Officials reported yesterday that 12 people had been infected with A(H1N1) so far and they had detected the first human-to-human transmission on Australian soil.

As a result, Health Minister Nicola Roxon announced the alert level would be raised from ''delay'' to ''contain''.

This could have widespread implications for the bureaucracy, health system, business and community based on the national pandemic plan.

''We will continue border protection to stop people coming into Australia with swine flu,'' Ms Roxon said.

''We've already taken precautionary steps to ensure the stockpile [of antiviral drugs] is being stored in Commonwealth facilities across the country and can be moved to particular states without any delay.

''The contained phase is not the top phase. There are three more levels after that.

''This doesn't mean each and every state will be undertaking the same response. It provides us with flexibility for social distancing measures such as school closures, which we have already seen in South Australia and Victoria.''

Australian National University Medical School professor Peter Collignon, a specialist in infectious diseases, said it was wise to prepare but people should not panic.

The strain of swine flu was spreading from person to person but it was not extremely ''aggressive'' as many people who were infected had recovered.

For more, pick up a copy of today's Canberra Times