If the "question" is "Do you want to belong to a travel bubble with NZ?" Then , OK no flights from NZ for you. No problem. But onwards travel - which is normal, domestic movement within Australia - is different. The NZ arrivals follow domestic rules, like everyone else. Fly, drive, walk, whatever. Once you are in NSW you are free to move.
Yes, the Feds could have - and arguably should have - issued conditional visas, restricting onwards travel. But see the evidence tendered in Senate Estimates today, per report above. The Victorian heath authorities were in the room, in the discussion, when onwards travel was discussed. No issue raised. The reason there is little media heat is probably because, on the evidence we've seen, it was the Victorian authorities who seemed to have failed to recognise what was being discussed. My own suspicion is that Prof Sutton recognised the low health risk in the onward travel and didn't raise any objection on health grounds. But when the Premier heard about it, he found a reason to complain about the Feds.
Yes, he didn't want international arrivals, but failed to put things in place, once international borders were announced to be opened in NSW and NT (its not as if it happened without notice, overnight) , and his bureaucrats when told onwards travel might happen, yet again failed to act.
I'm sorry for Victorians who think they've been kicked while they are down, but look to your own authorities on this one.