Federal Indigenous Affairs Minister Jenny Macklin says the historic Mabo native title decision was the turning point for reconciliation.
Sunday marks the 20th anniversary of the High Court recognising Eddie Koiki Mabo and a group of Murray Islanders as the rightful owners of their land in the Torres Strait.
The High Court found they had native title and that it was a right that extended to all indigenous Australians.
Ms Macklin said the actions of Eddie Mabo and his co-applicants changed Australia.
"The Mabo decision allowed us to see beyond the falsehood of terra nullius and to the future," Ms Macklin said in a statement.
Across the country events were held to mark the Mabo anniversary.
Though she was only seven, Selina Zaro still recalls the bittersweet celebrations 20 years ago when terra nullius was laid to rest, along with the man who fought it.
"I remember the actual big celebration that we had in Townsville where we put that headstone down when he passed away - it was just massive," said Ms Zaro.
"It was like a happy and sad moment at the same time."
Twenty years on, and thousands of kilometres away, around 30 people gathered in Melbourne's Federation Square on Sunday to remember Eddie Mabo, celebrating what he achieved while bringing attention to what still needed to be done.
Many of the expectations and hopes of the Mabo decision were yet to come to fruition, said elder Ellen Jose.
"It's time Mabo Day, June 3, is declared a national public holiday," she told the crowd.
"It's ironic the birthday of the very monarchy that claimed this country as its own is celebrated as a public holiday in Australia, while the day it was recognised the original owners had rights to land in law is ignored."
Ms Jose, a Melbourne-based artist from Mer, the same Torres Strait island as Mabo, said June 3 needed to be remembered by all Australians as the most important day of the nation's history.
More needed to be done to heal the wounds of the past but she wouldn't be relying on the politicians, she said.
"Uncle Eddie didn't rely on them and he worked really hard and look what happened, he got somewhere," she said.
Ms Zaro, also of Meriam ancestry, said there needed to be more recognition and awareness of the importance of Mabo Day.
"It's always just been a very incredible day for us to remember, it's kind of like Australia Day for Australians," she said.
"We need to bring that down further and teach everyone else."
