The federal government made a public interest immunity claim to stop the Royal Commission on Anti-Semitism and Social Cohesion from accessing documents that concerned the funding levels of ASIO before the December terror attack.
The claim was made following advice from the prime minister's department to protect the cabinet process.
But in a ruling, royal commissioner Virginia Bell said the documents would be needed as part of her inquiry.
She said the documents would not be released publicly but would still form a critical part of the commission's work.
"In the context of the anti-Semitic Bondi terrorist attack on December 14, 2025, the question of whether intelligence and law enforcement agencies performed to maximum effectiveness requires consideration of the priority given to, and the resourcing of, counter-terrorism by each agency," she said.
"A comparison of the priority given to, and the resourcing of counter-terrorism, in the period before and after August 2024 is necessary in order to form a judgment in this regard."
Attorney-General Michelle Rowland said the immunity claim being made was not out of the ordinary.
"The government is aware the royal commission has now published two rulings made by Commissioner Bell on cabinet public interest immunity claims," she said in a statement.
"The rulings confirm the Commonwealth is fully co-operating with the commission to provide the documents it needs to effectively undertake its inquiry and is raising public interest immunity claims for determination by the commissioner as is appropriate."
Prime Minister Anthony Albanese called for the inquiry into anti-Semitism and social cohesion in January following political pressure, after initially rejecting calls.
The royal commission has been examining what police and intelligence agencies knew in the lead up to the attack.
However, large amounts of evidence have been given behind closed doors.
