Queensland Premier Annastacia Palaszczuk says “A regional quarantine centre could be built if only Scott Morrison could respond to the proposal.”

She insists her plan for a 1000-bed facility near Toowoomba is not dead, however the AAP has learned the sunshine state's proposal isn't up to federal expectations.

Mr Morrison confirmed on Friday the Commonwealth would meet the capital costs for a 500-bed facility in outer Melbourne, while Victoria would cover operational costs.