"All departments involved in this proposal initially opposed it, but they have since backed off from that position. I find the whole stance from them quite gutless, really.
"I have no problem receiving advice from them when they think I am wrong. But I do object to them obstructing the process on the basis they think they know what's best."
Mr Delamere said he had talked to 200 to 300 people on the policy and everyone agreed with it.
"There are millions of refugees in the world, and we will take our 800. But I would prefer to take 800 who don't have HIV-Aids."
The Aids Foundation said it was flabbergasted the decision could be made in the face of opposition from all the Government departments involved. Executive director Kevin Hague said people such as the Australian girl Eve van Grafhorst would now be turned away.
Public health medicine specialist Dr Lester Calder said the $1 million to $2 million a year spent on refugees with Aids was a tiny portion of the health budget, and testing would only stigmatise the disease.
Health Minister Wyatt Creech said that while his ministry had initially opposed the changes, it had supported the final package. The policy change would bring New Zealand into line with Australia.
Labour's immigration spokeswoman, Lianne Dalziel, said that while her party accepted that the issue of HIV-Aids testing needed to be addressed, it was not satisfied the appropriate policy work had been carried out.