Speaking at a Ramadan dinner on Monday, the New South Wales premier, Mike Baird, recalled the "desperate, terrible times" last December when a gunman took hostages in Sydney's Lindt Cafe. He remembered the sense of unity that swept the city in its aftermath.

"One of the most incredible things was standing there with young Muslim leaders," Baird said. "They said to me, they've never felt more a part of this state than they did in those days. What a credit that is. What an incredible thing happened amongst us."

Major Islamic social services have virtually boycotted the federal government's deradicalisation efforts, either fearing any association with the Abbott government, or dismissing the programs as poorly funded and designed. In Victoria and NSW, the state governments have been taking notes.

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