Victoria has recorded 867 new locally acquired Covid-19 cases today, surpassing the number of daily new infections in New South Wales for the second day in a row.
NSW recorded 863 new infections and seven Covid-related deaths, authorities announced just after 11am.
It's been revealed Victoria also recorded more new cases than NSW yesterday after a testing "error" caused 140 results to be reported incorrectly.
Victoria initially reported 705 new cases on Monday, while NSW had 787, but the revised figure puts Victoria at 845 - 58 more infections than its northern neighbour.
Four new deaths were also announced by Victoria's health department today.
It takes the death toll of the outbreak to 29, with the number of Victorians who have lost their lives to Covid-19 now 849.
Overall, 83 per cent of all active cases in Victoria are people younger than 50 years of age, while almost a quarter of cases are people in their 20s.
The virus continues to spread rapidly through Melbourne's northern and western suburbs, with 80 per cent of new cases originating from those areas.
Melburnians and people in locked-down areas of regional Victoria are set to enjoy a number of extra freedoms from 11.59pm on Tuesday after the state met its 80 per cent first vaccine dose target.
Under a "modest easing" of restrictions, Victorians in lockdown will be able to take part in contactless outdoor recreation activities like golfing and fishing.
People in metropolitan Melbourne and regional areas in lockdown can also gather outdoors in groups of up to five adults from two households, if all adults are fully vaccinated.
The travel limit will also be expanded to 15km for exercising and shopping.
In regional Victorian areas not in lockdown, outdoor settings for restaurants and cafes will have their outdoor venue cap increase from 20 to 30 people. Masks can also be removed in hair and beauty salons so facials and beard trimmings can recommence.
Queensland has been rocked by the emergence of four new locally acquired cases, prompting authorities to announce new mandatory vaccination and mask rules.
Queenslanders have been warned a lockdown could be on the cards if Covid cases continue to grow in Brisbane.
Chief health officer Dr Jeanette Young didn't rule out that Brisbane and Moreton Bay could potentially be facing stay-at-home orders in the coming days.
"We will be keeping a very, very close eye on what happens over the next 24 to 48 hours to see if we need additional restrictions," she said.
From next month, Queensland will introduce mandatory vaccinations for truck drivers, after it was discovered one of the new cases in Brisbane was linked to a truck driver.
"From 15 October it will be mandatory for all truckies using the freight pass to have one dose," Queensland Premier Annastacia Palaszczuk said.
"By 15 November they'll need to have their second dose ... and from today, we are starting roadside vaccinations for truckies."
Palaszczuk said there have been seven truck drivers who have entered the state while infected with Covid-19 since August 24.
Mask use will also be mandatory in indoor settings for people who live in Brisbane and the Moreton Bay region, with the changes to kick in immediately.
The rules also apply to anyone who anyone who has been in those areas since September 19.
Despite the rise in cases, Palaszczuk urged residents to stay calm.
"There's no need to panic because Queenslanders have been doing the right thing," she said.