A memorial to the 298 people who died on board flight MH17 will be erected in the gardens of Parliament House.
Prime Minister Tony Abbott made the announcement during a condolence motion in the House of Representatives on Tuesday, the first sitting day of Parliament since the Malaysia Airlines passenger jet was shot down over eastern Ukraine.
"I say to all the families, you have the deepest sympathy of all of us in this Parliament," Mr Abbott said.
Mr Abbott told the Parliament that identification of the bodies of 38 Australian victims was continuing, but was a "very, very slow process".
"Only this week, the first Australian victims are coming home to their families," he said.
The Prime Minister said that Australian, Dutch and Malaysian security teams that had spent six days searching the crash site had been forced out due to an escalation of the conflict in eastern Ukraine.
"When security conditions improve, and if we judge that there are more remains to be recovered, then recovery efforts will resume."
A memorial to the 298 victims will be established in the parliamentary gardens in time for the first anniversary on July 17 next year.
"It will be established for the first anniversary and as a reminder that we will never, ever forget them," Mr Abbott said.
The Prime Minister said the tragedy had left an "aching void" in the lives of hundreds of families and that two international investigations were underway to bring the "perpetrators of this barbaric crime to justice".
"It was a scheduled international passenger flight from Amsterdam to Kuala Lumpur so basic humanity should have safe-guarded its passage," Mr Abbott said.
"Instead it was shot out of the sky.
"Children lost parents, parents lost children, and an aching void opened in hundreds of lives made worse by the wanton cruelty of shooting down a passenger jet.
"We could not bring them back.
"But we, here in this Parliament, promise to bring them home and to seek justice for their families."
