Scott Morrison has come under fire for reneging on a key 2019 election promise to establish a national integrity commission.
The prime minister argued the proposal did not have enough support to pass parliament, warning against the creation of a "kangaroo court".
While the national body was a key campaign pledge at the last election, the bill was not introduced to parliament in the past term.
Speaking to reporters in the marginal seat of Bass, where he unveiled a $220 million forestry package, Mr Morrison rejected suggestions that his lack of support for establishing the commission was to protect senior members of the government.
"I have seen the lives destroyed by a commission such as that, which becomes a kangaroo court, and goes around and seems to operate through politics and shaming people," Mr Morrison told reporters in Launceston on Thursday.
"I have seen the damage that causes, I don't want to see something of that nature."
Mr Morrison was campaigning in the marginal seat of Bass, held on a 0.4 per cent margin by Liberal MP Bridget Archer, who crossed the floor of parliament to vote for a debate on a federal integrity body.
Ms Archer, who appeared alongside the prime minister at a forestry facility on Thursday, said such a commission needed bipartisan support.
"Nothing will move forward until the politics is taken out," she said.
"I would like to see the positive promotion of integrity in public life, there are a lot of ways to achieve that, one of those may be through integrity commission legislation, but there are other ways to achieve that."
A campaign event on Thursday afternoon for Mr Morrison was cancelled after four members of the prime minister's security detail were involved in a car crash and taken to hospital.
Mr Morrison was in a separate car.
While campaigning in the NSW seat of Hunter, Opposition Leader Anthony Albanese said the lack of an integrity commission highlighted a failed election commitment by the government.
"(Scott Morrison) made it clear that he wouldn't have a national integrity commission during the next term with this rather bizarre statement that the reason was because Labor didn't support his model," he told reporters in the regional town of Cessnock.
"The reason why this prime minister doesn't want an anti-corruption commission is sitting on his frontbench."
The day was not without its hitches, with Mr Albanese forced to clarify Labor's stance on boat turnbacks.
During the press conference, Mr Albanese said Labor would turn back illegal boat arrivals, which would mean offshore detention wasn't needed.
At a later event, Mr Albanese said Labor still backed offshore detention.
"It was established in 2013 when I was the deputy prime minister. I was asked today about boat turnbacks - our position is clear, we continue to support them," he said.
"At the moment, there aren't people who have gone into offshore detention in recent times because the boats have been turned back."
Government campaign spokesman Simon Birmingham pounced on the comments.
"Anthony Albanese is all at sea when it comes to border protection, just as he's all over the place when it comes to economic management, national security or pretty much any difficult challenge a prime minister has to face," he told Sky News.
Both camps will pause their campaigns on Good Friday as part of an election truce.
Australian Associated Press
