Currently, ACT legislation applies the Australian Therapeutic Goods Administration decisions, which ruled against rescheduling psychedelics late last year.

While the TGA can approve the use of psychedelic therapies under its Special Access Scheme, there is no allowance for that special approval under ACT law.

The ACT government is now considering an unsolicited medicines reform proposal from Mind Medicine Australia, with advice being prepared by the ACT Health Directorate, a government spokesperson said.

Mind Medicine Australia spokesman Tony Shields said the special access scheme was designed for treatment-resistant patients who had reached the end of the line and were suffering severely.

"There are now ACT medical practitioners trained in psychedelic therapy willing to treat ACT patients and it seems cruel to deny these patients treatment," he said.

Mr Shields said only Victoria had overturned the loophole which made it illegal for psychiatrists to prescribe psychedelics, despite having special TGA approval.

"Nothing would happen that hasn't already been approved by the TGA so it is a quite conservative move," he said.

Dr Llewellyn Lewis is a senior psychiatrist at Canberra Health Service and has a private practice in the ACT.

He has written a submission to government in support for the legislation change in his capacity as a private practitioner, who has witnessed the inadequacy of traditional treatment to some patients.

"We are not advocating for these drugs to be used as first-line treatments," Dr Lewis said.

"We advocate for options for people who have absolutely failed all the first-line treatments and algorithms for PTSD, because there's a huge burden of suffering - especially in Defence," he said.

"The models that we are proposing should be used are the ones that have already been tested in research trials in America, at Yale University, and similarly at the institute of psychiatry in England."

Research into the potential of psychedelics for the treatment of a range of mental health issues - including anorexia, generalised anxiety - are already taking place here in Australia.

The ACT is one of few jurisdictions where trials are not underway, despite the federal government offering $15 million in research grants in 2021.

An Australian National University spokesman said while this was not an area of research the university was currently involved with, it was something the ANU was exploring and may commence work on in the near future.

"The university would also be keen to look at the proposed legislative changes in the ACT and understand what this means more broadly for both research, and treatments and patient outcomes," the spokesman said.

Minister for Mental Health Emma Davidson said to build a solid evidence base for psychedelic treatment, research needed to include clinical trials with consumers across health services

"However, psychiatrists cannot legally prescribe psychedelics in the ACT - this is something I'd like to see changed," she said.

The CSIRO announced this month it would begin working on manufacturing up to 15 different psychedelic compounds, both natural and synthetic.

Under a new licence, the government institute will make the raw material needed for clinical trials using psychedelics, rather than researchers importing them from overseas.

Edith Cowen University medical health and science researcher Dr Stephen Bright said the move indicated the government saw psychedelic research as legitimate.

"It is a big deal because it means that the government is becoming more involved in this," he said.

Dr Bright is part of a Perth university team about to start recruitment for a clinical trial of MDMA-assisted therapy.

He said research was able to be undertaken without changes to the TGA and there shouldn't be a rush to reschedule psychedelics.

Dr Bright said these drugs or treatments should not be treated any differently to any other medication.

"At the moment, there's not enough evidence to demonstrate the efficacy of these treatments to make the medicines," Dr Bright said.

"It needs to undergo the proper amount of research before they're released to the broader public."