The Henley Passport Index - a project by citizenship planning firm Henley & Partners Citizens, which covers 199 different passports and 227 destinations - is based on data from the International Air Transport Authority.
The Australian passport currently gives holders access to 183 nations without having to pay a fee or pre-apply for a visa before arriving.
It comes as demand for Australian citizenship reaches never-before-seen levels, with the federal government revealing in August close to 189,000 people were waiting for their citizenship applications to be processed.
Nine in 10 applications are now taking almost a year and a half to be processed, SBS News reported at the time.
The cost of getting an Australian passport became $282 in January this year, up from $277.
A passenger arrives at Sydney International Airport. Source: AAP
How does the Australian passport compare to others?
Pretty favourably at the moment, according to the Henley Passport Index. Only 21 other countries allow its passport holders more visa-free or on-arrival access to other jurisdictions.
Another thing making the Australian passport powerful is its complex security features, which were beefed up in 2014.
A Department of Foreign Affairs and Trade spokesperson told SBS News the Australia passport is internationally regarded as a “high quality travel and identity document”.
The most powerful passports based on visa-free access or visa-on-arrival access. Source: SBS
“This is a key reason why Australians are granted visa-free travel to some countries, and are generally allowed to cross borders without hindrance,” the spokesperson said.
Japanese passports are the world's most powerful, according to the Henley Passport Index, with the ability to travel visa-free to 189 countries.
Japan overtook Singapore to claim top spot, having gained visa-free access to Myanmar this year.
The United States and United Kingdom have dropped several places to equal-fifth, alongside Norway, Austria, Luxembourg, the Netherlands and Portugal.
Holders of a New Zealand passport can enter 182 nations without a visa, one fewer than Australia.
Baggage carts are standing up in Terminal 2 of Frankfurt Airport. Source: Getty Images
Who and what determines the countries Australian passport holders can access?
Every country has the right to determine its own policies.
“Generally, access is closely-related to the state of relations between any two given countries. It’s also fairly reciprocal,” Dr David Beirman, Senior Lecturer of Tourism at the University of Technology Sydney told SBS News.
“Australia is regarded as a ‘global good guy’, so to speak. That means we tend to be fairly welcome in just about every country in the world."
There is additional value to a country providing citizens a diverse passport outside of allowing them to easily move across borders, according to the Director of Henley Partners Australia, Tony Le Nevez.
"There are often a lot of economic benefits to countries who negotiate visa-free access,” Mr Le Nevez told SBS News.
“For example, China, who is now a significant investor in the Middle East, has just gained visa-free access to the United Arab Emirates. That is going to lead to a big increase in trade.
“A more valuable and a stronger passport leads to travel freedom and it also allows country-to country business to happen more smoothly.”
Passengers waiting to check in their luggage at the terminal of Stuttgart Airport. Source: Getty Images
How can Australia get a more powerful passport?
The federal government would need to deepen existing visa arrangements with other countries. But how likely would that be?
Not very, according to Mr Le Nevez.
“There is always the chance we will add additional countries, but I wouldn’t expect Australia to move quickly to do that,” he said. “We've got a fairly strict regime when it comes to visas."
Dr Beirman said there are a few existing access arrangements Australia could stand to strengthen.
“For a Chinese citizen to come to Australia and get an Australian visa, they have to pay a minimum of 140 dollars – but we pay nothing to enter China.”
“This is an example of how the playing field is probably not as level as it could or should be."
China is currently Australia’s biggest inbound tourist market, with 1.39 million Chinese nationals visiting in the year ending February 2018, according to the Australian Bureau of Statistics.
Which passports don’t allow for easy access to Australia?
Holders of Afghan, Iraqi, Chinese, Russian, Indian, Pakistani, Sudanese and Saudi passports are among those who face a bit more difficulty entering Australia.
A number of these nations also rank poorly on the Henley Passport Index.
Passports from Afghanistan and Iraq allow visa-free or on-arrival access to 30 jurisdictions, just below Somalia and Syria, both 32, and Pakistan, 33.
