A private bill with cross-party support to allow the territories to legalise euthanasia will be introduced to parliament on Tuesday.
The bill seeks to repeal a 1997 federal law banning the ACT and Northern Territory from legislating to allow assisted suicide.
It has the support of a number of members of the ALP, Greens and Liberals who want it brought on for debate in May.
Labor MP Alannah MacTiernan, who convenes the parliament's dying with dignity group, said the cross-party group had been working for two years on the bill.
"Australians should have the right to die with dignity when they have a terminal illness," she told reporters in Canberra on Monday.
The initial step was to allow the territories to legislate on the issue, before proposing in a bill to cover people with terminal illnesses who live elsewhere in Australia.
"This is really life-affirming," Ms MacTiernan said.
"The evidence we have is ... access to the ability to end their pain and suffering enables them to live out those last months of their life with much greater enjoyment."
Labor senator Katy Gallagher, a former chief minister of the ACT, said it was also an issue of restoring the rights of the two territories.
Greens leader Richard Di Natale said he was aware of Liberal MPs who privately supported the laws and should be given the opportunity for a conscience vote.
Liberal Democrats senator David Leyonhjelm has previously introduced his own bill on the same issue.
