More than 50,000 people have applied for citizenship since the government proposed changes to citizenship laws.
If the legislation is passed, they will be among the first people to experience the new regime.
The government wants this to include measures such as a revised "values test", and giving the immigration minister the power to overrule decisions by the administrative appeals tribunal.
But ethnic and migrant community groups have criticised the proposed amendments.
Director of the Federation of Ethnic Communities' Councils of Australia, Emma Campbell, has told a Senate inquiry many believe they would have a negative impact
"They feel that changes to the Citizenship Act will negate their years of contribution, and place in jeopardy the opportunities of newly arrived migrants who, (through) no fault of their own, will not be provided the same equality of opportunity. The level of fear and distress in cultural and linguistic communities in Australia is extraordinary and unprecedented," she said.
Community advocates say women would bear the brunt of the negative effects of the new requirements, with literacy rates among females tending to be lower, and often having fewer opportunities to develop their skills outside of the home.
There's also concern the changes could restrict migrants to more unstable lower-paid work, creating a permanent subclass of Australians.
Sam Wong, from the Federation of Chinese Associations of A-C-T, says the changes to the English language tests citizens could put off some people from coming to Australia and deepen divisions.
He said,"You will have two classes of people - one who can speak English really well, who will become Australian citizens and the lesser one, they're not part of Australia as wholeheartedly as another Australian. The country used to be wonderfully united, all work together as one country. Now, you have divided; ones who speak good English and those who don't."
In response, the government says a lack of English skills has been a major barrier to entry into the workforce and education for many, that limits migrants' opportunities and contributions.
It also maintains its proposed changes will help improve national security.
Federation of Indian Associations of ACT President Krishna Nadimpalli disputes that link.
According to him, "I don't think the English language is a barrier or an indicator for the country's security perspective. The terrorist can be a good English (speaking) person and can become a citizen - it is not the (right) test of the person's integrity towards the nation."
But the Immigration Department says the potential benefits of the changes are too big to ignore.
Department official David Wilden has told a Senate inquiry had the changes been implemented years ago, the Lindt Cafe siege gunman would likely have been one of those prevented from gaining Australian citizenship.
"If we had these citizenship laws in place, the Lindt Cafe siege may not have occurred. I know that's contentious.."
Senator: "That's highly contentious!"
"... Because, if these laws were in place, the gentleman in question would not have made it, on all likelihood, all things being equal, would not have made it into citizenship status, at which point when (convicted of) other offences that he had undertaken, he would've been subject to a 501 cancellation and could've been deported."
The inquiry will report on the changes early next month.
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Citizenship changes 'designed to create second class Australians’ - Tony Burke
