.
"What we are seeing … is a trend to an increasing rise in the BA2 sublineage," she said.
"Experience has shown us overseas that BA2 can quite quickly overtake BA1 to become the dominant sublineage."
The sublineage was more transmissible but there was no evidence it was more or less severe, she said.
Meanwhile, there are concerns about health resources in flood-ravaged communities in northern NSW.
One of the six evacuation centres in northern NSW could be converted into a COVID-19 isolation facility to deal with cases there.
Evacuated flood victims in northern NSW who have tested positive are being housed at Casino District Hospital, the budget estimates hearing was told.
NSW Health's acting Deputy Secretary for Patient Experience and State Health Services Disaster Response, Wayne Jones, said the government is considering turning the evacuation centre at Goonellabah Sports and Aquatic Centre into a specific COVID-19 isolation centre for flood victims.
Mr Hazzard said the government was trying to ensure virus-positive people arriving at evacuation centres will be cared for in a safe location.
Dr Gale said cases have been reported at evacuation centres, but there have not been outbreaks.
Queensland records five deaths
Queensland Premier Annastacia Palaszczuk said the state is "coming off the wave" of COVID-19 with five deaths and 4,571 news cases in its latest reporting period.
The new virus infections emerged after 10,912 tests across Queensland in the 24 hours to 6.30am on Thursday.
There are 252 patients being treated for COVID-19 in hospital and another 17 in intensive care, with Ms Palaszczuk saying both numbers are falling despite the recent floods in the state's southeast.
"That means we are coming off the wave," she told reporters on Thursday.
"That does not mean that COVID is not out there, and it's not having an impact on people and some people are ending up in hospital and tragically some people are losing their lives."
Eight deaths in Victoria
Victoria has reported eight COVID-19-related deaths and another 7,779 infections.
The number of Victorians in hospital declined overnight by eight, to 188 patients.
This includes 32 people in intensive care with three on ventilation.
There are 39,610 active cases in the state.
SA reports four deaths
SA Health reported another 2,590 COVID-19 cases along with four more deaths with the virus in South Australia.
Thursday's tally was the fourth consecutive day of rising infection numbers, after 2,560 were reported on Wednesday, 2,098 on Tuesday and 1,577 on Monday.
From Saturday, South Australia will scrap all density limits in hospitality and other venues along with removing capacity caps on household gatherings.
Singing and dancing will be allowed in all settings while most people who contract COVID-19 will only be required to isolate for seven days, down from 10.
Mask mandates for indoor venues remain in place but will be reviewed next week.
NT reports one COVID-19-related death
The Northern Territory has reported the death of a man in his 60s with COVID-19 along with 326 new infections.
Officials said the man, from a remote community in the Big Rivers region, passed away in the Royal Darwin Hospital and had underlying health conditions.
His death takes the toll since the start of the pandemic to 30.
There are 33 people in hospital with the virus, including two in intensive care.
The number of active infections across the Territory stands at 2,356.
What's happening elsewhere?
Western Australia is drawing closer to the expected peak of its Omicron outbreak with 4,535 new COVID-19 cases and more hospitalisations.
Eighty people are in hospital with the virus, including three who are in intensive care but are not believed to be on ventilators.
The number of active cases has increased to more than 18,000.
Authorities expect the outbreak to peak at around 10,000 daily infections as soon as next week, with hospitalisations to lag beyond that.
COVID-19 infections in the ACT have remained relatively stable, with 821 new cases recorded in the past 24 hours.
Hospitalisations in Canberra are also unchanged from the previous day, with 37 patients in hospital, including two in intensive care and one on ventilation.
In Tasmania, 1,167 new COVID-19 cases have been recorded, the fourth day in a row the daily figure has risen.
Sixteen people with the virus are in hospital, with eight of those being treated for COVID-19.
Five patients are in intensive care, an increase of one from 24 hours earlier.
